The Personal Property Securities Register (PPSR) is an electronic register which provides security interests in personal property which is to be registered and searched according to the New Zealand Personal Property Securities Act 1999 and Australian Personal Property Security Act 2009.
The Personal Property Securities Register (PPSR) was started by the New Zealand Government in the year 2002 as a common online register for all security interests. The lenders and businesses need to have record of this. PPSR check can be used in following situations-
- Purchasing a Second-Hand Van for Business- Before buying a second hand van, you must conduct a PPSR check which will tell if any business or a person has registered a claim against the van which you are going to buy. A finance company can repossess the van when seller still owes money on the van.
- Checking Credit of Potential Customers- In case, when a customer is willing to buy a vehicle from you, but at the same time you have doubt regarding his or her creditworthiness. You can easily clear your doubts with help of check on PPSR. It is done to see whether other businesses have any security interests against the assets of customers.
- Check of New Collateral Provided as Security- A customer facing difficulty in cash flow requests you for loan or payment extension and providing a vehicle or other sort of goods like machinery as collateral for the loan. You can conduct a PPSR check to clear you doubt regarding whether the customer has offered already same collateral to other lenders.
- Lease, Trade Agreements or Hire Purchase with a Romalpa Clause- You need a customer for signing lease, hire purchase or trade agreements which includes retention of Romalpa. Such documents may develop security interest and thus registering security interest on PPSR will provide good chance of debt recovery in case of default.
- Checking of Security Interest in Personal Property- If you are a debtor, you can easily make a check of PPSR to detect who has registered a security interest against personal property of yours.
Making Use of PPSR
You need to have registration as a user for searching the PPSR or to register the financial statements. Registration is only few minutes’ process. You just have to click on the “Get User ID” tab given at the top right and enter you details as per instructions. Your User ID and password will provided to you and you will have quick access to the site.