Within the direct reaction framework the formalism and approximations used to describe particle radiative capture processes at low to medium energies are reviewed. Survey calculations documenting sizeable cross-section sensitivity to different forms of the electromagnetic interaction (Siegert's theorem versus J · A ) that preserve overall gauge invariance are reported. The source of this large difference is the inconsistent use of different initial and final state model hamiltonians. This defect, common to most reaction theories using optical-model wave functions, generates wave function nonorthogonality effects which are found to be significant for M1 transitions. The importance of the spin-flip contribution to both electric and magnetic transitions is also investigated.