credit transaction on law lecture for bachelor of science in accountancy students.

2. • Credit transaction – include all transactions involving the
purchase or loans of goods, services, or money in the present with
a promise to pay ot deliver in the future. By the use of credit, more
exchanges are possible, persons are able to enjoy a thing today but
pay for it later.
Types of Credit Transaction:
1) secured transaction – those supported by a security or
collateral.
2) unsecured transaction – those supported only by a promise to
pay.

5. Because they deliver of the thing loaned is necessary
for the perfection of the contract. (Art. 1934, CCP)
Because once the subject matter has been delivered,
it creates obligation on the part of only one of the
parties, i.e., the borrower.

10. (Art. 1933, Civil Code)
One whereby the bailor may demand the thing
loaned at will. (Art. 1947, CCP)

13. like commodatum & mutuum because it is perfected by
the delivery of the subject matter.

20. Because it is dependent for its existence upon the principal
obligation guaranteed by it.
Because it takes effect only when the principal debtor fails in his
obligation subject to limitation.
Because it gives rise only to a duty on the part of the guarantor in
relation to the creditor and not vice versa although after its
fulfillment, the principal debtor becomes liable.

21. - refers to guaranty properly do-called guarantee in the strict sense.
- here, the guaranty is property, movable or immovable.
- one constituted by agreement of the parties.
- one imposed by virtue of a provision of law.
- one required by a court to guarantee the eventual right of one the parties.
- one where the guarantor does not receive any price or renumeration for acting as such
- one where the guarantor receives valuable consideration for his guarantee.

22. - one constituted solely to guarantee or secure performance of the principal obligation.
- one constituted to secure the fulfillment of a prior guaranty.
- one where the guaranty is limited to the principal obligation only.
- one where the guaranty include not only the principal obligation but also all its
accessories (i.e, interest) including judicial costs.