ALTA Declares Support for Remote Electronic Notarization
The American Land Title Association is calling on state governments to support regulations that recognize and authorize remote electronic notarizations.
In a letter to the National Association of Secretaries of State, ALTA laid out eight suggestions of how state lawmakers can guide the creation of statutes or regulations surrounding remote e-notarizations.
"The title insurance and settlement industry seeks assurance that a remotely electronically notarized document will receive the same legal certainty, and provide effective constructive notice, under state law as a traditional, wet-signed, face-to-face, personal appearance notarization," said Michelle Korsmo, ALTA's chief executive officer, in a news release.
"Though states have long accepted traditional notarizations conducted in other states, it is currently unclear as to whether remote electronic notarizations will receive the same treatment."
Remote e-notarizations are gaining favor in the mortgage industry, since they eliminate certain hurdles that can slow the real estate closing process. For instance, in cases where a prospective borrower is a member of the military stationed overseas, remote e-notarizations can make it possible to close on a loan from abroad.
While ALTA is in favor of expanded access to this technology, it also remains concerned that these notarizations could negatively impact consumers if left unregulated. Among the suggestions made in the letter are ensuring safeguards are taken such as multifactor identification and making sure that technology used is tamper-proof.
Additionally, ALTA called for records regarding remote electronic notaries to be retained for at least seven years.