Can a Loan Be Notarized?
Notaries public served many functions in American society, but many people wonder whether these public servants have the authority to notarize loans. The answer to this question is somewhat complex.
Other People Are Reading
-
Answer
-
Notaries public can notarize loans in certain states. These notaries are known in the United States as signing agents. They serve primarily as public witnesses that parties to a loan are aware of, and agree to, the terms of the loan and are signing voluntarily.
Warning
-
Having a loan notarized does not change the nature of the loan, an unsecured debt does not become secured just because it is notarized. This is important because if the indebted person goes bankrupt and defaults on an unsecured loan, the debt cannot be collected, even if the loan was notarized.
-
No Authority
-
If one party to the loan requests the services of a signing agent notary, be aware the notary is usually not a legal or financial authority. In fact, notaries are prohibited from giving legal or financial advice unless it is not in connection with the document they are notarizing. Also, the notarization of the loan does not change the terms of the loan.
-
References
- Photo Credit stamp and pad image by jovica antoski from Fotolia.com
