Bankwest - rules when signing bank loan docs? Brokers help!

J

jerrybee

I'm hoping some mortgage brokers here can help me clarify. Apparently every bank has different rules when it comes to this which makes things worse.

I've heard so many conflicting rules, even from Bankwest themselves that I don't know what to do anymore. Because time is tight I can't afford to make a mistake and have them send me the docs to sign again. That would blow me out of the water.

I am buying a house jointly with people in another state. They are also on holidays for a few more weeks which means we're going to have to move very fast when they return or risk missing settlement.

I have been told the following things:

1) Some people tell me we have to physically sign together (i.e. I can't sign the loan docs then mail to them to sign their part). I'm talking about signing AT THE SAME TIME and in THE SAME ROOM in front of a lawyer. So I need to fly up to meet them. This is no problem but obviously something I'd like to avoid if I could.

2) Some people have told me it must be witnessed by a lawyer, some say a JP...some say any non-family member is OK. If I get this wrong I'd have to start again which I don't want!

3) Some say because I have power of attorney over them, I can just do it all. But I have also been cautioned that most banks don't allow this.

So what exactly are the Bankwest rules!?! I called them up and either got passed around a million times or they answered with such little confidence that I suspect they were just guessing.
 
Definitely don't do (3) as the docs have to be prepared in a certain way and even then they don't like it.

As for 1 and 2, usually loan docs don't have to be witnessed by a JP/lawyer - any adult over 18 will do UNLESS there is some family guarantee etc involved. I wouldn't get too hung up over whether you need to all be in the same room together. You wouldn't need to all necessarily be in the same room when you are applying for the loan - same thing applies for loan docs.
 
Aaron_C said:
Definitely don't do (3) as the docs have to be prepared in a certain way and even then they don't like it.

As for 1 and 2, usually loan docs don't have to be witnessed by a JP/lawyer - any adult over 18 will do UNLESS there is some family guarantee etc involved. I wouldn't get too hung up over whether you need to all be in the same room together. You wouldn't need to all necessarily be in the same room when you are applying for the loan - same thing applies for loan docs.
Click to expand...

Ok thanks, the "in the same room and at the same time" rule and the "witnessed by a lawyer" rule both seemed so incredibly specific I thought there might have had to be some merit to it. I assume at least some banks have these rules, otherwise I wouldn't have been told that?
 
jerrybee said:
Ok thanks, the "in the same room and at the same time" rule and the "witnessed by a lawyer" rule both seemed so incredibly specific I thought there might have had to be some merit to it. I assume at least some banks have these rules, otherwise I wouldn't have been told that?
Click to expand...

But there isn't an issue...as long as all the people nominated on the mortgage/loan sign as agreed. The bank doesn't care whether you were in the same room, whether you signed it while holidaying on a cruise in international waters or were in a cafe at the time. As long as the signatures match up to the initial application and was truly signed then it's no problem.
 
Yup but I'm wondering do any banks have this rule? Since I buy a lot of property with my family interstate I will want to avoid any banks that do:)

And what I mean was that the person that told me seemed so sure of it that I thought I'd triple check which banks for future reference
 
jerrybee said:
Yup but I'm wondering do any banks have this rule? Since I buy a lot of property with my family interstate I will want to avoid any banks that do:)

And what I mean was that the person that told me seemed so sure of it that I thought I'd triple check which banks for future reference
Click to expand...

Who is this person that told you?
 
jerrybee said:
Na just another investor, one with lots of houses. I assumed they knew what they were talking about:(
Click to expand...

Their lender and experience may demand that all people be present at the same time.

A reasonable example could be where 2 people need to sign ,but the lender only provides for one witness.........

ta
rolf
 
jerrybee said:
I'm hoping some mortgage brokers here can help me clarify. Apparently every bank has different rules when it comes to this which makes things worse.

I've heard so many conflicting rules, even from Bankwest themselves that I don't know what to do anymore. Because time is tight I can't afford to make a mistake and have them send me the docs to sign again. That would blow me out of the water.

I am buying a house jointly with people in another state. They are also on holidays for a few more weeks which means we're going to have to move very fast when they return or risk missing settlement.

I have been told the following things:

1) Some people tell me we have to physically sign together (i.e. I can't sign the loan docs then mail to them to sign their part). I'm talking about signing AT THE SAME TIME and in THE SAME ROOM in front of a lawyer. So I need to fly up to meet them. This is no problem but obviously something I'd like to avoid if I could.

2) Some people have told me it must be witnessed by a lawyer, some say a JP...some say any non-family member is OK. If I get this wrong I'd have to start again which I don't want!

3) Some say because I have power of attorney over them, I can just do it all. But I have also been cautioned that most banks don't allow this.

So what exactly are the Bankwest rules!?! I called them up and either got passed around a million times or they answered with such little confidence that I suspect they were just guessing.
Click to expand...

'Docments' is a bit vague. I guess you are talking about loan contracts and mortgage documents. Mortgages are state based legislation and who can witness will vary from state to state so it may help if you indicate the state the property is located in.

If NSW then an eligible witness is needed to witness all mortgagors. Each must sign the one form in front of the one witness. The witness must ID the mortgagors too.
see s117 Real Property Act
http://www.austlii.edu.au/au/legis/nsw/consol_act/rpa1900178/s117.html

I think you best bet is to ask the bank if they will accept the documents signed by you under the power of attorney. You would need to register the POA document too (in NSW anyway).
 
JP needs to site ID. Should be possible for you to have the docs witnessed by the appropriate person (should be a list with docs) then post to the other parties and then they have a witness sign on the list from bank.

Your not going to like this but check with Bankwest and I empithise with you on the conflicting advice from banks. I find there advice is wrong on a regular basis (especially at branch level) and tell my clients to heed mine when Im certain.
 
We are QLD based and purchased in QLD with Bankwest. We had to get a JP to sign (witness ID). Our lawyer couldn't do it but they had a JP in the office who could.
I don't know if this applies to you but the paperwork was primarily processed in WA so we made sure to express post documents to meet deadlines, rather then waiting a week through normal post for WA to receive it.
 
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