Escrow & Title

A RESPA Section 8 violation occurs when a settlement service provider:

AProvides a good-faith estimate of closing costs
BReceives or pays a fee, kickback, or thing of value in exchange for the referral of settlement service business✓ Correct
CDiscloses the APR to a borrower
DIssues a Closing Disclosure 3 days before closing

Explanation

RESPA Section 8 prohibits the giving or receiving of any fee, kickback, or thing of value in exchange for the referral of settlement service business, as such arrangements increase costs for consumers.

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