Why Secured Transactions are Important

Finding affordable credit is difficult in Indian Country.

More than 85% of tribal lands don’t have a bank, and among financial institutions on or near tribal lands, only 33% offer start-up loans and just 29% percent offer small business loans.

To finance a business, an American Indian and Alaska Native business owner may enter into a loan agreement with another party using secured transaction codes.

Lenders are more willing to lend when they can rely on a legal code to ensure that they will be repaid in the event of a default.