source:
  type: guide
  id: usda-hb-3555-15.4
  authority: USDA SFH Guaranteed Loan Program Technical Handbook HB-1-3555 ¶15.4 —
    Electronic Signatures
  description: USDA SFH Guaranteed Loan Program Technical Handbook HB-1-3555 ¶15.4
    — Electronic Signatures.
  coverage_tier: operative
obligations:
- id: usda-hb-3555-15.4-full
  canonical_id: usda-hb-3555-15.4-full
  section: USDA SFH Guaranteed Loan Program Technical Handbook HB-1-3555 ¶15.4 — Electronic
    Signatures
  type: do
  tags:
  - regulator-direct
  - usda
  - usda-handbook
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: USDA SFH Guaranteed Loan Program Technical Handbook HB-1-3555 ¶15.4
      — Electronic Signatures
    source_class: usda-handbook
    source_url: https://www.rd.usda.gov/sites/default/files/hb-1-3555_consolidated.pdf
    snapshot_id: 0466acd1ea2d17a4
    fetched_at: '2026-05-25T14:10:13Z'
    content_hash: sha256:22ac6f998ff72578e318fca138ebe80fb18ae2fc701eb5936172f1842679a13a
    paragraph_quote: 15.4 ELECTRONIC SIGNATURES Rural Development will accept electronic
      signatures for origination, loan closing, and servicing documents unless otherwise
      prohibited by law or program. This guidance is limited to lenders. Agency staff
      will continue to follow internal policy. 7 CFR 3555 does not prohibit or consent
      to electronic signatures. Lenders may use electronic signatures when the lender
      perfects and maintains a first lien position, an enforceable promissory note,
      and meets all other agency requirements. This includes electronic promissory
      notes (eNotes), deed of trust, and other documents relevant to the loan transaction.
      Lenders should be familiar with the securitization requirements of government
      sponsored enterprises (GSE), such as Ginnie Mae, regarding the transferability
      of eNotes. Lenders who choose to accept electronic signatures must meet the
      standards and requirements set forth in the E-Sign Act, as well as all other
      applicable federal and state regulations and guidelines. Lenders are charged
      with the same responsibility of due diligence with electronically signed documents
      as they are with paper documents. If any electronically signed document is deemed
      unenforceable (e.g. the promissory note, mortgage, or deed of trust) and is
      connected to any fraud, misrepresentation, or negligent servicing, the lender
      bears the risk that any loss claim submitted in relation to the unenforceable
      document will be denied or reduced in accordance with applicable regulations.
      The lender’s failure to collect on the promissory note or enforce the security
      instrument because of its electronic signature will be treated as negligent
      servicing under SFHGLP regulations. Failure to comply with any Federal statute
      or regulation could result in the denial of a loan guarantee or claim, withdrawal
      of lending authority, and/or debarment from Federal programs. HB-1-3555 (03-09-16)
      SPECIAL PN 15-4 Revised (08-05-25) PN 694 Guidance documents lack the force
      and effect of law, unless expressly authorized by statute or incorporated into
      a contract. USDA may not cite, use, or rely on any guidance that is not available
      through their guidance portal, except to establish historical facts.
  judgment: false
