NY Banking L § 28-BB (2021)
2021 New York Laws BNK - Banking Article 2 - Department of Financial Services; Superintendent of Financial Services; Supervisory and Regulatory Powers 28-BB - Credit Needs of Local Communities; Mortgage Bankers.

* §  28-bb.  Credit  needs  of local communities; mortgage bankers. 1. When taking any action on an  application  made  by  a  mortgage  banker licensed pursuant to section five hundred ninety-one of this chapter for a  change  in  control  under section five hundred ninety-four-b of this chapter,  or  on  any  other  application  or  notice   to   which   the superintendent  of  financial  services shall by rule or regulation make applicable the provisions of this section, the superintendent shall take into account, among other factors, an assessment,  in  writing,  of  the record  of  performance  of  the  mortgage banker in helping to meet the credit needs of its entire community, including low and moderate  income neighborhoods,  and  consistent  with  safe  and  sound operation of the mortgage banker. Such assessment and any written communications from the department of financial services to a mortgage banker relating  to  such assessment  shall be made available to the public upon request, provided that nothing contained in this subdivision shall  be  deemed  to  alter, amend  or affect the provisions of subdivision ten of section thirty-six of this article. In making such assessment of  a  mortgage  banker,  the superintendent  shall  review  all  reports  and  documents filed by the mortgage banker pursuant to section five hundred  ninety-seven  of  this chapter.  In  addition,  the superintendent shall consider the following factors in assessing a mortgage  banker's  record  of  performance,  and include in its written assessment required by this section the record of performance of such mortgage banker as to each of the following factors:  (a)  Activities  conducted  by the mortgage banker to ascertain credit needs of its community, including the extent of  the  mortgage  banker's efforts  to  communicate  with  members  of  its community regarding the services being provided by the mortgage banker;  (b) The extent of the mortgage banker's marketing and special programs to make members of the community aware of the services  offered  by  the mortgage banker;  (c)  The  extent  of  the mortgage banker's participation in community outreach,  community  development  or  redevelopment,  and   educational programs;  (d)  The  extent  of  participation  by the mortgage banker's board of directors, advisory committee, managing members or executive  management or  equivalent  body  or  person,  in  formulating the mortgage banker's policies and reviewing its performance with respect to the  purposes  of this section;  (e)  Any  practices  intended  to  discourage application for types of credit offered by the mortgage banker;  (f) The  geographic  distribution  of  the  mortgage  banker's  credit extensions, credit applications, and credit denials;  (g)  Evidence  of  prohibited  discriminatory  or other illegal credit practices;  (h) The mortgage banker's record of opening and  closing  offices  and providing services at offices;  (i)  The  mortgage  banker's  participation in governmentally-insured, guaranteed or subsidized loan programs for housing;  (j) The mortgage banker's ability to  meet  various  community  credit needs  based  on its financial condition, size, legal impediments, local economic condition and other factors; and  (k) Other  factors  that,  in  the  judgment  of  the  superintendent, reasonably bear upon the extent to which a mortgage banker is helping to meet the credit needs of its entire community.   2.  In  assessing  the  record  of  performance  of  a mortgage banker pursuant to the provisions of  subdivision  one  of  this  section,  the superintendent  may,  where  he or she deems it appropriate, provide for  public hearings when an objection to the mortgage  banker's  application or notice has been submitted.   3.  An  assessment  of a mortgage banker's record of performance under subdivision one of  this  section  may  be  the  basis  for  denying  an application under the provisions of this section.   4. Notwithstanding any other provision of this chapter or other law to the  contrary,  the term mortgage banker when used in this section shall mean and include mortgage bankers  licensed  pursuant  to  section  five hundred  ninety-one  of  this chapter that originate a minimum number of loans annually, such number to be set by regulation promulgated  by  the superintendent.   5. The superintendent is hereby authorized and empowered to promulgate rules  and  regulations  effectuating  the  provisions  of this section, including any rules and regulations providing  that  the  assessment  of mortgage bankers shall be made on a graduated numerical basis.   6.  If  any  clause,  sentence, paragraph, subdivision or part of this section or the application thereof to any person, firm, or  corporation, or circumstance shall be adjudged by any court of competent jurisdiction to  be  invalid  or  unconstitutional,  such  judgment shall not affect, impair or invalidate the remainder thereof, but shall be confined (i) in its operation to the clause, sentence, paragraph, subdivision,  or  part of  this  section  or  (ii)  in  its  application to the person, firm or corporation, or circumstance, directly involved in  the  controversy  in which such judgment shall have been rendered.   * NB Effective November 1, 2022