If you’ve been in this industry long enough, you already know this: most problems don’t come from the big, dramatic stuff. They come from the “little” things that get overlooked — the quick decisions, the rushed drop-offs, the loose papers, the assumption that “it’s fine.”

This blog post is a real-life case study (no names, no shaming) — but it is a clear example of why notaries and signing professionals have to treat borrower information like it’s gold. Because it is.

We’re talking about NPI — Nonpublic Personal Information — and yes, that includes checks, banking details, account numbers, routing numbers, and anything tied to someone’s identity and finances.

The Situation: A Missing Voided Check

This was a refinance signing. The notary was instructed to collect a voided check from the borrower so that the bank attorney could wire the borrower’s proceeds.

The closing took place on a Friday evening.

Due to weather/shipping delays, the package did not reach the bank attorney until the following Thursday. When it finally arrived, the bank attorney opened the package and realized the voided check was not inside.

So on Thursday afternoon, the bank attorney asked us a simple question:

“Where is the check?”

We immediately reached out to the notary to find out what happened.

The notary’s response was:

“I found the check this morning… and I shredded it.”

She found it that morning, shredded it, didn’t notify anyone, and didn’t send a copy to the attorney — even though the check was needed to process the borrower’s wire.

When we asked why the check wasn’t in the returned package in the first place, she explained that at drop-off the shipping clerk told her the package needed to be repacked because the original packaging was too small. She said she handed the package over to the clerk to redo the packaging — and after that, the check was no longer in the package.

Do I know exactly how it happened? No.
Did it fall out? Get set aside? End up mixed in with her things? I can’t say.

But here’s what I can say: the process failed in multiple places, and every one of those failures created risk for the borrower.

Why This Was a Big Deal (Even Though It Said “VOID”)

Some people hear “voided check” and assume it’s harmless.

It’s not.

A voided check still contains:

• The borrower’s name
• Their bank name
• Their routing number
• Their account number
• Often their address and other identifiers

And in today’s world, “VOID” doesn’t magically make that information safe.

We all know fraud is real. Check washing is real. Identity theft is real. And even if a criminal can’t cash a check exactly as-is, those account details can still be used for unauthorized activity.

The borrower in this situation was left wondering:

• Was my information exposed?
• Who had access to it?
• What happens now?

That is not the borrower’s burden to carry. It’s ours.

What Actually Went Wrong (The Real Lessons)

1. Chain of custody was broken at shipping
   If a carrier tells you the package needs to be repacked, that doesn’t mean you hand over your documents and walk away. Those documents are your responsibility until they are sealed and shipped.

Best practice: If repackaging is needed, you stand there and watch the entire process. Period.

2. The voided check was not secured
   There should be no scenario where a voided check is loose inside a stack of documents.

This is simple but critical:

• Staple it to the first page it relates to, or
• Binder clip it to the top page, or
• Place it in a clearly labeled “Sensitive Items” section and secure it

Loose items get lost. That’s not theory — that’s reality.

3. The check ended up mixed in with personal belongings
   Even if we assume the check separated during repackaging, the fact that it was found later “in her things” means it was floating around in her notary bag/backpack/vehicle space.

That is an NPI security issue all by itself.

4. Communication didn’t happen when it mattered most
   She found the check Thursday morning and shredded it without notifying anyone.

Even if her intention was “to protect the signer,” she created a bigger problem:

• The bank attorney couldn’t issue the wire
• The borrower’s transaction was delayed
• There was no chance to document proper handling
• The borrower was left with questions and uncertainty

The safest step would have been:

• Notify the hiring party immediately
• Ask for instructions
• Provide a copy if permitted/needed
• Follow the contracting party’s direction for secure handling

Destroying a borrower document without instruction — especially when it impacts funding — is not an appropriate decision for a notary to make unilaterally.

The Borrower Impact (The Part We Don’t Talk About Enough)

It’s easy to focus on the logistics:

• missing item
• delayed wire
• extra phone calls
• rework

But the real impact is trust.

A borrower should never have to worry that their banking information was floating around unaccounted for — even for a day, let alone multiple days.

That kind of uncertainty is stressful, and it’s avoidable.

Our Decision (And Why)

This notary worked with us for a long time. But going forward, she can no longer receive assignments from us.

Not because people never make mistakes — they do.

But because when you’re trusted with someone’s personal and financial information, the minimum expectation is:

• secure handling
• accountability
• immediate communication when something goes wrong

If you can’t do the simplest things to protect NPI, then there’s a bigger problem.

Best Practices You Can Implement Today

If you do loan signings, here are four non-negotiables you can adopt immediately:

• Secure loose sensitive items
  Voided checks, copies of IDs (where permitted), supporting docs — secure them to the stack so they can’t separate.
• Maintain custody at drop-off
  If a carrier needs to repackage, you watch it. You don’t hand it over and hope for the best.
• If something is missing, communicate immediately
  The moment you realize something isn’t where it should be, you notify the hiring party. No delay. No assumptions.
• Never shred/destroy borrower documents without instruction
  Even if your intention is protection, you don’t make that call alone — especially if it affects funding.

 We Have to Do Better

This industry runs on trust. Borrowers trust lenders, lenders trust attorneys, and everyone trusts the notary to be the steady hand handling sensitive information.

And the truth is: NPI security isn’t optional. It’s foundational.

So please let this be a reminder:
“VOID” doesn’t mean safe.
Loose documents don’t stay put.
And silence is never the right move when a borrower’s information is involved.

We have to do better. Period.