Register security interests on the PPSR
Secured creditors must register on the Personal Property Securities Register to preserve priority.
Who must comply
Secured creditors taking security interests in personal property — equipment finance, leasing, retention of title, factoring.
What triggers it
Taking security interest in personal property.
When due
Before relevant priority point (typically before customer files for insolvency).
Evidence required
PPSR registration (verifiable online).
Max penalty
Loss of priority in insolvency; commercial consequences
Summary
Personal Property Securities Act 2009 (Cwlth) governs security interests in personal property (other than land). Failure to register on PPSR causes priority defeat against subsequent registered interests + perfected interests in insolvency. Registration via AFSA.
Enforced by
Source legislation
Topics
Related obligations
- CWLTHPrevent insolvent trading (s 588G)Directors must prevent the company incurring debts while insolvent — or face personal liability.
- CWLTHAppoint voluntary administrator under Part 5.3A Corporations ActDirectors can place company in voluntary administration when insolvent — pause creditor claims for restructuring window.
- CWLTHSimplified Debt Restructuring (small business)Small companies (<$1M liabilities) can use SDR to restructure without full external admin.
- CWLTHPersonal bankruptcy declaration or debt agreementIndividuals with unmanageable personal debt can voluntarily petition for bankruptcy via AFSA.
Frequently asked questions
- Who must comply with security interests on the PPSR?
- Secured creditors taking security interests in personal property — equipment finance, leasing, retention of title, factoring.
- What triggers security interests on the PPSR?
- Taking security interest in personal property.
- When is security interests on the PPSR due?
- Before relevant priority point (typically before customer files for insolvency).
- What is the maximum penalty for security interests on the PPSR?
- Loss of priority in insolvency; commercial consequences
- What evidence is required for security interests on the PPSR?
- PPSR registration (verifiable online).
Source: https://www.ppsr.gov.au. Rules Mate is not a law firm. Always verify against the live regulator source before acting.