When a creditor sells a consumer good to a debtor on a credit basis, the security interest perfects automatically. Which of the following is true under the UCC regarding a security interest in collateral that has been perfected in one state when the collateral is moved to another state?
As long as the buyer is not aware of the security interest, purchases the good for his or her personal use, and purchases the good before the secured party files a financing statement, the new buyer obtains the good free of the security interest.
The purchase-money security interest has priority over any other secured perfected interests as long as the purchase-money security interest is perfected within 20 days of the debtor's possession of the collateral.