New Legislation

Remote Online Notarization (RON) Does Not Deter Fraud

There is a significant push to move the process of notarizing documents from in-person to over the internet (coining it as the “RON movement” which means Remote Online Notary movement). The organizations pushing for this move are marketing online notarization as bringing the “old school” process of in-person notarization into a “modern convenient”, “business transformation” over the internet notarization that will result in “real estate savings”.

But at what cost?

Consumers, courts, and law officials understand that Notaries Public are trusted individuals commissioned by their states to help protect the public from fraud when they place their seal on documents. “Through the process of notarization, Notaries deter fraud and establish that the signer knows what document they’re signing and that they’re a willing participant in the transaction.” (Citation from NNA) There are particular screening processes the notaries take to determine a signer’s identity and their understanding of what they are signing and willingness to sign.  Doing this type of screening over the internet makes the screening process more difficult. And the current security processes the RON movement utilize for notarizing real estate transactions have yet to be tested in any court of law. 

Remote Online Notarization (“RON”) has yet to prove it deters fraud.

In an online notarization, the process to identify a customer shifts away from notaries public to a third party process that utilizes “modern tools that validate identity online, such as credential analysis and knowledge-based authentication” Notarize.com citation. However, these “modern tools” can be manipulated by “modern” identity theft fraudsters who use the internet to find the security question answers to bypass the validation mechanisms used in RON. With online notarizations, the notary public doesn’t have the ability to physically examine identification to independently authenticate the identity of the signer. And with another high-tech fakery like “deep fake” video, the notary public can be fooled into certifying the signature of a fraudster. 

“RON” makes it difficult for notaries to provide evidence for law enforcement.

The National Notary Association has indicated in their the 2017 “MODEL ELECTRONIC NOTARIZATION ACT” the need for online notarization to require the capture of principals’ and witnesses’ thumbprints for all real property documents. (Ch 9, § 9-4 Journal Entries, pg. 51) NNA asserts that many impostors will be deterred from committing forgery because they will not want to leave a thumbprint behind in the notary’s journal as proof of their attempted crime. Prosecutors often use the journal evidence to bring forgers to justice. Currently, no RON implementation has provided the ability to obtain thumbprints. California currently requires notaries to obtain thumbprints for notarizations dealing with deeds and power of attorneys. However, the current California online notarization bill, AB 199, has removed this requirement. If this bill passes into law as it is currently written, it will be more difficult to provide evidence of fraudulent notarized transactions. 

“RON” diminishes the ability for Notaries Public to determine the willingness of signers.

To determine signers understand what they are signing and their willingness to sign, notaries public observe the nuances of the signers’ non-verbal communication because nonverbal communication tends to do the work of communicating emotions more than verbal.  In the online environment, it is more difficult to pick up what is being communicated nonverbally.  Notaries may not be able to hear the signer’s tone of voice, see their gestures, or know if someone else in the room is intimidating them. The ability to determine the signers’ willingness and understanding to sign is therefore diminished when the parties engage over the internet. 

Why the Rush?

As the Vice President of Old Republic Title National Underwriting Counsel wrote: “Caution is the watchword here. State, federal and bankruptcy courts have invalidated mortgages and other documents due to defective notarizations. When that happens, the lender’s lien position is not only jeopardized but the enforceability of the mortgage itself is put at risk.” Current processes used by RON are not entirely equipped to handle safeguarding fraudsters in the way in-person notarizations are. The process of notarizing documents has been going on for hundreds of years and there is no upcoming end to this process. Before states hop on the bandwagon of RON, the lawmakers should assess their current process and determine if the movement to online notarizations will benefit or provide a detriment to their current process.   

Federal laws in recent years have pushed to protect consumer privacy and security, lawmakers would benefit to consider the costs and benefits of RON for their constituents.  Notaries Public are trusted by the public at large, courts, businesses, and law enforcement. There should be no reason to rush towards an untested process that may very well create more consumer fraud and abuse which can lead to distrust of the notary public profession.

How notaries serve the public seems to be working just fine going on several hundred years now. Let’s take a step back and focus on considering all avenues to safeguard the consumer in every way. When it comes to notarization, consumer protection is the ultimate purpose.

Recognition

Happy Veterans Day!

As a company run by a Veteran, NeedANotary.Com is especially grateful to the nation when honoring our active military and veterans each year. There is a special kinship with fellow veterans that is felt whenever I find out a client has served. No matter what branch of service, we know the effort, the training, the experience,  the pride of being in the military,

And the sacrifices…

  • Unreliable imperial data places the total casualties for British regulars fighting in the Revolutionary War around 24,000 men.
  • Approximately 620,000 soldiers died from combat, accident, starvation, and disease during the Civil War.
  • The total number of both civilian and military casualties is estimated at around 37 million people. The war killed almost 7 million civilians and 10 million military personnel.
  • World War II fatality statistics vary, with estimates of total deaths ranging from 50 million to more than 80 million.
  • Korean War: Today’s official Pentagon figures are virtually the same: 33,651 battle deaths and 3,262 other deaths.
  • Vietnam War – nearly 60,000 killed-in-action, over 150,000 wounded, and some 1,600 missing.
  • Gulf War – 149 casualties and U.S. Department of Defense casualty website, there were 4,424 total deaths (including both killed in action and non-hostile) and 31,952 wounded in action (WIA) as a result of the Iraq War.

In honoring Veterans this weekend, here is a guide to all the great Veterans Day free meals! As sons and daughters, mothers and fathers, brothers and sisters, nieces and nephews, cousins and neighbors. We thank you so very much for your service!

 

needanotary.com

Happy Notary Public Day!

November 7th has been identified as the day to celebrate the millions of hard-working notaries public whose public service help deter fraud and promote the integrity and reliability of document transactions.

The first Notary Public Day was celebrated on November 7, 1975, and created to “recognize notaries for their public service and their contributions to national and international commerce.”

Every day notaries assist the finance industry, the legal industry, and the health industry by positively confirming the document signer’s identity, and carefully assessing the signer’s comprehension, competence and willingness to sign.

The date of November 7 was chosen as Notary Public Day in recognition of the day that America’s first notary, Thomas Fugill, was appointed. Fugill’s appointment by the Colony of New Haven occurred on October 25, 1639 (Julian calendar), November 7 on the Gregorian calendar now in use.

Today there are over 4.8 million notaries and nearly half of them are driving on the roads to meet and conveniently serve customers who have important documents to complete. From documents at the DMV, vital records, and business contracts to trust, power of attorney, deeds, visas, and school district transfers, Notaries provide certification for over 2.2 billion documents each year.

NeedANotary.Com was created to help people nationwide find a notary public. We recognize the need and we want the process of finding notaries, booking them, and paying for the service upfront to be easy and convenient.

Notaries Public are honoring and serving the nation every day. On November 7, the nation honors Notaries nationwide.

Happy Notary Public Day!

needanotary.com, Notary Registration

Service Areas on NeedANotary.Com

Hi Everyone!

NAN has been actively seeking notaries to sign up for the website as part of our Phase 1 process to obtain coverage for Customers seeking your notary service.

We are gaining momentum!  Yay!

In this article, I will give some insight on how you can set up your Service Area to accurately identify the area you cover so that NAN will provide you customer requests that match your area of coverage.

The Service Area is located under “Your Info” section of your account.

Service Area

When you sign up, the zip code you enter automatically is entered into your service area database.  Each zip code entered is coded to cover a 5-mile radius.  To understand what a 5-mile radius might cover, here is an example of a 5-mile radius for zip code 90001 (this is taken from Free Maps Tools which is a really great free resource):

www.freemaptools.com

You can see that a 5-mile radius of zip code 90001 also covers other zip codes (and in this example, it also covers cities other than Los Angeles).

NeedANotary.Com allows you to add as many zip codes as you like to help you expand your coverage area. You can do this on the Service Area section of your NAN account.

Service Area add

You can use the Free Map Tools site to query your particular zip codes and see how multiple zip codes will overlap to cover the entire area you want to service.  Then add those zip codes to your Service Area and WALA! you will be set to receive requests from Customers seeking notaries in that area!