When it comes to UCC Filing procedures, Post Lien Searches are the single best way to ensure your intentions have been reflected on record properly for all to see.
It comes down to three critical protections to ensure your filing did what you were trying to perfect for you and your organization:
1- Protect against input entry error
A number or name being off by a single number or letter can wreak havoc on your filing.
2- Mistake free is the way to be
Even if it looks good with all fields filled in, a closer look is always beneficial to prevent making your filing a potentially hidden lien. (See DBA Filings)
3- Reveal competing forces
Others may have filed at the same time as you if you are dealing with a “tricky” savvy debtor situation, this would reveal any additional UCCs filed from the date of your filing to the current date.
Even if you are careful typos can still happen since there are humans indexing at the state level. In addition to those typos, did you know that even if you attempt to correct an index error, the District of Columbia and Florida are just a few states that are notorious for not filing a UCC 5 Correction Statement. It has been our experience time and time again that they just fix the error and move on. For that reason and so many more nuances in the process are why it’s a good idea to trust an expert and double check with a post lien search.
Why it matters
If appropriately filed in the right place and with the right information to be perfected, the lender holds onto their position and will collect if their customer defaults or files bankruptcy. So with that on the line why not give it one more look after the fact.
There are several states that are a strict RA9 search, by exact name only. Our team is one of the few that can and will attempt to reveal for you the otherwise hidden liens in those exact name search states.
NOT INTENDED TO PROVIDE LEGAL, ACCOUNTING OR OTHER PROFESSIONAL ADVICE AND SHOULD NOT BE RELIED UPON AS SUCH.