Ensuring your interest is protected, and you have lien securitization around your solar lien filings is essential to running a lending institution. Without a lien filing process, you can make errors, forget renewal dates, and even lose equipment and money. An automated lien filing service can help lenders avoid mistakes and improve their filing processes.
Why using an automated ucc lien filing service can benefit solar lenders
Lien securitization is complicated for all types of liens, particularly for solar liens. Filings must be filed at the right level. According to the Uniform Commercial Code, in some cases, that’s at the state level, but in other cases, the filing may have to be at the county level or at the state and county level. And different counties have different requirements. It’s difficult for any lending institution to keep up with over 3,600 jurisdictions.
To protect your interest and have a legitimate claim for solar liens, you need accurate property information to ensure that county-level requirements are met. If you don’t file promptly, it may result in loss of priority or even the potential loss of equipment.
Manual filings have a higher rejection rate and are much more labor-intensive. In addition, manual filings for a UCC often have errors from typos or incorrect information. That can invalidate the entire lien.
Benefits of using an automated lien filing system for solar lenders
Rather than struggling to manually file your UCC liens for solar loans, using an automated system can greatly benefit lenders. Automation software includes the knowledge of local jurisdictions to ensure that UCC liens are filed in the correct county and jurisdiction. Automated filings also eliminate manual filing tasks to reduce keying errors. Even better, automated filings can quickly scale when the volume in your business increases.
An automated lien filing system also decreases turnaround time when filing. And with tools like auto continuation, you don’t have to worry about missing deadlines for renewals or extensions on the UCC lien. Automated filings have a lower rejection rate than manual filings, and the overall cost of filing is also decreased.
The better solution: Automated residential fixture filing platform
Automated residential fixture filing platforms are the best solution for solar lien filings. These platforms provide a one-step process to perfect solar filings, with critical filing information provided by an API from your system or via a drop file spreadsheet. The automation platform searches for the correct legal description on the lien so the filing is prepared accurately and quickly. The solar lien filing is then perfected for the correct jurisdiction without manual input or information.
Conclusion
Trying to file solar lien UCCs manually is a long, error-prone process. Manual filings take more time away from team personnel, have more mistakes, and may result in equipment loss. Automated filings offer a better solution, with lower rejection rates, accessible paths to perfection, and liens that are filed correctly the first time. Automated residential filing platforms can offer a holistic solution to solar lien filings that minimizes risk, improves filing quality, and helps you file faster.
