Finance
RESPA (the Real Estate Settlement Procedures Act) prohibits:
ASellers from choosing their own title company
BKickbacks and unearned fee splits between settlement service providers✓ Correct
CBuyers from shopping for their own homeowner's insurance
DLenders from requiring escrow accounts
Explanation
RESPA primarily prohibits kickbacks, referral fees, and unearned fees between settlement service providers (such as payments from title companies to mortgage brokers for referrals). RESPA also requires disclosure of settlement costs and prohibits required use of affiliated service providers without proper disclosure.
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