Security & Collateral · glossary
The Company's account at the Bank that receives every payment on the book debts. Clause 8.3 lets money leave it only “except as the Bank permits”, and it needs no notice because the Bank holds it. The Company drew on it freely until it was blocked in March 2028. Definition: Collection Account · Debenture §3.2 · Debenture §8.3 · Chapter 5 · Chapter 8
Explained in Chapter 5, Shares, Receivables, Accounts and Insurances, of Security & Collateral.
This matters most for the book debts, the money customers owe the Company. The Debenture calls the charge over them fixed. But customers pay into the Collection Account, an account in the Company's name at the Bank, and a court will look at how that account is actually run, not at the label. If the Company can use the money freely, the charge is floating, whatever the label says.Read Chapter 1, What Security Is For →
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the account numbered 44712038 (sort code 40-12-31) in the name of the Company with the Bank, and any account which the Bank designates in writing to replace it;Read the definition in the document →
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