Section 0180-17-.07 - BROKERAGE/FINDER FEES(1) Licensees that charge or pay a brokerage/finder fee must provide a schedule of fees paid or charged in their filing papers and cannot alter those charges without thirty (30) days prior written notice to the Department of Financial Institutions.(2) A brokerage/finder fee of two percent (2%) or less of the principal amount of the residential mortgage loan is considered fair and reasonable. A brokerage/finder fee that is more than two percent (2%) of the principal amount of the loan is presumed unfair and unreasonable and shall be grounds to revoke the license of such licensee, unless such licensee can provide evidence showing that the fee constitutes fair and reasonable compensation, subject to the restrictions in T.C.A. § 47-14-101, et seq.Tenn. Comp. R. & Regs. 0180-17-.07
Original rule filed January 25, 1989; effective May 1, 1989. Repeal and new rule filed May 28, 2010; effective October 29, 2010.Authority: T.C.A. §§ 45-1-107(h), 45-13-103, 45-13-401(5), 45-13-405(a) and 47-14-113(c).