It reduces a lot of administrative work. 

Home owners pay HOA dues to cover updates to administrative and billing records, changing and exchanging security codes and cards, creating monthly billings and home owner financial status documents.

Namely; a CPA can talk about how the IRS views things based on their Private Letter Opinions/former controversy before the USDC, or before administrative tribunals.

Yes, they still carry a higher interest rate (5 - 8% 1st position, 8 - 14% in 2nd), but the interest rate would be even higher if we were to lend unsecured (which we don't).We use our own lending documents and the borrower is responsible for all origin and administration fees.  

Since the 1970s,  the number of administrative staffers has risen by 235 percent, while the number of faculty and students has increased by only about 50 percent. 2) 38 year lows in labor participation (Please don't fool yourself by believing that we are at or near full employment as Janet Yellin says).  3) Very significant increases in government regulations making it harder to start small businesses (which is where the preponderance of new jobs come from).  

For example, is part of your fee used to cover administrative cost of checking references?

Have him inquire if the offer 'in-service distribution' with HR department or his plan administrator. 

@Marcia MaynardWhat do you typically charge as an administrative fee in roommate switch situations?

It will create more administrative work for you than it will benefit you.

@Jay DewberryIt is just an administrative transfer from the bank that foreclosed to HUD you had guaranteed the loan and will ultimately sell the property