Know the Difference Between Wet Signature vs Electronic Signature

Signatures are essential for various tasks, from agreeing to terms in a contract to applying for a passport or authorising a school trip. However, you're not always required to appear in person with a pen in hand.

This post will clarify when a traditional wet signature is needed, explore the different types of electronic signatures, and outline scenarios where each is applicable.

Wet Signatures Explained

You sign a document with a pen on paper to create a wet signature. The term "wet" originates from the ink requiring time to dry. Historically, people have used alternatives like stamps, seals, or thumbprints as equivalents. Wet signatures were traditionally considered the standard for signing legal documents, assuring since signers were physically present.

A wet signature can be scanned and sent electronically. However, ensuring its integrity requires security measures like encryption and a unique password during transmission. In many jurisdictions, scanned wet signatures are legally recognised if these safeguards are applied.

What Are the Drawbacks of Collecting Wet Signatures?

• Inconvenience: All signers must meet in person, or the document must be mailed or emailed as an attachment.
• Risk of Loss: Natural disasters can misplace, damage, or destroy paper documents.
• Security Concerns: Wet signatures are vulnerable to forgery or unauthorised alterations.
• Lack of Transparency: There's no way to track if the document has been received or signed.
• Storage Challenges: Physical documents require office space or external storage solutions.

When is a wet signature required?

Certain situations still exist, including wills, trusts, adoptions, divorce proceedings, loans and mortgages, where wet signatures may be necessary. Seek legal advice if you’re concerned about the validity of an electronic signature in one of these situations.

Are wet signatures more secure than electronic signatures? 

Traditional wet signatures rely on handwriting analysis or witness testimony for validation, which is costly, time-consuming, and less reliable.

In contrast, electronic signatures offer greater security. They create secure records with details like the signer’s IP address and the date and time of signing, providing strong evidence if their authenticity is ever challenged.

Explaining an electronic signature

An electronic signature refers to any electronic signature, such as one written on a tablet, indicated by checking a box, or provided via secure methods like DocuSign or Validated ID, both Trust Service Providers (TSPs).

Electronic signatures may include a digital image, symbol, or cryptographic key and are classified as simple, advanced, or qualified. Simple signatures are suitable for low-security scenarios, while advanced and qualified signatures ensure consent to document terms, validate authenticity, and confirm signer identity.

In addition to enhanced security and easy storage, electronic signatures allow remote signing with internet access.

What are the benefits of an electronic signature?

Integrating electronic signatures strengthens security and enhances compliance with privacy regulations. Electronic signatures offer advanced protection, unlike paper documents, which are prone to forgery, loss, tampering, or unauthorised access.

They use multiple verification methods to confirm signer identity and restrict document access, ensuring only authorised individuals can view or sign, significantly boosting security and privacy.

Going digital also streamlines recordkeeping with efficient tracking, detailed audit trails, secure storage, and quick retrieval. Additionally, electronic workflows simplify collecting signatures from all stakeholders in a single process.

How Do Wet Signatures Compare to Electronic Signatures in Customer Experience?

Time Savings

• Wet Signatures: Delays from travel, logistics, and delivery can dampen enthusiasm and slow the process.
• Electronic Signatures: Documents can be reviewed, signed, and returned online within minutes, offering speed and efficiency.

Convenience

• Wet Signatures: Customers must print, sign, scan, and email or use costly overnight mail, making the process cumbersome.
• Electronic Signatures: The online process is quick and straightforward, eliminating the need for physical tools or shipping.

User Experience

• Wet Signatures: Challenges like lacking access to printers or the cost of delivery add frustration and complexity.
• Electronic Signatures: Simple, fast, and user-friendly steps lead to a smoother, more positive experience.

How electronic signatures can be combined with e-forms and automated workflows 

Automated workflows in a document management system streamline the signature process while ensuring transparency, identity verification, and robust security.

You can set precise rules for handling documents and define triggers to launch workflows, such as closing a sale, onboarding a customer, or renewing a contract. Participants can easily track the progress, seeing which steps are complete and which remain pending.

Tools like Validated ID or DocuSign integrate into these workflows for advanced or qualified signatures, enhancing efficiency and compliance.

Conclusion
While most transactions are now electronic, adopting electronic signatures still lags due to concerns about legal validity, security, or resistance to change.

In reality, electronic signatures provide clear advantages over traditional handwritten ones. They validate document integrity, enhance relationships with customers and partners, and reduce costs through faster, more efficient workflows. Additionally, they are highly secure, legally enforceable in most cases, and support compliance with international data protection regulations.