PPSR statistics: what is registered as collateral

Motor vehicles accounted for 69% of new PPSR registrations

Collateral in business finance is broader than commercial property. Cars, trucks, tractors, excavators, machinery and stock can all support a lender’s interest, and those interests are commonly recorded on the Personal Property Securities Register.

AFSA reported 2.2 million new registrations in 2024 to 25 and 10.7 million active registrations at year end. Motor vehicles dominated new activity, while other goods and whole business security interests formed most of the remainder.

Vehicles and ordinary equipment dominate

Motor vehicle registrations cover more than passenger cars. The category can include trucks, trailers, tractors and mobile plant with serial numbers. It represented 69 per cent of new registrations in AFSA’s annual system report.

Other goods accounted for 22.5 per cent. AFSA’s examples include machinery, printers, coffee machines, jewellery and art. A café fit out, manufacturing line or office device may therefore be collateral even when the business owner does not think of the facility as a traditional secured loan.

All present and after acquired property with no exceptions, commonly associated with a general security deed, represented 4.3 per cent. That registration can extend across most current and future personal property of the grantor rather than one named asset.

Registration protects priority, not ownership

A PPSR registration records a claimed security interest. It does not prove the secured party owns the asset, and the register does not validate every underlying contract. Priority can depend on timing, collateral description, serial number accuracy and the type of interest.

For a borrower, the practical questions are which assets the agreement captures, whether future property is included, and when the lender must discharge the registration. A broad registration can affect later finance because a new lender may require priority, a deed of release or consent from the existing secured party.

The register is equally important when buying used assets. A search can reveal an existing interest over a vehicle or serial numbered item. The correct search and sale rules can be technical, so a material acquisition deserves legal advice rather than a casual screenshot.

More searches than registrations is healthy behaviour

Users conducted 13.1 million searches in 2024 to 25, approximately 6 searches for every new registration, calculated from the rounded published totals of 13.1 million and 2.2 million. Searches support credit checks, asset purchases and due diligence, while a registration can be made before or after the relevant security agreement is entered into. Priority and timing rules depend on the interest and transaction.

AFSA estimated that the potential economic value supported by the system was about $450 billion, roughly 16 per cent of GDP. That estimate reflects the broad role of secured transactions and should not be mistaken for the value of loans made during the year.

A small business can reduce friction by keeping an asset register with serial numbers, finance provider, payout process and registration expiry. Before refinancing or selling an asset, confirm that the existing lender’s discharge timetable fits the transaction.

Three checks before signing secured finance

First, match the collateral description in the agreement with what the business believes it is offering. Second, ask whether the registration covers future assets or only the financed item. Third, obtain the release process in writing, including any payout delay and administrative fee. These checks are particularly valuable when several facilities sit with different lenders. A cheaper second loan may become impractical if the first lender holds broad priority and will not provide the consent the new lender requires.

The register shows the recorded claim; it does not independently validate the underlying agreement or replace advice on priority.