UCC Filings: Common Forms & Types

What Are Common Forms Used in Secured Transactions? 

Understanding which UCC forms to use and how they work helps ensure your security interest is properly recorded and your rights are protected throughout the credit process.

What Is a UCC-1?  

UCC-1 Initial Financing Statement is the original recorded document that identifies the initial filing number, date, time, debtor, secured party and collateral description. 

What Is a UCC-3? 

A UCC-3 (also known as a Change Statement) is used to continue your existing filing, amend your existing filing, terminate your existing filing, or assign your interest to another secured party. 

• Continuation: A continuation statement continues the effectiveness of a filing for a period of 5 years. It may be filed only within the six months immediately before lapse. 
• Amendment: An amendment statement records a change to the original UCC-1. The change may be to the debtor, secured party or collateral description.  
• Assignment: An assignment is filed if a secured party needs to assign or transfer all or some of its right to collateral to another secured party.  
• Termination: Filing a termination statement ceases the effectiveness of the original UCC-1 Financing Statement to which it identifies (9-513). 

Pro-Tip: Use caution when terminating filings because you can’t un-terminate  them. If you need a billion dollar warning, check out How JP Morgan Chase Bank’s Billion Dollar Mistake Can Make You a Better Credit Manager. 

What is a UCC-5? 

A UCC-5 is used to make information statements or corrections related to a previously filed UCC record, such as a UCC-1 financing statement. It’s not used to create or amend a security interest, instead, it allows parties to clarify or dispute information already on file. 

• Information Statement by Debtor or Secured Party: Used to indicate that a filing is inaccurate or was made without proper authorization. It doesn’t remove or change the original record, but it adds a formal comment to the public record. 
• Correction Statement: It allows a party to explain or contest an error, such as a wrong name, collateral description, or unauthorized filing. 

A UCC-5 does not affect the validity or effectiveness of the original filing. It’s informational only and cannot terminate, continue, or amend a financing statement. To change a UCC filing legally, a UCC-3 is required. 

What is a UCC-11? 

A UCC-11 is an informational search to determine whether there are other secured parties, whether specific collateral is already secured by a UCC and to determine a creditor’s priority. 

Are there Different Types of UCC Filings? 

Yes, there are different types of UCCs. The two primary types of secured transactions under Article 9 are Blanket filings and Purchase Money Security Interest (PMSI) filings. Additional filings include consignment, bailment, tooling, warehousing arrangement and installments or promissory notes. 

Which Filing Type Is Right for My Business? 

The right UCC for your business depends on the type of collateral you're securing and the nature of your customer relationship. 

Blanket Filing 

• Best for: Suppliers, lenders, or creditors extending open credit across multiple transactions. 
• What it covers: All  the debtor’s assets or broadly defined collateral like "all assets" or "all personal property." 
• Why use it: It’s the broadest protection, ideal when you're concerned about general credit exposure and want to secure everything the debtor owns. 

PMSI in Inventory 

• Best for: Suppliers selling goods to be resold (like raw materials or products for resale). 
• What it covers: Only the inventory you supply. 
• Why use it: A Purchase Money Security Interest (PMSI) gives you super-priority in your inventory, even over earlier blanket filings, if  you follow strict timing and notice rules. 

PMSI in Equipment 

• Best for: Vendors or lessors selling or financing equipment (like machinery or tools). 
• What it covers: Only the specific equipment sold or financed. 
• Why use it: Gives you top-priority rights in that equipment, protecting your interest even if the customer defaults or files for bankruptcy. 

Consignment Filing 

• Best for: Businesses that ship goods to customers who attempt to sell the goods. 
• What it covers: Goods delivered to another party, where you retain ownership until sold. 
• Why use it: Prevents others from claiming rights to your goods while they’re in someone else’s possession. A UCC filing ensures your interest is public and protected. 

Bailment Filing 

• Best for: When you store goods at a third-party location or warehouse. 
• What it covers: Your goods in the custody of another party. 
• Why use it: Protects your ownership and rights if that third party faces claims from other creditors. 

Fixture Filing 

• Best for: If your goods (e.g., HVAC, lighting, kitchen equipment) will become affixed or attached to real property. 
• What it covers: Equipment or materials that turn into fixtures on real estate. 
• Why use it: Ensures your interest is recorded in both personal property and real property records, giving you priority if the property is sold or refinanced.