Description: RESPA Lawyer Blog — Published by New Orleans, Louisiana Real Estate Lawyer — Sterbcow Law Group LLC
The FDIC examiners identified significant consumer compliance issues during its supervisory activities in 2022 according to its March 2023 issue . The Spring 2021 issue of the Consumer Compliance Supervisory Highlights discussed Real Estate Settlement Procedures Act “RESPA” Section 8(a) violations and the difference between paying for a lead (which is generally acceptable) and paying for a referral (which is prohibited). True leads permissible under RESPA are often lists of customer contacts that are not
In 2022, the FDIC identified RESPA Section 8(a) violations where a bank contracted with third parties that took steps to identify and contact consumers in order to directly steer and affirmatively influence the consumer’s selection of the bank as the settlement service provider. In some cases, this process involved the third party calling identified consumers and directly connecting and introducing them to a specific mortgage representative on the phone. This process is often referred to as a “warm transfer
Marx Sterbcow, Managing Attorney of the Sterbcow Law Group, is speaking at RESPRO ‘s 30th Annual Conference at the Ritz Carlton Resort in Lake Tahoe on May 23, 2023. The topic “ The Evolving AfBA Model–Compliantly Transforming Fixed Costs Into Variable Expenses In An Uncertain Market ” will discuss how this challenging real estate market is driving title insurance agents and business owners to adapt, and transforming fixed costs into variable costs, especially in a volatile environment, is at the top of al