NC Post Licensing – 303 Questions and Answers 2024

NC Post Licensing – 303 Questions and Answers 2024 A Licensee may not earn compensation when there license - VIP - Answer -is INACTIVE or EXPIRED A Licensee can receive compensation that was earned WHEN - VIPterm-0 - Answer -the license was current and active even if inactive of expired after A BIC may NOT pay a licensee's ENTITY - Answer -unless the entity has a firm license. A Licensee can share commission with parties BUT - Answer -1) Must be in writing - as part of the agreement 2) Must be subject to Lender Approval in case of loans 3) Disclosed on the Closing Disclosure 4) Is considered a gift 5) Only with principal or client (not others) Compensation ALWAYS flows through the firm - Answer -1) from the BIC 2) NO payment directly by the firm 3) Brokers MAY NOT pay brokers directly except a SOLE PROPrietorships When Paying Non-Affiliated Brokers or Firms - Answer -1) Best Practice to put in writing - Not a Rule 2) May pay referral fees to brokers in any state if person has a CURRENT and ACTIVE license3) DOCUMENTATION in broker's file: - Written documentation regarding fee - Proof of licensure - Copy of a W9 for Brokerage Insurance or a 1099 When receiving Bonuses & Incentives - Answer -Disclosure AND consent by Principal is REQUIRED RESPA Prohibits - Answer -KICKBACKS to Settlement Service Providers - BANKS - APPRAISAL COMPANIES