What does the margin financing and securities lending pledge contract mean?

Legal analysis: A bond pledge contract means that the borrower deposits the money into a special account opened in a bank and promises to use the money in the account as a guarantee to repay the loan. When the borrower fails to perform the debt, the lending bank has the right to directly deduct the deposit from the special deposit account for repayment of the loan.

Legal basis: Article 427 of the Civil Code of People's Republic of China (PRC), combined with the relevant laws and regulations of the Supreme Court on margin pledge, it can be considered that the establishment of fund pledge in margin account must meet the following three conditions at the same time: First, a contract, the contents of which must include the relevant detailed rules for concluding a written pledge. Second, the funds of the deposit must be clearly defined and used for specific purposes. Third, the movable property is transferred to the creditor for possession.