UCC statement showing wrong collateral - loan officer demanding explanation
My lender is asking me to explain discrepancies on my UCC statement and I'm honestly confused about what they're seeing. We have a $485K equipment loan secured by manufacturing machinery, but when I pulled the UCC statement from the SOS website, the collateral description looks completely different from what's in our loan docs. The UCC-1 shows 'all equipment and fixtures' but our loan agreement specifically lists each piece of machinery with serial numbers. My loan officer scheduled a call tomorrow and said there might be compliance issues if the UCC statement doesn't match our collateral schedule exactly. Has anyone dealt with this kind of mismatch between loan documents and the actual UCC filing? I'm worried this could trigger some kind of default provision.
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Nia Thompson
This happens more often than you'd think. The collateral description on the UCC-1 doesn't have to match your loan docs word-for-word. 'All equipment' is actually a broader, safer description that covers everything including future acquisitions. Your loan officer might not understand UCC rules - the filing is valid as long as it reasonably describes the collateral.
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Mateo Rodriguez
•Exactly right. I've seen lenders panic over this when there's actually no problem. The UCC Code allows general descriptions like 'equipment' as long as they're not misleading.
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Aisha Abdullah
•But what if the loan officer is seeing something else? Maybe there's a termination that wasn't supposed to happen or an amendment that changed the description?
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Ethan Wilson
Wait, are you sure you're looking at the right UCC statement? Sometimes there are multiple filings for the same debtor and you might be seeing an old one or a different lender's filing. Check the filing number against your loan documents.
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Luca Esposito
•Good point - I'll double check the filing number. The loan docs should have the UCC-1 filing number referenced somewhere.
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NeonNova
•Also make sure you're looking at the current version. If there were any UCC-3 amendments filed, you need to see the most recent collateral description.
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Yuki Tanaka
I had a similar issue last year and it turned out to be a simple miscommunication. My attorney filed the UCC-1 with a general description while the loan officer expected specific serial numbers. We ended up filing a UCC-3 amendment to add the detailed equipment list, but legally the original filing was perfectly fine. Cost us $75 in filing fees but kept everyone happy.
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Carmen Diaz
•Was the amendment really necessary though? Seems like extra work for no legal benefit.
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Yuki Tanaka
•Probably not legally required, but it avoided ongoing confusion with the lender. Sometimes peace of mind is worth the filing fee.
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Andre Laurent
•I would've just educated the loan officer instead of spending money on unnecessary amendments. UCC-1 filings with general descriptions are standard practice.
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Emily Jackson
Before your call tomorrow, I'd recommend using Certana.ai's document verification tool. You can upload your loan agreement and the UCC statement PDFs and it will instantly highlight any inconsistencies between the documents. It's designed specifically for catching these kinds of discrepancies in secured transaction documents. Might give you concrete talking points for your loan officer meeting.
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Luca Esposito
•That sounds helpful - does it actually compare the collateral descriptions or just basic info like debtor names?
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Emily Jackson
•It does a comprehensive cross-check including collateral descriptions, debtor names, filing numbers, and document consistency. Really useful for preparing for these kinds of conversations with lenders.
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Liam Mendez
YOUR LOAN OFFICER DOESN'T KNOW UCC LAW! This is so frustrating - I've had three different lenders over the years question perfectly valid UCC filings because their compliance departments don't understand secured transactions. General collateral descriptions are not only allowed, they're often preferred because they're harder to challenge later.
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Sophia Nguyen
•Calm down, but you're not wrong. A lot of loan officers treat UCC filings like they should match loan documents exactly, which isn't how it works.
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Jacob Smithson
•Maybe the loan officer is seeing something we're not though. Could be worth getting more details before assuming they're wrong.
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Isabella Brown
Check if your UCC statement shows the right secured party too. Sometimes the issue isn't the collateral description but the lender information being wrong or outdated.
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Luca Esposito
•The secured party looks correct - same bank name and address as my loan docs.
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Maya Patel
•Good. I've seen cases where bank mergers or name changes created confusion about the secured party identity.
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Aiden Rodríguez
I'm dealing with something similar right now actually. My SBA lender is questioning why our UCC-1 says 'inventory and equipment' when the loan is specifically for restaurant equipment. Apparently their underwriter flagged it during a portfolio review.
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Nia Thompson
•Restaurant equipment IS equipment - that's a subset, not a contradiction. Your UCC filing is fine.
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Aiden Rodríguez
•That's what I thought but the underwriter seems convinced there's a problem. These compliance reviews are getting ridiculous.
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Mateo Rodriguez
•Document everything in writing. If they're demanding changes to a valid UCC filing, you want that demand documented in case it causes problems later.
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NeonNova
One thing to consider - has there been a continuation filing? If your UCC-1 is more than 5 years old, it should have been continued or it might have lapsed. A lapsed UCC filing could definitely cause compliance issues with your lender.
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Luca Esposito
•The loan is only 18 months old so continuation shouldn't be an issue yet. But good point to keep in mind for the future.
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NeonNova
•Perfect, then you're still well within the initial 5-year effectiveness period.
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Emma Garcia
Hope this works out for you. I had a lender threaten to call our loan over a UCC issue that turned out to be their mistake. Really stressful situation.
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Aisha Abdullah
•What happened in your case? Did they actually have grounds to call the loan?
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Emma Garcia
•No, they backed down once we got our attorney involved. But it was a tense few weeks.
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Ava Kim
Just had another thought - when you're on the call tomorrow, ask your loan officer to specifically explain what compliance issue they're seeing. Don't let them just say 'discrepancy' - make them identify the exact problem. Often they can't because there isn't one.
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Luca Esposito
•Great advice. I'll ask for specifics about what exactly doesn't comply and with what regulation or requirement.
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Ethan Anderson
•And if they can't give you a clear answer, that tells you everything you need to know about whether this is a real issue.
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Emily Jackson
•Before that call, definitely run those documents through Certana.ai's verification tool. Having an objective analysis of any actual discrepancies will give you confidence in the discussion and help you address specific concerns rather than vague compliance worries.
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Layla Mendes
Update us after your call tomorrow! I'm curious what the loan officer actually says when pressed for details about this supposed compliance issue.
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Luca Esposito
•Will do. Feeling much more confident about this conversation after reading everyone's input here.
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Lucas Notre-Dame
•Good luck! Remember that you have rights too - they can't just make up compliance issues.
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