Legislation

Search OpenLegislation Statutes
This entry was published on 2014-09-22
The selection dates indicate all change milestones for the entire volume, not just the location being viewed. Specifying a milestone date will retrieve the most recent version of the location before that date.
SECTION 580
Application for license
Banking (BNK) CHAPTER 2, ARTICLE 12-C
§ 580. Application for license. 1. Application for a license required
under this article shall be in writing, under oath, and in the form
prescribed by the superintendent, and shall contain the following:

(a) The exact name and the address of the applicant and its date of
incorporation; and

(b) The name and complete business and residential address and
occupation of each officer and director of the applicant; and

(c) The complete address where the business of the applicant is to be
conducted, showing the street and number, if any, post office and
building and room number, if any, the office building and room number,
if any, and the municipality and county; and

(d) If the applicant has one or more branches, subsidiaries or
affiliates operating in this state, the complete address of each such
place of business; and

(e) Such other pertinent information as the superintendent may
require, including but not limited to evidence indicating that the
applicant, or officer, director, or manager of such applicant has at
least one year of experience in financial services or related fields
applicable to budget planning.

2. Where an applicant operates several places of business, separate
applications for license shall be made for each such place of business.

3. Upon original application for a license or licenses to operate one
or more places of business, the applicant shall pay an investigation fee
in an aggregate amount as prescribed pursuant to section eighteen-a of
this chapter. No additional investigation fee shall be required for any
subsequent application for a license unless such application is
subsequent to a denial of a license or to a revocation, suspension or
surrender of a license.

4. As a condition for the issuance and retention of a budget planner
license, and subject to such regulations as the superintendent shall
prescribe, applicants for a license shall file with the superintendent a
surety bond in form satisfactory to the superintendent issued by a
bonding company or insurance company authorized to do business in this
state. Except as provided hereunder, the principal amount of such bond
shall be two hundred fifty thousand dollars. The superintendent may
require a larger bond if he or she determines, in his or her sole
discretion, that a licensee has engaged in a pattern of conduct
resulting in bona fide consumer complaints of misconduct and that such
increased bond is necessary for the protection of consumers; or the
superintendent may increase or decrease the amount of such bond or
deposit based upon the applicant's or licensee's financial condition,
business plan, and the actual or estimated aggregate amount of payments
and fees paid by debtors to such licensee. In lieu of such bond, an
applicant may keep on deposit with such banks, savings banks, savings
and loan associations, trust companies, private bankers, national banks,
federal savings banks, or federal savings and loan associations in the
state as such licensee may designate and the superintendent may approve,
interest-bearing bonds, notes, debentures, or other obligations of the
United States or any agency or instrumentality thereof, or guaranteed by
the United States, or of this state, or of a city, county, town,
village, school district, or instrumentality of this state or guaranteed
by this state, or dollar deposits, or such other assets or letters of
credit as the superintendent shall by rule or regulation permit. The
proceeds of each bond or deposit shall constitute a trust fund to be
used exclusively to reimburse payments by debtors that have not been
properly distributed to creditors or to reimburse fees determined by the
superintendent to be improperly charged or collected and, in the event
of the insolvency, liquidation, or bankruptcy of such licensee, to pay
outstanding department of financial services examination costs and
assessments. Within ninety days after the effective date of this
subdivision, each licensee shall comply with the requirements of this
subdivision.