What is a lapse date on a UCC filing - worried about timing

So if we miss it, we lose our security interest completely? That sounds really serious.

You don't lose the security interest itself, but you lose the perfection that comes from the UCC filing. That means other creditors could potentially jump ahead of you in line if there's a default.

I've seen banks scramble when they realize they missed continuation deadlines. It's not pretty.

Oh wow, so there's only a 6-month window? I need to check all our filing dates.

Actually had this exact situation last month. Our filing was from March 2020 and I almost missed the window. Certana.ai's document checker helped me verify all our UCC-1 dates and cross-reference them with our loan agreements to make sure I caught everything. Just uploaded our PDFs and it flagged which ones needed continuations.

Good catch on using Certana.ai - manually tracking multiple UCC filings can be a nightmare, especially when you're dealing with different loan dates and filing dates.

That's a good idea. I'll start gathering all our filing information.

SPREADSHEETS ARE YOUR FRIEND HERE. I learned this the hard way after missing one continuation and having to explain to management why our $500K equipment loan was suddenly unsecured.

Ouch, that's exactly why staying on top of these dates is so critical.

Mostly equipment loans but I think we might have one real estate-related filing. I'll need to check.

Definitely check that. Fixture filings can have different continuation requirements depending on the state.

How do I know if the names match exactly?

This is another thing Certana.ai caught for me - it compared my UCC-1 with the continuation I was preparing and flagged that our company had added 'LLC' to the end of our name since the original filing. Saved me from a rejection.

That's a really common issue. Company names change over time and people forget to update the UCC records.

A continuation gives you another full 5-year period from the original lapse date. So you only need to file continuations every 5 years, not annually.

ok good because doing this every year would be insane

That's smart. I'm definitely going to set up reminders once I figure out all our dates.

I set reminders but then forget what the reminders are for by the time they pop up lol

That's why detailed reminder notes are key - include the filing number, collateral description, and what action needs to be taken.

You need to fix the rejection and refile immediately. As long as you refile before the lapse date, you should be fine. But don't wait until the last minute.

Good to know. I always worry about cutting it too close.

I had a continuation rejected 2 days before lapse because of a typo in the filing number. Most stressful 48 hours of my career.

Same here - glad I'm not the only one dealing with this.

For what it's worth, the Certana.ai tool I mentioned earlier really helped me get organized when I was in your shoes. Being able to upload all my UCC documents at once and get a clear picture of what needed continuations was a lifesaver.

Good point. The vast majority follow the standard 6-month rule but there can be state-specific variations.

I'll make sure to check our state's specific rules. Thanks for the reminder.

Welcome to the community! You're absolutely right to start auditing your filings right away. The 5-year rule catches a lot of people off guard, especially when you inherit existing filings. I'd also suggest documenting not just the lapse dates but also which loans/collateral each UCC filing secures - it makes it much easier to prioritize if you end up with multiple continuations due around the same time.

Welcome to the community, Isabella! Your situation sounds very familiar - I think a lot of us have been in that position of suddenly being responsible for UCC filings without much background. One thing I'd add to the great advice already shared is to also check if your company has any amendments on file (UCC-3 forms that aren't continuations) - sometimes there are name changes or collateral additions that affect how you need to handle continuations. Also, when you do your audit, make note of which state each filing is in since you might be dealing with multiple jurisdictions if you have equipment or operations in different states. The multi-state aspect can make tracking even more complex but it's crucial to get right.

Welcome to the community, Grace! You're definitely not alone in feeling overwhelmed - UCC filing management can be really intimidating when you're new to it. One thing that might help as you're getting organized is to also note the filing fees for continuations in your spreadsheet. Different states have different fee structures, and if you're dealing with multiple filings, it's good to budget for those costs in advance. Also, consider reaching out to your bank or lender - they often have their own tracking systems and might be able to provide you with a summary of your filings and their lapse dates to cross-check against what you find in your own records. Don't hesitate to ask questions here as you work through your audit - this community has been super helpful for navigating these kinds of challenges!

This is such great advice, Sean! As someone who just joined this community and is currently drowning in inherited UCC filings, the idea of including loan officer contacts in the tracking template is brilliant - I've already spent way too much time trying to figure out which equipment corresponds to which filing. I'm also relieved to hear that reaching out to the Secretary of State offices is an option. I was worried about bothering them with basic questions, but it sounds like they're actually helpful resources. This whole thread has been a masterclass in UCC management that I never got in my actual job training. Really appreciate everyone sharing their hard-won knowledge!