marketing: Marketing Service Agreements and the CFPB
- 02/18/15 11:19 PM
If you've been in the real estate business you know that it is a violation of RESPA for agents to give or receive anything of value in exchange for the referral of business. The definition of "anything of value" is quite broad according to lenders. Many brokerages do enter into marketing service agreements (MSA) with title agencies, mortgage brokers, or lenders in which they cross promote each other's business. It is important to note that RESPA allows for joint advertising by settlement service providers only where there is a pro-rata sharing of costs. The expenses must be equally divided. Example, if … (0 comments)
If you've been in the real estate business you know that it is a violation of RESPA for agents to give or receive anything of value in exchange for the referral of business. The definition of "anything of value" is quite broad according to lenders. Many brokerages do enter into marketing service agreements (MSA) with title agencies, mortgage brokers, or lenders in which they cross promote each other's business. It is important to note that RESPA allows for joint advertising by settlement service providers only where there is a pro-rata sharing of costs. The expenses must be equally divided. Example, if … (0 comments)
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