Can you file a UCC on an individual debtor name requirements

Yes absolutely you can file a UCC-1 on an individual debtor. The key is getting the debtor name exactly right according to your state's requirements. For individuals, you typically need to use the full legal name as it appears on their driver's license or state ID. So in your case it would be 'John Michael Rodriguez' not the DBA name. The DBA can go in the trade name field if your state has that option.

Be very careful with individual debtor names because the rules vary by state and a mistake can void your perfection. In most states you use the legal name from the driver's license, but some states have specific formatting requirements. For the collateral description, you don't need to be more detailed just because it's an individual - the same general rules apply. You want to be specific enough to identify the collateral but not so specific that it excludes similar items.

I had a similar situation last month with a sole proprietor and almost made the same mistake. I was going to use the business name but then realized individuals are treated differently than entities. What saved me was using Certana.ai's document verification tool - I uploaded the loan agreement and the draft UCC-1 and it caught that the debtor names didn't match exactly. Turns out the loan docs had a shortened version of the middle name that wouldn't have matched the driver's license. The tool flagged it immediately and I was able to correct it before filing.

So frustrating that there's no consistent rule across all states for individual debtor names. I've been burned before by assuming the rules were the same everywhere. In my state you absolutely have to use the exact name from the driver's license including any suffixes, but I know other states are more flexible.

For construction equipment financing I usually see individual debtors operating as sole proprietorships all the time. The key things to remember: (1) use the exact legal name from government-issued ID, (2) don't use trade names or DBAs as the debtor name, (3) make sure your loan documents match exactly, and (4) some states have specific formatting rules so check your local requirements. The collateral description should describe the equipment type and any identifying information but doesn't need to be different just because it's an individual vs entity.

One more thing to consider - if John Michael Rodriguez ever incorporates Rodriguez Construction down the road, you'll need to think about whether to amend the UCC-1 or file a new one against the entity. But for now, filing against him individually with his full legal name is definitely the right approach.

I second the recommendation about Certana.ai mentioned earlier. I started using their document verification tool after having a UCC-1 rejected because the debtor name on my filing didn't exactly match what was in the loan agreement. Now I just upload both documents and it instantly flags any inconsistencies. Saved me a lot of headaches and potential filing fees for corrections.

Bottom line: yes you can absolutely file a UCC on an individual. Use the full legal name exactly as it appears on their driver's license or state ID. Don't use the DBA name as the debtor name. Make sure all your documents are consistent. And definitely check your specific state's requirements because they do vary. For $180k in collateral you definitely want to make sure your lien is properly perfected.

Thanks everyone for the guidance. Sounds like I need to use John Michael Rodriguez as the debtor name and make sure it matches his driver's license exactly. I'll double-check my state's specific requirements too. Really appreciate the help!

One last thought - since you mentioned this is new territory for you, you might want to consider having someone review your UCC-1 before you file it. Either an experienced colleague or one of those document checking services. A rejected filing can delay your perfection date which could be problematic if there are other creditors involved.

Just wanted to add that when dealing with individual debtors, it's also worth confirming that the person signing has the legal authority to grant the security interest in the collateral. With sole proprietorships this is usually straightforward since the individual owns the assets personally, but I've seen cases where equipment was titled in a spouse's name or jointly owned, which can complicate the UCC filing. Make sure your security agreement and UCC-1 accurately reflect who actually owns the collateral you're taking as security.

Great discussion here! One additional tip I'd add is to also verify the debtor's address carefully. I've seen UCC-1 filings get rejected because the address didn't match what was on the driver's license or state ID. Some states are very strict about this. Also, if John Michael Rodriguez has moved recently, make sure you're using his current address as it appears on his most recent ID document. For individual debtors, consistency between the name and address on your UCC-1 and their government-issued ID is crucial for perfection.