Amid growing popularity closing online mortgages, a new study found that the majority of American adults (81%) believe they feel safe and secure when online.
SurveyNotarize’s Remote Online Notarization (RON) survey also found that 59% of respondents believed the traditional notarization process was “out of step with the times.”
RON allows those who need a notary to perform notarization online in front of a webcam rather than in person. This process is becoming increasingly popular for mortgage transactions, allowing you to close transactions remotely and have a complete electronic mortgage closing experience.
“Even the most traditional personal transactions have quickly moved online, and as a result, consumers are rethinking every aspect of how they digitally conduct sensitive financial transactions,” Notarize founder and CEO Pat Kinsel said in a statement. “The data confirms what we at Notarize know about the truth – people trust digital transactions, but still want security and reliability throughout the entire process and are willing to go through additional steps to ensure that their transactions are verified and secure. ”
As digital closing becomes more and more popular, it is important to compare lenders so that you can choose which one best suits your personal financial needs. If you are interested in getting a mortgage or want to refinance digitally, visit an online marketplace like Credible to compare multiple lenders and options at once…
Americans value security measures for online transactions
RON proponents often stress that it is safeperhaps even more than face-to-face closure due to additional security measures to meet regulatory requirements. Specifically, the transaction is video recorded and saved, it scans IDs, performs an instant background security check, and asks security questions.
Americans continue to fear a rise in fraud that grew during COVID-19 pandemic. Notarize’s survey shows that 51% of those who complete online financial transactions feel safer with two-factor authentication, and 48% feel safer when they have to answer security questions.
If the idea of refinancing your mortgage from the comfort of your home seems attractive to you, visit Credible to compare lenders and pre-qualify in minutes without affecting your credit score.
The rise of digital mortgages and how to get it
Currently, 35 states have permanent RON laws for mortgage e-closings, and other states have taken temporary measures to allow real estate transactions to continue during the economic downturn. These new measures ushered in an unprecedented era of digital mortgage growth and led many lenders to offer more digital processes during the coronavirus pandemic.
But since not every lender or state offers this digitization option, it is important for homeowners and home buyers to ask their lender questions before starting mortgage refinancing. Here are tips for homeowners to get their lender to close loans digitally:
1. Compare multiple lenders: Different lenders will have different home financing options available to homeowners, including different interest rates or digital offers. Lower rates can save the borrower on monthly payments, and more digital options can make customer service more comfortable. Visit Credible to compare multiple mortgage lenders at once and find out which one is right for you.
2. Ask questions before choosing a lender.: Before choosing a lender, do a thorough research or talk to one of their loan officers. Ask yourself, what does eClosing mean to them? Does a digital mortgage mean that the mortgage process starts online, or will it be completely digital until the end?
Some lenders say they have a digital closure but still require borrowers to physically contact the title company to close the iPad mortgage. If remote closure is important to you, ask ahead of time if the lender offers RON in the digital mortgage process. Don’t forget to be specific about your questions as well.
For example, does digital mean to your lender that you can upload your bank statements digitally to their platform, or is their software advanced enough to connect to your bank account and retrieve your financial information?
3. Be persistentA: The fact that you may have already chosen a lender does not mean that you should stop asking questions or making any inquiries. If the lender or title company you use has too much manual process for your liking, ask what you can do to change it. Would another title company do better with your lender giving you digital options?
If you are thinking about refinancing, consider using Credible. You can use the free online tool Credible to easily compare multiple lenders and see preliminary rates in just three minutes.
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