During a New York disciplinary-risk review, a licensing coordinator must resolve a question about continuing education and renewal. Which statement should control?
Correct Answer
C) New York DFS accepts new mortgage loan originator applications through NMLS under Article 12-E of the New York Banking Law.
New York DFS accepts new mortgage loan originator applications through NMLS under Article 12-E of the New York Banking Law.
Why This Is the Correct Answer
New York DFS accepts new mortgage loan originator applications through NMLS under Article 12-E of the New York Banking Law.
Why the Other Options Are Wrong
Option A: Apply the rule only after the New York regulator has already opened an examination.
Apply the rule only after the New York regulator has already opened an examination. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option B: Skip the New York requirement because the company already follows general SAFE Act procedures.
Skip the New York requirement because the company already follows general SAFE Act procedures. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option D: Treat continuing education and renewal as optional because the company has a general New York compliance policy.
Treat continuing education and renewal as optional because the company has a general New York compliance policy. is not correct because the governing rule requires the compliant answer shown in the explanation.
Memory Technique
NY -> ny-dfs-nmls-MLO-licensing-education-renewal
Exam Tip
New York licensing questions often test DFS/NMLS workflow, 20 PE hours with 3 NY law hours, 11-hour CE planning, originating-entity employment, active status, temporary authority, and the SAFE National Test with UST.
Common Mistakes to Avoid
- -Using generic federal mortgage facts when New York DFS or Banking Law rules are being tested
- -Confusing Article 12-D company authority with Article 12-E individual MLO authority
- -Treating New York high-cost, subprime, reverse mortgage, MCR, unique identifier, or surety bond rules as optional
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