NSA Post-Signing Procedures and Compliance 2 — Questions and Answers
Question 1: After a loan signing, what is the NSA's primary responsibility regarding the signed documents?
- File them with the county recorder
- Return them to the title company or lender as instructed (Correct answer)
- Keep copies for personal records
- Send them directly to the borrower
Correct answer: Return them to the title company or lender as instructed
The NSA must return all signed documents to the title company or lender according to the specific shipping instructions provided.
Question 2: When should an NSA ship signed loan documents after a closing?
- Within 7 business days
- Same day or next business day as instructed (Correct answer)
- Within 48 hours without exception
- Only after receiving confirmation from the borrower
Correct answer: Same day or next business day as instructed
Documents should be shipped same day or next business day per the lender's or title company's instructions to avoid delays in funding.
Question 3: An NSA discovers a missed signature on a document after leaving the borrower's home. What is the best course of action?
- Sign on behalf of the borrower to save time
- Contact the hiring company immediately to report the error (Correct answer)
- Discard the document and request a new package
- Leave a note in the NSA's journal and move on
Correct answer: Contact the hiring company immediately to report the error
The NSA must immediately notify the title company or lender about the missed signature so they can instruct on next steps.
Question 4: What does 'funding' mean in the context of a real estate loan closing?
- The borrower paying the down payment
- The lender releasing money for the loan after all conditions are met (Correct answer)
- The NSA receiving payment for services
- The title company collecting closing costs
Correct answer: The lender releasing money for the loan after all conditions are met
Funding occurs when the lender releases loan proceeds after verifying all signed documents are complete and correct.
Question 5: Which of the following is an NSA required to track in their notary journal after each signing?
- The borrower's credit score
- The type of notarial act, date, signer's name, and ID information (Correct answer)
- The loan interest rate and term
- The title company's internal reference number
Correct answer: The type of notarial act, date, signer's name, and ID information
State law requires notaries to record the date, type of notarial act, name of signer, and the identification used to verify identity.
Question 6: After completing a loan signing, an NSA notices the borrower did not initial one page of the loan package. The NSA should:
- Initial it themselves and note it in the journal
- Return to the borrower without notifying the title company
- Notify the title company or lender before taking any action (Correct answer)
- Discard that page since one page won't matter
Correct answer: Notify the title company or lender before taking any action
The NSA must contact the hiring party first; they will determine whether a re-sign, cure, or other remedy is appropriate.
Question 7: Why is it important for an NSA to confirm the shipping tracking number after sending documents?
- To bill the borrower for shipping costs
- To provide proof of delivery and allow the title company to monitor receipt (Correct answer)
- To calculate personal income for tax purposes
- To satisfy state notary board requirements
Correct answer: To provide proof of delivery and allow the title company to monitor receipt
Providing the tracking number to the hiring company allows them to monitor document delivery and plan funding accordingly.
NSA Post-Signing Procedures and Compliance 2
After a loan signing, what is the NSA's primary responsibility regarding the signed documents?