Which of the following are NOT APR impacting fees?

• A. Broker fee
• B. Finder fee
• C. Pest inspection fee
• D. Settlement fee

Answer: (C)

The main idea here is that the APR reflects the true yearly cost of borrowing by including financing charges that are tied to obtaining the loan. Fees that are paid to secure the loan or to originate it—such as broker fees and finder fees—are part of those financing charges and therefore lift the APR. The settlement fee, which covers closing services tied to finalizing the loan, is also generally included when it’s a charge related to obtaining credit.

The pest inspection fee, on the other hand, is a serviceoften not required by the lender to obtain the loan and not a financing charge tied to securing credit. It’s typically a separate, optional or property-condition-related service, so it does not get rolled into the APR.

So the pest inspection fee is not APR impacting, while the other fees listed are.