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A lender preparing a New York record-retention audit asks an audit analyst about sponsorship and employment status. Which response should be followed?

Correct Answer

D) Article 12-E recognizes registered mortgage loan originators employed by specified depository institutions or regulated subsidiaries as outside the New York licensed-MLO regime.

Article 12-E recognizes registered mortgage loan originators employed by specified depository institutions or regulated subsidiaries as outside the New York licensed-MLO regime.

Answer Options
A
Assume another state's approval automatically satisfies the New York requirement.
B
Apply the New York rule only to company licenses and never to individual MLO activity.
C
Handle sponsorship and employment status with an informal note rather than the required license, disclosure, filing, or record.
D
Article 12-E recognizes registered mortgage loan originators employed by specified depository institutions or regulated subsidiaries as outside the New York licensed-MLO regime.

Why This Is the Correct Answer

Article 12-E recognizes registered mortgage loan originators employed by specified depository institutions or regulated subsidiaries as outside the New York licensed-MLO regime.

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