AnalysisUnder prior law, Illinois Notary Signing Agents were limited to performing loan closings for lenders who handled the entire transaction without the assistance of a title company conducting the settlement, or were required to become “independent escrowees” and maintain prohibitively expensive insurance, bonds and securities in order to perform closings for title companies. With the enactment of Senate Bill 2718, Illinois NSAs are now considered lawful escrow agents who can perform closings when hired as independent contractors by a title insurance company or title insurance agent. There are thus now no restrictions on the operation of NSAs in Illinois. In addition, Senate Bill 2718 specifically excludes employees and independent contractors from the definition of “independent escrowee” under the Title Insurance Act, effectively eliminating any requirement that an NSA must become an independent escrowee in the future.
Read Senate Bill 2718.