E-signature programs offer unique advantages to financial institutions, making signing documents faster, easier, and more convenient. Given the high volume and sensitivity of the documents financial institutions handle, e-signature programs are both a convenience and a necessity. They streamline operations, reduce the risk of incorrectly signed documents, and enhance efficiency. Therefore, investing in a comprehensive e-signature experience is a strategic move for any financial institution.
Financial businesses have unique factors to think about when adopting an e-signature platform. Security, legality, and authentication are critical when dealing with finances. E-signatures have been legal since 1999 when the Uniform Electronic Transactions Act (UETA) was passed to establish the legal equivalent between electronic records and signatures to signatures and writings on paper. UETA is active at a state level, but all fifty states aside from New York have adopted a modified version of the UETA since 1999.
New York State has the New York Electronic Signatures and Records Act, which has accomplished a similar goal. Because of the differing rules about electronic signatures, it is paramount for each institution to be diligent about what e-signature service it is using. A top priority should be finding a comprehensive e-signature solution compliant with state and federal laws.
Some states have differing laws about authentication as well. For example, some states or institutions may require proof of identification and an e-signature. This is an important feature to look for when choosing an e-signature service. If your business or state requires additional identification, having that feature built into your e-signature platform is helpful. Storage is another essential compliance factor, more than state or federal law. Where these crucial electronic documents are stored makes a massive difference to security and client trust. When researching e-signature platforms, understand where the electronically signed documents will be stored and what security measures the system has to ensure their safety.
Other factors to think about when reviewing e-signature programs are integration, intuitiveness, and general security. The right e-signature solution for your business should easily integrate with your existing software. You will want to overhaul your systems only for an e-signature system, so finding a program that integrates with your existing workflow is essential. The software you choose should also be easy to use, both for your employees and your clients.
The ultimate purpose of e-signature programs is that they are convenient and streamlined. Using one that is not intuitive will not solve any problems. Security is always critical when discussing sensitive financial documents. Aside from storing such documents, you must ensure that the e-signature program will keep the data in the documents safe from bad actors. These are susceptible documents, so your e-signature program must have a robust security system.
E-signature solutions are highly beneficial in today’s digital world. Financial institutions can significantly benefit from adopting an e-signature solution. It will reduce wasted time, unnecessary back-and-forth communications, and paper usage. Using an e-signature system can make your workload lighter and your clients happier.