I completed a split assignment last week and recieved an email from the lender asking me to make changes to the RTC. At first i was a bit confused becauce when i calculated the cancel date it was based on the appointment signing date of the second signer (My signer was the first) so before reaching out to the lender i decided to call the NNA. I was told that the correction should have been made to the first signer document to reflect the 3 day period… now this did not make sence to me.
The person that i spoke with said that the first person would have a different cancel date than the second person that signed…this left me more confused.
So i called the lender to only find out that the email was sent in error no changes were needed as the RTC is based on the second signer date.
Once again, NNA wrong - the RTC explicitly states at the top “the latter of 3 business days” - and the rescission period begin to run when the second (or final) signer signs - no changes needed.
I had this situation come up a few months ago and got an uncommon response from the title company. I was the notary for the second signer. The RTC had the dates of the 3 day RTC for the first signer on both documents. When I inquired I was told that the second signer was the co-signer but non-borrower on the loan. The loan was actually in the name of and responsibility of the first signer. Therefore, the 3-day RTC would remain with the first party! I didn’t question it further because it was their loan. But I’ve never had that situation before or since.
One does not have to be a borrower on the loan to have the right to cancel, only be on title–at least that’s how it works in Arizona. I’ve seen it countless times–a non-borrowing spouse signs their own right to cancel as long as their name is vested on the DOT.
Yes, I agree with you as far as AZ goes… but I think what was mentioned is that the non-borrowing spouse’s RTC date is based on the borrowing spouse’s sign date (please correct me @Tisino if I am wrong. This is not the case if it is a joint application… at least that is my understanding.
