Which agency regulates RESPA?

The correct answer is the Consumer Financial Protection Bureau (CFPB). The CFPB was established as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act in 2010 and is responsible for overseeing various consumer financial protection laws, including the Real Estate Settlement Procedures Act (RESPA).

RESPA aims to help consumers understand the costs and terms associated with real estate settlement services, ensuring transparency and preventing abusive practices in the mortgage industry. Under the CFPB, RESPA's implementation includes regulations that require disclosures to borrowers regarding settlement costs and the prohibition of certain practices, such as kickbacks.

While other agencies involved in financial regulations exist, such as the Federal Reserve and the Department of Housing and Urban Development (HUD), they do not have the direct regulatory authority over RESPA as the CFPB does. The Federal Housing Finance Agency (FHFA) focuses primarily on overseeing government-sponsored enterprises like Fannie Mae and Freddie Mac, which is separate from the responsibilities associated with RESPA.