Let’s discuss the dilemma of loan signing agent vs notary public.
Have you ever found yourself caught in a web of legal terminology, wondering if you needed to hire a notary public or a loan-signing agent?
You are not alone.
For most, what is confusing is the process of notarizing documents, in particular, when roles seem so similar yet are distinctively different.
Understanding the specific roles and responsibilities of these professionals can save you time, money, and a lot of headaches.
Whether you’re closing on your dream home, managing real estate transactions, or needing to get a document notarized, their expertise is invaluable.
In this article, we will demystify the differences between loan signing agent vs notary public, focusing on their different duties and how they can play critical roles in ensuring that your documents are properly handled.
Who is a Notary Public?
A notary public is an official appointed by the state to serve as an impartial witness in the signing of important documents.
Their primary responsibilities include:
a) Verifying identities of signers.
b) Administering oaths and affirmations.
c) Witnessing signatures on documents.
d) Certifying copies of documents.
Notaries play a crucial role in preventing fraud by ensuring that signers are who they claim to be and are signing willingly.
Common documents notarized include affidavits, powers of attorney, and contracts.
In the age of digital transactions, an online notary can perform these duties remotely, adding convenience and accessibility.
Who is a Loan Signing Agent?
A loan signing agent specializes in the notarization of real estate loan documents.
They are not just public notaries but also have additional training in handling complex loan documents.
Their primary responsibilities include:
1) Presenting loan documents to borrowers.
2) Ensuring that all documents are properly signed and dated.
3) Providing a basic explanation of each document to the borrower.
4) Returning completed documents to the lending institution.
Loan signing agents play a vital role in ensuring that the loan signing process is smooth and accurate, preventing delays in the transaction.
Key Differences Between Loan Signing Agent vs Notary Public
While both notaries public and loan signing agents serve important functions in the notarization process, several key differences set them apart:
Scope of Work
- Notary Public: Handles a broad range of documents, including legal, title and escrow, real estate, and personal documents.
- Loan Signing Agent: specializes exclusively in loan documents.
Training and Certification
- Notary Public: Requires basic training and certification as mandated by the state.
- Loan Signing Agent: Requires additional training specific to loan documents, often through specialized certification programs.
Interaction with Borrowers
- Notary Public: Generally provides limited explanations of documents.
- Loan Signing Agent: Offers a more detailed overview of loan documents, ensuring borrowers understand what they are signing.
Payment Structure
- Notary Public: Typically charges a fee per notarized signature.
- Loan Signing Agent: Often charges a higher fee for handling the entire loan signing package.
Importance of Notary Services and Loan Signing Agents in Real Estate
Loan signing agent vs Notary public, both are essential in the real estate industry.
Notaries ensure that all parties involved in a transaction are properly identified and that documents are signed without coercion.
Loan signing agents go a step further by guiding borrowers through the complex loan signing process, ensuring that all documents are accurately completed and returned to the lender.
When dealing with real estate transactions, it is common to use both services.
For instance, a notary public may handle the initial signing of purchase agreements, while a loan signing agent assists with the final loan documents.
Title and escrow services often collaborate with these professionals to ensure a smooth closing process, backed by title insurance for added security.
Utilizing Online Notary Services
With advancements in technology, online notary services have become increasingly popular. You can opt for an online notary service by BlueNotary for secure and premium notary services anytime, anywhere.
These services allow for the notarization of documents through digital platforms, making the process more convenient for clients.
FAQ: Loan Signing Agent vs Notary Public
Q1. What documents can an online notary notarize?
An online notary can notarize various documents, including affidavits, powers of attorney, contracts, and online notary affidavits. The process is conducted via a secure digital platform, ensuring authenticity and compliance with legal standards.
Q2. How do I become a loan signing agent?
To become a loan signing agent, you typically need to be a commissioned notary public first. Then, you must complete additional training and certification specific to loan signings. This often includes courses on handling real estate documents and understanding escrow services and title service processes.
Q3. How does an electronic signature work in notarization?
An electronic signature is a digital version of a handwritten signature. It is used to sign documents electronically, providing a secure and efficient way to complete transactions. Electronic signatures are legally binding and widely accepted in various industries.
Q4. Are notary services necessary for all legal documents?
While not all legal documents require notarization, having them notarized can add an extra layer of authenticity and prevent future disputes. Commonly notarized documents include powers of attorney, wills, and contracts.
