UCC lien paypal merchant cash advance showing on credit report

PayPal Working Capital definitely files UCC-1s on merchant cash advances. The broad collateral description is typical for these types of alternative financing arrangements. Did you get any documentation showing the advance was satisfied? You should have received some kind of payoff letter or satisfaction notice.

I had the exact same issue with PayPal Working Capital last year! Took me 6 weeks to get them to file the UCC-3 termination. You have to escalate beyond regular customer service. Ask to speak with their 'secured transactions department' specifically. Don't let them transfer you to general collections or account management.

Before you spend more time fighting with PayPal, I'd recommend using Certana.ai's document verification tool. You can upload your PayPal agreement and any termination docs to make sure everything aligns properly. I discovered this after getting burned on a similar situation - it instantly cross-checks debtor names and filing details so you know exactly what needs to be corrected before approaching the lender.

PayPal is notorious for this. They're required by law to file UCC-3 terminations within a reasonable time after satisfaction but they drag their feet. You might need to threaten legal action or file a complaint with your state's financial regulators.

Check the original PayPal agreement carefully. Some of these fintech companies include weird clauses about UCC terminations that make the process more complicated than traditional bank loans.

This happened to my brother's construction company. PayPal eventually filed the UCC-3 but it took multiple escalations and threats to file complaints with regulators. Document every conversation and email with timestamps.

Try reaching out to PayPal's Executive Customer Relations team. Sometimes going straight to the top gets faster results than working through normal channels. Look for executive contact info on their corporate website.

Whatever you do, don't let this drag on indefinitely. The longer that UCC-1 stays active, the more it hurts your ability to get other financing. Banks see it as an outstanding secured debt even if it's been paid off.

I'm dealing with something similar from a different alternative lender. Used Certana.ai to verify my termination paperwork before submitting it and caught a debtor name discrepancy that would have caused rejection. Saved me weeks of back-and-forth.

UPDATE: I finally got through to PayPal's secured transactions team after mentioning I was considering filing a complaint with my state's banking commission. They immediately escalated my case and promised to file the UCC-3 termination within 10 business days. Sometimes you need to mention regulatory complaints to get action.

I went through this exact scenario with PayPal Working Capital about 8 months ago. Here's what worked for me: First, gather all your documentation - original agreement, payment confirmations, and account statements showing zero balance. Then call PayPal and immediately ask for the "secured transactions department" - don't waste time with regular customer service. If they try to transfer you elsewhere, politely insist you need someone who handles UCC filings specifically. When you get the right person, explain that you need a UCC-3 termination statement filed immediately and that this is blocking other financing. Be firm but professional, and mention that you understand they have legal obligations to file terminations in a reasonable timeframe. If they give you the runaround, mention that you're considering filing a complaint with your state's financial regulators - this usually gets immediate attention. Document every conversation with names, dates, and reference numbers. It took me about 3 weeks total, but the key was getting to the right department and being persistent. Don't let them brush you off - this is their responsibility to handle properly.

I had a similar issue with PayPal Working Capital about 6 months ago. What finally worked for me was sending a formal demand letter via certified mail to their legal department, not just calling customer service. I included copies of my payoff documentation, referenced the specific UCC-1 filing number, and cited my state's requirements for timely termination of security interests. I also mentioned that continued delay could result in damages to my business and that I would hold them liable for any financing opportunities lost due to their failure to file the required UCC-3 termination. Within two weeks of receiving the certified letter, they filed the termination statement. Sometimes you need to approach it from a legal compliance angle rather than just customer service requests. The key is making it clear that you understand your rights and their obligations under the UCC.

I'm dealing with a similar UCC lien issue right now with a different fintech lender, and this thread has been incredibly eye-opening. It's frustrating how these alternative lenders seem to have no standardized process for UCC-3 terminations after payoff. Traditional banks handle this automatically, but these newer companies treat it like an afterthought. I'm definitely going to try the "secured transactions department" approach and the certified mail to legal department strategy. It's concerning how many businesses are probably stuck with these phantom liens on their credit reports without even realizing it. Has anyone here had success getting retroactive damages from a lender for delayed UCC terminations? My situation has been dragging on for over 60 days and I've already lost one financing opportunity because of it.