Contracts/UCC-1 financing statement
Template:Underconstruction A UCC-1 financing statement (an abbreviation for Uniform Commercial Code-1) is a legal form that a creditor files to give notice that it has an interest in the personal property of a delinquent debtor (a person who has not paid back their debt as specified in the agreement creating the debt).[1] This form is filed in order to "perfect" a creditor's security interest by giving public notice that there is a desire to take possession of certain assets for repayment of a specific debt. Such notices are often found in the local newspapers. Once the form has been filed the creditor may move forward in the process of appropriating perfected assets of a debtor that are of equal value to the debt owed.[2] This process is also called "perfecting the security interest" in the property, and this type of loan is a secured loan.[3]
The filing creates a lien against the property, so the borrower may not dispose of the property without paying off the debt.
