Distinguish between Mortgage and Charge.

S.No. Mortgage Charge 1. A mortgage is created by the act of the parties. A charge may be created either through the act of parties or by operation of law. 2. A mortgage requires registration under the Transfer of Property Act, 1882. A charge created by operation of law does not require registration but a charge created by act of parties requires registration. 3. A mortgage is a transfer of an interest in specific immovable property. A charge only gives a right to receive payment out of a particular property. There is no such transfer of interest in the case of a charge. Charge does not operate as transfer of an interest in the property and a transferee of the property gets the property free from the charge provided, he purchases it for value without notice of the charge. 4. A mortgage is for a fixed term. The charge may be in perpetuity. 5. A mortgage is good against subsequent transferees. A charge is good against subsequent transferees with notice. 6. A simple mortgage carries personal liability unless excluded by express contract. In case of charge, no personal liability is created. But where a charge is the result of a contract, there may be a personal remedy.