COMPARISON OF PLEDGE, REAL MORTGAGE, CHATTEL MORTGAGE AND ANTICHRESIS
Basis of Difference
Type of Contract as to Perfection
To Bind Third Persons
Object of Contract
Prohibition Against Pactum
Indivisibility of Contract
Remedy of Creditor in case of
Debtor’s Default
As to Deficiency
As to Excess of Proceeds
As to Appropriation of Property
As to Selling of Property after
the Pledge or Mortgage by the
Owner
Conduct of sale of foreclosed
property by creditor
Redemption
Conventional Pledge Real Estate Mortgage Chattel Mortgage Antichresis
Formal – by execution of written agreement of antichresis
Formal – by registration of the contract of chattel
Real – by delivery of object. Consensual – by mere consent. with statement of the amount of principal and interest of the
mortgage in the Chattel Mortgage Registry.
contract of loan.
It must be in a public instrument showing
It must be registered in the Registry of
a description of the thing pledged and the It must be accompanied by affidavit of good faith It must be registered in the Registry of Property
Property
date of the pledge.
Movable or personal property. Immovable or real property. Movable or personal property. Immovable or real property.
Applicable
Indivisible
Gather the fruits of the land and apply the fair market value
Foreclose security and sell the collateral in public action with the proceeds to be applied to the unpaid obligation. of the fruits at the time of application first to the interest of
the loan and the remainder to the principal of the loan.
Deficiency can never be recovered even if Deficiency can be recovered unless there is stipulation
there is a stipulation. Any stipulation for Deficiency can be recovered unless there is to the contrary. Deficiency can be recovered through continuous gathering of
recovery of deficiency is null and void. stipulation to the contrary. (Exception: In case of personal property sold in fruits.
(Exception: Legal Pledge) installment under Recto Law.)
Excess belongs to the pledgee-creditor
Excess belongs to the mortgagor unless there Excess belongs to the mortgagor unless there is Excess fruits belongs to the owner of the land antichretic
unless there is stipulation to the contrary.
is stipulation to the contrary. stipulation to the contrary. debtor.
(Exception: Legal Pledge)
The pledgee may appropriate the thing The antichretic creditor cannot appropriate the land used as
The mortgagee cannot appropriate the thing The mortgagee cannot appropriate the thing
pledged if the same is not sold in two collateral but may sell the fruits to be applied to interest and
mortgaged. mortgaged.
public auctions. principal of loan.
The mortgagor can sell the property. Any
The pledgor may only sell the property The mortgagor can sell the property. Any stipulation
stipulation prohibiting the mortgagor to sell The antichretic debtor can sell the land.
with the consent of the pledgee. prohibiting the mortgagor to sell the property is void.
the property is void.
G.R.: Public Sale G.R.: Public Sale
Public Sale Only (Exception: Private sale if stipulated by (Exception: Private sale if stipulated by contracting
contracting parties.) parties.)
Not Applicable
Extrajudicial Foreclosure – equity of
redemption and right of redemption. Equity of redemption only within 30 days from default
None but pledgor can prevent the public
Judicial foreclosure – generally equity of to pay the secured obligation to prevent the
sale by paying the secured obligation.
redemption only unless provided by special foreclosure sale.
law.