New York Codes, Rules and Regulations › Title 3 - BANKING › Chapter III - SUPERINTENDENT'S REGULATIONS › Subchapter B - NON-BANKING ORGANIZATIONS › Part 418 - Registration Requirements; Financial Responsibility Requirements › Section 418.3 - Definitions

Current through Register Vol. 46, No. 28, July 10, 2024
For purposes of this Part:
(a)
"Exempted Person"
means
				  a Person, partnership, association, trust, corporation or other entity engaged
				  in the business of Servicing Mortgage Loans with respect to any property
				  located in this state to which the registration requirement in Section
				  590(2)(b-1) of the Banking Law does not apply.
(b)
"Mortgage Loan"
means a
				  loan to a natural person made primarily for personal, family or household use,
				  secured by a mortgage or other consensual security interest on residential real
				  property or certificates of stock or other evidence of ownership interests in,
				  and a proprietary lease from, a corporation or partnership formed for the
				  purpose of cooperative ownership of residential real property and, if
				  determined by regulation, shall include such a loan secured by a security
				  interest on a manufactured home.
(c)
"Mortgage Loan
				  Servicer"
, "Servicer", or "MLS" means a Person registered or required
				  to be registered pursuant to Banking Law Section
				  590(2) (b-1) to engage in
				  the business of Servicing Mortgage Loans for property located in this state, or
				  a Person exempted from such registration requirement.
(d)
"Servicing Mortgage
				  Loans"
means receiving any scheduled periodic payments from a borrower
				  pursuant to the terms of any Mortgage Loan, including amounts for escrow
				  accounts under Section 6-k  of the Banking Law, Title 3-A of Article
				  IX of the Real Property Tax Law or Section 10 of the Real Estate Settlement
				  Procedures Act of 1974, as Amended(12
				  U.S.C. 2609), and making payments to the
				  owner of the loan or other third parties of principal and interest and such
				  other payments with respect to the amounts received from the borrower as may be
				  required pursuant to the terms of the mortgage loan documents or servicing
				  contract. In the case of a home equity conversion mortgage or reverse mortgage
				  as referenced in Section 6-h  of the Banking Law, Sections 280 and
				  280-a  of the Real Property Law or  24 CFR 3500.2, servicing includes making
				  payments to the borrower. The term includes a Person who makes or holds a
				  Mortgage Loan if such Person also directly or indirectly is the holder of the
				  mortgage servicing rights or has been delegated servicing functions for the
				  Mortgage Loan.
(e)
"Person"
means any individual or legal entity, including any
				  corporation, partnership, association or limited liability company.
(f)
"Residential real
				  property"
means real property located in this state improved by a
				  one-to-four family residence or residential unit in a building used or
				  occupied, or intended to be used or occupied, wholly or partly, as the home or
				  residence of one or more Persons, but shall not refer to unimproved real
				  property upon which such dwellings are to be constructed.
(g)
"Third-party servicer"
means, with respect to particular mortgage loans, a Servicer that does not own
				  such mortgage loans or the servicing rights thereto but only performs servicing
				  or sub-servicing for the owner of such loans or servicing rights or another
				  Third-party servicer, provided that for a Person to be deemed to be a
				  Third-party servicer, the owner of the servicing rights must remain responsible
				  for all advance and repurchase obligations related to the servicing.