Is a Wire Transfer Fee a Finance Charge?

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Question:

If a lender charges a wire transfer fee in connection with a real estate loan closing, is it considered a finance charge that will affect the APR? If the fee is charged by the settlement agent and not the lender, does this change the answer?

Answer:

Yes.
If you required the use of a settlement agent, yes.

I relate the wire transfer fee to a courier fee, most commonly used to deliver the payoff. Review 226.4(a) and its Commentary.

First published on BankersOnline.com 5/23/05