Hypothecation is a term used in the context of loans and financing, particularly for vehicles. It refers to the practice where a vehicle is pledged as collateral for a loan. The lender, usually a financial institution like a bank or a credit agency, holds the right to seize and sell the vehicle if the borrower fails to repay the loan. When a vehicle is under hypothecation, the lender’s name is mentioned on the Registration Certificate (RC) as a legal owner until the loan is fully repaid. If you wish to apply for a Hypothecation Entry/Removal: Click here to contact us on our WhatsApp Support (or) Click here to fill your details.
