(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
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
47-14-101, et seq.
Tenn. Comp. R. &
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. §§
45-13-405(a) and 47-14-113(c).