2010 New York Code
BNK - Banking
Article 12-D - (589 - 599) LICENSED MORTGAGE BANKERS
591-A - Application to register as a mortgage broker; fees.

§ 591-a.  Application  to  register  as a mortgage broker; fees. 1. An
  application to become registered  as  a  mortgage  broker  shall  be  in
  writing,  under  oath,  in  such  form  as  shall  be  prescribed by the
  superintendent, and shall be accompanied  by  the  fingerprints  of  the
  applicant.  Such  fingerprints  shall  be  submitted  to the division of
  criminal justice services for a state criminal history record check,  as
  defined  in subdivision one of section three thousand thirty-five of the
  education  law,  and  may  be  submitted  to  the  federal   bureau   of
  investigation  for  a  national  criminal  history  record  check.  Such
  application shall contain the name and complete business and residential
  address or addresses  of  the  applicant,  or  if  the  applicant  is  a
  partnership,   association,   corporation  or  other  form  of  business
  organization, the names and complete business and residential  addresses
  of each member, director and principal officer thereof. Such application
  shall  also  include  an  affirmation  of financial solvency noting such
  capitalization requirements as may be required  by  the  superintendent,
  and   such   descriptions   of   the   business   activities,  financial
  responsibility, educational background and general character and fitness
  of the  applicant  as  may  be  required  by  the  superintendent.  Such
  application  shall be accompanied by an investigation fee payable to the
  superintendent as prescribed pursuant  to  section  eighteen-a  of  this
  chapter.
    2.  A registrant may apply for authority to open and maintain a branch
  office by giving the superintendent prior notice  of  its  intention  in
  such  form  as  shall  be  prescribed  by the superintendent. Unless the
  superintendent denies the application within thirty days of  publication
  of notice of receipt of a completed application, the registrant shall be
  permitted  to  open  and  maintain such branch office. An application to
  open  and  maintain  a  branch  office  shall  be  accompanied   by   an
  investigation  fee  as prescribed pursuant to section eighteen-a of this
  chapter.
    3. As a condition  for  the  issuance  and  retention  of  a  mortgage
  broker's   registration,   and   subject  to  such  regulations  as  the
  superintendent shall prescribe, applicants for a registration shall file
  with the superintendent a surety bond or make a deposit, as described in
  subdivision four of section five hundred ninety-one of this article,  in
  an amount and form prescribed by regulations of the superintendent. Such
  regulations  shall  provide  for  a  varying  bond  amount  based upon a
  registrant's volume of  business  and  any  other  relevant  factors  as
  determined by the superintendent, but in no case shall such bond be less
  than  ten  thousand  dollars nor more than one hundred thousand dollars;
  provided however that if the superintendent determines, in  his  or  her
  sole  discretion,  that a registrant has engaged in a pattern of conduct
  resulting  in  bona  fide  consumer  complaints   of   misconduct,   the
  superintendent  may  require  such  registrant to post a surety bond, or
  keep on deposit as provided in this subdivision,  twice  the  amount  of
  such bond or deposit as is required consistent with such regulations. In
  the   event  of  the  insolvency,  liquidation  or  bankruptcy  of  such
  registrant, or the surrender or revocation  of  such  mortgage  broker's
  registration,  or  where  the  superintendent  takes  possession of such
  registrant, the proceeds of each bond  or  deposit  shall  constitute  a
  trust  fund  to  be used exclusively to reimburse consumer fees or other
  charges determined by the superintendent to  be  improperly  charged  or
  collected  and  to pay past due banking department examination costs and
  assessments charged  to  the  registrant,  unpaid  penalties,  or  other
  obligations  of  the  registrant.  The  superintendent  is authorized to
  promulgate such regulations as are necessary and desirable to define and
  implement the provisions  of  this  subdivision.  Persons  and  entities

registered  prior  to  the  effective  date  of  any  regulations of the
  superintendent  implementing  or  modifying  the   bonding   requirement
  authorized  by  this  subdivision shall file such bond or establish such
  deposit within six months of the effective date of such regulations.