Under what conditions does a PMSI in goods other than inventory become automatically perfected?

A purchase money security interest (PMSI) in goods other than inventory is automatically perfected upon attachment when the goods are classified as consumer goods. This means that when a debtor buys goods for personal, family, or household use and the secured party makes a loan or extends credit for that purchase, the PMSI attaches and automatically perfects without the need for filing a financing statement.

This rule facilitates the extension of credit for purchases in consumer markets and provides protection to lenders, as they have priority over other creditors in the event of default. Automatic perfection applies specifically to consumer goods because they are typically not subject to complex transactions or commercial activities that would necessitate a filing, simplifying the process for consumers and lenders alike.

Other options highlight various aspects of the PMSI but do not relate specifically to the automatic perfection feature in consumer goods. For example, while it is true that a PMSI in goods generally requires filing to be perfected in non-consumer contexts, this is not applicable when dealing with consumer goods. Thus, the focus on the automatic perfection upon attachment in the case of consumer goods is what defines the accuracy of the selected answer.