Posted by Art_MD on 3/7/05 11:18am
Msg #24101

RTC - our obligations ?

Docs have been sent to borrower.

On the 2 copies of the RTC in the SA's packet, the borrower is signing saying that he has received 2 copies. The dates have not been entered onto the RTC, so you do it and have the borrower initial the dates.

Do you pull the borrowers copies and date them and have them sign?

I bet this is skipped nearly as often as the administering of the oath is skipped.
Do we have to hand the copies to the borrower by law?

Art

Reply by Stephanie/CA on 3/7/05 11:27am
Msg #24104

I generally check to make sure there are 2 copies per borrower in the original set to be returned.
If there are not 2 copies, during the signing I have the borrowers remove all RTCs from their copies.
I have them fill in the dates, making sure there are 2 copies each.
I explain how to cancel, should they decide to cancel & leave them with 2 coipies each - completely filled in with the correct dates.
**I have the borrowers only sign the RTC that I am returning with the original loan docs.

Reply by Ted_MI on 3/7/05 11:39am
Msg #24109

Art,

I without fail check the borrowers' package to make sure that the two dates are on their copies of the RTC. It seems to me that without those two dates the borrowers' copies are of very little value. If the right dates aren't there or if the date slots are blank, I put them there. Do I have them sign the borrowers' copies? No. I don't know what that would achieve.

Do I hand the copies to the borrowers? Not necessarily; I may just leave them sitting there on the table. What I do make sure of is that I don't take them home with me (did that once; luckily it was with some close friends, who had requested my services, so not a real problem).

Reply by Lori/CA on 3/7/05 11:45am
Msg #24111

Art,

As a rule I make sure the borrowers have a minimum of 1 fully executed RTC, even if that means to pull the borrowers copy out. As they sign the minimum of two I put one on the top of their copy package and one in the lenders package. I complete all dates and have the borrower sign at the botton stating they have received their copy.

I do not know legally when of if they cancel if it has to be a fully executed RTC but for my piece of mind I make sure they have one.

Lori

Reply by ERNA_CA on 3/7/05 12:59pm
Msg #24123

I know of a case where borrowers could not cancel their loan as the RTC was not corect. Just leeving a cop with the borower is not enought their copies are not leagal unless they are filled in and signied corectly. Borrower might just sign and date wheree it saies I want to cancel if we dont make sure it is dated and signied at the time of signing we might be setting us and the borrower up for trouble.

Reply by CaliNotary on 3/7/05 1:06pm
Msg #24125

I disagree. The lender has the signed document from the borrower stating the date that they received the RTC. There is no need for the borrower's copy to be signed as well to be legal. That's like saying the Deed of Trust isn't legal because the borrower's copy isn't signed and notarized.

To cancel a loan, the borrower doesn't even HAVE to use the RTC form. Any written statement stating they wish to cancel the loan is just as legal.

I definitely make sure that all of the borrower's copies have the correct dates filled in on them, but that's it. And while that's obviously done for the borrower's benefit, it's also done to protect ME as well.

While I don't think the borrower would have a legal leg to stand on if they tried to write in different dates on a RTC (as the original clearly has their initials next to the correct dates), I can't imagine the title company would be very happy with me if they discovered that I had left undated RTCs with the borrower.

Reply by Ninna Mantooth-Lopez on 3/7/05 4:01pm
Msg #24148

agree with CaliNotary....

I fill in the dates on all copies... send one executed (signed) copy to lender and leave the rest with the borrower. I don't have them execute all of "their" copies unless I'm otherwise instructed. (I have actually had instructions in the past that specifically required me to have them sign their copies.... and in those cases, I comply.)

Reply by CarolynCO on 3/7/05 7:00pm
Msg #24197

Re: agree with CaliNotary....

Same here. I pull their copies out of their packet and put on top. I generally circle the date they have to cancel. However, unless instructions in the signing packet specifically say, I don't have them sign *borrower* copies.

Reply by Linda/NJ on 3/7/05 8:24pm
Msg #24216

Right to Cancel

I also have a question about the R/C. Original date was cancelled for closing which was 2/28. The next day after another wonderful NJ snowstorm, on 3/1, I went to the closing. The agency the hired me said to leave all the borrowers copies dated for 2/28 and my notorials and the right to cancel should reflect the date we were signing on 3/1. The borrower changed the dates on the R/C to 3/1 -3/4 and next to where she acknowleges receipt of it had a 2/28, which she changed to 3/1. The Signing agency said this was okay and I agree. Well, then they check with the lenders and they say the R/C should not have changed at all! That the borrower forfeits the one day. My docs went with the r/c changed and have not heard anything in a week.

Reply by CaliNotary on 3/7/05 8:42pm
Msg #24220

Re: Right to Cancel

The lender is full of crap.

The borrower NEVER forfeits a day on their right to cancel. It is quite clearly spelled out on the RTC: the later of 1. The date of the transaction 2. The date the borrower receives their truth in lending disclosures, or 3. the date they receive the notice of the RTC.

Reply by linda/NJ on 3/7/05 9:01pm
Msg #24227

Re: Right to Cancel

I actually wanted to say that to them but, refrained. I knew what I was doing was right. I could not believe my ears. Thanks linda.

Reply by CaliNotary on 3/7/05 12:59pm
Msg #24124

Lori, do you fill in the dates on all of the copies of the borrower's RTC?