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Kaiya Rivera
We started requiring our borrowers to pull their own certificate of good standing within 30 days of closing specifically because of these Title 9 name matching issues. Costs them about $25-50 depending on the state but it gives us the most current legal name directly from the secretary of state. Has eliminated probably 80% of our name-related rejections.
Noah Irving
•Do you make them get it from their state of incorporation or the state where they're doing business? We have borrowers registered in Delaware but operating in our state.
Kaiya Rivera
•State of incorporation for the legal name, but we also check if they're qualified to do business in our state since that can affect the debtor name requirements for UCC filing location.
Thanks everyone for all the advice. Sounds like this is just the new reality with Title 9 compliance and we need to tighten up our processes. Going to implement some of these suggestions including the automated verification tools. The cost of getting it wrong is just too high when you're talking about secured transactions and perfected liens.
Madison King
•Good luck with the process improvements. The learning curve is steep but once you get the workflow down it becomes routine. Just remember that Title 9 doesn't give you much margin for error on debtor names.
Julian Paolo
•Keep us posted on how the changes work out. Always interested to hear what solutions are working for other lenders dealing with these same Title 9 compliance challenges.
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Emma Morales
UPDATE: Got it figured out! There was indeed a subtle spacing issue - the registered name had TWO spaces between words instead of one, which wasn't obvious when looking at it. Used that document verification tool someone mentioned earlier to spot the discrepancy. Filing went through clean after fixing the spacing. Thanks everyone!
That's such a relief! California's system really needs better error messages for stuff like that.
Rami Samuels
•Two spaces instead of one... seriously? What a ridiculous system. But glad you got it sorted before your deadline.
Lucas Parker
This thread is gold - bookmarking for future reference. Amazing how something as simple as extra spacing can cause such headaches with UCC filings.
Donna Cline
•Right? Makes you wonder how many filings get rejected for tiny issues like this that people never figure out.
Isaac Wright
•Seriously - if I hadn't found that verification tool I probably would have kept banging my head against the wall for hours.
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Question about timing - how long did it take for your termination to show up in the public records after filing? I'm dealing with a similar equipment sale situation.
StarSurfer
•Some states are faster than others. Usually same business day if you file in the morning.
Carmen Reyes
•Make sure to print the confirmation page right after filing. That's proof the termination went through even if it doesn't show up in searches yet.
Andre Moreau
I actually tried that Certana tool mentioned earlier and it's pretty slick. Uploaded my old UCC-1 and the amendment I was working on, and it immediately flagged that I had the wrong entity type suffix. Saved me from another rejection.
Good to know it actually works. Might be worth the hassle if it prevents multiple rejections.
Yeah anything that catches these tiny errors before you submit is valuable. Time is money when you're trying to close deals.
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I'm bookmarking this thread. Had no idea that comma placement could cause UCC-9 rejections. Shows how precise these filings need to be compared to other business documents.
The UCC system is definitely less forgiving than most other filing systems. Precision is key for avoiding rejections and delays.
Aisha Ali
Similar situation happened with our UCC-9 assignment last year, except it was an ampersand vs "and" issue. The original UCC-1 used "&" but we spelled out "and" on the assignment. Three rejections later we figured it out. Now we have a standard process of pulling the original filing first and copying it exactly.
Ethan Moore
•The ampersand vs and issue is super common with partnerships and joint ventures. These little formatting details can be deal killers.
AstroAlpha
•Standard process is smart. Prevention is way better than dealing with rejection delays when you're under pressure.
QuantumQuester
Just wanted to add - make sure your UCC search reports are current before filing. Sometimes there are existing liens that could affect your priority position. And always keep copies of your filed financing statements for your records. Some states don't make it easy to get copies later.
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QuantumQuester
•I usually require searches within 10 days of closing, but check your bank's policy.
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Zoe Stavros
•Good reminder about keeping copies. I learned that lesson the hard way.
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Jamal Harris
This thread has been really helpful! I'm bookmarking it for reference. One last thing - if you're filing in multiple states for the same transaction, make sure you understand each state's specific requirements. What works in Texas might not work in Oklahoma.
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Mei Chen
•Multi-state filings are definitely tricky. Each Secretary of State has their own quirks.
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Liam Sullivan
•Glad this was helpful for everyone. Always nice when a thread generates good practical advice.
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