Escrow & Title

Under RESPA, which service is exempt from the requirement that buyers be allowed to choose their own settlement service providers?

ATitle insurance
BAttorneys
CHome inspection companies
DLender-required services where the lender selects the provider and discloses required use✓ Correct

Explanation

Under RESPA and TRID, lenders may require the use of specific settlement service providers for certain services (like the appraisal) and may prohibit shopping for those specific services, provided the lender discloses this restriction and the service on the Loan Estimate. Borrowers can shop for other listed services.

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