Welcome to the new Lien Solutions blog – insights and resources to help professionals reduce risk and shape the future of their business. You’ll find articles on thought leadership, practical tips, and an exchange of ideas that drive innovation and better outcomes.
The modern financial landscape is growing increasingly more complex due to internal corporate pressures and external regulatory changes. In terms of secured lending processes, filing Uniform Commercial Code (UCC) forms correctly and in a timely manner is critical, yet full of complexity. Furthermore, monitoring the health of your liens and continuing your liens, if warranted, is equally important. This blog series will look at some of the things that cannot be missed if one is to securely file and manage UCCs, whether you file directly through a Secretary of State or use a law firm or other partner to file.
On top of that, the lending landscape itself is changing, with increasing expectations and demands from regulators, corporate and customers, and productivity opportunities presented by process improvements and technology. In short, change is driving not only the need for more proactive lien management but also the tools and methods for doing so. Disruption has been […]
It’s always been important for lenders not only to perfect their assets but to manage and maintain the perfection of their portfolios over time. Changing events and circumstances impact the protections that have been put in place, and it’s necessary to be diligent in addressing them.
As a lending professional, it’s your job to ensure your company’s assets are protected with each loan it makes. As we’ve learned in Lien Management – Not as difficult as you might fear and Monitoring and Auto Continuation of this lien management primer series, that can be a real test. However, we’ve also discovered it doesn’t have to be difficult if you find the right partner that can provide automated solutions and guidance to overcome challenges.
Proper lien management of your loan portfolio doesn’t have to be an onerous chore. In fact, employing proper lien management practices offers the lender many risk management and workflow efficiency benefits at each step of the loan lifecycle.
In 2013, the 2010 Amendments to Article 9 took effect. Among other provisions, the amendments provide that a driver’s license (or state-issued I.D.) is the correct source for determining an individual debtor’s name for a financing statement. With the idea of there being an exception for everything in mind, a recent court case was faced with the question of what to do if the driver’s license has two names on it.
All liens expire. Liens can be continued with a continuation. Failure to continue a lien means the asset is no longer secured. Learn more about Auto-Continuation.
Don’t just take it from us, here is what one of our customers had to say about monitoring:
“The monitoring has provided information on the entity status and that has been helpful. It allows us to contact the customer right away and have the issue corrected. We’ve also had several alerts of name changes recently that clients had not notified us about and knowing when it happens gives us ample time to amend our UCC’s.”
Even a minor error in the debtor name can render a financing statement seriously misleading, and leave the secured party with an unperfected security interest, as a recent case demonstrates in United States SEC v. ISC, Inc. (No. 15-cv-45-jdp. United States District Court, W.D. Wisconsin) Double Bubble, Ltd. took a security interest in the assets […]