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NY A00633
Bill
Status
1/10/2023
Primary Sponsor
Steve Stern
Click for details
AI Summary
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Requires mortgage lenders originating loans secured by residential property in New York guaranteed under the Servicemen's Readjustment Act of 1944 to provide a separate disclosure form stating that veterans have been offered loan counseling services.
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Mandates that loan counselors be certified by the U.S. Department of Housing and Urban Development under Part 214 of Title 24 of the Code of Federal Regulations, replacing the previous requirement for state licensing as a real estate or mortgage broker.
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Authorizes the Department of Veterans' Services to provide loan counseling services directly or through contracts with not-for-profit entities that have a CAGE code and are not owned by, affiliated with, or operated by mortgage companies.
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Requires the Department of Veterans' Services to promulgate regulations to prevent conflicts of interest between counselors and mortgage companies and ensure counseling is made in the veteran's best interest.
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Takes effect on the same date as the 2022 law it amends, with section one expiring upon the repeal of the underlying 2022 legislation.
Legislative Description
Provides that a veteran seeking a housing loan under chapter 37 of title 38 of the United States Code be offered loan counseling services by a counselor certified by the United States department of housing and urban development under Part 214 of Title 24 of the Code of Federal Regulations prior to the processing of such application by a banking institution or mortgage lender and that the department of veterans' services shall promulgate regulations to ensure that no conflicts of interest exist between counselors and mortgage companies.
Last Action
substituted by s2229
2/15/2023