Section 1451 - Brokerage Charges: Rebate Prohibited: Compensation to Unlicensed Persons Prohibited(a) A finance company shall not charge for "brokerage" services unless that service is actually rendered. In that event, the finance company must clearly identify in its records the full amount of the charge actually paid to a broker licensed under the Law or a person within the authorization provided by subsection (c) who rendered said brokerage service.(b) No broker or other person shall divide with or rebate to any finance company any portion of the sum collected by way of brokerage and no finance company shall receive or accept any such division or rebate.(c) No finance company shall pay any compensation to an unlicensed person or company for soliciting or accepting applications for loans, except for an employee regularly employed at a licensed place of business of the finance company. However, a finance company may pay compensation for soliciting or accepting applications or performing services as a broker to a person or company licensed (1) as a real estate broker under Article 2 (commencing with Section 10150) of Chapter 3 of Part 1 of Division 4 of the Business and Profession Code with respect to loans made under Division 9 of the Financial Code or Article 7 (commencing with Section 10240) of Chapter 3 of Part 1 of Division 4 of the Business and Professions Code, or (2) for any brokerage service rendered by a bank, savings and loan association or any other financial institution exempted from the provisions of Division 9 of the Financial Code.Cal. Code Regs. Tit. 10, § 1451
1. Amendment filed 12-29-83; effective thirtieth day thereafter (Register 83, No. 53).
2. Amendment of subsection (d) filed 5-15-84; effective thirtieth day thereafter (Register 84, No. 20).
3. Change without regulatory effect amending subsections (a), (d) and NOTE filed 6-14-95 pursuant to section 100, title 1, California Code of Regulations (Register 95, No. 24).
4. Amendment filed 8-4-98; operative 9-3-98 (Register 98, No. 32). Note: Authority cited: Section 22150, Financial Code. Reference: Sections 22004, 22150, 22156 and 22306, Financial Code.
1. Amendment filed 12-29-83; effective thirtieth day thereafter (Register 83, No. 53).
2. Amendment of subsection (d) filed 5-15-84; effective thirtieth day thereafter (Register 84, No. 20).
3. Change without regulatory effect amending subsections (a), (d) and Note filed 6-14-95 pursuant to section 100, title 1, California Code of Regulations (Register 95, No. 24).
4. Amendment filed 8-4-98; operative 9-3-98 (Register 98, No. 32).