Notaries provide an important public service by checking identification and witnessing signatures on a wide range of documents. Notary signing agents also check identification and witness document signing, but take on the added responsibility of presenting and explaining document packages to close real estate transactions.
Notary Public Vs Notary Signing Agent?
All notaries fulfill an essential public service, preventing fraud by certifying that the signatures on important, legally binding documents are authentic. As Legal Zoom further explains: “A notary public serves the public by acting as an impartial witness to the signing of documents. A notary public is responsible for verifying the identities of each person signing a particular document, confirming their willingness and mental capacity to sign the document, and ensuring that the signer understands the nature and significance of the document being executed.” Notary publics are commissioned by their states, after fulfilling state specific protocols:
To become a notary, you must be at least 18 years old and have state residency. Some states run a background check on all prospective notaries, while others only require this step for applicants with prior convictions.Several states require training and testing to become a notary. Once candidates receive their state commission and purchase the requisite seal stamp and journal, they can begin notarizing documents for clients.
Given the important, public nature of their duties, notaries in many states are required to obtain a specific type of surety bond, referred to as a notary bond, before they can begin working. Essentially, a notary bond serves as a protection for clients, guaranteeing duties will be fulfilled in accordance with all regulations, while wrongdoing is avoided. A failure on the part of the notary can result in a claim being made against the notary bond. Colonial Surety provides more information about notary bonds, and makes it quick and easy for notaries in every state to quote and obtain required notary bonds, ensuring compliance with state directives.
After being commissioned in their states, notaries can become notary signing agents (NSAs), taking on the extra responsibilities involved in not only witnessing sign-off on documents, but actually presenting and explaining the documents, and ensuring all corresponding signatures are appropriately obtained. Udemy offers a brief and pragmatic online training program and certification for notary signing agents.Since NSAs handle financial information, the mortgage, title and real estate businesses that contract with them typically conduct screening and background checks prior to engagement. For example, “title companies are required by the Consumer Financial Protection Bureau to prove all people handling loan documents have undergone a recent background check.” At Forbes, Garrett Andrews points out that some states have specific guidelines and restrictions for NSAs, and shares these further insights about the responsibilities of signing agents:
NSAs are a type of notary public specially trained to work with loan documents. They walk signers through the final steps of a loan closing and have a public mission of ensuring no fraud has taken place….An NSA’s role is more involved than that of a notary; as such, signing agents often earn more than notaries. But with that earning power comes greater scrutiny and financial liability … .NSAs must also follow any additional instructions from the parties involved, which may include the lender, the title company or the signing service that hires them. For instance, the involved parties may require their NSA to use a specific mail service or shipping method….Lending industry standards stipulate that certified signing agents purchase $25,000 in errors and omission insurance.
Easy and Speedy:Notary Bonds and E&O Insurance
With Colonial Surety Company at your fingertips, notary signing agents can quickly get peace of mind, competitive, direct pricing, and excellent service—plus the convenience of bonds and insurance in one place. Remember: Notary Bonds are required to protect clients; E&O Insurance, also called Professional Liability Insurance, defends YOU, the Notary Signing Agent, in the event mistakes lead to legal action or allegations.
Because Cyber Liability Insurance is now an essential business protection, Colonial Surety is pleased to include it in our handy Notary Signing Agent packages at no extra cost. Just choose the best option for your work, obtain a quote, enter payment and then download your bond and insurance coverages. Do it all in minutes today, and see for yourself how efficient and affordable it is to be both compliant and protected.
Option 1:
Notary Bond+ $25k of Professional Liability Insurance+ $25k Cyber Liability Insurance.
Option 2:
Notary Bond+ $100k of Professional Liability Insurance+ $25k Cyber Liability Insurance
Founded in 1930, Colonial Surety Company is rated “A Excellent” by A.M. Best Company, U.S. Treasury listed, and licensed for business in every U.S. state and territory. Our knowledgeable, New Jersey-based service team is here to help: 800-221-3662.