Key practical points:
• A mortgage (抵押) is created over property and must be registered to bind third parties.
• A pledge (质押) rests on handing movable property or a right (such as shares) to the creditor.
• A lien (留置) lets a creditor hold the debtor's property lawfully in its possession until payment.
• Where creditors compete, priority is generally set by order of registration or possession.
• Automatic forfeiture of collateral on default is not allowed; it is sold and the proceeds distributed.
• Register movable security in the unified security-interest registry to protect your priority.
🏠 Property & rentals
Civil Code: Security Interests (Guarantees) · Yalla China
中华人民共和国民法典（担保物权） / Civil Code of the PRC (Security Interests)
📝 Overview
The Civil Code governs real security rights that secure repayment of a debt: mortgage, pledge and lien. It sets out how security is created and the priority of creditors on enforcement.
This is general information only, not legal advice. For your specific case, consult a licensed lawyer.
📜 The law text / key provisions
🕒 Updated: 16 March 2026