CBP Form 4632 – Lien Holder Financial Statement

Jurisdiction: Country: USA | Province or State: Federal

What is a CBP Form 4632 – Lien Holder Financial Statement?

CBP Form 4632 is a sworn financial statement used in federal customs cases. It is designed for lienholders with a security interest in property seized by U.S. Customs and Border Protection. You use it to show your lien, prove the outstanding balance, and request financial consideration. CBP uses the form to assess your claim during remission or mitigation review.

This form is not a loan application. It is not a payment demand. It is a declaration of your lien position and loss exposure. It allows CBP to confirm who you are, what you are owed, and how the collateral was secured. It also helps CBP decide what to do with seized property when a secured party steps forward.

Who typically uses this form? Banks, credit unions, auto finance companies, captive finance entities, and commercial lenders use it most. Leasing companies with a security interest may also use it. So do assignees of loans, floorplan lenders, and sometimes factors with a perfected lien. Individual lenders can use it if they hold a valid security interest.

Why would you need this form? You need it if CBP seized collateral that secures your loan. You complete it to protect your interest and request relief. You also use it to seek proceeds if CBP sells the property. The form supports a petition for remission or mitigation. It can also support a request for release of the collateral to you.

Typical usage scenarios include seized vehicles, boats, trailers, or equipment. Many cases involve cars or trucks financed by a lender. Common triggers include export violations, customs entry issues, or suspected smuggling by the borrower. You did not cause the violation. But your collateral got seized. The form is your way to document the debt, show your lien, and request relief from CBP.

When Would You Use a CBP Form 4632 – Lien Holder Financial Statement?

You use the form after CBP seizes property that secures your loan. You will first receive a seizure notice that identifies the case. That notice explains your options and any deadlines. You should then decide if you will file a petition for remission or mitigation. If you pursue that route, you complete this form as part of your filing. It establishes the financial details CBP needs for your lienholder claim.

For example, your bank financed a car later seized at the border for export without proper filing. The borrower defaulted after the seizure. You hold a perfected lien on the title. You would complete the form to show the current balance and attach proof of the lien. You then request release of the vehicle or distribution of sale proceeds.

Consider a floorplan lender for a dealership. CBP seizes several vehicles tied to suspect import paperwork. You are a secured party under the floorplan agreement. You complete a separate form for each VIN. You attach the security agreement and evidence of perfection. You request recognition of your prior claim to the vehicles or proceeds.

A credit union might finance a boat that gets seized during an import incident. You would file a petition and include this form to document the lien. You would attach the note, the security agreement, and the state title showing your lien. You would certify the current payoff and collection efforts.

Sometimes the loan has been sold or assigned. The current servicer would complete the form. They would include proof of assignment and servicing rights. They would also include the borrower’s payment history and current balance.

In some cases, you only seek partial remission. The form allows you to show the balance and any insurance or recovery credits. You can then request proportional relief tied to your outstanding interest. If CBP later auctions the property, this form helps allocate proceeds.

Legal Characteristics of the CBP Form 4632 – Lien Holder Financial Statement

The form is a sworn statement. It is not a contract. It does not create a lien or transfer property. It documents your financial interest in seized collateral. It also supports an equitable request for remission or mitigation. CBP uses it to evaluate the validity and size of your lien.

Is it legally binding? Your statements are binding representations to a federal agency. You sign under penalty of perjury. False or misleading statements can trigger penalties. They can also lead to denial of your petition. The form itself does not guarantee release or payment. It contributes to the agency’s decision under its administrative process.

What ensures enforceability? Accuracy, completeness, and proper authorization are key. CBP expects you to attach documents that prove your lien. Typical attachments include the note, security agreement, and title records. UCC filings or lien notations help prove perfection. Payment histories show the current principal and interest. Assignment documents show who owns the loan. Your signature must be from an authorized officer or agent. Notarization may be requested or required. CBP may verify your statements against records. Inconsistent or unsupported claims risk denial.

General legal considerations include timing and scope. This form usually supports a petition for remission or mitigation. It does not replace a formal claim to contest forfeiture in court. It does not toll deadlines. You must meet the deadlines in your CBP notice. You should also coordinate with your counsel about the path you choose. Filing the form should align with your overall forfeiture strategy.

Confidentiality is another consideration. Your form becomes part of an administrative case file. Agencies may share information within the government. Do not include data you do not need to prove your lien. Redact sensitive account numbers where allowed. Keep borrower privacy in mind. Provide only business records necessary to substantiate the debt.

Finally, consider commercial reasonableness. Show that you acted in good faith and without knowledge of the violation. Explain your underwriting, repossession steps, and loss exposure. CBP often weighs your diligence and lack of involvement. Clear, accurate documentation supports a favorable outcome.

How to Fill Out a CBP Form 4632 – Lien Holder Financial Statement

Before you start, collect your documents. Gather the seizure notice, the case number, and contact details for the CBP office. Pull the loan file, including the note, security agreement, and title. Print the payment history and payoff calculation. Obtain proof of lien perfection. If you are an assignee, collect the assignment chain and servicing documents. Confirm who will sign. Use an authorized officer or agent with knowledge of the account.

Complete the heading with the CBP case information. Enter the seizure case number exactly as shown on the notice. Include the seizure date and the property description. If there are multiple items seized, complete a separate form for each item. Identify the CBP office handling the case if the form requests it.

Identify the lienholder. Provide the full legal name of your organization. Include the principal address, phone, and email for the contact of record. Identify a specific contact person who can answer account questions. If your organization uses a servicing agent, list the servicer and note the relationship. Include your federal tax identification number if requested.

Identify the titled owner and borrower. List the borrower’s full name and last known address. Provide the co-borrower’s name if applicable. If the titled owner differs from the borrower, list both. Use the exact names that appear on the title and loan documents.

Describe the collateral. For a vehicle, include the year, make, model, and VIN. For a boat, include the HIN and registration number. For equipment, include the serial number and a plain description. Match the description on the seizure notice. If there are multiple units, complete separate entries or forms as required.

Provide lien details. State the original loan amount and the date of the loan. List the interest rate and type (fixed or variable). If the rate changed, provide the current rate and the basis for changes. Identify the payment schedule and final maturity date. Confirm whether the loan is in default. If it is, provide the default date.

Establish perfection of the security interest. Identify how the lien was perfected. For titled vehicles, state that your lien appears on the title. For non-titled goods, cite the UCC filing details. Include the filing office and filing date. If you have a purchase money security interest, state that clearly if it helps establish priority. Attach supporting records.

State the current payoff and balance breakdown. Provide the unpaid principal as of a specific date. Include accrued interest to that date. If you assess late fees or costs by contract, list them separately. Show the per diem interest accrual. Provide a payoff good through a defined date. Keep the math clear and easy to follow.

Attach a payment history. Include a ledger showing payments, suspense entries, and reversals. Highlight the last payment received. If the borrower was current at seizure, say so. If the borrower defaulted before seizure, include the default date and notices sent.

Disclose insurance, recoveries, and offsets. State whether you received insurance proceeds related to the loss. Identify any repossession or sale proceeds from other collateral. Note any third-party recoveries that reduced the balance. The goal is to present the net secured claim with no double counting.

Identify other liens and priority issues. State whether any senior lien exists. If you know of junior liens, disclose them. If your lien is cross-collateralized with other loans, explain the structure. Clarity on priority helps CBP understand who should get paid first if proceeds are limited.

Include assignment and authority details. If you purchased the loan, attach the assignment and allonges. If a servicer is signing, attach a limited power of attorney. If a corporate resolution authorizes the signer, include it. The signer must be able to certify the accuracy of the information.

Explain your good-faith status. State that you did not know of the violation. Describe standard underwriting and monitoring practices briefly. Note any steps you took after the seizure, such as sending default notices. This context helps CBP assess remission factors for lienholders.

Calculate the estimated deficiency or loss. Estimate the collateral value if known. You can reference wholesale or auction estimates used in your normal practice. Show your expected shortfall if the property sells. This helps CBP see your economic stake.

Sign and date the certification. Review the statement carefully before signing. Ensure totals match the attached ledger. Confirm that names match the title and note. Sign using blue or black ink if filing on paper. Print the signer’s name and title. Include a phone number and email for follow-up. If notarization is requested, sign before the notary and include the seal.

Attach required documents in an organized package. Typical attachments include:

• Promissory note and any allonges.
• Security agreement and applicable addenda.
• Title showing lien, or UCC filing documentation.
• Payment history and payoff calculation.
• Assignment documents and servicing authority.
• Copies of default notices and correspondence.
• Proof of insurance coverage or claims, if relevant.
• Any judgment or replevin order, if obtained.

Label each attachment. Use exhibit tabs or a clear index. Reference each exhibit in the form where relevant. Keep personal data to the minimum needed.

Submit the form with your petition. Follow the instructions in the seizure notice for delivery. You may submit by mail, courier, or other approved methods. If the office accepts electronic filing, follow the stated process. Keep proof of delivery. Retain a complete copy of the package.

Monitor and respond. CBP may request more information. Respond promptly and completely. Update payoff figures if the process takes time. Provide revised per diem interest if asked. If the borrower makes a payment, inform CBP and update your balance.

Coordinate with your broader strategy. Decide whether to also file a claim to contest forfeiture. This is a separate path from remission or mitigation. Filing a claim may change the forum and timeline. Align your use of the form with your chosen path. Track all deadlines listed in your notice.

Common accuracy checks before filing help avoid delays. Confirm the VIN or serial number against the title and seizure notice. Verify your entity name and tax ID against your loan documents. Ensure the payoff date and per diem match your system. Check that your lien perfection evidence is legible. Make sure your assignment chain is complete if you are not the original lender.

If the property includes personal effects, do not list unsecured items as collateral. Focus on the specific asset covered by your lien. If your lien covers accessories or installed equipment, describe them. Show that they are part of the secured collateral.

If there are multiple seized items under one loan, address each item clearly. Provide separate valuations. Explain how proceeds should be allocated among items. Provide contract language that supports your allocation method if needed.

Be candid about gaps. If a title does not show your lien due to a filing issue, explain it. Provide evidence that you took steps to perfect and that any gap was not intentional. If the borrower refinanced, clarify the payoff and substitution of collateral. CBP will weigh transparency and documentation quality.

Plan for follow-up outcomes. If CBP releases the property to you, be ready to recover and dispose of it in a commercially reasonable way. If CBP sells the property, be ready to provide a final payoff and wiring instructions. Keep your records open and accurate so funds can be disbursed without dispute.

In short, complete CBP Form 4632 to show your lien, the amount due, and your good faith. Support your entries with clear documents. Sign with authority. Submit on time. Prompt, accurate filings increase your chances of a smooth resolution.

Legal Terms You Might Encounter

A lien is a creditor’s legal claim on property. It secures repayment of a debt. On this form, you describe your lien and the collateral it covers.

A lienholder is the person or entity that holds the lien. You are the lienholder if you financed the purchase or hold a secured loan. The form documents your interest and balance.

The debtor is the borrower who owes the debt. They may also be the owner of the property. You must list the debtor’s full legal name and contact details.

A security interest is the legal right in the collateral that secures the debt. It allows you to recover from the collateral if the debtor defaults. This form shows how and when your security interest attached to the collateral.

Collateral is the property covered by your lien. It could be a vehicle, equipment, or other goods. The form asks for precise identifiers like VIN, serial numbers, or descriptions.

Perfection is the legal step that makes your lien effective against third parties. It often requires filing or noting the lien on a title. You will state how and when you perfected your interest.

Priority sets whose claim gets paid first when multiple liens exist. It depends on filing dates, titles, and law. Use the form to show facts that support your priority.

Default occurs when the debtor fails to meet the loan terms. It can be missed payments or other breaches. You may need to disclose default status and payment history.

Assignment means you transferred the lien to another party. If you bought or sold the loan, you must note that. Attach supporting documents that prove the assignment chain.

Release is the cancellation of the lien after payoff. If you released any part of your lien, disclose it. The remaining balance should match any released amounts.

A deficiency balance is what remains after applying proceeds or payments. You may need to show how you calculated the current deficiency. Provide dates and amounts used in your calculation.

FAQs

Do you need to be the original lender to file this form?

No. You can file as a current lienholder. If you acquired the loan, disclose the assignment history. Provide the purchase agreement or assignment documents. Make sure the chain of title for the lien is clear and complete.

Do you have to list every payment the debtor made?

You do not need a line-by-line ledger unless requested. You should provide a clear payment summary. Include total paid to date, last payment date, and current balance. Keep the full ledger ready in case the agency asks for it.

Do you need to attach the security agreement and note?

Yes, attach them if you have them. These documents establish the debt and your security interest. Include the signed note, the security agreement, and any title showing your lien. If you lack originals, include certified copies and explain why.

Do you have to include interest calculations?

Yes. Show the principal, interest rate, and interest through a specific date. State whether interest is simple or compounding. Include late fees or other charges only if the loan allows them. Show the formula you used or a payoff statement.

Do you list multiple pieces of collateral on one form?

Only if the loan covers them and the form allows it. If the form restricts entries to one item, use one form per item. Each entry must include full identifiers. Do not combine items if it causes confusion or incomplete detail.

Do you need notarization or a sworn statement?

Many lienholder statements require a signed declaration. Some require notarization. Check the signature area of your version of the form. If notarization is required, sign in front of a notary. Include the notary seal and date.

Do you submit the form electronically or by mail?

Follow the instructions on your notice or form version. Some offices accept electronic submissions. Others require physical copies. If you mail it, use a traceable method. Keep proof of delivery and a full copy of your package.

Do you need to update the form if the balance changes?

Yes, if the process is still active. File an amended statement when payments, interest, or charges change the balance. Reference the original filing and the change date. Update attachments if needed.

Checklist: Before, During, and After

Before signing

• Gather the loan documents: signed note and security agreement.
• Collect lien perfection proof: title, filing acknowledgments, or registration.
• Pull the debtor’s full legal name and address as shown on the loan.
• Confirm collateral identifiers: VIN, serial numbers, HIN, or other IDs.
• Prepare a payoff statement: principal, interest, and fees through a date.
• Print the payment history or summary and last payment date.
• Locate any assignment or transfer documents for the lien.
• Have the seizure or case notice with the case number, if applicable.
• Check insurance information, claims, or payouts related to the collateral.
• Confirm the contact person who can answer follow-up questions.
• Arrange for notarization if the signature block requires it.

During signing

• Verify the spelling of all names and the legal business name.
• Confirm addresses match your official records and filings.
• Check the case or reference number against your notice.
• Ensure the collateral description is complete and precise.
• Enter the current principal and interest with the correct date.
• State the interest rate and how it accrues. Avoid estimates.
• Disclose any defaults, repossession attempts, or recoveries.
• Note any assignments or subordination agreements.
• Review attachments cited on the form. Ensure they are included.
• Sign in ink. Use the title of the authorized signer.
• Complete notarization, if required, before leaving.

After signing

• Make a complete copy of the signed form and all attachments.
• File the package as instructed on the notice or form.
• Use a trackable method if you send physical documents.
• Record the submission date and tracking number.
• Calendar any deadlines for responses or amendments.
• Notify internal stakeholders and your servicer, if applicable.
• Inform the debtor and co-lienholders as needed.
• Securely store the form and proof of filing in your system.
• Monitor for receipt confirmations or requests for more information.
• Update your payoff daily as interest accrues. Be ready to amend.

Common Mistakes to Avoid

• Missing collateral identifiers

Don’t forget the VIN, serial number, or other unique IDs. Missing identifiers can delay processing or weaken your claim.

• Using rough estimates instead of exact figures

Don’t round principal or interest. Inaccurate numbers can undermine credibility and trigger document requests.

• Skipping proof of perfection

Don’t assume the form alone proves your priority. Missing title or filing proof can reduce or defeat your priority claim.

• Ignoring assignments or transfers

Don’t omit ownership changes in the loan. Gaps in the assignment chain can lead to rejection until cured.

• Forgetting required signatures or notarization

Don’t leave the signature block incomplete. Missing signatures or notarization can make the filing invalid.

What to Do After Filling Out the Form

• Submit the form and attachments to the office listed on your notice. Follow any format rules stated there.
• Keep confirmation of delivery or electronic submission. Save it with your case file.
• Watch for any deficiency letters or requests for more information. Respond by the stated deadline.
• If the balance changes, file an amended financial statement. Update the interest to a new “good-through” date.
• Provide copies to the debtor, co-lienholders, and your servicer if needed. Make sure everyone aligns on the payoff.
• If you receive proceeds or insurance payments, update your balance. Notify the reviewing office promptly.
• If the lien is satisfied or partially released, submit a release. Provide proof and a revised balance.
• If a decision affects your lien, calendar any appeal or response deadlines. Consult internal counsel as needed.
• Close the file after final resolution. Archive the form, decision letters, and proof of any releases. Follow your retention policy.