A real estate attorney refers clients to a specific lender and receives season tickets to sporting events. Under RESPA, this arrangement:
Correct Answer
B) Violates Section 8 as the tickets have value and are tied to referrals
Season tickets have substantial value and when given in connection with referrals, they constitute prohibited kickbacks under RESPA Section 8. The form of the benefit (tickets vs. cash) doesn't matter for RESPA purposes.
Why This Is the Correct Answer
Season tickets have substantial value and when given in connection with referrals, they constitute prohibited kickbacks under RESPA Section 8. The form of the benefit (tickets vs. cash) doesn't matter for RESPA purposes.
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A refinance transaction closes on Friday. Due to a postal holiday, the required TILA disclosures are not delivered until the following Tuesday. The borrower wants to rescind on Thursday of that week. Can they still rescind?