13
"An eModification is
convenient, too. The
borrower can fill out
all the necessary
documents online
via their laptop
or on any digital
device, no matter
where they are. It's
fast, easy, safe, and
secure."
borrower can fill out all the necessary documents
online via their laptop or on any digital device, no
matter where they are. It's fast, easy, safe, and secure.
How are borrowers able to bypass the in-
person notarization?
With eModifications, the borrower can
sign closing documents through remote online
notarization, or RON, which requires no in-person
interaction. Instead, the notary joins the borrower
on a video conference call, reviews the documents
electronically with the borrower, and witnesses the
borrower's eSignatures. e entire signing process
is recorded and saved for servicer compliance. At
any point up to 10 years after the modification has
taken place, Fannie Mae or Freddie Mac can ask the
servicer to provide proof that the signing happened
as it should have. e video provides irrefutable
electronic evidence.
However, not all eModification technology is
the same. Many providers do not enable borrowers
to sign their loan documents using a remote notary,
and some don't even use SMARTDocs. In order to
take advantage of the full value from eModifications,
it's important for servicers to choose technology that
includes all the components of the loan modification
process, including RONs, and is capable of producing
every document as a SMARTDoc. By doing so,
servicers can scale easily to handle high volumes
of borrower requests while producing fewer errors,
creating efficiencies in the process, saving time, and,
ultimately, providing a better consumer experience.
DS News is the leading publication dedicated to
providing default servicing professionals with news
and content focused on their industry.
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