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May 10, 2016

Apps that Notaries have never heard of that could change your life

Here are some apps I researched that you might really like. The last app article we wrote was so popular, that we decided to create another one. Let us know which apps you are most “apt” to use in the future!

ORGANIZATIONAL

The 16 best scheduling apps
Just see this list and decide for yourself which one you like the most!
https://zapier.com/blog/best-meeting-scheduler-apps/

4 best shipping apps
These can be used with UPS, Fedex and other carriers. Read the list for yourself.
http://www.entrepreneur.com/article/224495

Wave
https://www.waveapps.com/
Create invoices wherever you are using your i-phone. Don’t wait until you get back home to bill that signing company, wave them an invoice right when you drop the package at Fedex. Wave will tell you if your invoices are past due, or have been viewed.

MileIQ
https://dashboard.mileiq.com
Track your miles for the IRS tax deductions with this app.

MileBug
http://milebug.com/
Keep a log and track your expenses on this popular app.

Evernote
https://evernote.com/?var=2
Evernote is a modern workplace that helps you can write notes of any type from lists, to research projects, to articles written by yourself or ones you found on the web.

NAVIGATION

On The Go Map
http://onthegomap.com/#/create
Map your route with On The Go Map with ease. You can even send it to your clients at a touch of a button.

Inrix
http://intrix.com/
Check road conditions at a glance. Map routes, get traffic maps and road alerts.

Waze
https://www.waze.com/
This app is a GPS, and community based traffic and navigation app. Waze will also help you find the cheapest gas on your route.

Beat the Traffic
https://www.beatthetraffic.com/
This app will tell you which route has the least traffic.

GENERAL

Lockify
https://lockify.com/
Send information to your clients encrypted. That way you ensure the confidentiality of the information just in case. Nobody has the key to your info — not even lockify. Your secrets will be bound, sequential, and under lock and key — all lockified up!

123notary.com/s
123notary.com/s
Look up signing company reviews. 123notary already has this for i-phones. It is a page, not an app, but what is the difference right? www.123notary.com/s

Gas Prices in US, Canada
https://chrome.google.com/webstore/detail/gas-prices-in-us-canada/ogiokghpcdfhbhfpmaapaniooojfigga?hl=en
This app helps you find out what up to date gas prices are like in any neighborhood in North America. Of course with gas getting so cheap, perhaps we don’t really need that app appter all…

TRANSLATION

iTranslate
http://itranslateapp.com/
Get Notary documents translated with this app. But, beware, not all computers translate as well as a professional human translator.

Google Translate
https://translate.google.com/
This is one of the most renowned hi-tech translation devices. Try it — it doesn’t cost anything.

iHandy
http://www.ihandysoft.com/apps.html
This app will help you translate directly from one language to the other. Just write a word or phrase in the box. It might really help when you have to ask your signer to raise their right hand and swear under Oath. “Tu jura esta documento es correcto?” “Oh, Ci….”

FICTIONAL APPS WE MADE UP

Notaryz
Find a Notary who does it all, and compare scores on standardized tests as well. (sorry, fictional app just for fun.)

Kullect
Trouble getting paid from signing companies? Use Kullect and let us do the work. We’ll harrass the signing companies until they pay you.

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You might also like:

Startup apps that could ruin the notary business
http://blog.123notary.com/?p=16579

New Apps for the iPhone7 that you’ve never dreamed of
http://blog.123notary.com/?p=10977

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May 9, 2016

Best Marketing Resources for Notaries

Are you a mobile Notary? Do you want to expand your business? It’s hard to get a lot of Notary business, especially in this economy. However, if you play your cards right, you can do amazingly well. Here are some of our best marketing articles for the new or veteran Notary to get ahead.

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ACTIVE MARKETING
Please consider that you need ACTIVE marketing as well as PASSIVE marketing. Active marketing involves contacting signing and title companies one by one in addition to Attorneys, hospitals, and anyone else you wish to work for. Active marketing will be more labor intensive in the beginning of your career as you do not start out by being on any organization’s list. However, once you are on the lists of at least 200 companies, then you will most likely be spending more of your time working and less of your time looking for work.

Also Read: How to start a successful mobile notary business from scratch
http://blog.123notary.com/?p=13340

Getting on board with Title & Signing Companies
http://blog.123notary.com/?p=14851

Dormant Contacts
Even after you are on the list of a company, you still need to contact them from time to time to just let them know you exist and want to work. We suggest that when Notary business is slow in the beginning of the month you schedule time to call your contacts who are dormant in hopes that they might actually use you one day.

Requirements for work
* Certain big title companies like Chicago Title require 500,000 E&O Insurance
* Other title companies want 100,000 E&O
* Some Notaries show off by having a million in E&O which is expensive and makes you a target for lawsuits.
* Others want a current background check from a reputable vendor such as the NNA or Sterling, but not necessarily from the other vendors.
* Some want vast experience as a Notary while others prefer beginners who will work for cheap. If you work for companies that hire beginners they will micromanage you. If you are tired of being micromanaged, try to work directly for companies that hire experienced and reliable Notaries.

Is an NNA background check really necessary to get work?
http://blog.123notary.com/?p=10385

Certifications
Many companies like it when Notaries are certified. But, there are many vendors offering certification and which one is the best? NNA certification is the most widespread and widely recognized in the industry. But, on 123notary, people looking to hire Notaries pick 123notary certified members more then twice as often as they pick Notaries who aren’t. My suggestion is to be certified by three or more agencies — that way you’ve covered all of the bases and will make quite an impression.

Printers
As a Notary, you should have a fast and reliable printer and perhaps a backup printer. Dual tray laser printers are the standard tool of seasoned Notaries. Single tray printers might be okay if you have software to figure out what size paper is for which document. Some Notaries print everything on legal although some Lenders might not appreciate that.

Professional Dress
Business casual is the official dress code for Notaries. No shorts, flip flops, tank tops, jeans or torn clothing please.

Low-Ball Offers
As a Notary, you will receive a lot of low-ball offers. Notaries complain endlessly about this. If you are not an experienced Notary, low-ball offers might be your ticket to getting experience. Personally, I feel that new Notaries do not merit high paying Notary jobs and should work for low fees. However, once you have educated yourself in the “art of the signing” and have paid your dues by accumulating an experience of more than 2000 loans, you should get paid at least an average of $110 per signing otherwise something is very wrong. The economy does change over time and wages change too, so be flexible and work for whatever people will pay you.

Related Content: Low-Ball Signing Companies? How to get biz directly from Title
http://blog.123notary.com/?p=14950

Cattle Call Notary Offers
http://blog.123notary.com/?p=9841

Setting Prices
Notaries need to be flexible and realistic about what they charge. Some Notaries are too snobby to take low paying jobs and end up starving. Other Notaries take too many low paying jobs and miss out on the good jobs because they are too busy working for peanuts and then spending their profits on gas, toner, paper, and other expenses. You need a sophisticated model for pricing that incorporates the time of the month (month-end is busier and should be more expensive) distance, timing, traffic, and how many pages the job will be.

* Base your prices on how long you estimate a job to take including traffic.
* Lower your prices at the beginning of the month when business is slow
* Expect to be paid poorly until you have at least 1000 loans signed
* To get paid well, you need a constant supply of regular clients who pay well which you accumulate over time
* You need to advertise heavily to get a constant supply of new clients in hopes that some will become regulars.
* You need to be on time, be nice, not make mistakes and get docs back on time to get rehired.
* Base job time on the name lf the Lender as packages from particular banks are normally a particular (+/-) number of pages and then factor in traffic on the route you’ll take at that particular time of the day, night or weekend.

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PASSIVE MARKETING
Passive marketing involves advertising on directories. Once your ad is out there, companies can find you. However, not all advertisements attract the same amount of business, and not all Notary directories are equal. Online yellow pages are yet another way to advertise as well as Google local, however we do not know much about the results of such advertising. Passive marketing is very powerful as you get motivated buyers calling you when they really need something done. However, most Notaries are neglectful in the creation and maintenance of their advertisements and do not get the full potential of their investment. A good Notary profile has reviews from satisfied clients, certifications, and a powerful and well organized notes section. You need to do everything right to maximize your results.

Where to advertise
123notary, Notary Rotary, Notary Cafe, and Signingagent.com are the four most powerful players in the Notary advertising business — in that order. You should advertise on all four with a paid listing. 123notary offers high placed listings. We suggest that you pass our certification before investing in a high placed listing. High placed listings get you more business as well as better quality (and better paying) Title company jobs — and it means that you will be seen first before people start scrolling deep and shopping around.

How to create an amazing notes section
We have written many articles on this overlooked topic which you should read and study. If you want to get ahead, become an expert at the art of the notes section. Companies read what you have to say about yourself, and if you have very little to say, or just a bunch of fluff, you are not likely to get hired. Notaries who do well have thorough and factual information about themselves that is neatly organized into paragraphs. They cover their areas of expertise, certifications, professional memberships, equipment, notes about what is unique about how they handle business, segments on their professional history before they were a Notary particularly if it has some sort of business or Mortgage related relevance, and more.

Everything you need to know about writing a good notes section
http://blog.123notary.com/?p=16074

2014 excerpts from great notes sections
http://blog.123notary.com/?p=13613

Being 24 hours helps a lot
If you want to get more business, offer service to more counties, and during more hours. It is just common sense — do the math. Some Notaries only want to service their home county during their “flexible” hours of 9-5 while others are 24 hours and cover eighteen counties. If you need to sleep, then limit your hours from 6am to midnight, but the more flexible you are, the more business you can accumulate.

Reviews are essential
We have written many blog entries on reviews and are publishing a comprehensive guide to reviews as well around the same time I publish this article. The important concepts to remember are:

* Six reviews will double your new business from our site
* After you have six reviews you will get a small marginal benefit from each additional review
* Well written reviews count more
* Don’t get multiple reviews the same day or it looks like you wrote them yourself
* Reviews that are three or more years old do not benefit you much, so always get new reviews.
* You might need to ask ten people to get a single review, but it’s worth it.
* Signing & Title companies are horrible about writing reviews since everybody bugs them to do it
* Individuals are easier to get reviews from, so do some jobs for individuals
* Ask for a review when someone compliments you on your work otherwise don’t ask.
* Email requests for reviews in addition to asking in person. Email them a LINK to your review page. That will take the work out of trying to find the page which I assure you people don’t have the time or patience to do.

Related Reading: A comprehensive guide to reviews
http://blog.123notary.com/?p=16290

Company Names
It will help you to have a company name in the long run. But, think long and hard about what you name your Notary business. Names with geographical significance are recommended. Names with notorial or Mortgage significance might be good. General business names that are not relevant to this industry might not be ideal.

Choosing a name for your business license
http://blog.123notary.com/?p=7103

Keep your information up to date
Many Notaries create a listing and forget about it. Your listing is like a plant — it needs to be watered and trimmed from time to time otherwise it will wither. Login to your listing every few months, we require it, and it is good for the popularity of your listing. Browsers can see the date you last logged in. If you login more regularly you’ll attract browsers that care about how well you maintain your listing. After all, if you neglect your listing, you might neglect their loan! Update your # of signings and touch up your notes section regularly with anything new that you learned or any new way you have of expressing yourself. You can also email us for free help with your notes section — and yes, we do free notary notes makeovers.

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ADDITIONAL READING

General Marketing

Long term marketing plans
http://blog.123notary.com/?p=15793

I signed up with 200 companies only to get work twice
http://blog.123notary.com/?p=15445

Notary Advertising

Unique notary notes phrases from the Ninja course
http://blog.123notary.com/?p=14690

7 ways to use Facebook to market your notary services
http://blog.123notary.com/?p=5396

Pricing & Income

$40 for a signing 72 miles away?
http://blog.123notary.com/?p=14959

What is the difference between getting 16 clicks per day & 100+?
http://blog.123notary.com/?p=13185

How much more does a 123notary certified signer make?
http://blog.123notary.com/?p=15392

Here is another way to make $4000 more per year
http://blog.123notary.com/?p=14162

Is $75 enough to print 2 sets of docs & do faxbacks?
http://blog.123notary.com/?p=10369

He made $35,000 a month his first year in business
http://blog.123notary.com/?p=3894

Other

Which tasks can you do which are worth $1000 per minute?
http://blog.123notary.com/?p=4113

123notary behind the scenes
http://blog.123notary.com/?p=2499

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May 7, 2016

2016 Most Active Signing Companies

Here are the most active siging companies of 2016. They may or may not be the best ones, but at least they are still in business and actively being commented on!

BNN Services
http://www.123notary.com/forum/topic.asp?TOPIC_ID=4694

Diamond Star Notaries
http://www.123notary.com/forum/topic.asp?TOPIC_ID=6418

Epic Real Estate Solutions
http://www.123notary.com/forum/topic.asp?TOPIC_ID=7107

FASS
http://www.123notary.com/forum/topic.asp?TOPIC_ID=2829

Field Choice
http://www.123notary.com/forum/topic.asp?TOPIC_ID=4677

Great Lakes Settlement
http://www.123notary.com/forum/topic.asp?TOPIC_ID=6802

Loan-Closers
http://www.123notary.com/forum/topic.asp?TOPIC_ID=2293

Loan Processing Center
http://www.123notary.com/forum/topic.asp?TOPIC_ID=4934

Mortgage Connect LP
http://www.123notary.com/forum/topic.asp?TOPIC_ID=3430

N3 Notary
http://www.123notary.com/forum/topic.asp?TOPIC_ID=2095

National Loan Closers
http://www.123notary.com/forum/topic.asp?TOPIC_ID=3755

National Preferred Notary
http://www.123notary.com/forum/topic.asp?TOPIC_ID=6118

Notaries Express
http://www.123notary.com/forum/topic.asp?TOPIC_ID=2058

Notaries to You
http://www.123notary.com/forum/topic.asp?TOPIC_ID=1041

Signature Closers – OH
http://www.123notary.com/forum/topic.asp?TOPIC_ID=4901

Signing Stream
http://www.123notary.com/forum/topic.asp?TOPIC_ID=5872

Signing Trac
http://www.123notary.com/forum/topic.asp?TOPIC_ID=5761

Skye Closings
http://www.123notary.com/forum/topic.asp?TOPIC_ID=3714

SoCal Signings
http://www.123notary.com/forum/topic.asp?TOPIC_ID=2784

The Closing Group
http://www.123notary.com/forum/topic.asp?TOPIC_ID=2976

Timios Title
http://www.123notary.com/forum/topic.asp?TOPIC_ID=4907

TL Signing Service
http://www.123notary.com/forum/topic.asp?TOPIC_ID=2373

Title Resource Group – TRG
http://www.123notary.com/forum/topic.asp?TOPIC_ID=5077

Trusted Signing, Inc.
http://www.123notary.com/forum/topic.asp?TOPIC_ID=6833

WFG
http://www.123notary.com/forum/topic.asp?TOPIC_ID=5117

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April 19, 2016

Good Deed Bad Deed

A deed is a document that transfers ownership of real estate from grantor to grantee. As there are usually two parties involved, the grantee wants to “receive the most” and the grantor wants to “give the least”. For this reason there is a gradient of “what is given”, ranging from virtually nothing being assured, to virtually absolute assurance going to the grantee.

Quit Claim Deed – used to transfer whatever ownership the grantor may have, possibly none whatsoever due to a title flaw. Grantee has no recourse. It’s also used to change vesting errors when a spelling error is in the vesting. It makes no warranty whatsoever.

Fiduciary Deed – issued by an agent (trustee, guardian, executor) acting in official capacity. Only the authority of the agent is warranted, think Quit Claim by other than “owner”. Often used by estates, trusts, sheriffs sales.

Bargain and Sale Deed – similar to Quit Claim, but the property is being sold rather than just relinquished. It does not guarantee that sellers’ ownership of the property is free and clear. Often used to transfer court seized property where the title chain is uncertain.

Trust Deed / Deed of Trust – used to secure a mortgage or note. It gives the trustee (typically the bank) the right to sell the property if the borrower defaults.

Grant Deed – provides assurance that the grantor owns the property and has not previously sold the property. And that there are no liens or encumbrances (made by the grantor) unless disclosed in the deed. Essentially saying the property is free of debt (of or by the grantor).

Special/Limited Warranty Deed – the grantor warrants clear title except for issues that existed prior to the grantor taking possession or are mentioned in the deed. Essentially the grantor is giving assurance that they did nothing to hinder clear title transfer. But, issues typically unknown to seller regarding title are not covered. Usually title insurance is required with the S/L WD to obtain bank approval for loans.

General Warranty Deed – Grantor conveys, without limitation, all of their right, title and interest to the property. Guaranteeing they are the rightful owner, property is free and clear of all encumbrances and debt (unless mentioned in deed). A key provision is that the grantor warrants the entire title chain, including issues prior to their taking possession to be clear, similar to title insurance. Grantor warrants having current title and possession.

Thus at one end of the spectrum is the quit claim deed, essentially saying “if it’s mine, it’s yours”; to the general warranty deed. With the GWD giving assurances as to clear ownership and the “Covenant of Quiet Enjoyment”. The COQE assuring the grantee will not be disturbed or dispossessed by a party having a lien or superior title. As is so often the case with legal documents, the devil is in the details. Fortunately, the title of the deed can quickly eliminate formats that are undesired. However, deeds are usually associated with purchases involving large sums of money, often the largest single purchase in a person’s lifetime. Many review the HUD, TIL, Note and Mortgage very carefully. But, they assume “a deed is a deed”. It’s best to have a skilled real estate attorney explain the deed prior to signing this important document.

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You might also like:

The Closing Disclosure
http://blog.123notary.com/?tag=closing-disclosure

The Signature Affidavit
http://blog.123notary.com/?tag=signature-affidavit

The Compliance Agreement
http://blog.123notary.com/?tag=compliance-agreement

Our string on Power of Attorney posts
http://blog.123notary.com/?tag=power-of-attorney

The Deed of Trust
http://blog.123notary.com/?tag=deed-of-trust

Affidavits — in general
http://blog.123notary.com/?tag=affidavit

Index of information about documents
http://blog.123notary.com/?p=20258

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April 11, 2016

Minimum wage for Notaries

I was thinking about this yesterday. Notaries would be much more happy if there was some sort of a minimum wage. I remember Ben Carson claimed that there should be a separate minimum wage for people fresh out of high school or college otherwise they might never get hired. Personally, I think the government should stay out of wage setting as it creates artificial market situations which might make it too expensive to do business. If someone is sluggish, minimum wage might be more than they merit. And when you combine minimum wage with taxes, insurance, unemployment, and the rest, it might lead many to outsource their work overseas!

Our average Notary averages $105 per signing.
But, you can’t outsource Notary work overseas — at least not yet. Notaries would feel like they were being treated better if they were paid a fair wage. On the other hand, Notaries surveyed half a year ago were averaging about $105 per signing which is not bad at all. Just because you get bad offers doesn’t mean that you actually do signings for $60. It is sort of like looking at the asking prices for houses on the market. The asking price and the sale price are often very different and will give you a distorted view of the market.

Do beginners have merit?
In any case, I feel that beginner Notaries with no experience and no 123notary certification do not merit a minimum wage. Most of the Notaries I test by phone do not know their documents, signing terminology and additionally do even worse when I ask them simple Notary questions. The fact is that we have a lot of unqualified people out there who feel they are worth a lot. In addition to minimum wage for Notaries, I feel there should be minimum standards as well. I feel that our new 30 point test should be the standard, and a particular test result such as a 14 or 15 should be the minimum to be hired at all.

What should qualified Notaries make?
A Notary who has signed 400 loans (and an prove it with journals) and who has passed the 30 point test with an adequate score in my opinion is entitled to some sort of standardized minimum wage. I feel that

$60 per signing of 5-99 pages
$65 per signing of 100-125 pages
$70 per signing of 126-150 pages
$80 per signing of 150+ pages
10 cents per page for printing
50 cents per page for fax backs

I feel that a Notary with good test scores who has signed 4000 or more loans deserves a lot more than this, but the market can determine their value. Just because you test well, doesn’t mean you show up on time, well dressed and with a good attitude.

What do you think a fair minimum wage for qualified Notaries should be? What about for not so qualified Notaries?

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You might also like:

$40 for a signing 72 miles away?
http://blog.123notary.com/?p=14959

Is $75 enough to print 2 sets of docs, notarize & do faxbacks?
http://blog.123notary.com/?p=10369

The “Met my fee” list of signing companies
http://blog.123notary.com/?p=16979

A Notary Union? How would that work?
http://blog.123notary.com/?p=18878

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March 16, 2016

Can you send a loose acknowledgment? You should hear the answers

I asked a Notary the following questions.

Can you send a loose Acknowledgement if the Grant Deed you already Notarized and send it had a smudgy seal?

The Notary said, that yes you could. You just attach it to the Grant Deed.
I replied back that if you attach the certificate to the Grant Deed, that it would no longer be loose. It is kind of like asking if a virgin can be sent in the mail and you say — yes, she just has relations with Tim and then you can send her. If the virgin had relations with Tim she would no longer be a virgin just like the Acknowledgment Certificate on the Grant Deed would no longer be loose if it were attached to the Grant Deed. On a brighter note, if Tim were the only lady that the “virgin” had relations with, at least she would not be considered to be “loose” like the acknowledgment whose final words were, “Baby, I’ll attach myself to any document… anywhere… any time…”

Legal or not?
Many Notaries feel that it is fine to send a loose Acknowledgment in the mail. This is actually not legal in most states. Acknowledgments should be attached by a stable to the document they are associated with. If the stamp was smudgy on the initial acknowledgment, some states might allow you to destroy the original acknowledgment and add another non-smudgy one in its place. But, no state will allow there to be two acknowledgments for one Notarization floating around. That is just plain crazy.

California?
California wants Notaries to completely re-do smudgy signings. You would have to go back and visit the signer all over again, get a new signed journal entry, and do the Notarization as if you were doing it for the first time if God forbid — there was a smudge.

Summary
The way to handle Acknowledgments with smudges varies from place to place. But, you need to know what the law says so you don’t do something stupid. Most Notaries that I talked to do not have a thorough understanding of the law about this topic.

You might also like:

10 tight points on loose certificates
http://blog.123notary.com/?p=15449

Sending loose certificates is illegal
http://blog.123notary.com/?p=2470

Notary Certificates, Notary Wording & Notary Verbiage
http://blog.123notary.com/?p=1834

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August 10, 2015

Many notaries who previously wouldn’t leave the house for <$125 are working for peanuts.

Even some of our most seasoned notaries have gotten so desperate that they are forced to work for less than they feel they deserve in terms of Notary wages or fees. We’ve had notaries who had strict policies of working for no less than $125 or $100 forced to do Notary jobs for $60. Some take this emotionally, while others realize that we all have to eat, and that a notary’s gotta do what a notary’s gotta do. On a brighter note, the price of gas went down by more than a dollar, so your expenses are a lot less now!

Notaries make the mistake of trying to figure out what they “should” get paid or what is “fair.” In the world of business there is no should and there is no fair. In foreign countries people doing the exact same job you are doing might only make $5 or $10 per day, so is that fair? As people living in America, you have it better than any other country, even Canada. Of course a well off person in a foreign country is likely to be better off than you, but someone doing the same Notary job you are is probably a lot worse off. The point I am trying to make is that fairness can only be viewed in perspective. But, even if you can figure out a very equilateral viewpoint of fairness, it won’t do you any good. The universe gives you what it gives you. It decides how much it is going to give you and you just have to work with what is given to you. Forget about fair, and just do the best you can.

Do you see people working at gas stations shaking their head saying, “It just doesn’t seem fair that we have to sell gas at $2.40 per gallon now. We’re doing the same work we were doing when it was $4.00 but getting paid close to half for the same work.” No, they just go about their business and do the best they can which is what you should be doing. Try and do as well as you can as a notary regardless of what the external conditions are. If things get too slow, you can try to supplement your income with other tasks or jobs. In the worst case scenario, if it is really slow, it might be time to get a full time job and moonlight at night doing notary work.

In my opinion, the market for notaries and Notary jobs will bounce back eventually. I’m not sure when. It really depends on a variety of standards. If it has been many years since people could refinance, they will get more and more anxious to do so, even if the percentage of equity they can borrow upon is low. If housing values go up, or interest rates go up, and then down, there could be more refinances. Or, if banks simply lower their standards for who can borrow money, we might see more loans going through. We live in a changing world, and markets go up and down.

Look on the bright side, maybe North Korea will get rich and start buying up property in your area. That will drive the price up, and then there will be more refinances. On the other hand you might have more competition from “Un Notary service” if Kim John Un becomes a notary! Picture him being your neighbor!

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You might also like:

My interpretation of how the Notary industry went South
http://blog.123notary.com/?p=16500

VA signings for $85 with 200 pages?
http://blog.123notary.com/?p=15879

Notary Marketing 102 – Table of Contents
http://blog.123notary.com/?p=19774

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June 23, 2015

Loan Signing FAQ’s That Borrowers Ask

Many notaries go to the signing table unaware that there are many frequently asked questions that they might not know how to answer. I’m going to list a few here, but our list might expand as time rolls on. Feel free to contribute some FAQ’s of your own that you came accross.

(1) Why is my APR higher than my Rate?

(2) Do I have a prepayment penalty and where can I find that information?

(3) Where are my settlement fees and the costs of the loan documented?

(4) When is my first payment due?

(5) Can I cancel my loan? How many days do I have? How do I cancel my loan?

(6) Do I sign my name with my middle initial?

(7) Why do I have to sign my name this way?

(8) Do you know how to reach my lender now? I don’t have his number in front of me.

(9) Am I in a flood zone?

(10) Do I have mortgage insurance?

(11) If I am a spouse, which documents should I sign? I thought I was on the loan.

(12) Does this property need to be my primary residence?

(13) Can I lease this property out to others during the Mortgage?

(14) What is the penalty if I am late on any of my payments?

(15) Why is my information wrong on the 1003?

(16) How come the information is different on the Good Faith Estimate and the Settlement Statement?

(17) How much can my rate go up if interest rates for up for my Adjustable Rate Loan.

(18) When my Adjustable Rate Loan graduates, will it still have a cap, but not a gown? (sorry for the bad humor)

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You might also like:

Acknowledgment FAQ
http://blog.123notary.com/?p=21331

Certain things you don’t learn from experience
http://blog.123notary.com/?p=22572

Do you take control at a signing
http://blog.123notary.com/?p=21104

How much pay do you merit as a signing agent?
http://blog.123notary.com/?p=19188

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March 22, 2015

Point (13) Call The Lender? Finding the Prepayment Penalty

Marcy had been studying up. She didn’t want to make a fool of herself anymore. She went to her next signing prepared.

MARCY: Hi, I’m Marcy, and I’ll be your Signing Agent tonight.

GLORIA: Oh wonderful. It is so nice to see a well prepared Notary.

MARCY: We can start here with the Deed of Trust and I’ll explain the documents as we go along unless you want to start with the HUD and work our way back.

GLORIA: Oh, very sophisticated. You sound like one of those really experienced Notaries who has signed 3000+ loans and advertises on 123notary.com.

MARCY: Well, I’ve signed about 20 by now, and I’m only 2980 short of 3000. I am working on the 123notary course, but haven’t finished it yet, but I’m almost there.

GLORIA: Great. The Deed is fine, the Note is fine, now, why is my APR higher than my Rate in my Note?

MARCY: I just studied this… I know the answer. The APR is the annual percentage relationship between the payments and the amount borrowed, minus the fees. This rate is often used to compare the different loans borrowers have to choose from. The APR is almost always higher than the rate. The rate, on the other hand, is a monthly percentage relationship between the payments and the total amount borrowed, including fees.

GLORIA: Wow, very professional. You are even better prepared than the notaries who signed 3000 loans. They just told me, “It is the cost of the loan expressed as a percentage rate.” Your answer was so professional.

MARCY: I spent two hours memorizing it and I practice daily so I won’t look like a fool.

GLORIA: Oh, no, you don’t. I’m going to tell your boss that you are the best Notary I’ve ever had, and we refinance every five years. Now, where is my prepayment penalty?

MARCY: Oh, just look on the Truth in Lending.

GLORIA: Okay… It says that I will, won’t or might have a prepayment penalty. I’ve gotten more decisive answers from a magic 8 ball. Can you do any better than this?

MARCY: Oh, hmm. I thought it was there. Do you want to call the Lender?

GLORIA: Sorry to lecture you after I complimented you, but aren’t YOU supposed to know this?

MARCY: We could call the magic 8 ball? Better yet, let’s call the Lender.

(ring-ring)

FRANK: Yeah, Frank here.

MARCY: You are the first Lender in human history to actually answer his phone.

FRANK: Glad to be of help.

MARCY: Your customer wants to know what the terms of her prepayment penalty would be.

FRANK: You mean my BORROWER. Never call them customers. Gloria DiStefano. She doesn’t have one.

MARCY: Where is that documented – In the Prepayment Rider?

FRANK: No, if there is no prepayment penalty, then there definitely won’t be a rider. Check the Note. Anything else?

MARCY: We’re good. That was fast. 45 seconds exactly not that I’m counting.

GLORIA: I’m on it. I thought we went over the Note. I guess I skimmed it too fast. Here it is. It says I don’t have a prepayment penalty. Great. I’ll pay the whole thing off tomorrow. That was easy.

MARCY: Sorry, I’ll study harder. But, I am doing so much better than three weeks ago when I first started. I hadn’t a clue then, but now I get most of the questions correct.

GLORIA: That’s good, but you need to get ALL of the questions correctly and handle all situations like a pro if you want my business!

MARCY: Sadly, you are right. I’ll finish my course and review it regularly. I might even take a few other courses too.

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Point (13) Calling the Lender
Notaries are often confused about when to call the Lender. Some Notaries are over-confident and never want to call the Lender while other Notaries call whenever the borrower sneezes. A high quality Notary knows when to call the Lender and when not to bother the Lender. You have to understand many of the common situations that arise when you have a small problem. If you call the Lender, leave a message, and wait 20 minutes and then call again. Call other entities related to the loan too if you can, such as the Signing Company, Escrow, Title, etc. If the Lender does answer, the borrower might talk to them for 45 minutes while you are running late to an appointment. You will save a lot of time and aggravation if you ONLY call the Lender when you absolutely need to.

The 1003
The 1003 Universal Residential Loan Application is the one document that is universally wrong. There are always mistakes on everybody’s 1003. I’m not sure if there is a law requiring it to always be wrong, but it seems like there is some sort of cosmic law mandating that. Since the 1003, and the Good Faith Estimate are not final documents, don’t worry too much about it. Just make sure that the HUD Settlement Statement is correct, otherwise you’ll have to redraw your loan!

The APR
Many borrowers ask why the APR is higher than the Rate. If you study and rehearse explaining the APR, you can save yourself the time and aggravation of calling the Lender only to find out they are not able to answer their phone. The borrower will feel a lot better, and you will have one less problem at your signing.

The Prepayment Penalty
Borrowers ask about their Prepayment Penalty all the time. Look for it either in the Note, or the Prepayment Rider if there is one (and once in a while there is) The borrower can read the terms themselves instead of being frustrated that they can’t find it.

Letter of Instructions
Consult the letter of instructions before beginning any loan. That way you will know what to do if there is a problem. There might even be phone numbers in the instructions.

Specific Questions
If a borrower asks a question that is specific to their loan, call the lender. If they ask a general question about what information is in what loan document, you should know. Study up!

The RTC
What if the borrower signs in the wrong place on the Right to Cancel? Just go to the borrowers’ copies and get a fresh copy. You just saved yourself a lengthy discussion with the Lender.

Errors on Certificates
If there is an error on a Notary certificate, this is purely for the Notary to resolve. Don’t get the Lender involved in your job as you should know your job.

When is my first payment due?
Look in the TIL, HUD, Payment Coupon, but don’t call the Lender unless you have to.

Power of Attorney Signings
Call the Lender regardless. Even if you know exactly how to sign, call the Lender to confirm. Power of Attorney signings are rejected 70% of the time in my experience even if they are done correctly.

If the names printed on the documents are spelled wrong
If there are any problems with names of signers on the documents, you should call the Lender. If the ID doesn’t match the borrower’s name printed on the document, you have a problem. The Lender might not care about what Notary law says, but does want to get the loan signed. If the signer is not comfortable signing the way their name is typed on the document, the loan will probably not fund otherwise, but you can call the Lender or read our section about the Signature Affidavit.

Missing docs or docs the borrower won’t sign
If you are missing any of the loan documents that normally appear in a package, sign the ones that are there, send them back, and call the Lender immediately upon discovery that you are missing a document. Or, if a borrower won’t sign a particular document, call the Lender. You can send it back unsigned at the top of the stack. Or, if the borrower wants to keep it and send it back after talking to the Lender, that is another common option.

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You might also like:

30 Point Course Table of Contents
http://blog.123notary.com/?cat=3442

30 Point Course (14) Explain or Don’t Explain
http://blog.123notary.com/?p=14440

Industry standards in the Notary business
http://blog.123notary.com/?p=4370

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March 8, 2015

Point (10) Signature Affidavit; Marcy Cancels the Signing

Our friend Marcy had screwed up a few signings by now. But, she wouldn’t give up. She was determined. She was unfortunately determined to go out there because her friends told her to have confidence and go out there. What she really needed to do is more studying before she screwed up anyone else’s loan. Maybe after this screw up she’ll hit the books before she accumulates some more bad karma.

ROCHESTER: Hi, you must be Marcy, the Notary.

MARCY: Sure, yes, just call me Marcy. Oh, that’s what you called me. Yes, I usually go by Marcy.

ROCHESTER: So, can I offer you a glass of orange juice before the signing?

MARCY: Yes, that would be wonderful. But, we’ll put it on a separate table or chair. I don’t want to tell you what happened at Starbucks a few days ago.

ROCHESTER: Oh, I love Starbucks. How could anything go wrong there?

MARCY: Oh boy. Let’s not talk about it. Let’s just make sure nothing goes wrong here.

ROCHESTER: Nothing can go wrong. I went over all the numbers with my Lender this morning. Just relax.

MARCY: Okay, no surprises then. Here are the documents. Let’s sign away.

ROCHESTER: Okay, hmmm. Uh-oh. My name.

MARCY: Your name? Your name is Rochester Smith.

ROCHESTER: That’s the whole thing. The docs have my name as Rochester T Smith. I never sign that way.

MARCY: No problem, I have the Lender’s phone number on speed dial, and your ID has your name as… uh-oh!!! (ring-ring) hmmm, he doesn’t seem to be picking up. Typical Lender. Always there to sell you a loan, but never there when you’re at the signing and something goes wrong. I think we need a 3-way appointment next time to make sure they are available. I’ll just leave a message.

ROCHESTER: Well, I can’t sign like this. I never sign with my middle initial.

MARCY: I can’t notarize you with the middle initial anyway since it is not on your ID.

ROCHESTER: Well, we’ll have to end the signing then. I’m so sorry Marcy.

MARCY: Oh, it’s okay.

Little did Marcy know that she could use the Signature Affidavit and AKA statement to write in all of Rochester’s name variations including the one without the middle initial. They could sign the docs as one of the variations such as printed on his ID, and the loan would go through unless the Lender objected. Lender’s often plan on selling the loan, so they don’t want too many (or any) discrepencies. Since Rochester wouldn’t be able to get another ID, the Lender wouldn’t have too much choice in the matter other than to forfeit the loan after his many hours of involvement. Once again, Marcy ruined another loan because she didn’t do her homework. Sounds like some of the notaries on 123notary who didn’t want to take additional certification courses and tests because they didn’t “need” to. Oh well. Perhaps it is really the Lender’s fault for choosing an untested Notary.

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Point (10) The Signature Affidavit and AKA Statement

Signature Affidavit
There are many variations to this one. Here are some other names: Name Affidavit, Signature Affidavit and AKA Statement, Signature Name Affidavit, etc. These documents are often sworn oaths; if so, make sure to have the borrower(s) raise their right hand and swear to the correctness of the document or whatever the document asks them to swear to. This document is the one where people have to, or are allowed to, list all of their names including previous names from a long time back.

Generally, the name that the borrower is using in all of the documents appears on the top of the page; they have to sign to the right of that. Then, if they have name variations, those will be listed below. The printed name variations are usually on the left while the borrowers should sign to the right. The spelling of the names on the forms are not always correct. The names are obtained from credit reports that, at times, have the names misspelled. Keep your eyes open. Be sure that the borrower signs the variations exactly as they are spelled. Watch them like a hawk. Borrowers always screw this document up. If the names are not their real names, explain to them that the information came from credit reports. The data entry clerks who work at the credit bureau don’t always have good spelling skills. However on this particular document, the borrower has to sign exactly the way the misspelled name is anyway.

Notarizing the Signature Affidavit
This document is almost always notarized. Be careful doing your acknowledgment wording. If the person has one or more name variations, then the wording should be as follows (this is the California wording, it may not apply in other states, and I’ll skip the beginning wording):

The person(s) [cross out the ‘s’] whose name(s) [don’t cross this ‘s’ out although it is a habit] is/are [cross out the ‘is’] subscribed to the within instrument and acknowledged to me that ——— by his/her/their signature(s) [keep the ‘s’] ——-

It is difficult to remember how to fill out the wording for a single person with multiple names. Please refer to the Signature Affidavit in the sample document section to see how the wording is done.

The most important fact about the Signature Affidavit: If a borrower insists on signing in a way that is different from the name printed on the documents, the loan will often (not always, but often) still go through if that name they are using during the signing shows up in the Signature Affidavit. As always, ask the Lender before you use any name variation that is different from what is printed on the signature area of the documents. But, if the Lender doesn’t answer their phone — and they often don’t, then you are forced to use the skills you learned by learning the ropes! Just be sure not to hang yourself with one.

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You might also like:

The 30 Point Course Table of Contents
http://blog.123notary.com/?cat=3442

30 Point Course (11) Following Directions
http://blog.123notary.com/?p=14379

The Signature Affidavit
http://blog.123notary.com/?s=signature+affidavit

The Signature Name Affidavit: Not a substitute for an ID
http://blog.123notary.com/?p=3823

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