What is a UCC 1 Financing Statement?
This is not legal advice, just a general explanation of concepts: A UCC-1 Financing Statement does not create a lien, rather, it can be used to perfect a lien - i.e., it is a public statement that gives notice to the world that an asset is secured. This is important because, if you have perfected a security interest in an asset, a subsequent purchase or mortgage of that asset will be subject to your security interest, however if you have not, it is possible that a subsequent transaction can override your security interest. However, perfected or not, the creditors rights against the debtor are unchanged.