## RESPA: The Real Estate Settlement Procedures Act
The Real Estate Settlement Procedures Act (RESPA) is a federal law that regulates the real estate settlement (closing) process. It was enacted in 1974 to protect consumers from unfair and deceptive practices by lenders and settlement service providers.
RESPA requires lenders to provide consumers with a good faith estimate of closing costs within three business days of loan application. This estimate must include all of the fees and charges that the consumer will be responsible for paying at closing, including:
* Loan origination fees
* Appraisal fees
* Credit report fees
* Title insurance premiums
* Recording fees
* Attorney fees
* Transfer taxes
* Property insurance premiums
* Homeowner’s association fees
RESPA also prohibits lenders from requiring consumers to use specific settlement service providers, such as title insurance companies or attorneys. Consumers are free to shop around for the best rates and services.
RESPA has been amended several times over the years to strengthen consumer protections. In 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act added new requirements to RESPA, including:
* A requirement that lenders provide consumers with a closing disclosure form at least three business days before closing. This form must include a detailed summary of all of the closing costs that the consumer will be responsible for paying.
* A prohibition on lenders from charging consumers for services that they did not request or agree to.
* A requirement that lenders provide consumers with a written explanation of any fees or charges that are not included in the good faith estimate or closing disclosure form.
RESPA is a complex law, but it is important for consumers to understand its basic provisions. By doing so, they can protect themselves from unfair and deceptive practices and ensure that they get the best possible deal on their home loan.
### Key Provisions of RESPA
* Requires lenders to provide consumers with a good faith estimate of closing costs within three business days of loan application.
* Prohibits lenders from requiring consumers to use specific settlement service providers.
* Gives consumers the right to shop around for the best rates and services.
* Requires lenders to provide consumers with a closing disclosure form at least three business days before closing.
* Prohibits lenders from charging consumers for services that they did not request or agree to.
* Requires lenders to provide consumers with a written explanation of any fees or charges that are not included in the good faith estimate or closing disclosure form.
### Benefits of RESPA
* Protects consumers from unfair and deceptive practices by lenders and settlement service providers.
* Helps consumers to get the best possible deal on their home loan.
* Makes the real estate settlement process more transparent and understandable.
### How to File a RESPA Complaint
If you believe that you have been the victim of a RESPA violation, you can file a complaint with the Consumer Financial Protection Bureau (CFPB). The CFPB is a federal agency that enforces RESPA and other consumer protection laws.
To file a RESPA complaint, you can call the CFPB at 1-855-411-2372 or visit their website at www.consumerfinance.gov. You can also file a complaint by mail by sending a letter to the following address:
Consumer Financial Protection Bureau
P.O. Box 4503
Issaquah, WA 98027-4503
### RESPA Resources
* [Consumer Financial Protection Bureau](www.consumerfinance.gov)
* [RESPA](https://www.law.cornell.edu/uscode/text/12/2601)
* [National Association of Realtors](www.nar.realtor)
* [American Land Title Association](www.alta.org)