How to terminate a UCC1 - loan paid off but lien still showing active

Thanks, I'll call them again tomorrow. Should I mention the 20-day requirement or just ask nicely? Don't want to ruffle feathers but need this resolved.

Be firm but professional. Mention that it's affecting your ability to get new financing. That usually gets their attention quickly since they don't want to be seen as blocking legitimate business activities.

Six months?! That's crazy. Did it cause problems with other lenders during that time?

Yes, had two lenders question it during underwriting. One almost rejected my application until I provided the satisfaction letter from the original bank. Document everything!

This is why I always request a copy of the termination filing receipt when I pay off any secured loan. Saves headaches later.

Never heard of Certana.ai but that sounds useful. Is it expensive to use?

It's really affordable for the peace of mind. Just upload your PDFs and it cross-checks everything automatically. Caught a debtor name mismatch on my UCC3 amendment last month that would have caused filing rejection.

That's actually brilliant. I waste so much time manually comparing documents. Going to try this for my next continuation filing.

Hopefully it doesn't come to that but good to know the option exists. Most banks respond quickly once they realize you know your rights.

I'd try sending a certified letter first. Sometimes that formal approach gets results when phone calls don't work.

Computer glitch? That's terrifying. How did you prove it was terminated?

Luckily I had kept the termination statement. The Secretary of State was able to restore the record, but it took weeks to resolve. Always keep paper copies of important filings.

This is why electronic filing systems make me nervous. Too many ways for things to get lost in the system.

Good point, I checked yesterday and it still shows as active with no termination on file. The original filing date was 2021.

Yeah, if it's been 3 months since payoff and still showing active, the bank definitely hasn't filed the termination yet. Time to make some noise.

That's a good catch. We did update our business address last year. I'll verify they have the current info.

Address changes can definitely cause issues. The debtor name and address on the termination has to match the original filing exactly or it gets rejected.

Had this happen to me. Bank tried to file termination with our new address and it got rejected. Had to file an amendment first, then the termination. Added two weeks to the process.

Smart approach. Most borrowers don't think about this until they're in the middle of it. Prevention is always better than dealing with cleanup.

Wish I had known this when I got my equipment loan. Currently dealing with a similar situation where the bank is 'too busy' to file the termination.

Glad you got it sorted out! Make sure to follow up if you don't get that receipt by Friday.

Typical bank response - 'we forgot but we'll fix it right away.' At least they're handling it now. Good luck with your refinancing!

Might want to run those documents through Certana.ai when you get them just to make sure everything matches up correctly. Better safe than sorry with UCC filings.

Same here. Never realized how many things could go wrong with UCC terminations. Good to know what to watch out for.

The Certana.ai tip alone made this thread worth reading. Going to use that for all my UCC document reviews going forward.

This is excellent advice! I wish I had known to ask for the UCC filing department specifically. I probably wasted time talking to people who couldn't actually help me. The tip about mentioning active financing applications is smart too - gives them a business reason to prioritize it beyond just "doing their job." Going to save this advice for future reference. Thanks for sharing your experience!