Posted by grapebed on 3/15/13 4:09pm
Msg #461404

Investors requiring third party notaries; a major trend?

I have had several mortgage companies tell me that their investors will no longer purchase mortgages that have been notarized by an affiliated employee of the mortgage company. These investors are now requiring a third party notary to have notarized the loan docs.

This is good news. Will this be a major new trend or is it just sporadic? I am very interested in the board's opinion. Thank you.

Reply by LisaWI on 3/15/13 4:47pm
Msg #461410

Yes, I was told this for the BMO loans, formally M&I Bank.....Im keeping my fingers crossed that others will follow in these footsteps because it actually makes sense......and its more business for us

Reply by MW/VA on 3/15/13 8:36pm
Msg #461448

I wonder if that's part of the new laws that are coming down

the road. After all, a notary affiliated with the mortgage co. can't really be an impartial 3rd party like we're supposed to be. That means of course, that we're not legally representing the lender or the borrower. IMO it certainly could be questionable if there's a relationship with the lender.