Posted by Poppy on 8/25/06 9:42am
Msg #140864

Urgent message for California Notaries.. Please Read

Good Morning All,

Please consider sending a letter to the commissioner....Thanks, Poppy

Dear California Notary:

I am contacting you today because California Insurance Commissioner John Garamendi has proposed extensive new regulations that could have a devastating effect on the thousands of Notaries in California, and ultimately consumers. The intent of the plan is to force a 27% rollback in the fees title and escrow services may charge. The Department of Insurance would then establish a permanent maximum fee schedule for escrow and sub-escrow services based on a highly complex formula. We believe this will have a negative impact on Notaries in California.

If the fee reduction is implemented, title and escrow companies predict they will be forced to lay off a significant portion of their workforce and eliminate use of many outside contractors, including Notary Signing Agents. As a result, consumers will lose convenience and security provided by Notary Signing Agents, while notarization duties would be delegated to in-house Notaries with substantial workloads.

The National Notary Association is strongly opposed to these regulations, which will be the subject of an August 30th public hearing in San Francisco. To view the NNA's letter of opposition to the proposed regulations, click here.

The NNA needs the help of every California notary during this critical hour to write Commissioner Garamendi to request that he withdraw the proposed regulations.

Written comments may be submitted by e-mail, fax or regular mail to:

Bryant Henley, Staff Counsel
California Department of Insurance
45 Fremont Street, 21st Floor
San Francisco, CA 94105
Email: [e-mail address]
Fax: (415) 904-5490

Comments must be received no later than 5 p.m. on August 30. For instructions and submission suggestions, click here. Please be sure to copy us on any written comments you submit.

Notaries who reside near San Francisco are encouraged to attend the public hearing to offer their written or oral comments. The hearing will commence at: 10 a.m., Department of Insurance's Hearing Room, 45 Fremont Street, 22nd Floor, San Francisco.

To learn more about the proposed regulations or how you can submit written comments, please contact the NNA's Notary Best Practices Manager, William Anderson, at [e-mail address].

Sincerely,

Timothy S. Reiniger, Esq.
Executive Director
National Notary Association

Reply by Poppy on 8/25/06 10:41am
Msg #140875

Sorry, the link didn't work.... Here's the link to the NNA letter...

http://www.nationalnotary.org/userimages/garamendi-ltr0806.pdf

Reply by Delta_CA on 8/25/06 11:57am
Msg #140901

This is distressing news...............

I'm surprised there haven't been more responses from CA notaries about this. I for one am going to send a letter. Every SA in CA ought to do the same or we are going to be out the door.

Reply by Poppy on 8/25/06 12:06pm
Msg #140904

I agree Delta... Potential big problem, considering the

commissioner is really pushing this for political reasons. I saw one of his commercials the other day. Touting how he is really looking out for the public on this one.
Thank you, for sending the letter. I hope more notaries will. I think I'll repost it everyday until the 30th. Hopefully Harry won't mind.

Reply by Delta_CA on 8/25/06 12:11pm
Msg #140906

This should be posted on other boards as well...... n/m

Reply by bestcal on 8/25/06 12:15pm
Msg #140908

Re: Urgent message for California Notaries.. Thx Poppy! n/m

Reply by SueW/Tn on 8/25/06 12:25pm
Msg #140912

First let me say there is strength in numbers...

then let me add that the NNA just pisses me off. We in Tennessee went through some legislation earlier this year that is going to wind up eliminating our ability to perform in home signings. I personally contacted the NNA (I will not be a member once my membership expires) and they sweetly told me their job wasn't to "practice law" and they couldn't comment on the legislation. How odd that they jump on the band wagon with this one. Oh, stupid me....many more members in California than here in the back woods of Tennessee. Sheesh! Talk about watching out for the bottom line! But forgive me CA SA's, I'm behind you 150% and from experience just let me say that when the politicians get involved it's a bleak future. They want to be a hero but you can bet the banking establishment is behind the whole enchilida and while it's difficult to "fight city hall", it's not impossible IF you can all come together.

Reply by Poppy on 8/25/06 12:38pm
Msg #140913

I agree Sue...It's all about numbers for the NNA it's about

the number of members in a particular area, for polititians it's about the number of voters and right now in CA it's going to be all about the number of nataries and title employees who care enough to send a letter and speak up.
Our insurance commissioner is running ads about what he's done for the little guy and what he's going to be doing...

The little guys need to speak up right now before we lose our chance to have our voice heard.

Reply by BrendaTx on 8/25/06 12:39pm
Msg #140914

Re: First let me say there is strength in numbers...

**How odd that they jump on the band wagon with this one. Oh, stupid me....many more members in California than here in the back woods of Tennessee. Sheesh! Talk about watching out for the bottom line! **

Exactly Sue. Raspberries to them. Good that they told CA notaries, bad that they do not care about any state wherein they cannot promote their agenda to its fullest. At least this is my "take" on it.

Reply by Glenn Strickler on 8/25/06 1:03pm
Msg #140922

Don't just write the commissioner, find out who your state assembly person and senator is and write them also.

Many borrowors are complaining about the fees they are charged, that is why the concern in an election year. However, the loan broker fees and loan originination fee, which make the fees the escrow fees look like pocket change are not being addressed. Loan compaines and loan brokers are a large lobby in Sacramento and unless those of us on the bottom are heard from, we will be the ones to suffer.

I have posted, on several boards, several notes concerning so called "consumer protection" bills that are being considered and I asked for letters to be written to your representatives about the subject. My contact in the assembly says that the notary response has been near zero. I took a lot of email telling me that I should back off and not rock the boat. Well, people, it is here and if we don't respond, then our jobs, as we know them, will change and not for the better.

I an not avocating controlling broker fees. I recently refinanced with no fees except for the usual recording fees and such and a very low rate. But I have good credit and can shop around. The consumer is suppose to be savy and be able to shop the loans for themselves. However, those who have lousy credit and are high risk pay more and this group is the one that is crying about having to pay for their past credit performance. I don't feel sorry for them, but they are the ones making the noise.

Think about the compositon of your letter, keep it short less than a page. Also, due to volume of email and security concerns about sealed letters, faxes and post cards (you can get large ones) are read more often and quicker than email and sealed letters. Also, phone calls can also have an impact. Remeber to add that our in-home service adds a great convience to the consumer who can close the loan in their own homes.

OK, California notaries, get off your cans and act or be prepared to do something else ......... Me, the letters are already sent, the phone calls made and after EOM, I am fishing and golfing for a couple of weeks ...

Reply by BrendaTx on 8/25/06 1:15pm
Msg #140924

Re: Urgent message for California Notaries.. Glenn / Poppy

http://texas-signing-agent.com/california.htm

Glenn, I have posted yours and Poppy's message on this link. If someone will write a sample letter, I will also post that. I also put a link to it on the ToC of the Free NSA Book.

If you will post a sample letter and how to get to the right people, I think you'll have greater success.

I am going to leave for a few assignments and then I'll be back.

You can write me or use this idea, or whatever, to post on your own websites. Just help those like me who are not all that good with the political red tape.

Reply by Delta_CA on 8/25/06 1:28pm
Msg #140929

Thanks, Brenda

Let's all remember that a TX notary has stepped up for us CA notaries. Hopefully it doesn't happen there, but if it does let's not forget to step up for them.

Reply by BrendaTx on 8/25/06 4:18pm
Msg #140986

Re: Thanks, Brenda- Delta - right now it was easy enough to

do. Catch me on another day and it might have been like pulling teeth. I just happened to have the html editor open. Simple cut and paste job...but, thank you, Miss Delta.

Reply by Poppy on 8/25/06 2:45pm
Msg #140962

Re: Urgent message for California Notaries.. Glenn / Poppy

I'll work on it tonight. I have a busy day today. And will try to check back between assignments. Will get on it tonight for sure... Thanks for your help!

Reply by Poppy on 8/25/06 2:45pm
Msg #140963

Re: Urgent message for California Notaries.. Glenn / Poppy

I'll work on it tonight. I have a busy day today. And will try to check back between assignments. Will get on it tonight for sure... Thanks for your help!

Reply by Glenn Strickler on 8/25/06 3:19pm
Msg #140968

Thanks Brenda for your help n/m

Reply by Glenn Strickler on 8/25/06 3:21pm
Msg #140970

Thanks Brenda for your help .. n/m

Reply by Glenn Strickler on 8/25/06 3:52pm
Msg #140982

Re: Urgent message for California Notaries.. Glenn / Poppy

As I was going to say before pushing the wrong button twice in a row .... Thanks Brenda. I thought about writing a sample letter, but I think that a letter writing effort is more effective is a form letter is not used as it turns into the same old thing for the readers. Perhaps the California notaries can post some bullet points that they feel should be included in the letters, and then the writers could pick and choose the points they feel are the most important.

I think that the devasting effect such action on the part of the state can't be understated in our letters. It won't hurt the lenders or the loan brokers, but the little guy who works for the compaines and the independant contractors who are the mobile notaries many of whom are mothers who use the income to supplement the family income to make ends meet. It won't help the consumer as, as we all know, the bulk of what the borrowor pays are the broker's commission and loan origination fees. The consumer still has the freedom to shop around for good rates and low fees provided their credit is in order. If their credit is not in order, then they need to be held accountable for the bad credit.
So here are some numbers someone might want to use in their letters, faxes and phone calls:
I am holding in my hand the Settlement Statement from a loan for borrowors with below average credit.
the total settlement charges for the loan is $10,700 Now when you pull the loan discount fees, the origination fees, actually all the money paid to the mortgage company in fees (mind you, these fees are not what the commissioner is after) you have $2489 left paid to the escrow for title insurance, recording fees and notary fees, and the other escrow fees. . Now Garamendi claims he will roll back these fees by 27%.
Well that will save this particular consumer exactly $672.03 out of the total settlement charges of $10,736.
Who is kidding whom?

I have to go right now, but let's get those letters, post cards, faxes, phone calls out.

Reply by Poppy on 8/25/06 2:30pm
Msg #140956

Glenn

Do you have a link to some of the post you've made regarding this issue? I'd love to read more about it. I'm only a member of one other board I'll do a search on your name. (If that's what you use as your handle.)

Thanks for your advice. I will call and write all of the above.... Thanks again...

Reply by patricia on 8/25/06 2:31pm
Msg #140957

I hear lots of complaints from borrowers about title company fees. They are always complaining about the fact that since they have re-financed so many times they do not see why they should be charged for a full title search each time when there is only about one year of time since the last search. They believe that only that one year of time needs to be searched and that is all they should be charged for. They do not believe that the title company searches anything but one year and that they are gouging regarding the fees.

Reply by Paul_IL on 8/25/06 2:33pm
Msg #140958

There is a Public Hearing Scheduled on this issue on 8-30

So make your voices heard at this public hearing and explain your part in the process.

Reply by TitleGalCA on 8/25/06 6:34pm
Msg #141013

Many agencies are working on

calming this wild hair of Garamendi's. This is so political, his information is so false, and his insistence on 'fixing' the industry would be better spent by looking at the lending practices in this state, and in some instances CAR (California Association of Realtors).

Title, Escrow and Notary fees are THE MOST MINIMAL of the entire transaction. Garamendi's position and behavior on this is becoming very difficult to understand and more difficult to but to justify.

For more information go to: http://www.clta.org/

Reply by Glenn Strickler on 8/25/06 6:47pm
Msg #141017

Great info, thanks....

Garamendi has his head in a flaky position .........You can tell where he is getting his political contributions from.

Reply by patricia on 8/27/06 9:35am
Msg #141223

Re: question for Glenn

Out of curiosity, where is Garamendi getting his political contributions from? I dont keep up on these things myself.

Reply by Poppy on 8/30/06 12:03pm
Msg #142150

Not to speak for Glenn, but here's my take for what it's

worth.
This regulation has come about at least according to Garamendi because of illegal kickbacks given to Lenders and Realtors. (a RESPA issue) Garamendi has levied huge fines in the past to the title/escrow companies who have participated in this illegal activity. However RESPA states that it is illegal to receive a kickback as well as to give a kickback. The receivers Lenders/Realtors are virtually free to take the kickback due to lack of enforcement when it comes to the receiver of the kickback. Some Realtors expect and even ask for kickbacks from the LO's they work with. And I challenge you to find a Realtor who doesn't know of another Realtor who is receiving a kickback in one way or another from the LO they refer business to.
Yet the National Association of Realtors is a huge, highly effective association and so is the National Association of Mortgage Brokers. Both of which have huge CA associations. If they can keep the focus on Title Companies all the better for them.... JMO

Reply by JanetK_CA on 8/26/06 3:35am
Msg #141086

Re: Many agencies are working on

Good points. If we add to our complaint letters our suggestions as to where his efforts would have a more beneficial impact on consumers, without throwing a monkey wrench into a significant segment of the California economy, that might help our cause.

Reply by kate_nortca on 9/1/06 9:55am
Msg #142831

Timeline

When will we know the results of this situation?

Kathryn