What does RESPA stand for in mortgage transactions?

The acronym RESPA stands for the Real Estate Settlement Procedures Act. This federal law, enacted in 1974, regulates the settlement process for residential real estate transactions. Its primary purpose is to provide transparency in the costs associated with the closing of a mortgage and to enable consumers to make informed decisions during the home-buying process. RESPA requires lenders to provide borrowers with pertinent information about the mortgage settlement process, including estimates of fees, disclosures about the settlement service providers, and the rights of borrowers in the transaction.

The other choices presented do not reflect the correct legal framework related to mortgage transactions and their purposes; they have not been established or recognized in this context.