What is deed of release in SAP FS-CMS - Collateral Management System?

SAP Term: deed of release

• Component: FS-CMS

• Component Name: Collateral Management System

• Description: A legal declaration by a collateral taker, approving the release of right on the release of own right on an object in case of complete or partial fulfilment of the loan. This authorization can be used by the collateral giver, to formally get the land charge or mortgage released from the land register. For this, a formal application for release is to be given by the collateral taker.

Smart SAP Assistant

• Key Concepts: 
  A deed of release is a document used in the FS-CMS Collateral Management System (CMS) to release a security from the collateral pool. It is used to transfer the ownership of the security from the collateral pool to the borrower. The deed of release is signed by both parties and serves as proof that the security has been released. 
  
  How to use it: 
  In order to use a deed of release, the borrower must first request a release of the security from the collateral pool. The borrower must then provide all necessary documents and information to the CMS, such as proof of ownership and any other relevant documents. Once all documents have been provided, the CMS will generate a deed of release which must be signed by both parties. Once signed, the deed of release serves as proof that the security has been released from the collateral pool and transferred to the borrower. 
  
  Tips & Tricks: 
  It is important to ensure that all documents and information provided to the CMS are accurate and up-to-date in order for the deed of release to be valid. Additionally, it is important to ensure that both parties sign the deed of release in order for it to be legally binding. 
  
  Related Information: 
  The FS-CMS Collateral Management System is a comprehensive system designed to manage collateral pools and ensure that all transactions are secure and compliant with applicable laws and regulations. Additionally, it provides tools such as deeds of release which can be used to transfer ownership of securities from one party to another.