A general security agreement is used to secure a loan and helps repay the loan. Security is personal property that is put on the line for credit. If you are the borrower, the lender receives this property if you do not put the loan to the money. If you are the lender, you will be sure to receive compensation, even if the payments cannot be made. If you are thinking of granting a loan to someone, or if you are the borrower, a security contract can help secure the loan. With a guarantee contract, the borrower offers interest on a personal property that is transferred to the lender if he cannot pay the loan. This may be a good way to attract a lender to a loan, but the borrower will want to carefully assess the consequences if the loan cannot be repaid. A security agreement will help you spell the conditions and get started. A security agreement is easy to establish with Rocket Lawyer. In order to adapt your agreement, a number of questions will be asked. Think about the following information before launching your document: A security contract ensures that the seller of a car is protected by requiring guarantees from the buyer in case of late payment from the buyer. No, a security agreement does not need to be authenticated by notary, but it is highly recommended.