If you're considering becoming a notary in California, or if you're simply curious about the distinctions between a Notary Public and a Notary Signing Agent (NSA), you're in the right place. While both roles involve notarizing documents, they serve different purposes and require different levels of expertise. In this blog, we’ll break down these two notarial positions, explore their responsibilities, training, compensation, and more, so you can decide which path might be right for you.
The Evolution of Notarial Roles: From Ancient Rome to Modern-Day Transactions
The role of the Notary Public dates back to ancient Rome, where officials known as "scribes" recorded transactions and verified the authenticity of documents. Fast-forward to today, and the core duties of a Notary Public—verifying signatures, administering oaths, and witnessing legal documents—are as vital as ever. However, the rise of the real estate industry and increasingly complex mortgage processes gave birth to the role of the Notary Signing Agent (NSA). These professionals focus specifically on ensuring mortgage documents are signed correctly, helping real estate transactions close smoothly.
What Does a Notary Public Do?
A Notary Public is a public official authorized to perform notarial acts such as:
- Acknowledgments: Verifying that a person has willingly signed a document.
- Jurats: Administering oaths and affirmations, often for affidavits and sworn statements.
- Oaths and Affirmations: Ensuring individuals legally swear or affirm something as true.
- Certified Copies: Authenticating a true copy of an original document.
In California, a Notary Public also helps with apostilles for documents that are being sent internationally, verifying their authenticity for use abroad.
While a Notary Public can perform these services in a variety of contexts, their duties are primarily about document authentication, and they cannot provide legal advice or draft legal documents. Their role is strictly impartial, acting as an unbiased third party to confirm signatures.
What Does a Notary Signing Agent Do?
A Notary Signing Agent is a specialized Notary Public who focuses on real estate transactions, primarily mortgage documents. Their key responsibilities include:
- Ensuring Mortgage Documents Are Properly Signed: They guide borrowers through the process, ensuring that every page of the mortgage documents is signed, initialed, and dated correctly.
- Providing Legal Document Explanation (Without Legal Advice): While they cannot explain loan terms in-depth or offer advice, they ensure the signer understands where to sign and help with general instructions.
- Return Documents After Signing: Ensuring that documents are returned to the appropriate parties for processing.
The Notary Signing Agent is an expert in handling large and complex document sets related to mortgages, refinances, and home equity loans, and their work is crucial in keeping real estate deals moving smoothly.
Training and Certification: What You Need to Know
To become a Notary Public in California, you must:
- Be at least 18 years old.
- Complete a 6-hour training course from an approved provider.
- Pass a state-administered exam.
- Submit an application to the California Secretary of State, along with a fingerprint background check.
- Purchase a notary bond (required by California law) and notary seal.
On the other hand, to become a Notary Signing Agent, you must already be a certified Notary Public.
Afterward, you'll need additional:
- Loan Signing Agent Training: Specialized training that covers real estate documents like deeds of trust, closing statements, and loan applications.
- Background Check: This is required by many signing services and title companies to ensure the integrity of the signer and the transaction.
- E&O Insurance: Errors and Omissions (E&O) insurance is highly recommended to protect against possible mistakes or oversights during the signing process.
Tools of the Trade: What You’ll Need
Both Notaries and Notary Signing Agents use the basics: a notary seal, a journal to record notarizations, and government-issued ID verification tools.
However, Notary Signing Agents often work with more specialized tools, including:
- Mobile technology: Smartphones or tablets to manage documents, provide updates, and communicate with signing parties.
- Loan Document Sets: Familiarity with mortgage-related documents, such as deeds of trust, HUD-1 settlement statements, and notices of rescission.
- Notary Signing Software: To securely manage documents and client data during real estate transactions.
Legal Boundaries and Limitations
Both Notary Publics and Notary Signing Agents must adhere to strict ethical guidelines. Here’s what each can and cannot do:
- Notary Public: Cannot provide legal advice or draft legal documents.
- Notary Signing Agent: While they can explain where and how to sign a document, they cannot provide legal advice on the content of the documents (such as explaining loan terms).
For example, if you’re a Notary Signing Agent and a borrower asks about the implications of a particular loan term, it’s essential to inform them that you cannot provide legal advice and direct them to their attorney or loan officer.
Earnings and Compensation: Is It Worth It?
Notary Publics in California are typically limited by state law in terms of fees they can charge for each notarization. As of 2024, a Notary Public can charge:
- $15 per signature for acknowledgments or jurats.
- Additional fees for mobile notary services or other special requests, as long as these are disclosed upfront.
On the other hand, Notary Signing Agents can earn significantly more per assignment. For a real estate transaction, a signing agent can earn between $75 to $200 per closing, depending on the complexity and location. Some notaries working in high-demand areas may even charge additional fees for travel and late-night appointments.
Challenges and Opportunities for Growth
The world of notarial services is full of opportunities, but also challenges:
- For Notary Publics, the challenge lies in keeping up with evolving state laws, ensuring every notarization is correct, and managing unpredictable client schedules.
- For Notary Signing Agents, the primary challenge is managing the intricacies of mortgage documents, tight deadlines, and ensuring that borrowers fully understand what they’re signing. But with growth in the real estate industry, the potential for increased work and compensation is significant.
Both roles offer numerous opportunities for growth—whether through specialized training, expanding your service offerings, or developing a solid client base. If you’re interested in real estate, becoming a Notary Signing Agent could be a highly rewarding career path.
Ethical Considerations and Integrity
No matter the path you choose, ethics are paramount in the notarial profession. Both Notary Publics and Notary Signing Agents must remain impartial, maintaining confidentiality, and acting with integrity at all times. For a Notary Signing Agent, this means following industry protocols while ensuring borrowers' rights are protected.
Conclusion: Which Path Is Right for You?
Whether you opt to become a Notary Public or a Notary Signing Agent depends on your interests and career goals. If you’re interested in a broad range of notarial services, from personal documents to business agreements, a Notary Public position may be ideal. However, if you’re drawn to the fast-paced world of real estate and mortgage signings, becoming a Notary Signing Agent could provide you with a more specialized and potentially lucrative career.
The notarial profession is essential in today’s legal and financial landscape, and no matter which role you choose, you’ll be contributing to ensuring that documents are authentic, reliable, and legally binding.
Ready to take the next step? Explore the required training and certification for both Notary Publics and Notary Signing Agents, and start your journey in the ever-evolving world of notarization!
For more on California notary laws and certification requirements, visit the California Secretary of State website.