Posted by Sherri_IN on 10/19/05 9:57pm
Msg #71301

Heads up Indiana Signing Agents.....

You will need to have a Title Insurance license in order to conduct signings in Indiana. This went into effect in January 05 but will be inforced in January 06. In order to get your license you will need to take a 2 day Pre-License class that the ILTA (Indiana Land Title Association) is offering. The Title companies were all informed about this at the ILTA convention and I am told will start only using Licensed signing agents/contract closer in January since the fine is pretty hefty.

If you need more information on the pre-license class go to the ILTA website www.indianalandtitle.org

Reply by DMARTZ_IN on 10/20/05 12:35am
Msg #71343

Thanks for the reminder sherry. I forgot all about it. I better get in gear.

Reply by bfd110_IN on 10/20/05 7:14am
Msg #71353

Is this only required for signing agents that work for title companies? I never discuss terms of the title policy or solict title insurance business.

Who needs it?
According to the Indiana Department of Insurance,
Anyone who solicites title insurance business, discusses or explains the terms and/or conditions of a title insurance policy.

I guess this is where i am stupid, cause with exception to discussing the settlement statement, this is the only time I have mentioned anything regarding title insurance.

Does this mean also that Banks that close thier own loans are required to do this? I know several banks here in southern indiana, the mortgage loan officers still close thier own loans.

Have you heard if any other classes are being offered? For a state mandated requirement there is a poor job being done as far as how many classes are being offered and locations of classes.

I am sorry I am venting.. I do work for some title companies down here and none them mentioned this being required.

Reply by Sherri Dabson on 10/20/05 7:32am
Msg #71355

This is required for all independent signing agents. Notaries are exempt as long as they are only charging the State allowed notary fee and no other charges.

What I was told is that because the signing agent is the last point of contact with the consumner and collecting funds on some closings, they feel that they should be licensed.

I have heard that Bank officers closing their own loans are also exempt. I am getting a copy of the White Paper and will post a copy once I get it. It will outline everything.

This is the only class being offered before the Jan 1 deadline.

Reply by Art_MD on 10/20/05 8:07am
Msg #71358

Re: sounds like Maryland laws.....

Maryland has had the same for the last couple of years.
I'd be interested what the surety bond requirement is.
As this law goes into effect, the Title companies will ignore it as long as possible. The SS will ignore even longer.
What happened in MD was TC and SS tried to ignore the requirement and continue to use notaries who weren't licensed - it was cheaper. Notaries with TPL (title producer license) raised fees to help defer the cost of obtaining and maintaining their license.
A suggestion, as soon as you get licensed, and I'd recommend you do it ASAP, you get a copy of the regulations and send a nice note along with a copy of the regs to remindi the TCs and SS you work for that the law is in effect. At that time, you may want to adjust your fees.

When this law went into effect in MD, I estimate that more than 50% of the SAs did NOT get licensed and stopped doing closings. Didn't want to spend the $1500+ to meet the law. Some just continued to do closings illegally.

You may find that you work load will increase since some of the larger TCs and SSs do adhere to the law and will only use licensed SAs.

As soon as you are licensed, I'd recommend that you change your profile. Include Licensed Title Producer in your name. Will get you more work.

Art

Reply by Kimberly_IN on 10/20/05 8:53am
Msg #71370

To Sherry....

Is this the "title producers license" App I see on their webpage? Is that what I want?

Reply by bfd110_IN on 10/20/05 9:09am
Msg #71377

Re: To Sherry....

Kim you stil have to go to the class according to the indiana title association.

Reply by Toni Michelle Gamberg on 10/20/05 10:32am
Msg #71384

Re: sounds like Maryland laws.....

I have had my License for years and was told that it did not make a difference, that my fee was still as low as it is. Don't think because you carry this license that you will get more money. Their will alway be someone to undercut you on your fee.

There is no law posted, so you are not required as of yet to get one. This is someone starting panic and the State is making money on it. Do your own research and go from there.

Reply by Art_MD on 10/20/05 10:44am
Msg #71389

Re: sounds like Maryland laws.....

When the law is active, the good SSs & TCs will adhere to the law. They will require copy of your license to continue to work for them.

I remember a number of times I quoted my fee and they said "that's higher than we normally pay". I replied that because of the licensing requirements in MD we need to charge more. She said "thats right - this signing is in MD, - we can pay your fee".

For a period of time there will be a shortage of licensed SA. I remember when this law first was enforced in MD, and for a period of time afterwards, I was only able to do 1/3 of the signings when they wanted them done. The TCs and SS were very willing to adjust times to accommidate my availability.
As for undercutting fees, I think you will find that anyone willing to put out the time, efford and $$ to get licensed is serious about this business and won't undercut for "pocket money".

As I said before, you may have to educate the SS and TC on the law.

Art

Reply by bfd110_IN on 10/20/05 9:08am
Msg #71376

well i have been burning up the phone lines this morning. Called my title companies and they said " no since you arent qouting insurance you dont have to worry about it. You are a contractor employee for us and you dont go over the pricing of it". Not 1 but 5 said this. called a company that i do signings for out of Indy and again said I wasnt required to have it. Soo then i moved to Department of Insurance and was told that it didnt matter that i wasnt qouting insurance, Since i was closing the loan with title insurance I still had to have it.
After that call, I got the call from the Title Association and then they comfirmed what the Dept of Insurance stated. She stated that state has been telling them it was coming but would never give a date (plus she stated hasnt given a true date officially yet but the memo coming out soon is supposed to have it).
There is one class beeing offered now(it is full) and one not on the board to be offered in northern Indiana and of course nothing planned for southern indiana. Email me if your interested in having class down here (evansville area) cause that is the question I am proposing if I can get enough people here.

I just think communication has been poor in this, you would think the title companies would be aware of it, but hell who am I to complain. I am just a notary.

Reply by Art_MD on 10/20/05 9:34am
Msg #71379

This was the same response in MD when they implimented the law.

Md Ins Admin logic:

Title insurance is being produced/comitted/agreed upon when papers are signed. Anyone producing title insurance must have a license. Since it is only the borrower and the SA present, then the SA must be the one producing the title insurance and must be licensed.

As I said in my previous post, the TCs and SSs will fight admitting the SA must be licensed. Licensed SA are scarcer than SA and cost more - justifiably.

Art

Reply by Sherri_IN on 10/20/05 10:07am
Msg #71380

I agree the communication was extremely poor on this. One of the reasons is that the ILTA does not have a data base of Independent Signing agents (this may be something we suggest to them).

I spoke with my Underwriter (I own a Settlement Company that handles REO Closings) about use of contract closers/closing agents that were not licensed and was informed that there would be a heafty fine. I as business owner will only be using licensed closers. I also have a few select Title companies that I do signing agent signings for and will raise my rates accordingly.

I have been told that in the future the class will be available on video but not in time to be licensed by Jan06. After you are licensed you will also have to have 14 CE hours in order to renew your license.

Reply by bfd110_IN on 10/20/05 10:36am
Msg #71385

The part that dissapointments me is...

you would think has soon as you sign to their website, the change would be the highlight of information. Instead it is about the new sales disclousure form change and plans for the 100th anniversary that doesnt take place for 18 months......