Secured party is a lender, seller, or other person in whose favor a security interest exists.
Debtor is the person who owes payment or performance of the obligation that is secured.
Security agreement is the agreement between the secured party and the debtor that creates the security interest. Collateral refers to the items of property in which a security interest is granted by the debtor. Perfection occurs when the steps required under the UCC are taken by the secured party in order that the security interest will be valid against creditors. Conflicting security interests refers to the condition when two or more secured parties have perfected security interests in the same collateral. Priority is the term used to describe the superior rank of a security interest.