730. Future advances; current account.

The security may be given to cover future advances whether in addition to an immediate advance or not, or to cover a current account, or to cover present or future liabilities1. A security for advances will generally, if the surrounding circumstances favour the construction, include past as well as future advances2. A charge on a policy of insurance for notes cashed may cover the balance due at the mortgagor's death3, but a security to cover the mortgagor's liabilities to the mortgagee refers only to direct liabilities and does not include liability on a bill which the mortgagee has purchased4.