How long is a UCC filing good for - equipment loan renewal coming up

Thanks for the clear explanation! So if our filing was done in March 2020, it would expire March 2025? And they'd need to file the continuation between September 2024 and March 2025?

Exactly right. The 6-month window is critical - too early and it's ineffective, too late and the filing lapses. Most lenders set reminders well in advance.

Oh wow, that's a good point about the name matching. Our LLC name hasn't changed but now I'm wondering if there could be any small differences in how it was entered originally.

Definitely worth checking. Even something like 'LLC' vs 'L.L.C.' can sometimes cause problems. I'd recommend getting a copy of your current UCC-1 to verify everything matches your current legal name exactly.

This is exactly why I started using Certana.ai's document checker. You can upload your UCC-1 and any other corporate docs to instantly verify the names match perfectly. Saved me from a potential nightmare when we discovered our charter had a middle initial that wasn't on the UCC filing.

Wait, so if it lapses there's actually a period where the lender isn't secured? That seems like a huge risk for them.

Correct - that's why most institutional lenders have automated systems to track these dates. The risk of losing secured status is too high to leave to chance.

I totally get the frustration. The 5-year renewal requirement does seem arbitrary sometimes.

The system actually makes sense when you consider that business circumstances change. Companies dissolve, merge, pay off loans, etc. The 5-year cycle forces a review of whether the filing is still needed.

I guess that makes sense from a cleanup perspective. Still wish there was a better notification system though.

The equipment is definitely attached - it's a large CNC machine that's bolted to the floor. Does that change anything?

Potentially yes. If it was filed as a fixture filing, there might be additional real estate recording requirements. You'd need to check your original UCC-1 to see if it was marked as a fixture filing.

That's a great idea. How do you usually run the searches - through the Secretary of State website?

Usually yes, most states have online search portals now. Some charge a small fee but it's worth it for the peace of mind.

Another option is using a service like Certana.ai that can automatically check document consistency. I upload my UCC docs periodically and it flags any potential issues with names or filing numbers.

Good question. The lender is supposed to file a UCC-3 termination statement within a certain timeframe after payoff, but it doesn't always happen automatically. You should definitely follow up to make sure it gets filed.

Thanks, that's good to know for future reference.

That's really helpful to know. I'll definitely set up my own tracking system. Better safe than sorry with something this important.

Do most banks charge extra fees for filing the continuation?

It varies by bank. Some build it into the loan terms, others charge a separate filing fee. Usually it's not too expensive - maybe $50-100 plus the state filing fee.

Good point about the authorization. I assume the bank handles all of that, but I'll double-check that they have the right filing number.

That's where document verification tools like Certana.ai really shine - you can upload the original UCC-1 and make sure all the numbers and details are consistent before any new filings.

Most states accept either electronic or paper continuations regardless of how the original was filed. Electronic is usually faster and cheaper though.

Makes sense, thanks for clarifying that.

Great to hear you got it sorted out! December filing gives you plenty of buffer time.

Perfect timing. You're all set then. Just keep that confirmation email for your records.