Finance
The Real Estate Settlement Procedures Act (RESPA) prohibits:
ALenders from charging origination fees
BKickbacks and unearned fees between settlement service providers✓ Correct
CSellers from paying buyer closing costs
DBuyers from shopping for their own title insurance
Explanation
RESPA Section 8 prohibits referral fees, kickbacks, and fee splitting for settlement services when no actual service is rendered. Violations can result in criminal and civil penalties. RESPA also requires disclosure of settlement costs via the Loan Estimate and Closing Disclosure.
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