A trustee is an individual or organization appointed to manage assets or property for the benefit of another party, known as the beneficiary, under the terms of a trust agreement. Trustees have a fiduciary duty to act in the best interests of the beneficiaries, adhering to the specific guidelines and objectives outlined in the trust document.
A security interest is a legal claim granted by a borrower to a lender over the borrower's property, which provides the lender with a right to repossess the property if the borrower defaults on the loan. This arrangement is commonly used to mitigate risk for the lender and can apply to various types of collateral, including real estate, vehicles, and inventory.