At least one of our direct competitors' is including on their web site a link to a real esetate agent as well as a builder as a means of marketing properties that said competitor has financed. The link takes customers directly to the real estate agent's or builder's site.

I have always maintained that this is a violation of Section 8 of RESPA inasmuch as it constitutes a thing of value (advertising) for referral of settlement business with no service having been performed.

Of course our marketing folks saw the site and asked why we can't be doing the same thing.

Am I wrong about this?

How do you know they are not paying the bank for that service?

I don't.

More importantly I had not even considered the possibility. AKA ignorance!

If the real estate agent were compensating the bank for the "advertising," would it make a difference for RESPA purposes?

Yes it would make a diff = If each "advertiser" is paying their share of the ad. cost, it is just a shared advertisement and no one is receiving a thing of value.