A security interest is a property interest created by agreement or by operation of law over assets to secure the performance of an obligation, usually the payment of a debt. It gives the beneficiary of the security interest certain preferential rights in the disposition of secured assets. Such rights vary according to the type of security interest, but in most cases, a holder of the security interest is entitled to seize, and usually sell, the property to discharge the debt that the security interest secures.
A secured creditor takes a security interest to enforce its rights against collateral in case the debtor defaults on the obligation. If the debtor goes bankrupt, a secured creditor takes precedence over unsecured creditors in the distribution.
There are other reasons that people sometimes take security over assets. In shareholders' agreements involving two parties (such as a joint venture), sometimes the shareholders will each charge their shares in favor of the other as security for the performance of their obligations under the agreement to prevent the other shareholder selling their shares to a third party. It is sometimes suggested that banks may take floating charges over companies by way of security - not so much for the security for payment of their own debts, but because this ensures that no other bank will, ordinarily, lend to the company; thereby almost granting a monopoly in favour of the bank holding the floating charge on lending to the company.
Home security is something applicable to all of us and involves the hardware in place on a property, and personal security practices. The hardware would be the doors, locks, alarm systems, lighting, motion detectors, and cameras systems that is installed on your property. Personal security practices would be ensuring doors are locked, alarms activated, windows closed and many other routine tasks which act to prevent a burglary.
Forecasts suggest the DIY home security market will be a $1.5 billion market by 2020.
Data from Alarm System Reports show 2 million homes were burglarized in 2014. In order to protect those entry points, we need to have window and door sensors. Once a burglar gets passed the first line of defense, motion detectors kick in.