Where should a UCC-1 Financing Statement be filed?

A UCC-1 Financing Statement should be filed with the secretary of state in the debtor's state to provide public notice of the secured party's interest in the collateral. This filing system is designed to create a uniform method of perfecting a security interest in personal property across various jurisdictions. When the financing statement is properly recorded with the state secretary, it gives third parties knowledge of the secured party's claim, thereby establishing priority over any subsequent claims.

Filing with the secretary of state is crucial for several reasons. It is generally the most efficient and effective way to perfect a security interest in most types of collateral, particularly those categorized as personal property, instead of real estate. This centralized filing is intended to ensure clarity and accessibility for all parties looking to ascertain the status of secured transactions.

In contrast, while local jurisdictions, county clerk’s offices, and federal government offices might be relevant in specific circumstances or for particular types of collateral (for example, real property interests may require different procedures), the general and standard procedure for a UCC-1 is to file with the state secretary's office. This consistency helps to avoid confusion and supports the UCC’s purpose of facilitating commerce through establishing a clear and uniform filing process.