A real estate company who recommends our mortgage department to their prospect buyers is putting together a brochure to pass around apartment complexes and the like. In the brochure it mentions West Gate Bank and has a business card of one of our loan officers. On the back of the brochure it shows actual homes and a "Only $$ per-month" payment figure that was calculated by the loan officer based upon an FHA loan, 5.5%, 30 yr, mortgage insurance, etc. So technically it is not our advertisement, however, our name has been thrown in the brochure to drum up business.

My question is how do I go about putting in the disclosures that Reg Z requires. Do I just list something like "This payment amount assumes an FHA loan at 5.5%...Rates are subject to change..."? I'm assuming I would definitely need the EHL house as well.

I won't answer the question directly, but would refer you to 226.16 and 226.24 as well as the respective OSC.

The real answer I'd have is if you can control the advertisement, it refers business to you and to a particular lender with that persons business card, how strongly do you maintain that it isn't your ad, your Reg. Z problem or your RESPA problem?