International Document Services' (IDS) flagship doc prep system, idsDoc, is now fully capable of supporting electronic signatures for Federal Housing Administration (FHA) documents.
The FHA announced on Jan. 30 that it would accept e-signatures on documents associated with FHA-insured loans.
‘FHA acceptance of e-signatures has been a long time coming, and this is really the next step in the long march towards the fully realized e-mortgage,’ says Mark Mackey, executive vice president of IDS, in a release. ‘Now, lenders no longer have to 'pull paper' as part of their process for FHA mortgages because virtually all loan documents can now be reviewed and signed electronically up until closing.’
The FHA/U.S. Department of Urban and Housing Development (HUD) will now accept electronic signatures on the following documents for FHA Single Family Title I and II Forward Mortgages and Home Equity Conversion Mortgages:
- Mortgage Insurance Endorsement Documents;
- Servicing and Loss Mitigation Documentation;
- FHA Insurance Claim Documentation; and
- HUD Real Estate Owned (REO) Documents.
Furthermore, the FHA directs lenders to comply with the definition of electronic signatures as outlined in the Electronic Signatures in Global and National Commerce (ESIGN) Act, as well as the requirements set forth within, ‘with the exception that FHA will not accept an electronic signature that is solely voice or audio.’
IDS clients can begin e-signing FHA loan documents through the idsDoc E-sign portal.