April 10, 2018

Document dates, signature dates, rescission dates and transaction dates

Filed under: Technical & Legal — Tags: Date of Notarization, Document Dates, Notarization Date, Notary Date, Transaction Date Definition — admin @ 11:21 pm

As a Notary, you will undoubtedly be confronted with a variety of dates that all need to be clearly defined in conversation so as not to confuse yourself or the other party. Let me sum these up.

Document Dates
The document date is NOT necessarily the date the document is notarized. It is merely an arbitrary date normally created by the document drafter that might reflect the date the document was drafted, supposed to be signed, supposed to be notarized, or some other arbitrary date. There is no rule for when a document date can be.

Signature Dates
The signature date of a document is the date it was signed. If you have two signers signing on different dates, you might have what 123notary calls “a double date.” There are multiple questions involved in a double date. One is how do you date the rescission document if the date you signed a document is more than one date. The other far more important question is — who pays?

Rescission Dates
The rescission date is based on a date that comes CALENDAR three days after the transaction (= signature date) not including Sundays or Federal holidays. If you have two signature dates, you might have two rescission dates, one per person. But, if there is only one rescission date, it probably is based on the last signature (complicated.)

Transaction Dates
This is more of a glossary type term or test term. The transaction date is the date when the transaction happened which is based on the date of the signature. I ask people what the synonym is for a signature date to see how much they read.

Medjool Dates
If you go to a signing for health conscious people or Saudi’s, after the signing, you might get yet another type of a date — a Medjool date. These dates are typically grown in the Middle East, but also in parts of Arizona near Yuma

Hot Dates Q&A
If you steal a document, would the date on the document be correctly defined as being a “hot date” since it was technically stolen?

Dates and Journal Entries
A good Notary does more than his/her state’s minimum requirements for journal entries. There is a field in your journal for the name and/or description of the document. A good journal also has an optional field for the document date. I suggest you pay attention and write in the document date as it helps to identify a particular document and distinguish it from a different document with the same name signed by the same person. Sometimes the document date is the only way to tell them apart.

Dates and Notary Appointments
I once went to a Notary appointment with a date. I left the date in the car and came out $30 richer. She complained that I left her in the car too long, which is good, because that date would expire at midnight.

Please also read our previous article on the same topic. Read more…

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Notary Public 101 Certificates!
http://blog.123notary.com/?p=19502

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

Backdating from A to Z
http://blog.123notary.com/?p=2424

5 books every notary should own and read
http://blog.123notary.com/?p=3668

Comments (2)

January 29, 2022

My date with Jeremy

Filed under: Best Humorous Posts,Humorous Posts,Popular on Twitter 2011,Popular Overall — Tags: Are you a notarizor?, notaries, Notary, Settlement Statement, What color ink do I use?, Where is my password?, Why is my APR different from my Rate? — admin @ 11:19 pm

This article was originally published in 2013.

He was striking and utterly took my breath away–like a traffic accident. I couldn’t take my eyes off of him. He had deep, penetrating gray eyes that seemed to notice everything. His shirt was the color of numbers.

We got out of the car at the restaurant. He took the ticket stub the valet handed him and scrutinized the numbers. “These add up to 33, an excellent number for business,” Jeremy noted. “I hope my good fortune extends to this restaurant as well. Let’s go in and see what’s on the menu.”

The sign above the entrance said Le Jurat.

“How did you pick this restaurant?” I asked.

“I have an algorithm for restaurants,” Jeremy said, opening the door for me.

“How chivalrous!” I replied. I was in awe of him, and I didn’t know what else to say.

“I assess the restaurant according to reviews, how they answer the phone, and zip code… and then I try the food,” he explained. “I test the food before bringing a friend here. Sometimes the reviews don’t match the quality of the service provider. In my opinion, good reviews don’t necessarily translate to good service–but I don’t know if you subscribe to that opinion, Sealia.”

As we were being taken to our table, a woman with frizzed red hair like the bride of Frankenstein ran up to Jeremy, tapped him on the shoulder, and demanded–“My password! I need my password! I can’t get in to update my page!”

Jeremy looked her in the eye and said sternly, “I’m having dinner. I emailed you your password three times in the last few months. You need to request it by email. Not now.”

I wondered exactly what the woman was talking about…and whether this man ever had any time to himself.

The decor of Le Jurat was elegant, parchment beige with traces of pink and gold, and there was no waiting line, yet the restaurant was full–an amazing combination for a Saturday night in Los Angeles. On all the tables, a little sign next to the placemats read, “Customers who subscribe to our newsletter have sworn by us…” The music playing in the background was “I Swear” by John Michael Montgomery…

“When I was choosing restaurants,” Jeremy said slyly, “it was a choice between this place and a Christian Korean place called the Hyung Moon Temple where the signature dish was Stained Glass Noodles.”

I laughed. “So tell me about this business of yours,” I asked. “What exactly do you do for notaries?”

“I provide advertising, education, and entertainment for notaries–visit us on Facebook! I also use algorithms to assess the notaries’ performance and knowledge.”

“I didn’t know Al Gore had rhythm,” I smiled and nodded.

“I didn’t know he had rhythm, either.” His phone rang. “123notary, this is Jeremy” he stated automatically.

“It’s Vicki from Hyung Moon,” he said aloud; “Sorry, Vicki, I have to cancel…I will not be able to make it this evening. I wish to rescind.”

He hung up quietly and said, “I kind of double booked…”

He was just about to smile again when the phone rang–again.

“Hullo,” screeched a voice.

“123notary, this is Jeremy.”

“Are you a notorizor?”

“I used to be a notary but I’m not anymore. Please look on 123notary. I’m the site administrator. Please call a notary on the site. Have a nice night. Goodbye.”

Again the phone rang,
but this time, he glanced at the number and said, “I’m not going to answer now because I’m with you, but I’ll have to call them back in exactly one hour and 56 minutes. That will be the best time to speak with this person who wants to take a phone test. I remember their number and the exact time they said would be optimal to call. That gives us enough time to have our meal and a dessert…before we go to FedEx to finalize the date,” he said, focusing on a tiny spot on the tablecloth.

“FedEx?” I said. “Why FedEx?”

“That’s where my dates always end–at a FedEx drop box.”

We tried to catch the waiter’s attention. “Hey–the waiter didn’t even acknowledge us!” Jeremy quipped. “Do you think our waiter will personally appear before us? I would like to order the Soup du Jurat…and a Certified Angus Burger…I like this restaurant because it’s 24 hours…although they don’t answer the phone after 11…if you want late-night service you have to call before 11… ”

I decided on the Rack of Lamb. “Is that a dual rack or a single?” I asked the waiter, who had finally appeared.

“Well, technically it’s a single rack….but we put in a separator program…so the legal size chops can go on a legal-sized plate.”

“If I don’t like the entree, do I have the right to cancel?” Jeremy demanded.

Finally the waiter delivered the food–and not a minute too soon.

“This lamb is delicious!” I said.

Jeremy ate his certified burger. “This stuff is as good as Kobe beef!” he replied.

“So what is it really like running 123notary?” I asked.

“It’s like dealing with a series of situations that never end,” he said.

“So it’s like marriage,” I said.

“That’s a good analogy. Trying to get people to do what they’re supposed to is like separating ribs. I need people to answer their phone, or write their Notes. They don’t all do it.”

“So it’s like a cross between babysitting and marriage…”

“Another good analogy! We’re really on the same page here. Would you like to have dessert at Le Venue down the street?”

“I’d love to!”

“Waiter, would you bring our settlement statement? Was my appetizer amortized over the life of the dinner?”

The waiter brought the check.

“When is my first payment due?” asked Jeremy.

“In five minutes,” the waiter answered. “The term of your loan is 45 minutes–with no accrued interest. The final payment is due tonight as well.”

“Is my APR different from my rate?”

“They are the same–due to the fact that we are not adding finance charges to your transaction,” the waiter explained.

“I see your point.”

“There are no points– because points would be considered finance charges–and no origination fee,” concluded the waiter.

“This conversation is completely irrelevant, considering there is no security instrument,” said Jeremy.

The waiter returned with the credit card statement.

“What color ink would you like me to sign with, black or blue?”

“Either. Just as long as you are personally appearing before me, I can accept your signature…but I could give you an oath…because I saw you were raising your right hand as you were trying to hail me,” the waiter replied.

“Shall we leave?” I asked Jeremy.

“Let’s go,” he said.

We walked down the street to Le Venue, a Restaurant for Notaries, for dessert.

“What county are we in?” Jeremy asked the hostess.

“Why do you need to know?”

“You always need to know what county you’re in when you fill out a venue. You’re not a notary, are you?” Jeremy told the hostess.

“Is everyone here a notary?” he asked the waiter.

“Pretty much…except the hostess,” the waiter replied.

I noticed the placemats read, “State of California…”

We looked at the menu anyway, even though we were only there for dessert…and saw “Roast Seal with Ink.”

Jeremy considered the mousse for dessert…

“What county is the mousse from?” Jeremy asked.

“It’s not from a county, it’s from a province, sir” the waiter replied.

“Can we get an Alaskan mousse?” …

“How about this dessert made with oreo cookies– what a great raised seal they have!” I suggested.

“Does the seal on the embossed cookie have an expiration date?” Jeremy asked.

“It doesn’t expire until 2015,” the waiter attested.

“How about the analytics dessert? It’s a graph… It’s in the form of a pie graph…”

“Oh, I can’t eat a whole pie…” I said.

“Well, most of the pieces are missing…the anayltics weren’t very good…” Jeremy pointed out.

Jeremy got the mousse, and I asked for the Locus Sigilli Sundae.

“Today is Friday. Do you serve the sundae today–or only on Sundays and federal holidays?”

“We serve this sundae with the oreos every day, sir,” the waiter replied.

The food was perfect.

“I can’t finish my dessert,” I said. Can you finish it for me?” I asked.

“I think we have to get a power of attorney for me to finish your dessert,” Jeremy replied.

On the way out, he went up to the hostess and asked, “Can you validate us?”

“You’re a very nice person,” she told him, smiling.

“No, I mean stamp our parking receipt…Can I stamp it myself? I’m a notary; that’s my thing. Can I backdate it? We’ve been here quite a while…”

“No, sorry sir, we don’t allow that…”

“I enjoyed eating the date stamped on my oreos…” I said, wondering what to expect next.

“I enjoyed eating my mousse…but I would have enjoyed it more if the antlers hadn’t been crushed by the car that hit it in the dark, ” Jeremy laughed. “Can I take you home?” Jeremy asked softly.

“No….just drop me off at the FedEx drop box.”

Tweets:
(1) “Waiter, would you bring our settlement statement? Was my appetizer amortized over the life of the dinner?”
(2) The waiter brought the check. “When is my first payment due?” asked Jeremy.
(3) “Does the seal on the embossed oreo cookie have an expiration date?” Jeremy asked.
(4) The notary asked, “Can I get an Alaskan moose with Russian dressing. They’re our next door neighbors!”
(5) Running 123notary is more like babysitting than you think,
“Did you update your listing? Did you update your notes? Did you renew yet?”
(6) “FedEx?” I said. “Why FedEx?” “That’s where my dates always end–at a FedEx drop box.”
(7) Running 123notary is like a cross between babysitting & a marriage. A bunch of situations that never end!

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http://blog.123notary.com/?p=18837

Comments (5)

October 16, 2017

Notary Public 101 — POA, DOR, Dates, X

Filed under: Loan Signing 101,Popular on Facebook (A little),Popular on Linked In,Popular Overall — admin @ 2:30 am

Return to the table of contents for Notary Public 101.

ADDITIONAL TOPICS

These are really more loan signing topics, but I will include them in this basic Notary course since these are Notarized documents.

POWER OF ATTORNEY

Notaries need to know the terms for the people involved in a Power of Attorney signing. The principal is the main person who signs the document who is the Grantor. This is the person who gives power of attorney to someone else to do tasks for him/her while he/she is incapacitated or out of the country. The Grantee is the same person as the Attorney in Fact or otherwise known as Agent. It is important to know these words and yes, we do test on them. However, at loan signings, people will do what is called a Power of Attorney signing. This happens when there is a completed Power of Attorney document and the Attorney in Fact will sign a loan on behalf of the principal. In these signings, they get rejected half the time for technicalities, so pay attention.

There are various ways for an Attorney in Fact to sign in their capacity.

John Smith as Attorney in Fact for Mary Smith
Mary Smith by John Smith, her Attorney in Fact.
John Smith POA for Mary Smith

There are more variations, but those are some common ones. The key thing to understand her is that:

The Lender decides the verbiage when you do a POA loan signing. The Notary might know the “correct” verbiage. However, legal information sites cite at least eight ways an AIF could sign in a POA signing that are all not BAD. The signing will be rejected if you do not sign exactly how the lender wants it. So, if there are no written instructions, ask the Lender.

How can I get a Power of Attorney Notarized?

DEED OF RECONVEYANCE

The Deed of Reconveyance (DOR, not DOA by the way) is often signed by the Trustee and often has the term Trustee inscribed in the signature area instead of someone’s actual name which is very confusing and leads to trouble on a regular basis. Many Notaries have the borrower sign where it says trustee. Usually the trustee is a Lender, or might be the borrower in one of his capacities. If you are not sure who the Trustee is, then ask before you have someone sign there. It is safer to leave this form unsigned than guessing, otherwise you might cause a delay to the Lender and get fired. So, if you are not sure what to do, don’t have anyone sign where it says Trustee.

DOCUMENT DATES

In the Notary world there are four types of dates. Transaction dates, rescission dates, document dates, and signature dates. The day you sign is the signature date and generally the transaction date. The rescission date is the last day to rescind. But, the document date is arbitrary and is created by the document drafter. It is normally either the day the document was drafted, the date it is intended to be signed, or an arbitrary date. There is no rule for what that date can be.

SIGNATURE by X

If a signer is partially incapacitated and cannot sign their full name, many states will allow a Signature by X procedure. The procedure can vary state by state, but the way I was trained is as follows. The principal signs an X on the document and in your journal. There should be TWO SUBSCRIBING WITNESSES who witness the person sign. Witness #1 signs the person’s first name to the left of the X and witness #2 signs the person’s middle and last name to the right of the X. Do the same in the journal. Add a note to the document to let the readers and custodian know what happened as they might not be familiar with this procedure. Keep the phone numbers and ID info of the witnesses in your journal just in case.

Comments (1)

March 23, 2012

Notarization Dates, Document Dates & Signature Dates!

Filed under: Loan Signing 101,Popular on Facebook (shares),Popular on Facebook (some),Popular Overall 2012,SEO,Signing Tips — Tags: Document Dates, notarial, notarial acts, Notarization, Notarization Dates, notary acts, Notary Dates, Signature Date, Signature Dates — admin @ 4:26 am

We had this question as a Facebook competition question. It was fun, but we got too many wrong answers which is a little bit disconcerting. There are different dates you have to be aware of as a notary. Some are more important than others, and each date has its own function.

Signature Dates
The date the signer signs the document is the signature date of the particular signature. There are cases when a husband and wife will sign the same document, but on different dates. People are busy, and two notaries could handle the same paperwork on two separate days with two separate signers. Those split signings are tricky, and are more likely to have to be redrawn. But, just as long as you get paid, don’t stress!

Notarization Dates
The date you notarize someone’s signature is the notarization date. The date corresponds to the signature, not the document. A document could be signed by more than one party on different dates. Or an addendum could be added and signed on another date as well. Its complicated.

Document Dates
This is the question that 90% of the notaries got wrong. I had very few choices of contestants to put in the drawing to win Starbucks! The document date is NOT necessarily the date the document was drawn up, although it usually is. It generally should not be dated after the signing to avoid confusion. It is often dated the day the signing is intended to happen on, and is often dated the day it was drawn, or sometime in between. There is no rule governing when the document date can be. The function of this date is to be an identifying mark on the document to distinguish it from other documents. Of course, if you have ten documents all entitled, “Affidavit“, to be signed by the same two parties, and all having the same document date, it really doesn’t narrow it down.

Your Journal
If you live in a state that doesn’t require journals, please don’t read this paragraph. Actually, do read it, and get a journal anyway. Your journal of official notarial acts is your record of all notary acts that you have done in your commission. It is evidence if you ever have to go to court, or if you are ever questioned about a particular act. It adds to the integrity of the notarization and safeguards against fraud, especially when you take thumbprints for all documents (optional, but recommended). If a fraudulent notarization takes place with someone impostering you, without your journal, you will never have proof that you didn’t notarize that person. Journals keep records in sequential order, so you can go back to July 3rd, 2003, and see that you indeed never notarized Shelly Deeds and her Deed.

Backdating
In your career, you will most likely eventually be asked to put a fraudulent date on your notarial certificate which is refered to as backdating. This is illegal, and you can lose your commission as a result, if you get caught. A lender might need you to date the certificate for the 27th, when its the 28th, so that the borrowers can keep their lock. Its their problem, don’t get involved. Lose the client and keep out of jail! Please see our blog article entitled “Backdating from A to Z”

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A lady lost a great account because she wouldn’t backdate!
http://blog.123notary.com/?p=22229

Leave a few spaces open in your journal

The transaction date = the signature date: Feb 2013 Phoninar
http://blog.123notary.com/?p=4054

How do I fill out a journal entry?
http://blog.123notary.com/?p=1725

Comments (2)

October 23, 2020

123notary Elite Certification Study Guide

Filed under: Loan Signing 101 — Tags: 123notary Elite Certification, Signing Agent Certification — admin @ 12:24 am

ELITE CERTIFICATION

To get elite certification, you need to do well on the regular certification topics, and then know a lot more. Here are the items we quiz about for elite certification. We test by phone for the elite, and if you study hard and know your basic documents, scenarios, and Notary knowledge plus the content on this page, you could pass.

Documents you have to understand intimately

Recorded Documents
Riders
Subordination Agreement
Residency Affidavit
Owners Affidavit
Deed of Reconveyance
Deed of Trust
CD & HUD-1
Please read the details of the required documents. Read more…

Procedures or Acts to Understand

Signature by X or Mark — read more…
Apostilles and Authentications — read more…

Other Terms or Information
Please click on the links below to get detailed information on the following points.

The term Elizor — read points 23 on this link. An Elizor is a court appointed official that can sign over property when the owner refuses to cooperate in court.

Explaining beneficial & financial interest. A Notary may not have beneficial interest or financial interest in anything he is notarizing. A beneficial interest could be construed as …

Federal Holidays in chronological order (memorize these). Let’s start with New Year’s Day, Martin Luther King Day, Washington’s Birthday, Memorial Day, Independence Day …

Fraud Prevention & types of fraud that happen in the Notary world. Falsified identification, incorrect dates on certificates, using someone else’s Notary seal …

Authority – Who has the highest level of authority if there is a question about a notary act or document at a signing? The Notary is the authority as to how a notary transaction happens, but…

Annual Percentage Rate — a detailed understanding is required. The APR is based on the amount borrower after certain (but not all) fees and closing costs have been deducted, and expressed as a …

Pros & Cons: — Adding an Acknowledgment rather than fixing the original. if there is a mistake on a preprinted form. It is cleaner to add a new form, but there can be recording fee issues involved…

What to do if John & Sally’s names are inscribed in an Acknowledgment by the Lender and Sally can’t make it. — Cross out or add a new form? This is similar to the last point, but there are some extra snags…

Handling name variations and discrepencies such as: ID Name, vs. Typed Name, Signature on Doc, and Name on Ack. Relationship between these names if they don’t exactly match. The main thing is to obey the law first…

Understanding dates such as: Transaction Dates, Signature Dates, Rescission Dates, and Document Dates… A transaction date is the same as a signature date, but a document date is arbitrarily chosen, but by whom?

Loan Signing FAQ’s that Borrowers ask. FAQ’s have been greatly reduced by Lenders being required to explain documents to the borrowers in advance. But, you still might be asked why the APR is …

Comments (3)

March 23, 2017

The 3 day right to rescind

Filed under: (4) Documents,Loan Signing 101 — admin @ 8:00 am

This article intends to clarify dating on the Notice of Right to Cancel or RTC.

A borrower went to confession

TOM: “Forgive me father for I have rescinded.”

PADRE: “Did you rescind in the 3 day period?”

TOM: “Yes, father.”

PADRE: “Then, it is okay in the eyes of the lord. 3 hail Mary’s.”

TOM: “It was in two days, so can you reduce my sentence to 2 hail Mary’s?”

When you get a non-commercial and non-investment personal refinance, traditionally you get three days to resind or cancel your loan. Counties these three days is a skill that Notaries need, but don’t always have. In the old days, and with certain lenders, the Notary is reponsible to write in the TRANSACTION DATE in a blank in the RTC.

The transaction date is the date when a notarization is done or when a loan is signed. Technically with Acknowledged signatures, the signature can be made previous to the Notarization. It might be five minutes previously or twenty years previous to the notarization. During loan signings, the documents are normally signed at the time of the loan signing and promptly notarized.

The signature date is normally the same as the transaction date, but not necessarily and is the date the person signed the document. Once again, in an Acknowledgment, that could come before the notarization if the borrower wishes to sign ahead of time, but at a loan signing is normally on the date of the loan signing.

The notarization date is the date when a document is notarized.

The recission date or deadline or last day to rescind is three days after the date of the signing not including Sundays or Federal hollidays or other days that the Lender allows.

Please note that business days only include Monday to Friday while days to rescind include Monday to Saturday not including Federal Holidays of which there are ten.

Let’s do some practice runs.

(1.) A loan is signed New Year’s eve on Friday the 31st. What is the last day to cancel your Refinance?
Sat would be New Year’s Day a Federal holiday. Sunday would be a Sunday and not counted. So, you would have… Mon, Tues, Wednesday would be the last day.

(2.) A loan is signed on Monday in April when there are no Federal holidays. The last day to cancel is… Tues, Weds, Thursday would be the last day.

(3.) A loan is signed on Sunday in April. The last day to cancel is… Mon, Tues, Wednesday would be the last day to cancel.

(4.) A loan is signed on Thursday in April. The last day to cancel is… Fri, Sat, skip Sunday and Monday would be the last day to cancel.

(5.) A loan is signed Wednesday before Thanksgiving. The last day to cancel would be… Fri, Sat, skip sunday and then Monday would be the last day to cancel UNLESS the Lender allows Friday as an arbitrary holiday (they can be generous if they like) in which case it would be… Sat, Mon, and Tuesday would be the last day to cancel. Whether Black Friday is considered a holiday or not is up to the Lender and they are 50/50 on this one. But, if they don’t specify, then it is considered a regular business day with exceptionally long lines!

Now boys and girls, we understand the RTC or Notice of Right to Cancel. We hope you are also aware of when the ten Federal holidays come. It is not a bad idea to have a Rescission Calendar. I heard that the NNA might have them, so get one that fits in your wallet.

What’s in YOUR wallet?

Comments (0)

January 1, 2016

Notary aptitude test

Filed under: Best Humorous Posts,Humorous Posts,Popular Overall — Tags: Aptitude Test, Data of Rescission, Notary, Notary Test — admin @ 12:42 pm

Have you ever had your aptitude tested as a Notary? Other than the various certification tests? Well, maybe it’s about time that you did! But, what types of questions would be asked? Maybe it would be like the NSAT. The Notary SAT’s.

(1) Stamp is to Fraud as Pen is to:
(a) omission (b) signature (c) backdating (d) ink

(2) Name on document is to Name on ID as Name on signature is to:
(a) Name on AKA statement (b) Name on occupancy statement (c) Fees on the HUD (d) Name on Notary Seal

(3) Date of Rescision is to Signature Date as New Year’s Eve is to:
(a) A really bad hangover (b) A party that was “rescinded” early (c) Midnight of the 4th (d) The 3rd (e) Confession where the borrower says, “Forgive me Father, for I have rescinded.”

(4) The Signature date is to the Rescission Date what Backdating is to:
(a) The Document Date (b) The Transaction Date (c) the day before the Signature Date (d) The eDocument Date

(5) Notary is to Signing Agent what Mortgage Broker is to:
(a) Escrow Agent (b) Title Agent (c) Settlement Agent (d) A really good Mortgage Broker who actually knows what he/she is doing

(6) A Notary who doesn’t cross out the he/she/they is to Mortgage Broker as a Mortgage broker who:
(a) Is always late (b) Rips off his borrowers (c) Doesn’t explain the terms of the loan or why the APR is so high to the borrowers (d) Multitasks as an Escrow agent.

Hope you enjoyed this little test. It was fun to write.

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Comments (12)

April 5, 2015

Point (15) Technical Points; Marcy Attaches a Certificate

Filed under: (2) Technical and Legal — Tags: 30 point course — admin @ 10:57 am

By now, Marcy had decided to really study her text book well. In this last signing, she narrowly avoided two disasters.

MARCY: Hi, I’m Marcy and I’ll be your signing agent this evening.

RUTH: Thanks for coming Marcy. I’m all ready.

MARCY: The Lender asked me to make sure we include a cashier’s check for $2500 in the package. Do you have the check?

RUTH: Oh, he didn’t remind me. But, I have it somewhere.

MARCY: Let’s take care of the check first, otherwise we’ll forget all about it and you’ll lose your lock.

RUTH: That bad?

MARCY: It’s happened before. I read about it in my course and I’m not making any careless mistakes.

RUTH: Here it is.

MARCY: Okay, the course says to staple it to an eight and a half by eleven paper and put it on the top of the stack of documents in the FedEx so the first person to open the package will immediately see it and hand it over to the correct person… Done! I’m putting it in the package, but at a 90 degree angle so I’ll see it. That way I won’t forget to make sure it’s first in line after we add all of the other documents we’re signing tonight.

RUTH: Boy, aren’t you careful?

MARCY: Well, you’d understand if you knew how many mistakes notaries often make in this industry.

(10 minutes later)

RUTH: Okay, I’ve initialed all of the pages of this Deed of Trust. Now, you need to notarize it, right?

MARCY: Correct… (stamps the document) Oooh! That came out smudgy. I better do it again.

RUTH: It looks fine. I wouldn’t worry about it.

MARCY: The Deed of Trust is a recorded document, and that means that it goes to the county clerk’s office. Some of the clerks are picky, and they have the right to reject a smudgy seal which might cause the loan to not go through on time. So, I need to attach a loose certificate and make sure my stamp comes out clearly… Perfect.

RUTH: You certainly dot your i’s and cross your t’s!

MARCY: If I didn’t, you would lose your loan.

(a day later)

LENDER: Marcy, I noticed you crossed out your Notary seal on the Deed of Trust. Why did you do that? That looks very sloppy.

MARCY: Quite to the contrary, the seal was smudged, and the county recorder would be unlikely to record such a document which is why I attached a lose certificate.

LENDER: But, did you have to staple it on? It is very difficult to disconnect — and messy.

MARCY: Legally I am required to attach the certificate. Completing loose certificates that are stamped is illegal because they can easily be used for fraud by being attached to a different document; So by un-stapling my work, you are leaving yourself open to looking very questionable.

LENDER: But, we always do that.

MARCY: Well, you are at liberty to do what you like, but I am not at liberty to break my state Notary laws! If the Lender had the certificate wording on a separate piece of paper without a page number, it would be removable so that nobody would have to see the cross out should there be an error, and once in a while there are stamping errors. Notary seals are not always clear the first time.

LENDER: Isn’t there a better way to do this?

MARCY: If you want your loan to go through, and for it to go through legally, then no — there is no other way to do this.

Point (15) A handful of technical points
These technical points fall into the category of signing agent knowledge and are generally above and beyond purely Notary knowledge. Being an expert at these points will make you a much more impressive signer.

Checks in Packages
If you are sending a cashier’s check in a package, please note that these get lost much more frequently than you might think and the borrower’s loan will be delayed if this happens. These checks are for high dollar values, so make sure they don’t get lost between all of the many hands that will touch this loan package.

Staple the check to a 8.5 x 11 piece of paper, and put this paper at the front of the loan package so that whomever opens it (generally a secretary) will see it immediately and notify the person in charge of the loan. If you put the check in the middle of the documents, the check will not get seen right away, and there could be a delay. If you don’t staple the check, it will likely get lost in the shuffle.

County Recorder Rejections
If you make a mistake on a recorded document, the county recorder can reject the document which could slow down the loan processing time. The borrower might even lose their lock which would be very costly. Take extra care when notarizing recorded documents. Which documents are recorded?

Dates
What is the difference between a Document Date, Signature Date, Transaction Date, Rescission Date and a Notarization Date?
The document date is a random arbitrarily picked date that is often subscribed in the document. It is often the same date the document is signed, or perhaps drafted. The signature date is the date a document is signed. Of course, if there is more than one signer, there would be more than one signature dates. A Notarization date is the date a document was notarized. Legally, a document can be Acknolwedged more than once though! A transaction date is the date that a document is signed. A Rescission date is the last day to rescind. There, you have five dates to remember!

eDocuments, eSignings, and eNotarizations
eDocuments are documents sent by email to the Notary to be printed out. eSignings are signings done on a laptop with the borrower doing digital signatures on a signature pad — but, with hardcopy regular notarizations using a paper journal. eNotarization are Notarizations where the notarization uses a digital seal and digital journal.

The Prepayment Penalty
The Prepayment Penalty could be mentioned in any of these four documents, or perhaps even more. The Truth in Lending says you will, won’t or may have a prepayment penalty. The HUD may reference the prepayment penalty as well. But, the two documents that offer the most thorough information on the prepayment penalty are The Note (which every loan has) and the Prepayment Rider which is only included in a handful of loans that have complicated prepenalty agreements.

Most Notaries we talk to do not know the best place to look for thorough information on the prepayment penalty. They usually want to source the TIL, but this is wrong. Try to be a little more familiar with these very basic loan concepts as your borrowers will be more impressed with you if you do.

Recorded Documents
Here are various types of recorded documents sorted into categories.

Deeds: Deed of Trust, Riders to Deed, Quit Claim Deed, Grant Deed, Inter-spousal Grant Deed, Warrantee Deed

Title Docs: Subordination Agreement, Mortgage

Legal Docs: Affidavit of Trustee, Power of Attorney (sometimes recorded), some states record the Note although most don’t.

Lien Docs:Judgment Liens, Unsecured Tax Liens, Revenue & Recovery Liens

Other:Addendum, Condo Homeowners Approval, Tax Certificate, Affidavit of Continuous Marriage (state specific)

Commonly Notarized Documents in Loan Packages
Most packages will have certain documents to be notarized such as a Deed of Trust or Mortgage in all loans. It is also common to notarize other documents such as a Signature Affidavit, Occupancy Affidavit, Correction Agreement Limited Power of Attorney, Subordination Agreements, Grant, Warranty or Quitclaim Deeds, certain Riders, Identity Affidavit, and more.

Spousal Signatures
If a spouse is not on the loan, the documents they sign might vary from state to state and lender to lender, but these documents are typical documents that they need to sign:.
(a) The Deed of Trust and accompanying Riders if any.
(b) Grant Deeds and/or Quit Claim Deeds if someone’s name is being removed from Title.
(c) The Right to Cancel if the spouse is residing in the property.

Trusts
Notarizing Trusts is not brain surgery. However, when people sign with a capacity, it is common to sign their name, a comma, and then their capacity. Al Smith, as Attorney in Fact for Joe the Plumber. You are only notarizing Al Smith, but the additional information is sometimes helpful or critical. As a general rule, unless the document custodian wishes otherwise, You should have trustees sign as trustees: John Doe, as Trustee.

Then, there are Living Trusts which are instructions for what to do if a signer is incapacitated. These are usually long documents drafted by an Attorney that can be more than forty pages long in many cases. Living Trusts are quite different than regular Trust Documents and Wills.

You might also like:

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

30 Point Course (16) Initialing
http://blog.123notary.com/?p=14463

Don’t put the FedEx in the drop box if there is a check in the package
http://blog.123notary.com/?p=2831

Spousal Signature Requirements
http://www.123notary.com/forum/topic.asp?TOPIC_ID=244

Comments (0)

March 2, 2015

Best Blog Articles for Advanced Notaries

Filed under: Loan Signing 101,Popular on Facebook (A little) — Tags: Advanced Blog Entries — admin @ 12:55 pm

A few months ago, we created a post which was a compliation of all of the best posts for beginners. It became very popular on Facebook. We like to write lots of posts here at 123notary. But, on Facebook, we tend to only post a few dozen posts per month, so we prefer to post really helpful or popular content there. So, here are my recommendations for the absolute best posts that any seasoned Notary should read!

MARKETING

Do you have to be a CSS to get work these days?
As a Signing Agent, you need to know which signing agents are getting the most work and why. What changes do you need to make to be the type of signer who gets the best offers? Find out!
http://blog.123notary.com/?p=8914

What’s the difference between getting 16 clicks/month and 100?
Notaries that optimize their listing get a lot more results than you might think!
http://blog.123notary.com/?p=13185

Poo picking — getting the best notary jobs
Do you settle for less, or do you know how to get the best quality Notary jobs?
http://blog.123notary.com/?p=9273

From 3 jobs per week to 3 jobs per day!
This Notary went from rags to riches by making a few simple changes. Find out what his secret is!
http://blog.123notary.com/?p=3940

5 or 6 reviews doubles your business
Most of our serious notaries understand that it is imperative that they get reviews. But, how do you get them and how many do you really need?
http://blog.123notary.com/?p=8484

A great attitude gets most of the jobs
Skills are one thing, but nothing beats a great attitude!
http://blog.123notary.com/?p=6493

TECHNICAL

Signing Agent Best Practices — 63 Points
This long article covers technical, marketing, legal issues, and more. Here is a compilation of the most professional tips that any seasoned notary should master.
http://blog.123notary.com/?p=4315

The 30 point course synopsis
This course is FREE and recommended to all Notaries whether experienced or new! It caters to Notary knowledge of all levels. It even includes a free over the phone test that you can take once per year. By taking this course & test, you get a number from 1-30 assigned to you that represents your current skill level. This number will eventually be published on your profile and could attract clients!
http://blog.123notary.com/?p=14233

Protecting yourself with a contract
There are so many critical payment terms to include in contract. Have you ever thought about it?
http://blog.123notary.com/?p=2593

Notarizations Dates, Document Dates & Signature Dates
All of these different types of dates can be confusing. Do you know what a transaction date is for example?
http://blog.123notary.com/?p=2421

Mobile Offices from A to Z
Mobile offices give you the freedom to print on the road which makes it possible to do a lot more jobs per day and make a lot more money as a mobile notary.
http://blog.123notary.com/?p=535

Optional Information in an Acknowledgment Certificate
Filling this information could keep you out of court and prevent fraud!
http://blog.123notary.com/?p=4407

I go over the HUD-1 first
One notary likes to go over the fees before even signing the Deed of Trust. Read her strategy!
http://blog.123notary.com/?p=4819

Industry Standards in the Notary Business
Here is a comprehensive article about standards in the business covering topics such as cross-outs, initialing, unsigned documents, and more…
http://blog.123notary.com/?p=4370

Mistakes Notaries make with Title Companies
Notaries make mistakes that many of us might be completely unaware of that cost you jobs!
http://blog.123notary.com/?p=4412

I’m being sued, and E&O won’t help
E&O covers Notary errors, not other errors. But, what if the Notary gets sued because the Lender made a mistake?
http://blog.123notary.com/?p=3570

How do you explain the APR to a non-borrowing spouse?
Most Notaries are completely unrehearsed at explaining the APR. What about you?
http://blog.123notary.com/?p=4455

PRACTICAL

Getting Paid, the ins and outs
Most notaries have trouble getting paid, but follow our easy steps and you’ll never have trouble again!
http://blog.123notary.com/?p=27

Interview with Timios Title
Yet another interview with a really popular Title company.
http://blog.123notary.com/?p=6718

Signing Company Gossip
This link is not to a particular post, but to a string of signing company gossip posts. As Notaries, you need to understand the behavior of signing companies. You need to know which ones are reliable, which ones used to be good and went downhill, and which ones are just trouble!
http://blog.123notary.com/?tag=gossip

Notary etiquette from A to Z
Don’t park in the driveway and don’t discuss politics. But, there are many other things Notaries need to know too!
http://blog.123notary.com/?p=300

Interview with Title Source
An interview with one of the best Title companies out there.
http://blog.123notary.com/?p=6553

How to get paid by out of biz signing companies
Yes, it is possible. Just follow our proven system!
http://blog.123notary.com/?p=8646

Choosing a name for your business license
Everyone chooses a business name, but is your business name any good?
http://blog.123notary.com/?p=7103

Notary Information for Beginners — Best Posts
Here are about 20 of the most really useful posts for beginners. Seasoned Notaries might find these posts useful or interesting as well.
http://blog.123notary.com/?p=10472

Comments (0)

February 22, 2015

Point (3) RTC (4) Closing Disclosure; Story: The Starbucks Signing

Filed under: Loan Signing 101 — Tags: 30 point course, Closing Disclosure, The Right to Cancel, The Truth in Lending, Truth in Lending — admin @ 10:05 pm

The Starbucks Signing
Marcy hadn’t completed her certification test yet. After all, why should she. A little test couldn’t be that important, right? But, she was anxious to get started. She completed her notes section on her 123notary profile. She wrote:

I am reliable, prompt, punctual and professional. Call me for any mobile notary job!

She got her first call a few days after signing up. She answered the phone as her infant was screaming. The screaming was so loud that the person on the other end of the line couldn’t hear what she was talking about. The client decided that Marcy wasn’t very professional.

Then, another call came in. She answered it and got the job. She was to notarize a Grant Deed. She had never seen a Grant Deed, but how hard could it be to notarize. She knew how to fill in an Acknowledgment form. Her baby started screaming right when she was leaving. She left the baby with her husband and went out to do her job. She arrived 20 minutes late as a result of her baby having a fit. The customer said, “Your profile claims that you are punctual, but you are 20 minutes late!” Marcy said, “But, I am punctual, it was just this one time!”

Then a third call came in. They needed a loan signing done. Their house was under repair, so they agreed to meet at a local Starbucks. Marcy’s husband wasn’t around, so she decided to take her baby with her. Luckily for her, the signers loved children, particularly infants. The signing started off okay. Marcy had received a FedEx package of the documents. Everything was in order. She put the documents on the table, and kept the borrower copies in the FedEx. She didn’t know how to introduce the documents because she had never studied loan signing. Her course book was sitting on her desk collecting dust. She would soon learn that book knowledge would help her out of a very serious bind that was about to happen. Ooops!

The couple was signing away, when the toddler spilled Marcy’s mocha all over the Right to Cancel. All Marcy could say was, “I’m so sorry, I’m so sorry.” Marcy decided she had the Right to Cancel and obligation to cancel the appointment and have them start all over another day with another notary. She went home feeling mortified and devastated. But, she didn’t have to. Marcy made several simple mistakes. What were they?

(1) No drinks on the table. Drinks spill all the time. If you have drinks on the same table as documents, you are going to have a problem, it is just a matter of time. Drinks go on a separate table or a chair as a matter of policy. If Marcy had obeyed this signing policy, she would not have gotten in trouble.

(2) Don’t bring your three year old to a signing no matter what. It is not reliable or professional to do so, not to mention the trouble they could cause.

(3) The Right to Cancel was damaged, but there was a borrower’s copy of that document in the FedEx which Marcy could have used to substitute for the damaged one. An easy fix to a common problem. It is also common that borrowers sign in the wrong place on the Right to Cancel. You need to swap that document out if that happens as well.

Point (3) The Right to Cancel

The Right to Cancel (Right to Rescission) gives the borrower in a non-commercial / non-investment refinance three calendar days not including Sundays or Federal holidays to read over the documents and consider their options. If borrowers want to spend three hours reading every page of the document, the Notary is encouraged to inform them that this is a signing appointment, and that they can review their borrower copies over the next three days and cancel within that time period if they have any dissatisfaction with the documents.

Dating: (Chaperone Not Included)
In addition to having the borrowers sign this document, it is often the Notary’s responsibility to make sure it is dated correctly. On the top of the document there should be a section that reads: “The date of the transaction, which is ____________________”. This is where the Signing Agent places the current date; this is known as the “transaction date”. Towards the bottom of the document it states: “no later than midnight of________.” This date is called the “rescission date”, and it states when the Right to Cancel period is finished. In this blank you would write the last day for the borrower to cancel, which is three days past the current date (excluding Sunday and major holidays). If it is Saturday the 20th, and Monday is a holiday, the last day to cancel would be Thursday the 25th.

What if the lender dated the document incorrectly? Cross out the incorrect date, write the new date, and have the borrower(s) initial the change. Never use white-out.

What if the transaction date is correct, but the lender is giving them too many days to cancel? Sometimes lenders are generous and give one or two extra days. Don’t correct that because it’s not an error; it is an act of generosity.

If the borrower carelessly signs where it says, “I wish to cancel”, the best way to remedy this situation is by using the borrower’s copy of the document (by the way, this question is on the exam); doing this will save everyone a great deal of trouble. If that is not possible, cross out the signature and have the borrower initial it. Then have them sign in the correct location.

Cancellation by Fax. The borrower always may cancel their loan by fax with all lenders by law within the (3) day right to cancel period.

Here is a list of all Federal holidays:

New Year’s Day
Martin Luther King Day
Washington’s birthday AKA and observed on Presidents day
Memorial Day
Independence Day
Labor Day
Columbus Day
Veteran’s Day
Thanksgiving Day ( the Friday after is a regular day unless the lender states otherwise )
Christmas Day

Point (4) The Closing Disclosure (formerly The Truth in Lending)

The Truth in Lending is now antiquated.

Notaries have become moderately familiar with the new Closing Disclosure. I want to stress some important points about this document that you should memorize.

1. The Closing Estimate
Previously there was a document called the Good Faith Estimate whose current replacement would be the Closing Estimate. Although these two documents are not even close to being identical, they go over the estimated costs of the loan among other information.

2. The Truth in Lending
This is now an antiquated document. The Truth in Lending had some bizarre and unhelpful verbiage about the prepayment penalty. It said you, “will, won’t or may” have a prepayment penalty. The Closing Disclosure states if you will or won’t but omits the ambiguous word, “may” from the document.

3. The APR
In addition to going over the APR, there will be a new figure discussed on the Closing disclosure called the TIP which is the total interest percentage.

4. Taxes, Insurance, Escrow Fees
Estimated escrow costs, insurance, taxes, servicing, assumption, and appraisal costs will also be covered in this new and exciting document.

5. The property address
Many loan signing courses claim you should look for the property address on the Deed of Trust or Mortgage. You can, but it is also on the Closing Disclosure on the upper left corner.

6. The Loan Amount & Rate
This is also covered on the upper half of page one.

7. Fees associated with the loan
The Closing Disclosure replaces the TIL and the HUD-1 Settlement Statement. So, items from the Settlement Statement such as fees or costs associated with the loan will be covered on this document.

8. Calculating Cash to Close
This is a very practical section that covers total closing costs, closing costs financeed, down payment, deposit, funds for borrower, seller credits, and adjustments. The bottom line in this section is the cash to close total amount.

9. Summary of Transactions
The sale price of the property, closing costs, HOA dues, deposits, loan amount, sellers credit, rebates, and local taxes are all part of the accounting spreadsheet in this section.

10. The additional information section about the loan
This section covers other specifications about the loan such as whether or not assumption is allowed, if there is a demand feature, negative amortization, late payments, partial payments, escrow accounts, and more…

11. Next, there is a basic loan calculation similar to what the TIL had with the total payments, finance charge, amount financed, APR, and the new figure which is the TIP.

12. There is a section listing other disclosures which will list the appraisal, contract details, liability after foreclosure (keeping it positive), refinance, and tax deductions.

13. And last there is contact information of the Lender, the Real Estate Brokers, and the Settlement Agents.

Sign below.

——————————————— ———-
Applicant Signature Date

Eventually I will create some test questions out of this material. I already have one, but I will derive some others as well.

You might also like:

30 Point Course Table of Contents
http://blog.123notary.com/?p=14233

30 Point Course (5-7) HUD, Occupancy Affidavit & Deeds
http://blog.123notary.com/?p=14546

The Right to Cancel done Wrong!
http://blog.123notary.com/?p=10001

Notary information for beginners: Best Posts
http://blog.123notary.com/?p=10472

How do you explain the APR to a non-borrowing spouse?
http://blog.123notary.com/?p=4455

Comments (2)

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