RESPA provisions apply to lenders

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Multiple Choice

RESPA provisions apply to lenders

RESPA governs disclosures and settlement procedures for residential mortgage loans that are federally related and originate from lenders regulated by a federal agency. That means if a lender is overseen by the Federal Reserve System, or if the loan is insured or guaranteed by VA or HUD, the RESPA provisions apply to that lender’s federally related loans. The size of the loan or the lender’s annual income isn’t what determines applicability; there isn’t a $100,000 threshold to trigger RESPA. Since each of these scenarios involves a federally related mortgage loan from a federally regulated lender, RESPA applies to all of them. Therefore, all of these are covered.

RESPA governs disclosures and settlement procedures for residential mortgage loans that are federally related and originate from lenders regulated by a federal agency. That means if a lender is overseen by the Federal Reserve System, or if the loan is insured or guaranteed by VA or HUD, the RESPA provisions apply to that lender’s federally related loans. The size of the loan or the lender’s annual income isn’t what determines applicability; there isn’t a $100,000 threshold to trigger RESPA. Since each of these scenarios involves a federally related mortgage loan from a federally regulated lender, RESPA applies to all of them. Therefore, all of these are covered.

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