The Personal Property Securities Register is the national online register of security interests over personal property in Australia. It's run by AFSA under the Personal Property Securities Act 2009.
PPSR Registration in Australia: How to Secure a Debt Before It Turns Bad
Written by James Woods, Managing Director
Written by James Woods, Managing Director
At a glance
Secured vs unsecured creditors
When you should register on the PPSR
PPSR registration timing and costs
Retention of title and PPSR protection
Searching and registering a security interest
Table of Contents
If your customer goes into liquidation and you're an unsecured creditor, you usually recover little or nothing. A registered security interest on the Personal Property Securities Register (PPSR) changes that position, because it gives you a claim against a specific asset instead of a share of whatever is left in the pool.
This page is for businesses that supply goods on credit, hire out equipment, accept payment after delivery or lend against business assets. It explains how registration works and why completing it before a customer shows signs of financial trouble can materially change your recovery position. This article is general information, not legal advice.
What the PPSR is, in one paragraph
The PPSR is the national online register of security interests over personal property. Personal property means almost anything that isn't land or buildings, so it covers stock, plant and equipment, vehicles, crops, livestock and intellectual property. It was set up under the Personal Property Securities Act 2009 (PPSA), and it uses two labels for the parties: the grantor (the customer whose property the interest is over) and the secured party (you). AFSA’s State of the Personal Property Securities System 2024 to 2025 report recorded 2.2 million new registrations, more than 10.7 million active registrations at 30 June 2025 and over 13.1 million searches during the year, demonstrating how widely the register is used across Australian business transactions.
Secured creditor vs unsecured creditor: the position that decides whether you get paid
When a company is wound up, the liquidator pays secured creditors from the assets covered by their security, followed by employee entitlements, liquidation costs and the ATO where relevant. Unsecured creditors share whatever remains. In most files handled by our [commercial debt collection](https://www.ecollect.com.au/commercial-debt-collection) team, little or nothing is left by the time the unsecured claims are considered.
A perfected security interest gives you a claim against the secured asset or its proceeds, subject to the applicable priority rules. Without that security, the amount owed generally becomes an unsecured claim against whatever remains in the company’s estate.
We regularly see suppliers provide $40,000 of goods on 30-day terms under a retention of title clause, only for the customer to enter voluntary administration two months later without a PPSR registration in place. Because the security interest was not perfected, the supplier is generally treated as an unsecured creditor and can claim only against the remaining estate.
Does your business need to register on the PPSR
Run through this list. If you answer yes to any of them, you should be registered.
You supply goods on credit and expect payment after delivery. Yes, you need a retention of title clause and a matching PPSR registration.
You hire, lease or rent out equipment for more than a short period. Yes, the equipment is at risk if the customer becomes insolvent while it's on their site.
You supply consignment stock. Yes, the goods sitting in the customer's warehouse are exposed without registration.
You lend money secured against business assets. Yes, this is exactly what the register is for.
You take a general security over a customer's business under a credit agreement. Yes.
The industries where this comes up most in our files are manufacturing and wholesale suppliers, building and construction, equipment hire and finance. If you sit in any of those and you're not registered, the risk is sitting on your balance sheet already.
Retention of title without PPSR registration is a paper shield
A retention of title clause says you keep ownership of the goods until you've been paid in full. The Romalpa clause is the older English name for the same thing, drawn from the 1976 case that established it. Both do the same job in principle.
The problem is that under the PPSA, retention of title is treated as a security interest. If it isn't registered on the PPSR within the timing window, it's very likely to be ineffective against a liquidator or administrator. The clause is still sitting in your terms of trade, but the legal effect that mattered has vanished.
The credit application and terms of trade create the security interest, while PPSR registration is normally required to perfect it and preserve its priority if the customer becomes insolvent. Our legal and compliance work regularly identifies cases where the contract and registration do not align.
PPSR search and registration costs in 2026
The government fees are published on ppsr.gov.au and were checked on 27 August 2026. Confirm they're still current when you register.
Registrations over consumer property or serial-numbered goods (motor vehicles, watercraft, aircraft) can only be made for up to 7 years. If you let a registration expire, it drops off the register and your priority position goes with it. Diarise the renewal well before the end date.
Registrations over consumer property or serial-numbered goods (motor vehicles, watercraft, aircraft) can only be made for up to 7 years. If you let a registration expire, it drops off the register and your priority position goes with it. Diarise the renewal well before the end date.
The PPSR timing rules that catch creditors out
A late registration can be void against a liquidator or administrator even though it appears on the register. The relevant deadline should therefore be checked before the security agreement is signed or the goods are delivered.
For a corporate grantor, a registration must be made within 20 business days after the security agreement is signed, or more than 6 months before insolvency starts. Register outside those windows and the security interest can be void against a liquidator or administrator under the corporate vesting rules.
PMSI (purchase money security interest) rules are stricter and separate. Under section 62 of the PPSA:
PMSI in inventory must be perfected by registration at or before the time the grantor obtains possession of the goods.
PMSI in non-inventory (equipment, for example) must be perfected within 15 business days after the grantor obtains possession.
Perfection is the legal step that makes your registered interest enforceable in priority disputes. For most creditors, perfection happens by registering on the PPSR.
A late registration can still be lodged, but the corporate vesting rules may leave the security interest vulnerable if the customer enters insolvency within the following six months.
How to register a security interest on the PPSR
Accuracy matters throughout the registration process because an incorrect identifier or collateral class can make the security interest ineffective.
Set up a PPSR account with AFSA at ppsr.gov.au.
Identify the grantor correctly. For a company, use the ACN. For a sole trader, use the correct individual identifier (date of birth, in the required format). Getting the identifier wrong is the single most common error and can render the registration ineffective.
Choose the correct collateral class. Inventory, motor vehicles, other goods, accounts and so on are separate classes. Picking the wrong one is treated in practice as if you hadn't registered against that collateral.
Set the duration based on the fee table above.
Register inside the timing window that applies to your situation.
A registration with a material defect can be treated as unregistered when it matters. If the debtor is a group of related entities, register against each one that is actually a party to the agreement.
Running a PPSR search before you extend credit
A PPSR search tells you what security interests are already registered against a business or a specific asset. Run one before you extend meaningful credit to a new customer, and run one before you buy a second-hand asset from a business.
Existing registrations show which secured parties may rank ahead of you and whether a vehicle or another serial-numbered asset is under finance. A PPSR search does not assess the customer’s payment history, so a separate credit check should form part of your small business credit control process.
A note on the state-based confusion: there is no separate PPSR NSW or PPSR QLD. The PPSR is a single national register run by AFSA. The old state-based registers were rolled into it in 2012.
What happens when the debt goes bad and you are registered
When you place a debt with eCollect and hold a perfected security interest, that security position can inform the recovery strategy from the beginning. Where legal review or court action is required, eCollect can refer the matter to eCollect’s associated legal firm, E C Legal. eCollect and E C Legal have established systems and processes that allow matter information and supporting data to be transferred in a format the solicitors can quickly understand and assess. eCollect staff are also trained in preparing matters for legal review. As a result, the cost of engaging E C Legal will generally be significantly lower than engaging an unrelated external law firm. However, the referral, legal opinion, initial assessment and any subsequent legal action should not be assumed to be free.
If you are unsure whether the debt is worth pursuing, you can request a free eCollect debt appraisal. This preliminary recovery appraisal is provided without obligation. It does not include legal advice or guarantee that any referral, legal opinion or assessment from E C Legal will be free.
Frequently asked questions
$6.00 for up to 7 years, $25.00 for over 7 up to 25 years, and $115.00 for no set end date. Searches are $2.00 online. Fees are not subject to GST and were checked on 27 August 2026.
No. The PPSR is a single national register. Searches and registrations are the same regardless of the state the business is in.
A purchase money security interest. It arises where you supply the goods that are the subject of the security interest, typically under retention of title, or where you lend the money used to buy them. PMSIs get priority over other security interests if they're registered inside the correct window.
7 years, 25 years, another end date under 25 years, or no set end date. Registrations over consumer property or serial-numbered goods are capped at 7 years.
You can register late, but you lose the protection the timing rule gave you. If insolvency starts within 6 months of a late registration against a corporate grantor, the security interest can still be void.
Not in an insolvency. Retention of title is a security interest under the PPSA, and if it isn't registered in time it's very likely to be ineffective against a liquidator or administrator.
position ends. Renew before the end date. This matters especially for [financiers and equipment lessors](https://www.ecollect.com.au/financiers) with long-dated books.
If you are already chasing an unpaid invoice
Effective protection requires terms of trade that create the security interest and a PPSR registration that matches those terms. A gap between the agreement and the registration can leave the creditor unsecured.
If the debt has already gone bad, you can submit it for a free eCollect Debt Terminator appraisal to explore the available recovery options. This appraisal is separate from any referral to E C Legal, and legal advice or action may involve additional costs.
References
James Woods
Managing Director
James has operated businesses since his late teens including windsurfer hire (1977 – 1981), yacht charter (1990 – 2001), motor accident repairs (1984 – 1989) and debt recovery (2002 to the present). He holds a B.A. and LL.B. from Monash University and was admitted as a lawyer in 1983. He is also a Graduate of the Australian Institute of Company Directors.
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