Finance
What is 'RESPA' and how does it apply to Kansas mortgage transactions?
AA Kansas state law regulating mortgage brokers
BThe federal Real Estate Settlement Procedures Act, which requires disclosure of closing costs and prohibits kickbacks in settlement services for federally-related mortgage loans✓ Correct
CA regulation governing Kansas commercial loans only
DA consumer credit protection act for Kansas residents only
Explanation
RESPA is a federal law requiring lenders to disclose settlement costs (Loan Estimate and Closing Disclosure), prohibiting kickbacks and unearned referral fees among settlement service providers in federally-related residential mortgages.
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