UCC and lien search coming back with inconsistent results - need advice on verification process

YES exactly this! I learned the hard way that 'ABC Corp' vs 'ABC Corporation' can pull completely different results even though they're the same entity.

The name variations thing is huge. We always run searches with multiple name formats now including with and without punctuation.

Mostly Delaware and New York filings. I've been doing exact matches but maybe I need to expand that approach.

Delaware's system can be particularly tricky. Their database sometimes lags behind the actual filings by several days.

That sounds helpful - does it work with searches from different providers or just specific ones?

Works with any PDF results. You just upload whatever search reports you get and it analyzes them for consistency and flags potential issues.

Interesting, never heard of that tool but might be worth checking out given how manual this process usually is.

This is the way. Better to spend extra time upfront than deal with problems later when you find out about a senior lien position.

Manual reconciliation is such a pain though. There has to be a better way than comparing spreadsheets line by line.

I usually rely on our third-party service but you're right, I should be checking the state systems too.

Definitely worth it for larger deals. The state databases are usually more current even if they're harder to navigate.

Good point about documentation. I've seen deals get held up because someone couldn't prove they did a thorough search.

We keep a search log for every transaction now. Has saved us multiple times when borrower's counsel questioned our lien search results.

That's a good point I hadn't considered. How long is the typical lag time for new UCC filings to show up in searches?

Varies by state but anywhere from 1-7 business days is normal. Some states are faster than others.

I always do searches within 48 hours of closing just to be safe. Caught a last-minute UCC-1 filing once that way.

That's definitely possible. How do you verify the status of older filings?

You have to look at the individual filing records to see if there are corresponding termination statements. It's tedious but necessary.

That termination checking feature sounds really useful. The manual process is definitely error-prone.

Automated verification tools are becoming essential for this kind of work. Too much room for human error otherwise.

Good reminder. I need to be more thorough about checking for alternate business names.

DBA searches are crucial. Sometimes the UCC-1 gets filed under the trade name instead of the legal entity name.

This is why I always request a complete list of all business names from the borrower upfront. Saves time later.

Thanks everyone for the advice. Sounds like I need to implement a more systematic approach with multiple verification steps.

Definitely look into some of the automated tools to help streamline the verification process. Makes the multi-source approach much more manageable.

Smart approach. Better to over-search than under-search when it comes to UCC and lien verification.