Question 1

Which states are commonly identified as 'attorney-only closing' states where an attorney must be present or supervise the closing?

Accepted Answer

Attorney-only closing states include CT, GA, MA, ME, NY, SC, and WV, among others. In these states, a licensed attorney must either conduct or directly supervise the closing process, and an NSA cannot independently run the closing.

Question 2

What is 'unauthorized practice of law' (UPL) in the context of NSA signings, and what are two common examples?

Accepted Answer

UPL occurs when a non-attorney performs services that constitute the practice of law, which is prohibited in all states. For NSAs, common examples include explaining the legal consequences of a document to a signer and advising a borrower on whether specific loan terms are favorable or appropriate.

Question 3

Beyond a standard notary commission, what additional authorization do some states require before a notary may perform loan signings as an NSA?

Accepted Answer

Some states require notaries to obtain a separate signing agent designation, additional licensing, or registration specifically to perform loan signings. This may include completing a background check, a specific training course, or registering with a state agency before accepting NSA assignments in that state.

Question 4

When an NSA performs a loan signing in California for a loan originated by a Texas lender, which state's notarial certificate wording must be used?

Accepted Answer

The NSA must use California's notarial certificate wording because notarial acts are governed by the law of the state where the signing physically takes place, not where the lender is located. The state of the lender is irrelevant to which notarial certificate language is legally required.

Question 5

What is the key difference between a 'Deed of Trust' state and a 'mortgage' state, and how does it affect an NSA's document package?

Accepted Answer

In Deed of Trust states, three parties are involved — borrower, lender, and a trustee — and the security instrument is a Deed of Trust rather than a mortgage. In mortgage states, only the borrower and lender are involved, and the NSA will see a mortgage document instead of a Deed of Trust in the closing package.

NSA Notary Signing Agent Exam — State Signing Requirements & Attorney States

Get your NSA Notary Signing Agent Exam study plan

Try These Cards

Want to keep studying?

Related Study Decks

NSA Notary Signing Agent — Complete Bundle

NSA Notary Signing Agent — Ethics & Best Practices

NSA Notary Signing Agent — Loan Document Knowledge

NSA Notary Signing Agent — Notary Law for Signings

NSA Notary Signing Agent — Signing Procedures

NSA Notary Signing Agent — Title & Escrow Basics

This is 1 of 7 topics