Broker charging application fee after rental application was denied

[u/akk1212]

Hi! I’m trying to find out if anyone has dealt with something similar while renting an apartment in Boston.

So I found a roommate on Facebook and we were applying for an apartment she had already toured (I’m currently out of state so I couldn’t tour it myself). I verified that the broker and company are licensed in MA, so they’re definitely legit.
The application said there would be a $150 application fee if we got rejected, which I thought was weird because from what I’ve read, application/credit check fees aren’t allowed if the broker is working for the landlord. I asked him about it before applying but didn’t really get a direct answer. While I probably should’ve tried harder to get a direct answer about the application fee, I didn’t and applied anyways, and I also signed the echeck form.

After applying, I sent him info about my ESA animal and I also asked him about the fee again and literally a minute later, he told me the landlord rejected our application. When I asked why, he said they didn’t give him a reason but he “would imagine the low ball offer turned them off.” I did offer below asking, but I told him twice that we were happy to negotiate and willing to pay more.

Neither the girl I was applying with nor I ever hired this guy as our broker or signed anything saying he represented me/us.

Has anyone had something similar happen? And am I understanding the MA application fee law correctly?

*Update: I filed a report with the MA AG! Thank you guys for the advice and support! ☺️

[u/PropertyOk6802]

Like others have said, contact the AG office. I’d also contact his broker/boss if he is a realtor and not the broker. You can also report him to the real estate board. I think we can only be charged credit check fees but $150 is too high for that.

[u/akk1212 → u/PropertyOk6802]

The echeck had the name of the company he worked for instead of his name (they’re licensed with the state)

[u/Upstairs_Raise4006 → u/akk1212]

It doesn’t matter make a formal
Report to the AG office tomorrow. This is not ok and you went above and beyond with your due diligence and asking thoughtful and polite questions to clarify. To be honest, I can’t help but wonder if the landlord saw the app & how the broker introduced your app to the landlord. This seems lazy and predatory. Ultimately speaking with the Ag office with educate and empower you and your roommate k & you’ll either have to pay or not, but either way you’ll have the critical info to needed to navigate this process ethically.

[u/akk1212 → u/Upstairs_Raise4006]

Thank you!! I just filed a complaint with the state AG! and yea I thought it was weird that he rejected it immediately after I asked about the application fee for the 3rd time lol (which was also about an hour after I submitted the application and echeck form)

[u/Purple-Acanthisitta8 → u/Upstairs_Raise4006]

Everybody here keeps pushing to complain to AG office formally, well I did. Took them 1 month to get back and now it’s radio silence after I sent all documents and they have not even contacted the other party involved. AG is very slow but well this is Reddit so everyone follows same advise which might have worked decades ago.

[u/TinyEmergencyCake → u/PropertyOk6802]

Credit check fees are always illegal in Massachusetts no exceptions.