What is the Personal Property Security Act (PPSA)?
The Personal Property Security Act repealed the Chattel
Republic Act. No. 11057 or the Personal Property
Security Act (PPSA), signed on 17 August 2018,
provides for new means and requirements for
creating, perfecting, and registering security over
personal property in the Philippines.
What is the benefit of the new law?
PPSA aims to promote economic activity by increasing
access to least cost credit, particularly for micro, small,
and medium enterprises (MSMEs), by establishing a
unified and modern legal framework for securing
obligations with personal property.
Further, PPSA aims to strengthen the secured
transactions legal framework in the Philippines, which
shall provide for the creation, perfection,
determination of priority, establishment of a
centralized notice registry, and enforcement of
security interests in personal property and for other
purposes.
What is the role of the Land Registration Authority in the
PPSA?
Under the new law, the LRA shall establish and
maintain a “Registry” that enables the registration and
the searching of notices on security interests over
personal property. The Registry shall provide
electronic means for registration and searching of
notices.
How is the registration under PD 1529 different from the
new law?
Under PD 1529, the registration is jurisdictional or the
registration takes place at the place where the
property is located/situated or ordinarily kept, which
is no longer the case under the new law considering
that the registration shall now be centralized and
registered under the Registry.
In addition, registration can be done by the
stakeholders themselves, without any intervention by
the LRA. It is no longer documents-based, which
means there is no need to present documents in the
Registry of Deeds or uploading of the same is not
required in the Registry. The notice shall be available
24/7 online and may be viewed by the public,
provided they have a corresponding user account and
fees have been paid.
What happens to the existing chattel mortgage
registration with the Registry of Deeds? Do I register
again under the new law?
Mortgage Law. All active chattel mortgages are needed to
be re-registered in the Personal Property Security Registry.
Under Rule 8 of the Implementing Rules and Regulations
of the PPSA promulgated last November 18, 2019, the
transitional period between the Chattel Mortgage Law and
the PPSA will begin on February 9, 2019, which will be the
effectivity date of the PPSA pursuant to Section 67 thereof,
until the full implementation of the PPSA.
What is a security interest?
A property right in collateral that secures payment or
other performance of an obligation of the Grantor to
the Secured Creditor.
Why do I need to register my security interest?
You register a notice on the “Registry” to show that
you have rights over property which secure debt or
obligation that someone owes you.
What is the personal property security registry?
The Personal Property Security Registry, or PPSR, is an
online portal which shall establish and administer
a Notice-based Registry, which shall provide an
electronic means for the registration of notices
relating to transactions affecting personal/movable
property, and the searching of such notices.
How do I access the Registry?
In order to access the Registry to create a notice or
conduct a search, one must have an account in the
Registry. Once an account is created, you may access
the registry for creation of notices, for searching, and
for requesting for certification of search results, and
for certified true copies of notices.
What is a notice?
A notice is a statement of information that is
registered in the Registry relating to a security interest
or lien.
What is the minimum amount of transaction that can be
registered in the PPSR?
There is no minimum or maximum amount set for a
loan amount to be registered to the Registry.
What is the difference between the Individual User and
the Juridical Entity?
The Individual User is a natural person, or a public
person, who shall be identifiable by its name appearing
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 in any government issued identification, as prescribed
by the Registry.
A Juridical Entity is for an entity, or a representative of
a State, Political Subdivision, Corporation, Institution,
Partnership, and the likes, which shall be identifiable
by its registered articles of incorporation, or by any
agreement constituting the legal person.
Is there a fee for creating an account in the Personal
Property Security Registry?
Making an account in the Registry is free of charge.
What are the required details to file an Initial Notice?
The required fields to be filled out are the Grantor
information, Secured Creditor information, Collateral
type and description, and transaction information such
as loan amount, and term end date.
Is the Grantor ID a unique identification number to be
generated by the PPSR?
The Grantor ID is the identification number of the
government-issued ID which shall be provided by the
Grantor.
Should I secure consent from my
grantor/borrower/creditor that I will register our
transaction in the PPSR?
Sections 28(c) and 28 (d) of the PPSA prescribe that
each grantor must authorize the registration of an
initial notice by signing a security agreement or
otherwise in writing.
In the case that a notice was registered before the
conclusion of a security agreement, the date of
registration of the notice shall be reckoned from the
date the notice was registered once it has been
concluded.
Who are considered as the Grantor, the Borrower and
the Creditor in the Registry?
1. Grantor -
 The person who grants a security
interest in collateral to secure its own
obligation or that of another person;
 A buyer or another transferee of a
collateral that acquires its right subject to a
security interest;
 A transferor in an outright transfer of
an accounts receivable; or,
 A lessee of goods.
2. Borrower - the person who will be primarily
responsible for the repayment of a loan; maybe the
same person as the grantor.
3. Secured Creditor or Creditor  - a creditor that has
a security interest. For the purpose of registration and
priority only, it includes a buyer of account receivable
and the lessor of goods under an operation lease for
less than one (1) year.
What can be used as collateral?
Any tangible or intangible personal property (e.g.
motor vehicle, machinery and equipment, intellectual
property, livestock, etc.), except interests in aircraft
(subject to Civil Aviation Authority Act of 2008),
interest in ships (subject to Ship Mortgage Decree of
1978), and real property.
What should I put in the description of the collateral?
Section 3.04 of the PPSA Implementing Rules and
Regulations (IRR) prescribes that a description of a
collateral shall be considered sufficient if it reasonably
identifies a collateral. A specific description of the
collateral shall not be required in constituting the
security interest. A description such as “all personal
property,” “all equipment,” “all inventory,” or “all
personal property within a generic category” of the
grantor shall be sufficient.
It shall also be noted that, as provided by Section 28(f)
of the PPSA, the description of the collateral in a
notice shall be entered in English.
How much is the registration fee under the new law?
The fees for registering a notice and for requesting a
certified search report shall be set by regulations
issued by the Department of Finance for the recovery
of reasonable costs of establishing and operating the
Registry.
What is/will be the proof of registration under this new
law?
The proof of registration under the new law shall be
the successfully registered notice, which reflects a
system-generated notice registration number and is
discoverable on the record of the registry.
Can I go to the RD (Registry of Deeds) to request for proof
of registration?
There shall be no RD intervention. All transactions
shall be done through the online registry.
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Does the Registry have a means to validate information The LRA users, or registry sub-users, can only make an
that is registered in a notice? amendment or termination through an administrative
Section 5.04(f) of the PPSA IRR prescribes that the or court order.
Registry shall be administrative in nature. Hence, it
shall not have the function to determine the
sufficiency, correctness, authenticity or validity of any
information contained in the notice, or the validity of a
security agreement. Which browsers are supported by PPSR?
The PPSR is best viewed through Google Chrome, but
is also compatible with Firefox and Microsoft Edge.
What happens if information about the Grantor, Secured
Creditor, or the collateral changes after the original
registration? Where can I get latest updates and/or announcements
You may file an amendment notice to an Initial Notice on the PPSR?
previously submitted. The following changes may be You can get updated through this
made: microsite on the latest information on the PPSR, and
other reference materials which can help you learn
more about the registry. 
 Add or remove one or more Grantors
 Edit details of Grantors
 Add or remove one or more Borrower
 Edit details of Borrower
 Add/remove one or more collateral
 Edit collateral details
 Remove one or more Secured Creditors
 Edit details of Creditor
 Edit loan amount
 Update the term start date
 Update the term end date

Can I extend the term end date of my notice?

You may extend the term end date of the Initial Notice
(or a previously filed amendment notice) by filing an
amendment notice. However, as prescribed by Section
5.09 of the IRR of the PPSA Law, the continuation of a
notice must be registered within six (6) months before
the expiration of the effective period of the notice.

What is a termination notice?

A termination notice, once filed, shall end the
effectiveness of a notice.

Who can search the Registry?

Anyone who registers and has an account in the
Registry can conduct a search in the Personal Property
Security Registry.

How do I track my notices?

A notice registration number shall be generated once
the initial, amendment, or termination notice has
been paid. All these paid notices that you created shall
be viewable in the My Notices page of the Registry.

Can I ask the LRA to file a notice for me? Can LRA amend
or terminate my notices?