A mortgage broker originates a loan at 7.25% when the lender's par rate is 6.75%. Before Dodd-Frank, the lender would have paid the broker the difference as YSP. Under current rules, how is the broker compensated?

The broker still receives the rate difference as YSP — Dodd-Frank only applies to banks The broker's compensation must be set in advance and cannot vary based on the 7.25% rate — it must be a fixed percentage of loan amount or flat fee The lender absorbs the cost with no broker compensation The borrower pays the entire difference as an origination fee