Referral Fees for Commercial Referrals

Answered by:

Question:

Is is illegal to pay a referral fee to a bank employee for a commercial referral?

Answer:

No. There are two areas where referral fees are governed. One is RESPA, which only applies to consumer-purpose loans. The other is the Interagency Policy Statement on Sale of Nondeposit Investment Products, which governs referral fees for these types of products.

First published on BankersOnline.com 05/3/04