Tips To Secure Your Liens By Lincoln and Morgan

1. Tips To Secure Your Liens By Lincoln and Morgan Lincoln and Morgan is a Highly Rated Mediation And Forwarding Firm which provides services like Commercial UCC Lien Mediation, Commercial Mediations & many more. The major advantage of being a secured commercial lien holder is the lien holder’s ability to secure the entirety of the pledged assets as collateral as established through the security agreement and evidenced by the UCC Lien.

2. The security agreement clearly identifies the specific secured collateral that is being pledged. The problem occurs at the point of default of the funding agreement and when the recipient refuses to surrender the secured collateral as was required by the agreement. All too frequently, the recipients of commercial funding choose to avoid properly surrendering the pledged collateral upon default. Often they choose instead to evade the UCC Lien holder and their rights to the collateral and retain, remove or even sell the secured collateral without authorization. This improper and intentional avoidance increases the costs and difficulty for the lien holder in securing their rights to the pledged collateral. Four tips to secure your liens- Here, we highlight four considerations for managing a lender’s lien portfolio that simply cannot be overlooked. A lender can confidently perfect its interest in a loan if they are effectively addressed. 1.Naming wrongs : The slightest variation has the potential to create a huge number of issues. Arguably the first stage in lien perfection is the debtor name utilized on a filing. The remainder of the procedure is essentially irrelevant if you don’t get that right. 2.Maintaining correct information on filings :Keeping an eye on your portfolio’s health pays well. Has a company changed its name without telling you? Has it merged, disbanded, or fallen out of favor? Have you been unaware of the termination of your UCC filing?

3. 3.Leveraging a UCC-3 : You can use amendments for good, but they can also be used against you. Amendments, assignments, continuations, and terminations are all handled with a UCC-3. These categories deal with modifications made to an initial lien filing (UCC-1). If a loan is for more than five years, a UCC- 3 is essential. A lender must prolong an initiated loan if it isn’t repaid in five years. A UCC-3 is used for that. You must update your file if a debtor changes its name while the loan is still in effect. A UCC-3 is used for that. The collateral must be amended if it changes. A UCC-3 is used for that. In conclusion, get to know and appreciate UCC-3s. 4. The perpetual presence of risk : Even when things appear to be tranquil, diligence must be maintained. It is obvious that submitting the UCC is only the first step and that managing a portfolio necessitates a sizable amount of due diligence and maintenance. But risk will always be present, regardless of what happens.