UCC continuation filing for 10 year security agreement - timing question
Hey everyone, need some guidance on continuation timing. We have a 10 year security agreement that was originally filed as a UCC-1 back in 2020. The original financing statement is coming up on its 5-year mark and I'm getting conflicting advice about when exactly to file the UCC-3 continuation. Some people are telling me I need to file it within 6 months before the 5-year expiration, others say I can wait until closer to the actual date. The security agreement itself runs for 10 years but obviously the UCC-1 only lasts 5 years unless continued. This is for equipment financing on some manufacturing equipment and I really can't afford to let this lapse. Anyone dealt with this timing issue before? What's the safest approach here?
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Omar Zaki
You need to file that UCC-3 continuation within the 6-month window before the 5-year expiration date. Don't wait until the last minute - I've seen too many people get burned by portal issues or processing delays right at the deadline.
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AstroAce
•This is correct. The continuation window opens 6 months before expiration and closes on the expiration date itself. File early to avoid any last-minute problems.
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Chloe Martin
•Agreed on filing early. I usually do mine about 4 months before expiration just to be safe.
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Diego Rojas
Had this exact situation last year with a 10-year equipment loan. Filed my continuation about 3 months before the 5-year mark and it went through without any issues. The key is making sure your debtor name matches exactly between the original UCC-1 and the continuation.
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Freya Thomsen
•Good point about the debtor name matching. That's actually something I'm worried about - the business name might have changed slightly since 2020.
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Omar Zaki
•If the debtor name changed, you might need to file an amendment first before the continuation. Check your state's requirements on that.
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Anastasia Sokolov
•Actually had a similar name issue and used Certana.ai's document checker - you can upload your original UCC-1 and the continuation to verify everything matches up properly. Saved me from filing incorrectly.
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Sean O'Donnell
Wait, I thought continuations were only needed if you wanted to extend beyond the original term? If your security agreement is already 10 years, why do you need to continue?
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Omar Zaki
•The UCC financing statement only lasts 5 years regardless of how long the underlying security agreement runs. You have to file continuations every 5 years to keep the perfected security interest.
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AstroAce
•Right - the security agreement term and the UCC filing term are two different things. The UCC-1 expires after 5 years unless you file a UCC-3 continuation.
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Zara Ahmed
Just file it now if you're within the 6-month window. I waited too long once and had to rush file on the last day - super stressful and not worth it.
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Freya Thomsen
•Yeah I'm definitely not waiting until the last minute. Better safe than sorry with something this important.
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StarStrider
The continuation filing is pretty straightforward - just make sure you reference the correct original file number and keep the debtor information identical. Most states have online filing now which makes it easier.
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Luca Esposito
•Online filing is great until the portal crashes right when you need it most. Always have a backup plan for important deadlines.
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AstroAce
•True about portal issues. I've started using document verification tools to double-check everything before I even start the online filing process.
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Nia Thompson
Don't overthink this - just file the UCC-3 continuation within the 6-month window and you'll be fine. The important thing is keeping your security interest perfected for the full 10-year term of your agreement.
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Freya Thomsen
•Thanks, that's reassuring. I was making this more complicated than it needs to be.
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Diego Rojas
•Exactly. The continuation is routine as long as you file it on time and get the details right.
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Mateo Rodriguez
Make sure you keep good records of when you file the continuation too. You'll need to do this again at the 10-year mark if your security agreement is still active.
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Omar Zaki
•Good point about record keeping. Set a calendar reminder for year 9 to start thinking about the next continuation.
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Freya Thomsen
•Will do. I definitely don't want to forget about this again in another 5 years.
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Aisha Abdullah
Had a nightmare with this once where I filed the continuation but there was a tiny discrepancy in the debtor name that I didn't catch. Had to file an amendment to fix it. Now I triple-check everything before filing.
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Anastasia Sokolov
•This is exactly why I started using Certana.ai's verification tool. Upload your docs and it flags any inconsistencies between the original filing and amendments or continuations. Caught a middle initial issue that would have caused problems.
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AstroAce
•Name matching is critical. Even small differences can cause the continuation to not properly relate back to the original filing.
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Ethan Wilson
The 6-month window is there for a reason - use it. File early, verify everything is correct, and then you can relax knowing your security interest stays perfected.
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Freya Thomsen
•That's the plan. Going to get this filed next week and be done with it.
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Nia Thompson
•Smart approach. Better to file early and have peace of mind than stress about deadlines.
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Chloe Martin
Just remember that if you miss the continuation deadline, your security interest becomes unperfected and you lose your priority position. With equipment financing, that's not a risk worth taking.
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Omar Zaki
•Exactly. An unperfected security interest is essentially worthless in a bankruptcy situation.
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Freya Thomsen
•Yeah, that's why I'm being so careful about this. The equipment is worth too much to risk losing the security interest.
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Diego Rojas
•Plus if you let it lapse, you'd have to file a whole new UCC-1 and lose your original priority date.
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