What is the status of charging a fee for pulling a credit bureau report on consumer mortgage loans?

Charging a fee for pulling a credit bureau report on consumer mortgage loans is permitted if the fee is reasonable and bona fide. This aligns with regulatory requirements that emphasize transparency and fairness in mortgage lending practices.

A reasonable and bona fide fee typically refers to a charge that reflects the actual cost incurred by the lender for obtaining the credit report, meaning that it should not exceed the actual expense involved. This ensures that consumers are not overcharged for accessing their credit information, maintaining compliance with lending regulations.

It's important to highlight that the fee must be clearly disclosed to the borrower as part of the overall loan cost, helping maintain transparency and trust in the lending process. Structures that require the fee to be applied consistently and reasonably across all applications serve to protect consumers and adhere to regulatory compliance standards.

Thus, the correct understanding reinforces the need for lenders to act fairly and responsibly while responsibly managing the costs associated with credit reporting.