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Deed of Assignment for Loan Security

This document is a deed of assignment transferring deposits or placements from an assignor to an assignee bank as collateral for a loan. The assignor authorizes the bank to renew the deposits and apply them to any debts owed. The assignor also waives confidentiality of the deposits and the bank can require additional collateral if the original is impaired.

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Madel Mabanglo
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27 views1 page

Deed of Assignment for Loan Security

This document is a deed of assignment transferring deposits or placements from an assignor to an assignee bank as collateral for a loan. The assignor authorizes the bank to renew the deposits and apply them to any debts owed. The assignor also waives confidentiality of the deposits and the bank can require additional collateral if the original is impaired.

Uploaded by

Madel Mabanglo
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

REPUBLIC OF THE PHILIPPINES] S.S.

_________________________]

DEED OF ASSIGNMENT

KNOW ALL MEN BY THESE PRESENTS:

That I, __________________________________of legal age, with residence and postal address at


______________________________________________________ hereinafter collectively referred to as
”the ASSIGNOR”, for and in consideration of a financial accommodation/loan in the principal sum of
( ),
Currency, granted to, , hereinafter referred to as “the DEBTOR”, jointly and severally, by BANCO DE
ORO UNIVERSAL BANK, a banking institution referred to hereinafter as “the ASSIGNEE”, receipt of the
proceeds whereof is hereby acknowledged, hereby cede, transfer, convey and deliver unto ASSIGNEE, its
successors or assigns denominated deposit/s or placement/s as represented by
(or as hereinafter renewed, extended, amended or substituted) together with the funds covered thereby,
it being understood that the ASSIGNEE has the full and absolute control of said deposit/s / placement/s.
Upon the non-fulfillment by the ASSIGNOR/DEBTOR of any of the conditions of these deed and the
correlative promissory note/s, which form/s an integral part of this assignment by reference., the
ASSIGNEE is fully authorized and empowered to apply said deposit/s or placement/s for the purpose of
liquidating the financial accommodation/loan either partially or totally. This assignment covers any and all
other indebtedness now and hereafter owing at any time by the DEBTOR to the ASSIGNEE either individual
or collectively, of whatever kind and nature, either absolute or contingent, direct or indirect, principal or
secondary, as may appear in the accounts, books and records of the ASSIGNEE, any renewal/s or
extension/s thereof including renewal of this obligation, and the payment of attorney's fees and other
charges until the same are completely paid.
Entirely for my/our convenience, the ASSIGNOR hereby delegates to the ASSIGNEE the authority to
implement for and in behalf of the ASSIGNOR, the renewal of the deposit/s or replacement/s herein
assigned at its maturity, subject to the conditions that (i) the yield shall not be less than that which the
ASSIGNEE, in the ordinary course of business, indiscriminately offers its clients for the placement of
amounts comparable to the amount of the deposit/s / placement/s herein assigned and for equivalent
maturities, and (ii) each renewal or extension of the assigned deposit/s / placement/s shall be for the
period of 30 to 90 days. Except for gross negligence or conduct amounting to fraud, the ASSIGNOR hereby
undertakes to hold the ASSIGNEE free and harmless from liability for any action taken on the basis of and
within the framework of this power of attorney, and hereby ratifies and confirms all that the ASSIGNEE
may do or cause to be done pursuant thereto and hereto.
Should the deposit/s or placement/s assigned herein be renewed, the renewed deposit/s or placement/s
shall be automatically ceded, transferred, delivered and conveyed unto the ASSIGNEE without the
necessity of a new writing therefor under the same terms and conditions specified above and in the
promissory note/s. The ASSIGNOR renounces and quitclaims all rights and actions which he/she /they may
be accorded by the legal provisions affected or to be affected by the authorization herein given.
AThe SSIGNEE reserves the right to require additional securities in the event that the collateral given, in the
sole judgment of the ASSIGNEE, is substantially impaired. Otherwise, the ASSIGNEE may declare the whole
financial accommodation/loan due and demandable.
Pursuant to Central Bank Circular Nos. 1102 and 1135, the ASSIGNOR hereby waive/s his/her/its/their
rights under Republic Act No. 1405, as amended, relative to the confidentiality of bank deposits.
IN WITNESS WHEREOF, the ASSIGNOR, (and the DEBTOR, in case of third-party-
loan), has/have hereunto signed this deed at on

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The ASSIGNOR delegates authority to the ASSIGNEE to renew deposits or placements at maturity, with conditions that the yield will not be less than comparable market offerings by the ASSIGNEE for similar amounts and maturities, and each renewal or extension shall be for 30 to 90 days .

The ASSIGNOR cedes control of the deposits and assignments to the ASSIGNEE, potentially allowing complete liquidation to satisfy debt obligations and waives legal rights to confidentiality of bank deposits, implying financial exposure and loss of control over the collateral .

The ASSIGNEE reserves the right to require additional securities if the collateral given is deemed substantially impaired by the ASSIGNEE's sole judgment .

The ASSIGNOR delegates authority to the ASSIGNEE to renew deposits or placements at maturity for terms between 30 to 90 days, ensuring yield parity with market offerings, holding the ASSIGNEE harmless from liability except in cases of gross negligence or fraud .

The ASSIGNOR waives their rights under Republic Act No. 1405, as amended, concerning the confidentiality of bank deposits, thereby allowing the ASSIGNEE to disclose necessary information pursuant to Central Bank Circular Nos. 1102 and 1135 .

The ASSIGNEE may declare the loan due and demandable if the collateral's value is substantially impaired, and no additional securities are provided, ensuring the protection of the ASSIGNEE's financial interest .

The deed allows for automatic renewal of deposits, tying any renewed collateral to the original terms, thereby potentially prolonging and extending the financial obligation period without explicit reaffirmation, impacting the ASSIGNOR's flexibility to manage their financial commitments .

Upon the non-fulfillment by the ASSIGNOR/DEBTOR of any conditions of the deed or promissory notes, the ASSIGNEE is fully authorized and empowered to liquidate the financial accommodation/loan by applying the assigned deposits or placements either partially or totally .

The assignment covers the payment of attorney's fees and other charges related to the financial obligation until they are completely paid, indicating that these costs are part of the outstanding debt due to the ASSIGNEE .

The deed specifies that upon renewal, the deposits or placements are automatically ceded, transferred, delivered, and conveyed to the ASSIGNEE under the same terms, without requiring a new writing, maintaining uninterrupted control .

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