In the past few years, many companies have shifted to e-signatures to overcome the challenges of paper-based processes and improve efficiency.

This article defines the different types of electronic signatures, including digital signatures, and highlights the benefits of electronic document signing.


What is an electronic signature?

An e-signature is a legal way of signing electronic documents. Creating an e-signature can be as simple as typing your name or drawing your signature on a PDF file.

However, the most secure e-signatures are alphanumeric codes generated via cryptographic algorithms (digital signatures).

For an electronic signature to hold up in court, you must be able to prove that:

  • the signer is, in fact, the person who signed the document
  • no one made any changes to the document after signing


What are the types of e-signatures?

Based on their legal effect, eIDAS defines three types of e-signatures:

1. Standard electronic signatures

Standard electronic signatures are the least secure e-signatures since they can’t verify the identity of the signer nor the integrity of the signed documents.

Examples of standard electronic signatures are adding a picture of your signature to a document or drawing/typing your name via an online signature maker.

Standard electronic signatures have no way of binding the signer to the signature. Hence, the signer can easily deny having signed the documents.

Moreover, most e-signatures don’t provide any safeguards against document manipulation. As a result, anyone can make changes to the document after signing.

In most cases, standard electronic signatures won’t hold up in court, so make sure you never use them when signing important documents.

2. Advanced electronic signatures (AES)

Advanced electronic signatures, aka digital signatures, are much more secure than standard ones. They rely on public-key encryption, digital certificates, and hashing algorithms to prevent changes to the documents and authenticate the signer.

One can create advanced electronic signatures using a certificate-based digital ID such as NemID, BankID, itsme, etc.

Thanks to the technology behind them, advanced electronic signatures can prove the authenticity of a signed document if challenged in court. However, there are a few situations where advanced electronic signatures are not enough, and you should use a qualified e-signature.

3. Qualified electronic signatures (QES)

Qualified electronic signatures are advanced electronic signatures that:

  • are created using a qualified electronic signature creation device such as USB tokens, smartcards, or remote creation devices
  • are based on a qualified digital certificate issued by a qualified trust service provider (QTSP)

In other words, a qualified electronic signature is an advanced e-signature that has reached a higher probative value by meeting those two additional requirements.

Under eIDAS, qualified electronic signatures have the same legal standing as handwritten signatures in all EU countries. What’s more, it is illegal for the Member States to request e-signatures with a higher security level than qualified electronic signatures.

Both advanced and qualified electronic signatures are commonly known as digital signatures.


What are the benefits of e-signatures?

E-signatures make life easier for businesses and their customers. The three main benefits that make electronic signatures better than wet signatures are:

  • Productivity: When it comes to document signing, employees spend a lot of valuable time on manual tasks. E-signatures help automate manual processes and save time.
  • Cost savings: E-signing helps companies reduce the costs associated with paper, printing, and postage.
  • Customer experience: E-signatures eliminate the hassle of printing and mailing documents. Customers can e-sign documents no matter where they are or what device they use.

Digital signatures provide additional benefits such as a high level of assurance, compliance with legal requirements, and increased security.


Creating an e-signature with Penneo

You can use Penneo to create both standard electronic signatures and digital signatures. In Penneo, simple electronic signatures are called Touch signatures.

You can create a standard electronic signature (Touch) by:

  • typing your name on the document
  • drawing your signature with a mouse/touchpad
  • inserting an image of the signature in the PDF

Touch signatures created with Penneo are more reliable than those made with online signature generators.

Our solution can detect any changes in the document after signing. If someone tampers with the signed PDF, Penneo will immediately invalidate the signature.

Additionally, Penneo generates an audit trail that shows who signed the document and when.

Our solution also includes the IP address of the signer and their email address in the final document, which can sometimes help prove the signer’s identity in court.

However, it will still be up to the judge to decide whether the signature is valid or not. That’s why we recommend using digital signatures, when possible, to ensure the validity of signed documents.

To create a digital signature with Penneo, you need to use your national eID. Supported eIDs include itsme®, NemID, Swedish BankID, Norwegian BankID, Finnish Bank ID, and Mobiilivarmenne.


E-sign documents for free with Penneo

Are you in the market for secure e-signing software? Look no further than Penneo Sign.

Our solution helps you get rid of paper-based processes and automate manual work, so you can provide a modern experience to your clients and improve employee satisfaction.

Request a free trial and start e-signing documents for free!



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