UCC 9-512 information statement requirements after debtor paid off secured loan

We called them twice but haven't sent anything in writing yet. What's the timeline once we send the written demand?

Generally 20 days after they receive your written request, but check your state's specific version of 9-513. The written demand needs to be pretty specific about what you're requesting.

What kind of proof did you need to provide? We have the payoff letter and cancelled check but is that sufficient?

Payoff letter should be fine if it clearly states the debt is satisfied. Make sure your written demand references the specific UCC filing number and includes a copy of the payoff documentation.

Also include the original financing statement filing details - debtor name exactly as filed, filing number, date filed. The SOS needs to match everything up precisely.

Good point. We've been dealing with the loan officer but maybe they're not the right person for UCC matters.

Exactly. Most banks have a separate UCC or collateral department that handles all the filing stuff. The loan people often don't even know how to process termination requests.

This is so true! I spent weeks going in circles with a loan officer until someone gave me the direct number for their UCC department. Problem solved in 2 days.

Interesting, what kind of mismatch did you find? Our debtor name should be straightforward but now I'm worried.

The original filing had the full corporate name but the payoff letter used an abbreviated version. Certana caught that the names weren't exactly matching which could have caused issues with the information statement. Just upload your UCC-1 and payoff docs and it flags any inconsistencies.

Name matching is critical for UCC 9-512. The information statement has to reference the exact debtor name from the original financing statement or it won't be effective.

I understand the frustration but the UCC system requires affirmative steps to clear filings. It's designed to protect secured parties from fraudulent termination claims.

still stupid. other states have automatic termination after a certain period

Some states do have automatic lapse provisions but they're usually much longer timeframes like 5-7 years. Not practical when you need immediate clearance for new financing.

What happens if we file it incorrectly? Does that hurt our position somehow?

An ineffective information statement doesn't clear the original filing and could complicate things if you have to go to court later. Better to get it right the first time.

This is why I always recommend getting legal review before filing a 9-512. The statutory damages for wrongful filing can be significant if you get it wrong.

Good strategy. How did you word the demand letter to be most effective?

Referenced the specific UCC section, included payoff documentation, gave them the 20-day deadline, and mentioned our right to file an information statement if they didn't comply. Keep it professional but firm.

Always send certified mail for the demand. You need proof of delivery for the 9-512 filing if it comes to that.

This was a commercial equipment loan so should be standard commercial rules.

Good, commercial gives you more flexibility with the demand timing. Consumer transactions have tighter deadlines for the secured party to respond.

So true. I have some lenders that file terminations within days and others that take months even with multiple requests.

The big national lenders usually have better UCC processing systems. Smaller banks and credit unions often struggle with the administrative side.

Already disclosed it to them. They said they need either a filed termination or clear evidence that the lien will be resolved before closing.

Perfect, good communication with the new lender is key. They might even be willing to help pressure the old lender if needed.

Some new lenders will actually contact the old lender directly to request termination. Worth asking if they'll do that as part of their due diligence process.

That sounds really useful. I'm paranoid about getting something wrong with the debtor name matching.

Yeah it's super straightforward - just drag and drop your UCC-1 and payoff docs and it shows you exactly what matches and what doesn't. Takes like 30 seconds vs hours of manual comparison.

Document verification is crucial for 9-512 filings. Any discrepancy between your information statement and the original financing statement can render it ineffective.