Problem.Future advances

     A. Ruben is a member of America First Credit Union.  He borrowed money from the credit union to finance the purchase of a new automobile, granting the credit union a security interest in the automobile.  The first line of text in the security agreement provided that the security interest is "to secure . . . all of Debtor's present and future debts, obligations and liability of whatever nature" to the credit union.  Thereafter, before having completed payments on the automobile loan, Ruben obtained an unsecured credit card from the credit union and ran up $3,000 of charges on the credit card.  When Ruben failed to make minimum payments on the credit card, the credit union repossessed his car even though he had not defaulted in payments on the automobile loan.  The credit union sold the car and applied the proceeds first to reduction of the credit card debt and second to the reduction of the automobile loan.   The credit union sued Ruben for a deficiency (the amount still owing on the automobile).  Ruben cross-complained for conversion.  Who should prevail?   See U.C.C. 9-204(c); Official Comment 5 to U.C.C. 9-204.  Would it make any difference if the credit union mailed to Ruben with his credit card a copy of the credit union's credit card regulations that read, in part:  "Credit card debts are secured by all collateral held by America First Credit Union for other loans when the credit card balance exceeds $1,000." 

     B. Does U.C.C. 9-322(a) take the same position with respect to personal property security as the 1984 Iowa legislation (referred to in National Bank of Waterloo v. Moeller) takes with respect to real property?  See also Official Comment 3 to U.C.C. 9-323. 

     C. Suppose that in National Bank of Waterloo the bank's lien on the Moeller's farm arose not from the mortgage executed by the Moellers but rather as a result of an execution to enforce a money judgment that the bank had obtained against the Moellers for nonpayment of an unsecured debt. If PCA made its advances after the bank got this type of lien, should PCA's lien still have priority?  What position does U.C.C. 9-323(b) take on this issue in the personal property context?