We sell GAP on our auto loans. We retain a portion of the GAP fee. For example, the GAP provider charges $80, but we bill the borrower for $100, retaining $20. My understanding is that the $20 we retain is a finance charge and must be disclosed as such on the TIL, is that correct?

Also, on the TIL, we used to list our refinance charge as a prepaid finance charge because we only allowed it to be paid in advance of the loan. We are now exploring the option of adding the refinance charge onto the loan, which to me is essentially an origination fee. This means that we would have to disclose it on the TIL as a finance charge as well, correct?

Most States would not allow you to add a charge to an insurance policy that you sold without being licensed, but any add on charge would be a finance charge. Get your legal counsel involved.

I am not sure what a "refinance charge" might be, but if it is fee that the borrower pays for the privilege of refinancing the loan with you, it is a finance charge regardless of when and how it is paid.