Top 5 Document Rejection Reasons

How to Avoid Them

Document rejection can have a detrimental effect on your business or transaction. It can lengthen the critical gap time before recordation and results in costly rework.

It’s critical that document submitters avoid rejections the first time, and this one-hour free webinar will give you an insider’s look at the top five reasons paper document submissions are rejected. Join us to find out what you can do about it, and avoid the sting of rejection.

Join Jessica Ripley and Ryan Rivera of CSC® as they discuss:

  • The top five rejections for paper submissions
  • Tactical recommendations on how to avoid these common rejections
  • Tips for better document management
  • How CSC eRecording can help reduce rejections

Webinar Transcript:

Disclaimer: Please be advised that this recorded webinar has been edited from its original format, which may have included a product demo. To set up a live demo or to request more information, please complete the form to the right. Or if you are currently not on CSC Global, there is a link to the website in the description of this video. Thank you.

James: Hello, everyone and welcome to today's webinar: Top Five Document Rejection Reasons and how to avoid them. My name is James Weir, and I will be your moderator.

Joining us today are Jessica Ripley and Ryan Rivera. Jessica is the National eRecording Account Manager for CSC. She specializes in new client acquisition, focusing on transitioning submitters from the traditional paper recording process to electronic recording.

Ryan is a National Corporate Consultant and Manager for CSC eRecording. He's responsible for connecting with and presenting to industry professionals while providing expert advice on document recording best practices according to the American Land Title Association and the Mortgage Bankers Association. And with that, let's welcome Jessica and Ryan.

Ryan: Thank you, James.

Jessica: Thank you, James.

Ryan: Hello, everyone, and thank you all again for joining us today. Jess, great to be with you again.

Jessica: It's great to be with you.

Ryan: So today, Jessica and I are excited to share information about CSC and how we can improve your document recording process to ultimately eliminate rejection. We'll talk specifically about, you know, the most common rejection reasons, why they happen, and how we can help you avoid these rejections. More importantly, how CSC is going to support you in that process and reduce the pains and hassles that you might see today in the recording world. And then after the presentation, I'll be taking you all through a demo of the CSC eRecording system and conclude with some questions and answers following the demo.

So let's begin with some fun facts about CSC. CSC is actually a privately-held company founded in 1899 by two Delaware attorneys, Josiah Marvel and Christopher Ward. Today our CEO is Rod Ward and he's actually the great-grandson of our founder, Christopher Ward. CSC is also a global company and we focus on global compliance and governance. So, as you can see here in this slide, we've worked with 90% of the Fortune 500 companies on things like annual reporting, business licensing, document recording, and entity management. And we support thousands of law firms and financial market customers across the globe. We're a leader in the digital brand services, protecting 7 of the top 10 brands around the globe. And Jessica and myself are just two of the 2,500 global employees that get to work with people just like you on corporate and legal solutions.

So, before we actually jump into these top five rejections, I wanted to briefly explain where this data is coming from. So, CSC, we provide both paper and electronic recording services. We conducted a thorough analysis of our data as well as industry data to identify the most common rejection reasons that submitters experience. We've narrowed them down to these top five.

So the top five reasons include having incorrect fees, missing legal description, submitting to the wrong office or jurisdiction, missing or illegible notary information, and then, finally, missing or incorrect book, page or instrument number. And we're going to explain each reason in detail and how CSC can help eliminate these rejections. So, Jessica, to start us off, so start us off with number one.

Jessica: All right. Thanks, Ryan. All right. Incorrect fees, this is one of the most common reasons for rejection. Now, we all know with paper recording we're attaching a check to the document and sending it down for the county. When we write that check, we assume that it's the correct amount but we can never be 100% sure. If the check amount is off by just a penny, the document will be rejected.

All of this back and forth is very frustrating and time-consuming. You know, when it's all said and done, a few weeks have gone by. I've even heard of scenarios where it's taken months to get a document recorded simply because of this back and forth. I think we can all agree that when we've submitted documents for recordings, we want it to be as easy as one, two, three. We want to submit, record, and we move on to the next. Who really wants to deal with all these lingering [inaudible 00:05:22]?

Ryan: Not me.

Jessica: Not me. All right. Now things that create miscalculations might be page numbers. Occasionally, accounting will charge an additional $3 for more than one page or maybe some indexing requirements were missing. eRecording eliminates that because our platform is county specific. So this means that the county requirements are already built into our system. Our system will not let you submit a document to the county until you've met all of these county reqirements, and you'll see a little more of this when Ryan shows us the demo.

Now, another reason that is maybe you chose the wrong document type. That happens more than you think. CSC has a very cool doc type recognition feature. So this automatically selects your document type for you. We are over the moon excited about this feature and we've received awesome feedback from our submitters. And then you can see right here the last couple miscalculations are consideration amount, loan amounts, and exemptions.

Okay, so how can submitters avoid this? Easy. Start eRecording with CSC. We've burned all the county fees on your behalf, so you'll never, and I repeat, never, again deal with a rejection due to payments. With eRecording, payment is exact, every single time. All right. On to number two, the missing legal descriptions.

Ryan: This was number one in the poll.

Jessica: It was number one in the poll. [inaudible 00:07:02] All right. So what is a legal description? A legal description defines what the property is, the description of the land, the metes and bounds, the block and lot survey.

All right. These legal descriptions can be very short and embedded within the document, even though they can be very long and attached as a separate page of the document. If you're not paying attention, it can be easy to disregard or forget this last page. Our county specific platform will tell you which type of document, long or short, each jurisdiction requires. And remember, our platform will not let you submit a document unless you have met all of the county's requirements.

Okay. So how can submitters avoid this? You can check, check and check again. Our platform has some tools that specifically help with adding the legal description in no time. Not to get too technical, but we have an OCR feature, optical character recognition, and this allows you to copy and paste the data, or in this case legal descriptions, in literally just a few clicks. And this feature, Ryan is going to show you the demo at the end as well.

Ryan: All right. So number three, submitting it to the incorrect office or jurisdiction, which was also in our top three on our poll question. So, occasionally, you may run into a recording that has been sent to the wrong office or jurisdiction. We're all human. We make mistakes. This can, and it does happen. So the important thing to understand is why this happens. Sometimes, you know, counties can share names. So, for example, in the U.S., there are 31 Washington counties and 26 Jefferson counties.

To make things even more confusing, sometimes there are jurisdictions within a jurisdiction like St. Louis County in the city of St. Louis. The other case where incorrect recording offices are typically selected is when a jurisdiction is split into several recording districts. So in Berkshire, Massachusetts, the jurisdiction is divided up into three districts, North, Middle, and South and each region has its own recording office. So you can imagine how these unintentional mistakes can happen so easily.

So how can we avoid these mistakes from occurring? First, we just want to be thorough, do our research, validate the property location before you actually submit it to that jurisdiction. And one thing that's good to know is our eRecording system, it significantly reduces this type of rejection. So, when you are eRecording, you can actually search by the county name or the state to eliminate any possible confusions, which we'll show you shortly during the demo today.

Now, moving forward to this next reason that you may see for common rejections is missing or illegible notary information. When we get into some of the causes for this, I mean, now, obviously, if a notary or signature is actually missing from the document, then that was, you know, an error that occurred during an actual closing. Not a whole lot that us or any vendor could do for you at that point. But, at least, until a notary is actually on the document, we wouldn't be able to help you.

So, when the notary is on the document, why does this happen? What causes it to appear in poor quality? So sometimes you can see a seal or a signature or it might be pressed or scanned into white, or maybe a smudge, a fingerprint on the scanner glass causes it to be obstructed while it was actually scanned in. So I'm sure as you've seen, you know, recorders have been known to reject those documents, and rightfully so, because if you can't read it, you know, why would they record it?

So this is something we saw a great deal of when eRecording was in its early stages. And when recording jurisdictions began to electronically receive these documents, there was a very real issue that this notary stamp, or with this notary stamp information. So more often than not it has to do with the ink pad running dry and the stamp not showing up as clearly as it could. So what CSC did, was we incorporated some image utility tools or, basically, editing capabilities giving you all have the ability to adjust these portions of the document. So you can edit the entire page or document or you can just, basically, edit one small area of that page.

So, typically, it's this, you know, handwritten information like the signature or notary that may need a little bit of a, you know, adjusting. So these type of projections can be easily eliminated through our eRecording system with some of these editing tools, which like our area selection tool, it's, basically, which, you know, I'm going to go over in more detail on the demonstration, but it'll allow you to highlight a specific area on a page, like the notary stamp or signature, and adjust the contrast, so darken or lighten it so that it becomes more legible and, therefore, reduces or completely eliminates the chance of rejection.

So, as I mentioned earlier, it’s that handwritten info that may need a little tweaking in order to make sure these documents are recorded as quickly as possible. But other than that, like I said, we'll let you do all this during the demo so you can see it firsthand. And, for now, I'm going to kick it back to Jessica to talk about our final rejection reason.

Jessica: Thank you, Ryan. Hi. Number five, missing or incorrect page, book, page or instrument number. All right. So we all know that assignments and satisfactions often reference book and page number from a previous recording. So we're going to have to do our research again beforehand and double check that we have that information to avoid the rejection.

But why does this happen? We're not paying attention. You know, we're all humans. We make mistakes. So the question is, how can we avoid this? Use our eRecording. We provide additional resources in our system that will help you along the way. We review these county tips, alerts, and notices before submitting the documents. And, again, you'll see this in our demo coming up that our platform requires you to enter this information, the book, the page, or the instrument number, even if you're prone to typos, these are copy and paste features. All right. So I'm going to kind of sum it up and give you a quick recap of the reasons why to eRecord with CSC.

Our submitter and technical support teams are world-class and our NTS score proves that. We were the first to market eRecording. We are the creators. Literally, we've been in the game as long as the eRecording game has been around. We have unique image correction tools that aid in successful recording. Our platform is built on a maintenance-free .net framework, so you are never interrupted with updates. Those are all done behind the scenes. And, lastly, we have the highest level of security available to ensure no third parties can access, alter, or intersect anything within our system.