This can be done using a type of agreement known as a “Control Agreement for Uncertificated Investment Property.” The purpose of this agreement is for a lender (such as your bank) to perfect its security interest in a specific kind of loan collateral—uncertificated securities.• The agreement has three parties: (1) the brokerage firm, (2) the debtor, and (3) the secured party (the bank). 

There are three methods for perfecting a security interest in securities:

(1) Filing a UCC-1 Financing Statement,
(2) Transferring the securities entitlement from the owner’s name to the bank’s name on the broker’s books, or
(3) Entering into a control agreement with the brokerage (as in the sample agreement that follows).