Posted by Anonymous on 1/3/06 4:34pm
Msg #85805

Any other license needed in MD to do closings?

I have been a notary for a year now. Someone is telling me there is some type of closing agent designation needed to do closing not just a notary.. Any input would be appreciated.

Reply by MonicaFL on 1/3/06 5:01pm
Msg #85810

I think you need what is called a "settlement agent license". My brother-in-law does these in Maryland and his wife is getting into it but she had to take some kind of test and then has to be bonded by a broker. I would check out the Statutes in your State regarding this.

Reply by Beth/MD on 1/3/06 6:03pm
Msg #85816

Maryland requires an Title Insurance Producer's license. LTP for short. In addition to taking classes to prepare for the exam, there is also a continuing education requirement. And a bond. The bond can be expensive.

Reply by Beth/MD on 1/3/06 6:08pm
Msg #85817

Re: I should also add

that many SS and TCs will call and offer you these ridiculously low fees. You'll tell them that your fees are higher and when they ask why you'll say because MD requires an TIP and you'll be told "that's ok, we only need a basic notary. We don't have to have a licensed title producer." It's a definite that you'll spend money getting into the business here.

Reply by Loretta Reed on 1/3/06 7:36pm
Msg #85824

Re: I should also add

I easily spent $3,000 to get my Title Producers License. Between the 16 credit hour classes and the MLTA and MIA fees and my bond, not to mention e&o insurance and my equipment.
When a title company tells me that they need a "regular notary" to do a refinance in Maryland, I tell them that this is not possible, they must be licensed. You also have to remember that you have to be approved by the insurance company that provides the title insurance.

Reply by Beth/MD on 1/3/06 7:52pm
Msg #85829

Re: I agree

I didn't think I would ever make my initial investment back. Not only is it a pricey beginning, it continues. And what really irks me is those companies that could care less about the TPL requirement. They only want that "cheap regular notary."

Reply by Jacqi Shifflett on 1/3/06 8:38pm
Msg #85835

Re: I agree

It is not a cheap endeavor by any means..... I also get frustrated by the lowball fees I am offered after all the money I've laid out. Had a call 2nite @ 5:45 PM from the Notary Biz offering an edoc settlement @ 7:00 pm 30 miles away. Price offered........ a whole $85.00. No one can stay in business in this state being paid those $85.00 edoc fees. I am thankful I have enough decent paying clients that I dont have to work for the lowballers.

Reply by Paul_IL on 1/4/06 2:36am
Msg #85872

Re: I agree

So how many of these companies looking for the "cheap regular notary" do you report to the state? Or do you report them?

Reply by Loretta Reed on 1/4/06 9:43am
Msg #85912

Re: I agree

I regret to say that I have never reported them. I did consider speaking with someone about companies who ask me to backdate and then when I say no they say they will find someone else. I thought about writing down the names of the borrowers and the date the title company called and then, about 2 or 3 weeks later, look in land records to see if the mortgage got recorded and they got someone to do the signing and backdated them.

Reply by Gina on 1/4/06 10:23am
Msg #85919

Re: Reporting companies

It's my understanding that it's the SA that's breaking the law. If that's correct, just saying that a company is looking for a regular notary won't amount to much effort from anyone other than the one doing the reporting.

Reply by JD_inMD on 1/4/06 3:50pm
Msg #86055

Re: Reporting companies

I questioned the MIA if title companies or signing services could be held accountable for their hiring practices. According to MIA title companies and signing services who hire unlicensed title producers are committing fraud and can be prosecuted under sections 27-404 and 27-405 of the Insurance Article of the Annotated Code of Maryland.



§ 27-404. Doing business with unlicensed persons.








It is a fraudulent insurance act for an insurer doing business in the State knowingly to write or place a policy or insurance contract in the State through, or pay a commission or other consideration to, a person that is required to have a certificate of qualification under this article but does not have a certificate of qualification.



§ 27-405. Unlicensed insurance producers or adjusters.








(a) In general.- It is a fraudulent insurance act for a person to act as or represent to the public that the person is an insurance producer or adjuster in the State if the person has not received the appropriate license under or otherwise complied with Title 10, Subtitle 1 of this article.





(b) Acts of insurance producer.- It is a fraudulent insurance act for an insurance producer:





(1) to solicit or take application for, procure, or place for others insurance for which the insurance producer has not obtained an appropriate license;





(2) knowingly to violate § 10-130 of this article; or





(3) intentionally to fail to report to an insurer the exact amount of consideration charged as a premium for an insurance contract, if different from the policy premium, and to fail to maintain records that show that information.