Notary Bulletin eSignatures, eNotarization, Webcam Notarization And iClose: What's The Difference? By Michael Lewis on March 05, 2014 in Signing Professionals Updated 1-28-16 with additional information on webcam notarizations. Between the Federal Housing Administration expanding its electronic signature program and ServiceLink promoting its web-based closing system, iClose, the impact of technology on Notaries has become a hot topic in social media communities. But there also is a lot of confusion about electronic notarizations and webcam notarizations. Here are basic definitions of these terms to help clarify the differences between terms and processes. Electronic Signatures Any time you make a purchase with a credit card and are asked to sign a digital pad, or type your PIN to get money out of your bank’s ATM machine, you’re using an electronic signature or eSignature. Anytime you make a purchase on the Internet and click the “submit order” button, you are electronically signing a purchase agreement. Electronic signatures have become commonplace in the retail world, and they also are becoming commonplace in larger transactions, such as making an offer on a home purchase. eSignatures can be made in a number of different ways, but they are considered as legally valid as a signature on a paper document (often called a “wet” signature). Electronic Notarization Electronic notarization, or eNotarization, is essentially the same as a paper notarization except the document being notarized is in digital form, and the Notary signs with an electronic signature. Depending upon state law, the information in the Notary’s seal may be placed on the electronic document as a graphic image or other available means. But all other elements of a traditional, paper notarization remain, including the requirement for the signer to physically appear before the Notary. Webcam Notarization Many people confuse eNotarization with webcam notarization, believing they are the same. They are not. Webcam notarizations make use of video and audio technology on the Internet to allow signers to personally appear before and communicate with the Notary at the time of the notarization. With traditional notarizations, the signer is in the Notary’s physical presence. To date, only three states permit the use of webcam technology for notarial acts. In 2011, Virginia became the first. Montana followed suit in 2015. However, both states limit the circumstances under which webcam notarizations can be performed. In 2015, Florida also authorized webcam notarizations, but limits the practice to certain law enforcement and correctional officers who are permitted to administer oaths and affirmations. However a number of states — including California, Colorado, Nevada, New Jersey, Oklahoma, Oregon, Ohio, Rhode Island and Wisconsin — have issued public statements that notarizations using online communication are prohibited and signers are still required to physically appear before Notaries. iClose iClose is a web-based closing system offered by one settlement services provider. With this system, the borrower physically appears before a Notary to sign a limited power of attorney (LPOA) in paper form. The LPOA allows a representative of the title company or lender to sign the borrower’s mortgage documents. Typically, the borrower will then log onto the iClose system to review and approve the loan documents using an electronic signature. The title company or lender representative signs all paper documents in the closing package, including the Mortgage or Deed of Trust, and a title company or lender Notary notarizes the representative’s signature. Michael Lewis is Managing Editor at the National Notary Association. Email Share 14 Comments Add your commentConcerned Notary02 Apr 2015What states are currently working on webcam Notarizations? And wouldn't this procedure greatly reduce the number of notaries needed? Therefore, reducing the overall notaries out there that need E&O, SA certifications, back grounds, and any other services that are normally required.Kurt Gross01 Feb 2016If we could get the attorneys out of the way and apply common sense, then I think a workable solution is possible. For example a good starting point would be that a person could meet with a notary one time in person. Once this occurs that person and the Notary should be able to communicate via video from then forward. Other possibilities exist but right now I'm going to save my breath for audiences who actually can get things done. This public forum is a good start in that directionBernard R Stangel01 Feb 2016Thank you for the update. Wisconsin is a state that does not permit webcam notarizations based on your article.Does Wisconsin allow/recognize eNotarization? Thank youNational Notary Association03 Feb 2016Hello. No, The state of Wisconsin has not yet adopted statutes or regulations establishing rules, definitions or procedures for electronic notarization.John McCoy01 Feb 2016RE: ID; I think a "sign by mark" certificate should be required by most signers. I cannot ID anyone who has a, similar to a chicken scratch, unreadable signature. I defy any person to ID a signature if it is also not email@example.com Feb 2016Does the state of Pennsylvania use Webcam notarization or iclose for the witnessing of a will . The witness lives in Florida and the signed document is in Pennsylvania.National Notary Association03 Feb 2016Hello. No, Pennsylvania does not authorize Notaries to conduct a notarization remotely with a signer remotely using a webcam or other audio/visual remote technology. Susan Bagorazzi08 Feb 2016I have been a Mobile Notary in the state of Arizona for several years. I have never done an electronic signature notarization. Are there free workshops that show Notaries how these are done? I would like to learn as much as possible. AZ does not require testing to become a Notary, so it's up to the individual to obtain as much knowledge as possible on their own.National Notary Association09 Feb 2016Hello Susan. I'm sorry, but the NNA does not currently have free eNotarization workshops available in Arizona. We do have a panel discussing eNotarization scheduled for our Conference in Anaheim, CA, June 5-8. You can find more information here: https://www.nationalnotary.org/conference/workshops/descriptionsDave Id19 Feb 2016Hello there, 1) Do you have any links to the Public Statements from states that do not accept Webcam Notarization? I have a customer in Spain that wants to use Notarycam.com fir a document I need in CA. 2) Are Webcam notaries allowed to charge more that $10.00 per notarization? Looking at the Notarycam.com, it looks like they charge much more per notarization.National Notary Association19 Feb 2016Hello. The announcement from the CA Secretary of State's regarding webcam notarizations can be found here: http://www.sos.ca.gov/notary/customer-alert/ You should always follow your state's laws regarding the maximum fees Notaries may charge for services, regardless of the type of notarial act performed. Webcam notarizations are not permitted in CA (see the announcement link above.)firstname.lastname@example.org May 2016After i take the loan signing test if am not dealing with money is that all i need is that certificate?Am a bit confuss with the difference of an Loan Signing closer and Notary Signing Agent.Am in the State of Virginia am commission already.But i dont know if i want to do this or Remote Electronic am researching now to see what will benefit me best.Unk10 Jun 2016I'm sorry, but I just see the advantage of e-notarization, if a signer HAS to be present before the Notary; he/she mine as well go down to the Notary Office....what the heck am I missing???MUSHTAQ TAHIRKHELI03 Jul 2016We have to follow the State law. There are more crazy people in this world. We have to watch them..Leave a Comment Required * Name * Email *(for verfication purposes only) Comment * Enter the text shown in this image *(text is case sensitive)All comments are reviewed and if approved, will display.