Escrow & Title

RESPA (Real Estate Settlement Procedures Act) prohibits:

ARequiring a buyer to purchase title insurance
BKickbacks or referral fees between settlement service providers✓ Correct
CCharging a loan origination fee
DRequiring an escrow account for property taxes

Explanation

RESPA prohibits kickbacks and unearned fee arrangements between settlement service providers (lenders, title companies, real estate agents) as these inflate costs to consumers.

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