Posted by trnsa_IL on 3/17/09 8:55pm
Msg #281046

A question for those who have had a LO attend & bring docs..

to a closing. I participated in a closing tonight where the LO brought the lender docs, and I brought the HUD and title docs. I brought copies for the borrower, but the LO did not stating that he would have signed copies made for them to pick up when they picked up their check from the title office on Monday. Is it common for the LO to not give a borrower any copies of lender docs unitl after the loan funds; not even a RTC? It just didn't seem right.

I have had a LO at closings many times, but this was a first.

I got the feeling they were all related, LO & Borrowers.

Reply by Glenn Strickler on 3/17/09 9:06pm
Msg #281047

In cases like that, I am just been there to notarize the signatures on the documents that require a signature and that's it. I have the LO go through the documents and get the signatures from the BOs. After all, it's his show. I am just there to notarize the signatures that are required to be notarized.

Loan companies vary, but there is always a form for the BO to sign stating that they are getting document copies and I have had some loans with a sheet stating that someone is providing them with documents. I make sure I don't sign that one in the situation you describe. After all, I am not providing the copies. I do leave copies of the docs that I brought to the party.

Reply by trnsa_IL on 3/17/09 9:10pm
Msg #281048

That is exacatly how this case played out. I only notarized the docs, and he conducted the closing. I was just wondering if anyone else had this happen. I also let the title co know what my role in the closing was.

Reply by ChristineHI on 3/17/09 11:37pm
Msg #281075

Re: A question for those who have had a LO attend & bring do

Well, I processed loans for 16 years and the companies I have worked for usually gave the borrower a copy of at least the crucial documents right after their signing, like the note, NRTC, deed of trust, HUD. Sometimes, there are companies that want to give the borrowers copies of the executed documents later and that is their prerogative. Not giving them the notice of right to cancel is not right since the borrower should have a copy in case they need to execute it, but unless the borrower complains it would not be an issue.
If the borrower knows or is related to the L.O. also they may have more trust in him or her and be fine with no copies as well.
Personally, I think it is better to give a copy right away so they can review the docs again after the signing in case they have any questions, but it is not uncommon for some lenders to do what this lender did with you today. :-)

Reply by trnsa_IL on 3/18/09 9:26am
Msg #281106

Thank you both for your responses; they are appreciated. I

am glad to hear this is more common than I realized. Sorry for the typos in the earlier posts.

Have a great day!

Reply by Luana Lonergan on 3/18/09 12:52pm
Msg #281166

I had one attend last year. I was not allowed to do anything but sign. He took the docs with him but after I left and before he left he had a chat with the bo. She called me the following morning and told me that he stated to her that she owed him money out of the money she was getting back because he had worked extra hard for her. I told her to call her attorney and I called the title agency that had called me. They fired him on the spot. They called the borrower and apologized and said that they were tracking all the borrowers that he attended closings at. So much for lo assisted closings. I am happy to have them at my rm's because I have 2 excellent lo', that I work with but I have to question why a loan officer would want to be at a closing unless it was in his bank.