We are having an Audit of our pledged loans for collateral to FHLBI. They are telling us that we have to keep the original Promissory Note and wet signature because it is pledged collateral. I was under the impression that due the esign act we did not need to keep the original Note and it didn’t have be a wet signature. Please advise.
I share mdunker’s understanding of the e-sign provisions. The law contains a number of exceptions, one of which may be applicable to your situation. It appears you have several avenues available. You can:
* Work with the auditor to confirm the requirement;
* Communicate with the FHLB to confirms their signature requirements; or
* Hire counsel to challenge the claim of the auditor.