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February 14, 2017

TRID Information courtesy of Carmen

Filed under: (4) Documents,Popular on Twitter,Popular Overall — Tags: — admin @ 12:48 am

So what is TRID?
It is ‘TILA/RESPA Integrated Disclosure’ rule, also known as TRID. Since this rule is designed to help borrowers understand the terms of their home financing transaction, there is a trend to start referring to this rule as the Know Before You Owe rule instead of TRID. The Know Before You Owe rule took effect October 3, 2015. Follow link below to see and print out forms,

http://www.consumerfinance.gov/know-before-you-owe/

What it means for the borrowers?

When the borrower starts first shopping various lenders for a loan they receive a ‘loan estimate’ (they can receive many of these to compare lenders). Once they make a decision and choose the lender they then they will receive a ‘closing disclousure’ 3 days in advance for review. It all the terms are agreeable and no changes need to be made, after the 3rd day docs can be drawn.

A new Closing disclosure has taken the place of the TIL (Truth and Lending) and The HUD (Settlement statement). This new disclosure has everything regarding the borrowers loan. Please refer to attached sample. The borrower is supposed to receive the Closing Disclourse (or Cd as we have named it) within 3 days of the docs being drawn. This is mandatory. There is now no surprises at the signing table. Keep in mind some title and escrow companies still use a HUD-1 in conjunction with the new CD. I have noticed this with purchases.

What this means for the notary signing agent? For us this means less delays in getting the documents and less questions at the table. The borrower is now already aware of the numbers and terms. The signings go much faster.

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You might also like:

Ken’s tips for the closing disclosure
http://blog.123notary.com/?p=17116

The closing disclosure itemized
http://blog.123notary.com/?p=16217

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

The 30 point course – a free loan signing course
http://blog.123notary.com/?p=14233

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February 12, 2017

Racial issues at a signing

Filed under: Drama & Tragedy,Popular on Twitter — admin @ 9:36 pm

Shelly went to a Notary signing. The minute she arrived, she could feel extreme tension. The husband was listed as an entity on the loan application, but the wife was the one taking command. Shelly was (and still is) white, and the couple was black. I’ve done hundreds of signings in black homes and without issue — however, those signings were done before people had a reaction to Donald Trump’s political presence.

Racism was at an all-time low from around 1997 to mid 2015. And then it started up again. There were more protests, riots, clash between minorities and police, the Black Lives Matter movement, etc. But, during the last few months of 2016 it turned violent. I witnessed people being beaten in the street over race — strangers beating strangers with no provocation. Can we blame Donald Trump for this insanity? After all, he has done nothing to anyone (yet) and was only speaking his mind in his own non-sugar coated way.

The husband and wife started going through the Loan Estimate. They went through every fact and figure with a fine toothed comb because they had prejudged that something must be wrong and that everybody was out to get them including the Notary, Lender, Donald Trump, Title, Escrow, and Sam down at the butcher shop (I made the last part up.) They were basically trying to confirm their baseless suspicions by finding something wrong with the paperwork.

When the Notary tried to smooth things over, the couple called the Loan Officer and commented about how terrible the Notary was. The Loan Officer failed to return the Notary’s calls but called the party that hired them for the loan (whomever that was.) The Notary’s reputation had been slandered, tarnished, and she didn’t want to lose her client. Shelly’s reputation was on the line here for a crime she didn’t commit. Was racism to blame?

Shelly comments that if people are negative about the process from the getgo, they will create problems that weren’t there in the first place. Too true Shelly. I agree completely. But, the main thing is to stay out of the loan. The loan is not your business. It is not up to the Notary to determine if there is something wrong with the loan. You just make sure they sign where they are supposed to and notarize the signatures.

Shelly has signed hundreds of loans for people of all communities in her area and treats people equally. It looks like she was not treated equally in return this time.

The moral of the story is, if you walk into a tense situation as a Notary — just do your job and don’t make comments. Be neutral. It’s not your problem. If someone fires you for reasons beyond your control, just state your side of the story and it is their loss if they lose you because you are a good Notary who did nothing wrong and has a 99.9% accuracy rate (or so you claim.)

You might also like:

Black Notaries vs. White Notaries — comedy edition
http://blog.123notary.com/?p=17455

Demographics in the Mobile Notary business
http://blog.123notary.com/?p=15359

I’d rather stop being a Notary than carry a gun
http://blog.123notary.com/?p=15896

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December 21, 2016

DOJ — and the risks of unsupervised notaries public.

On Feb 9, 2012, the Department of Justice released some settlement terms for some of America’s largest lenders regarding the mandate of proper training and supervision of notaries. In October, the Consumer Financial Protection Bureau released their Examination Manual which included requirements for the proper and correct execution of notarized documents.

There are risks to hiring uneducated and unsupervised notaries. Many do not know how to give Oaths, or properly fill out Acknowledgment or Jurat Certificates. Companies are exposed to losses should their notaries make serious mistakes. If you hire notaries, you should make sure you find a way to test them on basic notary procedures and inspect the forms that they fill out. Additionally, you should ask them all about what types of identification is acceptable and how to fill in journal entries. More than half of commissioned notary publics really don’t know what they are doing.

February 9, 2012, the U.S. Department of Justice released settlement terms for some of the nation’s largest financial institutions; including the mandate of proper training and supervision of notaries public. October 2012, the Consumer Financial Protection Bureau released their Examination Manual which includes requirements for proper execution of notarized documents.

For years, educators and advocates of notaries public have warned employers of the risks associated with uneducated and unsupervised notaries public. Employers of notaries public can no longer ignore the risk to which these vital employees expose our institutions and companies. This live audio conference outlines the critical protections your company should put in place to protect your reputation and financial assets, above any statutory or regulatory responsibility to do so. In addition to the relevant settlement released in February 2012, precedent setting case law demonstrates the need for employers of notaries public to take a closer look at their notary education standards, management program, and disciplinary actions to protect their company and business transactions from losses that result from unrelated or from their own uneducated notaries public. Considering that the majority of the commissioning agencies of notaries public do not require any education of your notary-employees; your company is exposed to losses as a result of their errant processes.

After completing this live audio conference, you will understand basic notarial responsibilities, identify specific actions of notary-employees that expose your company to risk, and be able to implement a management and supervisory program that includes basic notarial education and performance expectations for all notary-employees.

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December 20, 2016

The Universal Residential Loan Application — AKA, the 1003

The Universal Residential Loan Application is a common loan document. Also known as the 1003, this document is very disturbing to the borrowers as it contains routine errors in its personal information about the borrower. This document goes over where the borrower is from, their age, where they went to school, what their income is, and social security number. It is very common for the clerks who create this document to make a plethora of mistakes.

There is often a blank page on the 1003 that says, this page intentionally left blank. That bothers borrowers as well. Some like to put a diagonal line through that page.

Backdating. Sometimes the 1003 is backdated or the lender will leave instructions not to date it at all. Why? Because the borrower, most likely, has submitted a more user-friendly form to the borrower, of which contains the same information that the 1003 does. At a closing you are often pretending that you are signing the 1003 when the borrower filled out an earlier version of the application several weeks prior to the signing. As a Notary, just don’t backdate Notary documents. But don’t worry, this one is not a Notary document, and you aren’t backdating, the borrower is.

Signing and initialing. There are different formats for the 1003. Many of the pages have one-centimeter initial lines in the bottom right corner. Keep your eyes peeled, as the different formats of this document have different arrangements. On some variations of this document, one of the pages is blank for the most part. Sometimes, you will need to have the borrower initial and sign the same page (which seems strange). Sometimes the initial lines aren’t easy to see. Sometimes you initial on top. Just make sure to check the document through and through. If you are not sure if a particular document needs an initial, it is generally a good idea to have the borrowers initial it. When in doubt, initial.

The good news is that the information in the Universal Residential Loan Application is not binding. Just make sure that the information in your Closing Disclosure or HUD is correct because that is final and binding information.

To learn more about loan documents, you can visit our free online 30 point course which goes over all of the major loan documents in a loan signing.

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You might also like:

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

The 30 point course – a free loan signing course
http://blog.123notary.com/?p=14233

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December 13, 2016

The Good Faith Estimate

Filed under: (4) Documents — Tags: — admin @ 9:49 am

The Good Faith Estimate may or may not be used anymore in loan signings as the new Closing Disclosure has an accompanying document called the Closing Estimate as of 2015. However, it is possible that some Lenders still use a Good Faith Estimate as different Lenders use different forms and variations on forms.

The Good Faith Estimate documents an estimate of what the various closing costs will be. The final numbers show up on the Closing Disclosure or HUD Settlement Statement. It is important for borrowers to understand which document is final and which one is merely a non-binding estimate.

The good faith estimate must be provided within three days of applying for a loan. Costing costs could include inspections, title insurance, taxes, appraisals, notary fees, title charges, reserves, and other fees.

How do I get a Good Faith Estimate Notarized?
If you need to notarize a Good Faith Estimate, just find a Notary on 123notary.com. However, The Good Faith Estimate is not normaly a notarized document, so save your money for getting your Deed of Trust notarized as that is always notarized in my experience!

Who drafts the Good Faith Estimate
It is normally the Lender who drafts or hires an entity to draft a Good Faith Estimate for him/her.

You might also like:

The APR
http://blog.123notary.com/?p=14483

The 30 point course synopsis
http://blog.123notary.com/?p=14233

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November 1, 2016

Can you charge a 2nd trip fee?

Filed under: Notary Fees & Pricing — Tags: , — admin @ 11:29 pm

Technically, Notaries can charge a 2nd trip fee. You get paid for what you do, right? But, signing companies are not always willing to pay for this. If the Notary made an error, the Notary should go back for free. But, if the Title company or Lender made a mistake, they will expect you to go back out and then often try not to pay you.

You need to keep accurate records of who paid for what job and with what check number. Signing companies send lots of checks out, but the record keeping system is based on the check number. They’ll try to sleeze out of paying you by referencing a check number.

Paypal is a nice way to pay for things because the records are queriable and you can mention what job or jobs you are paying for. That way, after the fact, you can quickly verify that you in fact were paid.

Another question is — should you stand your ground to collect that 2nd trip fee? If you have a good client, do they deserve a favor from time to time? Or are your fees by the book with no special gestures? If they need a second trip from time to time and they are a good company, then I might do it. But, if they are always late paying you and taking liberties, then perhaps not. You have to calculate this on your own. But, a good client is worth gold, so try to be nice to them in their hour of need.

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You might also like:

A comprehensive guide to Notary Pricing
http://blog.123notary.com/?p=16504

Many Notaries who wouldn’t leave the house for <$125 are working for peanuts http://blog.123notary.com/?p=14953

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October 19, 2016

Notary Butt Dialing

Filed under: Uncategorized — Tags: , — admin @ 10:34 pm

Notary Butt Dialing – No Ifs ands or Butts

When it comes to Notary butt dialing, there are no ifs, ands, or butts. One Notary had a cell phone with a waterproof case. His acupuncturist spilled massage oil all over his last phone, ruining it. So, the Notary bought a waterproof case that gradually disintegrated over time to the point where the lock screen button in the plastic fell off. So, the Notary couldn’t lock his phone without sticking a key through the plastic to the phone’s actual metal button – and putting the metal to the metal.

So, just once, this Notary decided not to lock the phone as he put it in his pocket. He put it on the page with the 16 icons and thought — what are the chances the iphone will have the green phone icon pressed? That’s one out of 16, and if it does, what are the chances it will actually call someone. After, two minutes, the phone had already called two people this Notary actually really wanted to talk to whom he hadn’t talked to in years. He was starting to trust his butt more than his fingers!

But, what if you butt-dialed an actual signing company? Would they think that the Notary was an actual butt-head? Would the two of them butt heads together?

At least the notary wasn’t just sitting on his butt like the feeling you get from lenders who are late in sending documents. This notary’s butt was being proactive! And rather than risk a traffic ticket or his life while talking into his cell while driving, this notary could butt-dial and drive at the same time. Driver’s seats should come equipped with built-in cell phones. Rear-view mirrors, welcome your new modern cousin – rear-sensitive seats!

If smartphones can let you digitally sign for things, it might not be long before we see smartphones for butt-dialing clients. By flexing the precise posterior muscle, maybe someday they’ll be able to sign documents in remote locations. Face to face notary encounters, make way for butt cheek to butt cheek encounters.

And now for my reBUTTal: One notary accidentally butt-dialing someone he might want to do business with is like hitting the lottery – the odds are against it. The stories of desperate gamblers who think otherwise too often REAR their ugly heads. END of story. Now if you’ll excuse me, my butt is calling.

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You might also like:

You lose $37.50 each signing you don’t answer the phone
http://blog.123notary.com/?p=16562

Dumb and Dumberer for Notaries
http://blog.123notary.com/?p=14102

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October 18, 2016

FASS has a brand new app

FASS has a new Faxing App you can download. This app is so important since so much faxing is required. I don’t know how the app is used since I don’t do faxing anymore. But, the following banks below require fax backs on many of their documents. See the list.

Ditech Financial, LLC Investment, Second-Home, and Non-Rescindable properties or when notated in special Instructions, 100% of the entire package MUST BE scanned/faxed back immediately and you would need to plan your schedule accordingly.

Freedom Mortgage- certain critical documents on all Freedom signings must be scanned/faxed back immediately.

Bank of America- certain documents on all Bank of America signings must be scanned/faxed back immediately and you would need to plan your schedule accordingly.

Wells Fargo- CRITICAL DOCS on all Wells Fargo signings MUST be scanned/faxed back immediately and you would need to plan your schedule accordingly.

All other lenders: Some lenders might require critical or all documents to be faxed back on case by case bases.
***Please be sure to review the Signing Agent Checklist for faxback requirements. Documents should be scanned/faxed back within 4hrs of completion of signing.
*** You must upload all documents to the order prior to closing/completing out order. If you complete the order prior to uploading the documents, the upload feature will not be available and a traditional faxback would be required at that time. (Quality issues will not be voided.

Will this app change your life? Has anyone used it?

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You might also like?

Apps that Notaries have never heard of that could change your life!
http://blog.123notary.com/?p=16311

Are notaries becoming unsnapped?
http://blog.123notary.com/?p=21244

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July 9, 2016

Global Notary

Many Notaries have done jobs for Global Notary. But, what are they saying?
http://www.123notary.com/forum/topic.asp?TOPIC_ID=2517

lsaversl
“Just got a call from Global Notary-print 2 sets (150 each), drive 50 miles round trip, fax back 150 docks, for a whopping $30.00-I was about to tell them (are you insane), but just said I was very booked up.”

Minnesota7
“I completed some 15 closings up here in northern Minnesota for Global because they had no choice but to pay my travel fees. Only 2 or 3 travel where we go. In town I refused their starting fee $40. I would burst out laughing. My problem was they would call and ask if I was going to be on time, every closing. The last two they actually called the borrowers to see if I was there. Some snot nose brat called me from global and said don’t take it personal, they do that to all notaries. I asked for the home phone number to the Owner of Global so I could call him or her every morning at 4am and ask them if they were going to be on time for work that day. Now I have received 3 different 1099’s from them. They need professional help. I got along ok with one scheduler but I told him to see to it that they take me out of their system and don’t ever call again. Plenty of good companies still out there. MN7”

Joelbenedict
“I made an error in the date of the borrower certification. I then scanned 201 docs back without catching my error. Global Notary sent me an email giving approval to drop the docs. I called the next day to confirm that I had approval. I dropped the docs. Four days later, Global Notary contacts me to notify me that there was an error in the borrower certification and that Old Republic (the title company) had rejected it. I completed an acknowledgement, scanned it back to Global Notary, cc’d Old Republic. Two days later, Old Republic approved the acknowledgment and Global Notary told me to overnight the acknowledgment at my own expense or for a $20 reduction in my fee. I didn’t have my notary stamp or the document at home–this was six days after the signing. I printed another copy of the acknowledgment, filled it out by hand, and faxed it to Global Notary. I paid for the label online through USPS’ website. It cost $18.11 to Express mail it flat rate. 10-24 minutes later, Global Notary called me to tell me that Old Republic likely wouldn’t approve the handwritten copy. I griped to corrections about their not catching the mistake in either of the two approvals and expecting me to take the expense hit.

Their response was that they do what they can. I couldn’t get them to budge on any kind of action to prevent it from happening again, or even that they had made a mistake in not catching my mistake. The day after, Global Notary contacted me to tell me I’d have to ship the acknowledgment that was approved on day four because Old Republic had rejected it. I went over Global Notary’s heads and called Old Republic; I told Old Republic Title the same thing I’d told Global Notary, that Kentucky doesn’t require notary stamps, our signature and serial numbers are considered our seal; Old Republic said that the lender had rejected it. I had the approved acknowledgment with me this time; I paid for the shipping and put it in a box (a non-USPS flat-rate regular cardboard box). It cost $16.99. Now I’ve got to wait and see if there’s any more noise with this signing. I took it for $85, printed out 422 pages of docs, drove 26 miles total, have put at least 11 hours into this signing, and took a $35.10 hit in expenses. This is probably my sixth signing with Global Notary, but this one has been a poor experience. The other signings I got for $60-70.”

M.Quednau
“Never leave your fax machine unattended before it is finished. Just because a borrower “thinks” he knows what he is doing you ALWAYS check for errors. Always ask about fax backs before you agree on a price taking that into consideration before you agree to do the signing. Sounds like you should have been more proactive in checking for mistakes and making sure the fax went through and if the fax didn’t go through wait till you come back after the holiday (since it was only one day) and tried again to fax. Global pays on a timely basis. If I were you I would rethink working for them again if they were willing to pay your price. I think all the calls are because one hand doesn’t know what the other is doing. None the less it is very annoying. ”

NotaryMark
“I am aware that Global Notary Inc are low ballers, however their tactics and fees have finally become preposterous.

Yesterday I was called for a Mortgage signing, i verified it was a normal signing on the phone, then verified there was about a twenty page fax back, ok I said for $75. Yes thats low but it was close to where I live and a quick return.

HOWEVER…on documents arrival I find that the fax back is nearly fifty pages and this is a refinance where the total pages of documents are 187! So that would be X2 prints 374pgs and a fax back!!

Unfortunately I had to cancel this appointment because of a family crisis, sudden and unexpected”

.

You might also like:

The 90 days no payment list of signing companies
http://blog.123notary.com/?p=15887

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

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June 19, 2016

Ken’s tips for the Closing Disclosure

Timing Changes to the Closing Process
Well, it’s bye bye time for the good old TIL and HUD. No longer will notaries be waiting for approval of the “final HUD”. Hooray. Borrowers will usually have the new Closing Statement 6 days prior to notary arrival! Less chance for a surprise at the table.
The changes to loan and closing procedures are far more than a few new documents. The biggest changes are to the closing time-lines.

Documents
The HUD-1 and Truth in Lending forms will be replaced by a new “Closing Disclosure.”

Terminology
You will need to learn a new vocabulary. Some common terms are:
TRID = TILA/RESPA Integrated Disclosure
CD = Closing Disclosure
Consummation = Closing
CFPB = Consumer Finance Protection Bureau

Time Frames
New timing and delivery requirements will change the way we handle closings. This is the BIG news for the 123notary.com gang! There is new stuff to consider about timing:
The final Closing Disclosure must be delivered and received no later than 3 business days prior to closing.

If the lender sends the final documents 6 business days prior to closing, they don’t need to prove the buyer(s) receipt.

Most lenders will mail the closing disclosure 6 business days before closing. This pushes back the time frames for closing and makes it harder, if not impossible to address late breaking changes or issues in the days leading up to closing.
Fewer last minute notary requests: Lenders will have less time to get loans approved and the parties will have much more difficulty making last minute changes and adjustments.

You might also like:

The Closing Disclosure
http://blog.123notary.com/?p=16217

The 4506, Name Affidavit, Deeds, and more documents explained
http://blog.123notary.com/?cat=2074

TRID information courtesy of Carmen
http://blog.123notary.com/?p=18932

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

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