UCC-3 Continuation Filing Process

Maintaining Perfected Security Interests Through Timely Continuation Filings

At US Capital Private Bank, ensuring uninterrupted perfection of security interests is vital for protecting our clients’ assets and trust arrangements. The UCC-3 Continuation Filing is a crucial step to extend the effectiveness of the original UCC-1 Financing Statement.

🔄 What Is a UCC-3 Continuation Filing?

• Definition:
  A UCC-3 continuation statement is a legal filing submitted to extend the duration of an existing UCC-1 financing statement beyond its initial 5-year expiration.

• Purpose:
  Prevents lapse of perfection, thereby maintaining priority and enforceability of the secured party’s interest in the collateral.

⏰ When Must the UCC-3 Be Filed?

• Timing:
  Must be filed within six months before the 5-year expiration date of the original UCC-1 filing.

• Consequences of Late or No Filing:
  If not filed timely, the UCC-1 lapses, and the security interest becomes unperfected, risking loss of priority against other creditors.

⚙️ Step-by-Step UCC-3 Continuation Filing Process

1. Review Original UCC-1 Filing Details:
   Confirm the filing date, debtor information, and collateral description to ensure accuracy.

2. Prepare UCC-3 Continuation Statement:
   Complete the continuation form referencing the original UCC-1 filing number.

3. File with Appropriate Authority:
   Submit the UCC-3 to the same filing office where the original UCC-1 was recorded (usually the Secretary of State).

4. Obtain Acknowledgement:
   Receive confirmation or filing receipt indicating successful continuation.

5. Update Internal Records:
   Log the continuation filing date and expiration extension in client and bank records.

🛡️ Best Practices for UCC-3 Continuations

• Track Expiration Dates Proactively:
  Maintain a calendar system to alert at least 9 months before expiration.

• Verify Debtor and Collateral Details:
  Ensure no changes are needed; if so, file an amendment alongside continuation.

• Coordinate With Trust Documentation:
  For trust-backed collateral, confirm alignment with Express Trust terms and sovereign requirements.

• Consult Legal and Compliance Teams:
  Especially for cross-jurisdictional filings or complex trust structures.

🌍 Importance in Sovereign Trust Banking

• Supports the ongoing integrity of asset protection under trust law.

• Avoids loss of perfected status which can expose trust assets to unsecured creditor claims.

• Enables US Capital Private Bank to safeguard client sovereignty through precise legal compliance.

📚 Additional Resources

For further information on secured transactions and trust compliance:

🔗 https://sedm.org — Sovereignty Education and Defense Ministry

📩 Contact US Capital Private Bank

For assistance with UCC-3 continuation filings and trust-secured lending:

📧 Email: [email protected]
🌐 Website: https://uscapitalprivatebank.com
📞 Phone: +971529926005