Posted by Annette_CA on 6/17/08 11:38pm
Msg #251756

Fax-backs

I have often wondered about the legality of fax-backs to anyone other than the Settlement company. Having worked in the Government for 22 years I am very familiar with the Privacy Act and with the new constraints set forth in recent legislation (GLB act) I wonder if we are violating both in sending these fax-backs to Signing Services.

Both of these pieces are very clear on who is to have access to the information contained in loan packages. I was surfing a Title industry site the other day and ran across the same concerns from persons in the Settlement/Escrow aspects of the industry.

A few years ago I accepted a job from a Signing Service who required 30+ pages to be faxed to them (I did not realize at the time the fax # they gave me went to anyone other than the settlement company). I was called by the settlement company about a document they forgot to send and I asked them if they wanted the fax-backs or would they prefer to get the package the next morning. The settlement agent asked me, "What fax-backs?" I explained that I was given a number to fax-back 30+ pages. Needless, to say the settlement company no longer used the services of the Signing Service that hired me.

I would be interested in reading some comments from the community on this.

Reply by SheilaSJCA on 6/17/08 11:58pm
Msg #251759

Re: Fax-backs and E-docs....

Along that same line of thought...How often do you receive e-docs that have been sent to the ss by the title company?
Why are these title companies allowed to send this sensitive information to an unlicensed, and unregulated entity. How to they make sure that those docs are NOT being accessed by an enterprising thief?
The answer is they don't.
If you were an identity thief... why not get some poor suckers (the title companies) to send you the info for free? What an easy way to "legally" get this type of info and make some money while your at it!!!

ANYONE can make a website and start a signing service. Can you imagine if this is really happening out there? Considering all those deadbeat companies that come and go!!! Who knows what their real motives are.

Reply by ZeeCA on 6/18/08 12:20am
Msg #251761

and they have all YOUR info also n/m

Reply by PAW on 6/18/08 7:19am
Msg #251776

Don't give them anything ...

... that isn't already public knowledge. Such as name and address. Be sure to use an EIN tax ID instead of your social security number.

I was also advised to have a "special" phone number, such as a cell phone (recommended) or second land-line, and not to use my home phone for any business purposes. Make sure all phone numbers are "unlisted" and "unpublished". You can give the number to anyone you desire so you will have better control of it. Don't forget to list your phone numbers, including cell phones, with the Federal Do Not Call Registry (http://www.DoNotCall.gov).

Reply by Vince/KS on 6/18/08 9:21am
Msg #251783

Faxbacks to a ss are more so they can check the work of the

notary on critical documents. When they hire someone for low rates, they want to get paid so they do not mind violating the borrowers' privacy to "ensure accuracy and payment" to themselves. Another reason for knowledgable notaries to avoid low paying companies.

Reply by Sylvia_FL on 6/18/08 9:37am
Msg #251785

Re: Faxbacks to a ss are more so they can check the work of the

The only time I require fax backs is when a signing agent hasn't worked for me before. But they only have to fax back the notarized pages so I can check the notary certificate is filled out correctly according to Florida notary laws - and you would be surprised at how many "experienced" signing agents do not fill out the certificates correctly.
I am a stickler for those certificates being filled out correctly.

Reply by Gerry_VT on 6/18/08 6:56pm
Msg #251917

Do Not Call Registry

Isn't the Do Not Call registry only for residential numbers, not business numbers? Also, doesn't it only prohibit trying to sell stuff to the subscriber of the registered number? Isn't it OK to try to give money to the subscriber (in return for services?)

This isn't a hypothetical; I may be calling residences to try to obtain small amounts of space on the owner's land for public utility equipment. Since my employer would be buying, not selling, I don't think do-not-call would apply.

Reply by MikeC/NY on 6/18/08 8:32pm
Msg #251941

Re: Do Not Call Registry

"Isn't the Do Not Call registry only for residential numbers, not business numbers?"

Correct - business-to-business calls aren't covered.

"Also, doesn't it only prohibit trying to sell stuff to the subscriber of the registered number?"

It prohibits trying to solicit business, but it gets murky. For instance: as a Realtor, I'm not supposed to call a for-sale-by-owner who's on the DNC registry - even though they've put their phone number out there for all to see - unless I actually have a potential buyer for the property or I am interested in buying the property myself. According to the strictest interpretations of the law, I can't call them just to look at the property, even if I don't try to solicit their business.

"I may be calling residences to try to obtain small amounts of space on the owner's land for public utility equipment. Since my employer would be buying, not selling, I don't think do-not-call would apply."

My understanding of the DNC rules is limited to how they apply to what I do, but as far as I know you're OK as long as you're a) not trying to sell them something, or b) not setting them up in order to potentially sell them something in the future. Of course, I am not a lawyer, yadda yadda yadda, so this is just opinion, not advice.

Reply by MW/VA on 6/18/08 1:15pm
Msg #251833

There are two different reasons for faxbacks. One is the ss that want assurance there are no errors to be corrected before the package drops. The ss is handling the doc package, so why would there be a security concern about faxing docs to them. In the pipeline they would need to be GLB complaint (in a perfect world, ha!). Most of the time I am only asked to faxback if it a purchase or investment property & the loan is going to fund the same day. They use the faxbacks to fund the loan. It's not my job to decide these things (could definitely be considered UPL). This is the mortgage loan industry, and we aren't required to have government security clearances (supposed to be for matters of National Security).
I'd worry more about the mortgage brokers/loan officers who aren't licensed & doubt there is much in the way of security requirements. This is a lot of what the proposed RESPA reform is going to address.

Reply by Annette_CA on 6/18/08 10:18pm
Msg #251956

Fax-backs should only go to settlement company/lender. If a SS wants to check work then give them a test package and fax the SS back with the properly notarized docs. That way you know ahead of time if they can properly notarize a document. BEFORE YOU SEND THE NOTARY OUT.
I can already hear it... there may be time constraints and I have an answer. If you are operating under time constraints with an untested Notary then you accepted a job you should not have.
Just my thoughts.