2023 New York Laws › BNK - Banking › Article 14-A - Student Loan Servicers › 710 - Definitions.

§  710. Definitions. 1. "Applicant" shall mean any person applying for
a license under this article.
2. "Borrower" shall mean any resident of this state who has received a
student loan or agreed in writing to pay a student loan  or  any  person
who  shares a legal obligation with such resident for repaying a student
loan.
3. "Borrower benefit" shall mean an incentive offered to a borrower in
connection with the origination of a student  loan,  including  but  not
limited  to  an interest rate reduction, principal rebate, fee waiver or
rebate, loan cancellation, or cosigner release.
4. "Exempt organization" shall mean any banking organization,  foreign
banking corporation, national bank, federal savings association, federal
credit union, or any bank, trust company, savings bank, savings and loan
association,  or  credit  union  organized  under  the laws of any other
state, any  public  postsecondary  educational  institution  or  private
nonprofit  postsecondary  educational institution or any person licensed
or supervised by the  department  and  exempted  by  the  superintendent
pursuant to regulations promulgated in accordance with this article.
5.  "Person"  shall  mean  any  individual,  association, corporation,
limited   liability   company,   partnership,   trust,    unincorporated
organization, government, and any other entity.
6.  "Servicer"  or "student loan servicer" shall mean a person engaged
in the business of servicing student loans owed by one or more borrowers
residing in this state.
7. "Servicing" shall mean:
(a) receiving any payment from a borrower pursuant to the terms of any
student loan;
(b) applying any payment to the borrower's  account  pursuant  to  the
terms  of  a student loan or the contract governing the servicing of any
such loans;
(c) providing any notification of amounts owed on a student loan by or
on  account  of  any  borrower  in  conjunction  with  performing   such
activities  as  described  in  paragraphs  (a),  (b),  or  (d)  of  this
subdivision;
(d) during a period where a borrower is not required to make a payment
on a student loan, maintaining account records for the student loan  and
communicating  with the borrower regarding the student loan on behalf of
the owner of the student loan promissory note;
(e) interacting with a borrower  with  respect  to  or  regarding  any
attempt to avoid default on the borrower's student loan, or facilitating
the  activities described in paragraph (a) or (b) of this subdivision in
conjunction with performing such activities as described  in  paragraphs
(a), (b), or (d) of this subdivision; or
(f)  performing  other  administrative  services  with  respect  to  a
borrower's student loan in conjunction with performing  such  activities
as described in paragraphs (a), (b), or (d) of this subdivision.
8.  "Student  loan"  shall  mean  any  loan  to  a borrower to finance
postsecondary education or expenses related to postsecondary education.
9. "Federal student loan" means (a) any student loan  issued  pursuant
to the William D. Ford Federal Direct Loan Program; (b) any student loan
issued  pursuant to the Federal Family Education Loan Program, which was
purchased by the government of the United States pursuant to the federal
Ensuring Continued Access to Student Loans Act and is presently owned by
the government of the United States; and  (c)  any  other  student  loan
issued  pursuant  to  a  federal  program  that  is  identified  by  the
superintendent as a "federal student loan" in a regulation.