California Financial Code

§ 50203

FIN § 50203 Effective Jan 1, 1996Div. 20 · Ch. 4

Statute text

(a)A licensee may not require a borrower to pay fees or charges prior to the residential mortgage loan closing, except for:

(1)Actual charges to be incurred by the licensee on behalf of the borrower for services from third parties necessary to process the application, such as credit reports, appraisals, flood certification, and tax service, and in transactions where these services are provided by the licensee, a charge not to exceed the prevailing market rate for the service.

(2)An application fee.

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Legislative history

Amended by Stats. 1995, Ch. 564, Sec. 14. Effective January 1, 1996.