You’re sitting with your borrower signing loan documents and you discover that your borrower holds Title in their Trust…how do they sign?
This question seems to arise regularly during a document signing service and the answer varies from Lender to Lender. If you come across this during regular business hours, please contact Central Signing Service to ensure all loan documents are signed properly. In the event you are at a loan document signing afterhours and have exhausted all attempts to reach Central Signing Service, Lisa on her cell, the Escrow Officer and the Loan Officer or Real Estate Agent, we would like to use this as a blanket rule of thumb: When in doubt, sign without!
The exception being you have two signature lines on the document: one signature line has their name as an individual and the second signature line has their name, followed by the word trustee or trustee verbiage. This is done intentionally and is not to be assumed repetitious. The intent is to have the borrowers sign twice: once with their name only and once with their names, followed by trustee, or the variation as the signature line indicates.
After conducting a quick survey to select Escrow Officers at different Title and Escrow Companies, we’ve discovered that it is best to sign without Trustee if there are no instructions noted in the loan document package, with the exception as listed above and when the Signing Agent is unable to reach anyone for instruction. It is much easier to add Trustee later, than to remove it.
When in Doubt, Sign Without!