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.
If you cannot repay the loan, the title lender will take your car. They will sell it and keep the difference between what you owe and what the car is worth. They typically will lend you only 20% of the car's value. So, they stand to benefit even if they have to sell your car.