A mortgage on personal property is known as a:

Prepare for the NMLS Uniform State Test with flashcards and multiple-choice questions with hints and explanations. Get ready for your exam!

A mortgage on personal property is specifically referred to as a chattel mortgage. This type of financing arrangement is distinct from real estate mortgages, which pertain to real property such as land and buildings. Chattel mortgages are used for personal property, which can include movable items like vehicles, machinery, or furniture.

In a chattel mortgage, the borrower retains possession of the property while the lender holds a security interest in it until the loan is paid off. This arrangement provides the lender with a claim to the property if the borrower defaults on the loan.

The other types of loans mentioned, such as a secured loan and personal loan, can encompass a broader range of assets and do not specifically denote a mortgage on personal property. A secured loan generally refers to any loan backed by collateral, which could be either real estate or personal property, while a personal loan typically involves an unsecured loan based on the borrower's creditworthiness. Thus, while related, these terms do not specifically define the mortgage of personal property as clearly as "chattel mortgage" does.

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