Description and Coding Systemâ (âHarmonized Systemâ or simply the âHSâ).2 It went. into effect internationally on January 1, 1988, with the entry into force of the. International Convention on the Harmonized Commodity Description and Coding. System (âHarmonized System Conventionâ) to which the Harmonized System is.
A secured debt or secured claim is one where the lender has some sort of collateral. A car loan or home mortgage would be the most common examples, but other debts may be secured as well, especially in business settings.
Secured Debt. For a debt instrument to be secured simply means that in the event of loan default the purchaser's assets are used to repay the lender's investment. Common types of secured debt are mortgages and auto loans. When an individual or business takes out a mortgage, the property in question is used to back the repayment guarantee. If the individual or business fails to repay the mortgage as agreed, the bank has the right to seize the property.