KNOXVILLE, Tenn. (WVLT) – A new scam circulating through the state has prompted a warning from the Secretary of State Tre Hargett.
The scam incorrectly implies that businesses or individuals need a copy of the UCC-1 financing statement filed against them, which costs money for something they will probably never need, Hargett said.
“Our Division of Business and Charitable Organizations and I were recently made aware of a new misleading mailer trying to take advantage of Tennesseans,” said Secretary Hargett. “The look and language used on this mailer tries to trick borrowers into paying an excessive amount for a document they will most likely never need.”
The UCC is a set of laws governing sales and other commercial transactions; therefore, a UCC-1 is a legal financing statement that a creditor files to give notice that it has the right to take possession of and sell certain assets belonging to the debtor for the repayment of certain debt, Hargett explained.
The scam mailer in question, Tennessee UCC Statement Request Form, attempts to get Tennesseans to pay $107 for the TN UCC Statement Service to request a copy of the UCC-1 financing statement on behalf of the debtor.
“The mailer implies that the recipient needs a copy of the UCC-1 financing statement,” Hargett said. “This is rarely the case.”
If Tennesseans need the document, they can request one directly from the SOS’s office for $15 by phone at 615-741-2286 or online here.
“I encourage Tennesseans to be…
