Posted by Devika Datt on 10/1/13 1:33pm
Msg #486630

loan signing

If loan docs reflect a borrower's name as Jonathan F. Doe for example, is is okay for the borrower to sign only as he signs - first and last name or should he use the middle initial as well when signing?

Reply by GOLDGIRL/CA on 10/1/13 1:40pm
Msg #486632

Rule of thumb:

"Borrowers must sign their names EXACTLY as printed."

BTW: If you can't "read" their signature, all the better, because then nobody can say how they did or didn't sign. However, if you can read it, even barely, make sure that MI is in there somewhere!

It's never "OK for the borrower to sign only as he signs" unless it happens to match the signature line. The lender doesn't care how he signs. The lender wants him to sign the way his name is printed (unless, as I said, you can't read it anyway).

Any deviations from this (including somebody adding a MI when it isn't in the signature line) risks a redraw ... and a sure nonpayment of notary fee.

Reply by Les_CO on 10/1/13 3:55pm
Msg #486641

He/she/it can sign any way they want….but if they want the loan to fund/the sale to go through/ they'd best sign as their names appear on the docs….exactly…..Oh and if you want to get paid I’d suggest you have them sign as instructed. JMO

Reply by Clem/CA on 10/1/13 8:36pm
Msg #486676

Some lenders say exact but don't enforce it. Just cover yourself and tell the borrower "these are the instructions I received" I have never gotten a loan back that said this is not their name.