What is a UCC financing statement?

[jasminsain]

While researching business loans, I came across UCC financing statements. What is a UCC financing statement, and why do lenders file it?

 

[Rick_Grimes]

A UCC financing statement is a legal document that a lender files to show publicly that they have a security interest in the borrower's assets. It helps to determine the priority in case the borrower defaults or is insolvent.

 

[Oscar]

A UCC financing statement is a legal notice recorded publicly, which is a document used to indicate that a lender has security interest in the personal property of a borrower to secure a loan.

 

[Shane Warne]

A UCC financing statement is a legal document registered in order to publicly proclaim the security interest of a lender on the assets of a borrower to secure the lender in case of default by a borrower.