A creditor can perfect a security interest by filing a public notice of the security interest.

Question

Quizplus · Accepted Answer

Filing a public notice of the security interest (such as a UCC-1 financing statement) puts other creditors and interested parties on notice of the creditor's claim to the collateral. This is one of the steps required to perfect a security interest, along with obtaining the debtor's consent or having the security interest attach to the collateral.

A Creditor Can Perfect a Security Interest by Filing a Public