UCC credit search showing inconsistent debtor names - how to verify accuracy?

Second this - I've seen deals fall apart because lenders missed liens due to punctuation differences. Always search multiple name variations.

But how do you know you've found all the variations? Seems like you could search forever trying different combinations.

Never heard of that tool but sounds useful. How accurate is it at catching the subtle name differences?

Pretty solid in my experience. It caught a filing I missed where the only difference was an extra space between words. Saved me from a potential subordination issue.

Is this something you have to pay for or is there a free version for basic searches?

Good point about name changes. I've seen situations where a company changed names but the old UCC filings remained under the previous name.

That's exactly what happened to us last year. Cost us weeks of additional due diligence to track down all the historical filings.

Absolutely. And don't forget to check if they have any subsidiaries or related entities that might have separate filings.

This is why I hate UCC searches... there's always something that makes you second-guess whether you found everything.

Tell me about it. The whole system seems designed to create uncertainty.

That's what I was thinking too. Sometimes it's better to outsource the liability.

Professional services are good but they're not perfect either. I've caught errors in their reports before.

Good catch - I should have mentioned that. Two of them show as active, one shows as terminated. But the terminated one makes me wonder if there was a refinancing or if the lien was actually released properly.

Definitely follow up on that terminated filing. Sometimes the UCC-3 termination gets filed incorrectly and the lien is still technically active.

This is getting complicated fast. Maybe I should just require the borrower to provide lien releases for all filings before we proceed.

That's interesting. Does it work with search results from different states or just local filings?

It works with any PDF search results as far as I can tell. The key is that it looks for patterns and similarities that might indicate the same entity.

I respectfully disagree. Small name differences can create big problems in lien priority disputes. Better to be thorough upfront.

Yeah, I've seen lawyers argue about semicolons in UCC filings. Every character matters in this business.

Lawyers will argue about anything if there's money involved. But the point about being thorough is valid.

Will do. Probably going to try the automated verification approach first since it seems like the most efficient way to catch anything I missed.

Smart move. Manual checking is too error-prone when you're dealing with multiple name variations.

That's actually a really good idea. Direct communication with the existing lenders could clear up a lot of confusion.

Plus it might give you insight into the borrower's payment history and relationship with other lenders.

True, but some lenders won't share that information due to confidentiality concerns.