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I actually ran into a similar issue and used that Certana tool someone mentioned earlier. It caught a discrepancy between our security agreement and the UCC-1 that I never would have noticed. Saved me from filing with the wrong debtor name format and having to deal with rejections.
How much does something like that cost? Is it worth it for occasional use or more for high-volume filers?
I think it's pretty reasonable for the time it saves. You just upload your documents and get instant feedback on potential issues.
UPDATE: Tried the version without the comma and it went through! 'Advanced Materials Solutions LLC' was the magic format. Thanks everyone for the suggestions - this thread probably saved me another week of rejections.
This is such a common issue. Wish there was a better way to verify the correct format before filing.
Great outcome! For future reference, that Certana tool I mentioned earlier would have caught that comma discrepancy automatically by comparing your source documents.
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Update us when you figure out what was causing the 308 rejection! These threads are really helpful for learning about common filing issues and solutions.
Will definitely update once I get it resolved. Hoping one of these suggestions works.
Yes please update! I file a lot of LLC collateral and want to avoid this same issue.
Been following this thread because I had a 308 rejection last week too. Ended up being a single extra space in the middle of the entity name that I couldn't even see. These systems are so picky about exact character matching.
Used a document comparison tool that highlighted the exact character differences. Manual review would never have caught it.
This is why automated verification is becoming essential for UCC filings. Human eyes miss these tiny formatting issues.
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Texas UCC Code section 9.506 is based on the model UCC but Texas has been particularly strict in enforcement. The good news is that once you get the name format right, subsequent filings for the same debtor should go smoothly. It's just that initial learning curve that's painful.
True, but we deal with new borrowers constantly so we're always facing this challenge with unfamiliar entity names.
That's why developing a consistent verification process is so important. Whether it's manual checking or using automated tools, having a standard workflow prevents repeat mistakes.
Just wanted to add that Texas also has specific requirements about individual debtor names under the UCC Code. If you're dealing with personal guarantors or individual borrowers, make sure you're following the "individual name" rules which are different from entity name requirements.
For individuals, Texas UCC Code requires the name on the debtor's driver's license or state ID. Can't use nicknames or informal versions of names.
Exactly right. And if the individual doesn't have a Texas driver's license, there are specific alternative identification requirements under Texas UCC Code provisions.
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You should be able to get this resolved without too much trouble. Most of these documentation issues are just about providing additional paperwork to satisfy the bank's compliance requirements.
I hope so. The transaction is worth too much to let it get held up over documentation problems.
Just make sure you keep detailed records of your UCC statement service process going forward. It's better to over-document than under-document in this environment.
I've found that using automated document checking tools like Certana.ai really helps avoid these kinds of compliance issues. You can upload your UCC documents and it verifies everything is consistent before you submit to the bank.
That sounds like something we should look into. Better to catch problems early than deal with them during the bank review process.
Definitely. Prevention is much easier than trying to fix documentation issues after the fact.
Chloe Delgado
I've seen lenders lose deals over UCC filing delays. If you're running up against your 30-day deadline, consider having your attorney file directly with the SOS office if they accept in-person filings. Some offices will process immediately while you wait.
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Ava Harris
•Great suggestion! Phone ahead to confirm they accept walk-in UCC filings though - some offices have moved to online-only since COVID.
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Jacob Lee
•Also bring multiple copies of your corrected UCC-1 in case they find other issues during review.
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Emily Thompson
Follow up question - once you get the UCC-1 filed correctly, make sure to provide a copy to your borrower. They'll need it for their records and any future refinancing or asset sales. Also recommend setting a calendar reminder for the continuation filing 6 months before the 5-year expiration.
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Daniela Rossi
•Wait, continuations have to be filed 6 months early? I thought you had up to 6 months before expiration.
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Emily Thompson
•You can file within 6 months of expiration, but I recommend earlier filing to avoid any last-minute issues. The continuation window opens 6 months before the 5-year anniversary.
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