A state exam practice item asks about New York branch, office, and remote-work controls. Which choice states the rule correctly?
Correct Answer
A) New York mortgage bankers and brokers must satisfy branch, control, ownership, officer, director, and business-location requirements before using new locations or control structures.
New York mortgage bankers and brokers must satisfy branch, control, ownership, officer, director, and business-location requirements before using new locations or control structures.
Why This Is the Correct Answer
New York mortgage bankers and brokers must satisfy branch, control, ownership, officer, director, and business-location requirements before using new locations or control structures.
Why the Other Options Are Wrong
Option B: Postpone the New York branch, office, and remote-work controls issue until the next annual review.
Postpone the New York branch, office, and remote-work controls issue until the next annual review. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option C: Use only the federal baseline and ignore the separate New York state requirement.
Use only the federal baseline and ignore the separate New York state requirement. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option D: 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.
Memory Technique
NY -> ny-article-12d-mortgage-bankers-brokers-servicers-reports
Exam Tip
Article 12-D questions often test banker license versus broker registration, mortgage-loan definitions including co-op collateral, branch/control changes, servicer registration, guidebook procedures, and record/report duties.
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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