Assembly Bill A2685

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  2685

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                            January 17, 2013
                               ___________

Introduced by M. of A. GIBSON -- read once and referred to the Committee
  on Banks

AN  ACT  to  amend  the banking law, in relation to establishing certain
  educational requirements through rules and regulations promulgated  by
  the  department  of financial services, and directs and authorizes the
  superintendent to establish a mortgage broker licensing exam

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1.  Paragraph (d) of subdivision 3 of section 590 of the bank-
ing law, as amended by chapter 472 of the laws of 2008 and as relettered
by chapter 507 of the laws of 2009, is amended to read as follows:
  (d)  Such  rules and regulations [as may define the terms used in this
article and as may be necessary and appropriate to interpret and  imple-
ment  the  provisions  of this article] ESTABLISHING MINIMUM EDUCATIONAL
REQUIREMENTS FOR ALL MORTGAGE BROKERS; and
  S 2. Subdivision 1 of section 592-a of the banking law, as amended  by
section 18 of part D-1 of chapter 109 of the laws of 2006 and as further
amended  by  section 104 of part A of chapter 62 of the laws of 2011, is
amended to read as follows:
  1. Upon the filing of an application for registration, if  the  super-
intendent shall find that the APPLICANT HAS MET ALL EDUCATIONAL REQUIRE-
MENTS ESTABLISHED BY THE DEPARTMENT, HAS FURNISHED PROOF THAT THE APPLI-
CANT   HAS   PASSED  THE  LICENSING  EXAMINATION  FOR  MORTGAGE  BROKERS
ESTABLISHED BY THIS ARTICLE,  AND  THAT  THE  financial  responsibility,
experience,  character, and general fitness of the applicant, and of the
members thereof if the applicant is a co-partnership or association, and
of the officers and directors thereof if the applicant is a corporation,
are such as to command the confidence of the community  and  to  warrant
belief  that  the  business will be operated honestly, fairly, and effi-
ciently within the purpose of this  article,  the  superintendent  shall
thereupon  register  the  applicant as a mortgage broker on a roll main-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03745-01-3
              

A. 2685                             2

tained for that purpose at the department  of  financial  services,  and
issue  a certificate attesting to such registration in duplicate. If the
superintendent shall not so find, the superintendent shall not  register
such applicant, and shall notify the applicant of the denial. The super-
intendent  shall  transmit one copy of such certificate to the applicant
and file another in the office of the department of financial  services.
Upon  receipt  of such certificate a mortgage broker shall be authorized
to engage in the business of placing, processing and  negotiating  mort-
gage  loans.  Such  registration  shall  remain in full force and effect
until it is surrendered by the licensee or revoked or suspended as here-
inafter provided, except that  such  registration,  notwithstanding  any
provisions  of  subdivision five of section seventeen of this chapter to
the contrary, shall expire upon the  registrant's  failure  to  pay  the
required  assessment  charged  pursuant to such section seventeen thirty
days after the date or dates such payment or payments are  due.  If  the
registrant  fails  to  pay  such charged assessment by the date or dates
such payment or payments are due, then the registrant shall be  required
to  pay,  in  addition, a late fee in the amount of one hundred dollars.
Such registration shall  be  reinstated  if  the  registrant  pays  such
assessment  charged  and any applicable late fees and/or interest within
sixty days of such expiration. The superintendent shall approve or  deny
every application for registration hereunder within ninety days from the
filing  of a complete application provided, however, that failure to act
within the prescribed period shall not be deemed approval  of  any  such
application.
  S  3. The banking law is amended by adding a new section 592-b to read
as follows:
  S 592-B. MORTGAGE BROKER LICENSING EXAMINATION. THE SUPERINTENDENT  IS
HEREBY  DIRECTED AND AUTHORIZED TO ESTABLISH A MORTGAGE BROKER LICENSING
EXAMINATION AND SHALL PROMULGATE RULES AND  REGULATIONS  REGARDING  SUCH
EXAMINATION,  INCLUDING  BUT NOT LIMITED TO THE TIME, DATE AND MANNER IN
WHICH SUCH EXAMINATION SHALL BE GIVEN.
  S 4. This act shall take effect immediately.