Risk Management Blog

UCC & Corporate Due Diligence

Resource Guide for Legal and Financial Professionals

Collateralized Loan Risk Mitigation – API for UCC

UCC

The pandemic has caused much uncertainty in the lending ecosystem and will continue to do so since most industry experts expect an uptick in loan defaults. Today, more than ever, lenders are focused on minimizing their risks when entering a financial transaction.

Two key components in the lenders’ due diligence process when entering a transaction are conducting consensual and non-consensual lien searches, and filing a UCC-1 against the borrower.

Approximately 20% of all UCC filings have an error which may impact a lender’s lien position in the borrower’s collateral. Many of these errors are human rekeying mistakes which technology can eliminate, and mid-size and large lenders are looking at technology solutions like API for UCC to eliminate rekeying errors.

Plus, there’s another bonus to lenders using an API for UCC: it frees up precious time for their associates to invest in other value-added steps within the due diligence process instead.

Working with our financial clients, First Corporate Solutions has developed a JSON RESTful API solution which eliminates rekeying errors when conducting lien searches and UCC filings while freeing up associates to work on more mission critical work steps in the loan process. One of our clients has been able to repurpose twelve FTEs by leveraging our API which has:

  • Dramatically improved their productivity
  • Reduced their costs
  • Increased employee engagement
  • Developed staff with new repurposed time to handle more valued work.

To learn more about our API solution* and to schedule a free consultation, please click the link below.

Schedule Your Consultation Today!

By Pat Fitzgibbon, VP Sales
*There is no charge to our clients for using our API solution, it is free to all FCS clients.

*Disclaimer

 

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