Distinction between “pledge‟ from “mortgage”.

Pledge

• This is a pawn
• It is the delivery of goods by a debtor to a creditor as a security for the amount borrowed or advanced to the debtor.
• Its salient feature is delivery of possession.
• The creditor acquires possession while the debtor retains ownership

Mortgage

• Mortgage is the conveyance of land or assignment of a chattel as security for the payment of debt or the discharge of some other obligation for which it is given.
• Mortgage involves the use of land as security for a loan.
• There is conveyance of the land to the mortgagee.
• The mortgagor’s right of redemption is a critical component of a mortgage.