Kai is reviewing a mortgage file involving conflicts of interest and RESPA — Kickbacks and Referrals. Which response best follows the governing rule?
Correct Answer
A) Disclose and manage the conflict before proceeding
conflicts must be disclosed, managed, and kept free of referral compensation or steering incentives. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Disclose and manage the conflict before proceeding".
Why This Is the Correct Answer
conflicts must be disclosed, managed, and kept free of referral compensation or steering incentives. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Disclose and manage the conflict before proceeding".
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