Final answer:
Upon default, a floating charge becomes fixed and the lender gains control over the charged assets. The main advantage of using a floating charge is the flexibility it provides to the borrower.
Step-by-step explanation:
When a floating charge has been used to secure a debt and the borrower defaults, the floating charge becomes fixed and the lender gains control over the charged assets. This means that the lender can sell or dispose of the assets to recover the debt owed. The main advantage of using a floating charge is that it provides flexibility to the borrower, allowing them to continue normal operations and use the charged assets in the course of their business until a default occurs.