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What are Digital Closings, How Does Remote Online Notary (RON) Work, and When is it Appropriate to Use?

March 23, 2020
By: Amelia Scherba

Remote Online Notary

Texas Title is fully equipped to handle RON Transactions.

What is RON?

The Securing and Enabling Commerce Using Remote and Electronic Notarization Act of 2020 authorized the nationwide use of “RONs” setting forth certain standards and procedures in recognizing Ron transactions. Texas quickly implemented the Secure Notarization Act, and is authorized, even in states where e-recording is not available, to provide RON style closings.

The Secure Notarization Act permits parties to a real estate transaction to conduct the closing via a secure online two-way video and audio conferencing which permits a fully digital e-signing experience.

Challenges with RON

Although the Secure Notarization Act authorized RON closings, implementation has been slow. Many lenders are not prepared for RON closings, and are not able to fully accept fully digital closings. This means that a hybrid closing is required. All documents can be digitally signed for except  the Note and Deed of Trust which still require wet signatures.

When RON transactions are appropriate:   

  • Cash transactions
  • Seller documents 
  • Hybrid closings if any party is concerned with length of closing time.
    • In this case, a RON can be deployed for all documents other than the Note and Deed of Trust which will still require a notary to be present for the signing

When RON transactions are NOT appropriate:   

  • Home Equity Transactions
    • These must close in a title company office, lender’s office or attorney’s office        
  • If a lender objects to digital signings

Other Resources

Adobe Sign: For ancillary documents, Texas Title uses Adobe Sign to provide digital signing capabilities for those documents that do not require notarization.  

Mobile Notaries: When requested, and for non-home equity transactions, mobile notaries can be arranged to come to the customer’s home, or other convenient location.

Texas Title is taking active measures to ensure a clean and sterile environment for our customers. We are cleaning our closing offices on a continuous basis, and where available, providing masks and surgical gloves for any party who requests them.  In the event you have any questions about the digital platforms available to Texas Title, please contact your escrow officer.  Texas Title is open for business, and available to accommodate your transactions in any way that is convenient to you and permitted by the Texas Department of Insurance and/or its Underwriters.

RON vs. RIN:  Real Estate Closings During COVID-19

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