Posted by Reina Vera on 1/24/13 2:18pm
Msg #451917

RE: Loan documents

Is everyone here familiar with all loan docs? When you arrive to some one's house do people expect you to go over every single page with them? if so, what is your response to that if you aren't familiar with all those docs?

Reply by emilysigns on 1/24/13 2:22pm
Msg #451919

Some need more hand holding than others. You really should be prepared to go over all-or any-document in the package.

I find that most people are happy if you tell them the name of the doc and point out the major points of that document. "this is the note. Here you will find your loan amount, your interest rate, your first payment date, your final payment date, the payment address and the payment amount less any impounds, etc."

Take time to review the docs prior to the signing. More so than your need to explain the doc, you need to be familiar with them so you do not miss any dates, signature or initialling. Some documents have these hiding in unexpected places.

Reply by La Trese Breaux on 1/24/13 4:20pm
Msg #451933

If i can't explain the document to them and they are not understanding , i advise them to contact the loan rep. I had on that the signer didn't see the interest from his old loan on the new and he was admited about knowing where it was and if it was going to be paid. So i found the number to the lender on the docs and had him call and he did and they educated him on why they do not show the intersted. Like that say if you dont know ask.

Reply by CopperheadVA on 1/24/13 5:02pm
Msg #451936

Say what??? n/m

Reply by jba/fl on 1/24/13 9:35pm
Msg #452008

um, hmm. n/m

Reply by Clem/CA on 1/24/13 11:21pm
Msg #452047

Chicken Suit

Reply by Linda_H/FL on 1/24/13 2:34pm
Msg #451921

Borrowers will vary from closing to closing..

There are those who want to flip through, sign and be done.

Those that want you to go through each page.

Those who want to READ everything themselves.

You just never know unless you can get a read on them during your confirmation call.

That said, you the Notary/Signing Agent should be prepared and capable of giving an overview of each document in the package. If you can't do that, then I'd suggest you find a loan signing course (which can be found here under the "Search" Button using keyword "signing course" or "loan signing course") and take it. And don't put yourself out there as a signing agent until you have a handle on the documents most commonly found in the package. As for the more obtuse docs that may pop up, those you'll be able to figure out just by looking them over.

JMO

Reply by HisHughness on 1/24/13 2:59pm
Msg #451928

Reina, that's what signing agents do

Did you think you just print, watch sign, then notarize where applicable?

Basically, you should be able to explain to the borrower the function of each document. You can't apply it to their individual circumstances, that's practicing law, but you should be able to tell them the purpose of the Deed of Trust, the Truth in Lending, etc. Just reading them the title of the document is insufficient; if the borrowers are literate, THEY can read the title.

There are exceptions. You may be presented with closings involving property in any one of 50 states and the Commonwealth of Puerto Rico. Everybody will understand if you are not fully acquainted with out-of-state documents. Further, we have states whose legal system is based on common law, and at least one whose system is grounded in Napoleonic law. Run across really strange stuff, and that's when you grab for your cell phone to call the title company.

Reply by Bear900/CA on 1/24/13 7:49pm
Msg #451964

That’s a tough one especially if you are new or not in the business of actually piecing together a loan.

Learn the credit and debit sides to the HUD-1 and be able to explain the fees in general. Make sure you collect any monies due.

Understand the rate and terms on page 1 of the note and how the note rate differs from the APR on the TIL.

Heads up: Box A of the GFE will take into account discount points and show a different origination fee that can be confusing. Send them to their LO for explanation. Don’t try to fake understanding it. Sorry I put this in here but it may someday save a red face.

Understand why there are two 1003’s, two HUD-1s and on reverse mortgages two notes and two deeds of trust.

Customers like to look over the 1003 like its gold. It’s past tense. Tell them that signing it acknowledges that it is truthful. There may also have been changes in loan amount etc. on the final 1003 to acknowledge. Watch for 2nd signature spot on the VA/FHA Addendum.

Make sure they initial the RTC dates whether you are asked to or not. Make sure they get two completed copies.

Ask them to verify the vesting on the DOT and Trust if one exists.

You can Google a lot of this and ask questions.

Once you get the basics down you can learn and apply your knowledge as you go on.

You can save a lot of time by asking if they already reviewed the HUD-1 they just received (by law - but don't state that) and cleared up any questions with their LO. Will make for clear sailing.

Best!