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What Is a Perfected Lien?


A perfected lien is a security interest in personal property that has been registered with the appropriate state agency. This gives the lender the legal right to seize and sell the collateral if the borrower defaults on the loan.


Perfecting a lien is important for lenders because it gives them priority over other creditors who may have a claim on the same property. In some cases, unperfected liens may be invalidated if the debtor files for bankruptcy.


To perfect a lien, lenders must take steps to ensure that their security interest is properly recorded with the state. This usually involves filing paperwork and paying a fee. Once the lien is perfected, it will remain in effect until the debt is paid off or the collateral is sold.




The Law Offices of Omar Zambrano has helped thousands of people and them businesses in the past to get out of debt and start over.



Our goal is to help you find a fresh start FAST!


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