South Carolina License Law

In South Carolina, what is required for a licensee to legally accept a referral fee from a title company?

ANothing — referral fees from title companies are always permitted
BThe referral fee is generally prohibited under RESPA unless actual services are provided✓ Correct
CSCREC approval must be obtained first
DThe buyer must consent in writing

Explanation

RESPA prohibits the payment of referral fees between settlement service providers (including title companies and real estate agents) unless actual settlement services are provided. Merely referring a client to a title company does not constitute a legitimate service for which compensation can be paid.

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