Lender paid compensation to mortgage broker?

Posted By: ccman

Lender paid compensation to mortgage broker? - 05/25/22 09:45 PM

Is lender paid compensation to the mortgage broker company included in the finance charge that affects the APR and shown
in section A, Line 3 as paid by (L) on the CD?

Need some clarification on how shown and treated on the LE? Included in the PPFC affecting the APR?

Thanks.
Posted By: rlcarey

Re: Lender paid compensation to mortgage broker? - 05/25/22 09:55 PM

If the borrower is not paying it, then no, it would not be a finance charge. It still might be included in the points and fees test, however.
Posted By: ccman

Re: Lender paid compensation to mortgage broker? - 05/31/22 06:51 PM

Got it. Thank you rl.