E-Sign Act

Question 1

What is the E-Sign Act?

Answer 1

It governs the circumstances under which electronic signatures may be accepted on certain disclosures and documents.

Question 2

What requirements must be met if a mortgage company uses electronic signature?

Answer 2

The consumer must:

• Affirmatively consent to electronic delivery and may not have withdrawn the consent
• Be provided with a statement informing him or her of the right to have the information in paper form, to what transaction(s) the consent applies, and the right to withdraw the consent
• Be provided with information on how to withdraw the consent
• Be provided with information on how to obtain paper copies, and
• Prior to consent, be provided with information regarding the hardware and software requirements for access to electronic records
• The consent process must reasonably demonstrate consumer’s ability to access the information