On December 13, 2024, New York Governor Kathy Hochul signed Assembly Bill A9686 which enacts NY Banking Law § 35 which contains a new requirement for mortgage lenders and other banking organizations offering residential mortgage services to provide a “What Mortgage Applicants Need to Know” pamphlet to applicants. These provisions are effective June 11, 2025.
NY Banking Law § 35(1) states:
“The Superintendent [of the Department of Financial Services] shall develop a pamphlet known as “What Mortgage Applicants Need to Know” and post such pamphlet on the Department’s web site. Such pamphlet shall be posted and printed in the six most common non-English languages spoken by individuals with limited-English proficiency in New York State as based on the most recent census. Copies of such pamphlet shall be provided to all licensed lenders and banking organizations offering residential mortgage services. A copy of such pamphlet shall be provided by licensed lenders, mortgage bankers and other banking organizations to each person applying for a loan secured by a mortgage upon residential real estate in accordance with the timing requirements under 12 CFR § 1026.19(e)(1)(iii) [no later than the third business day after the date the applicant’s loan application is received]. A licensed lender, mortgage banker or other banking organization may provide the applicant with the pamphlet via electronic communications, including but not limited to, electronic mail or a hyperlink to the pamphlet posted on the Department’s web site.”
Docutech is currently reviewing these policy changes to determine any impact to its document library and/or systems. Any modifications made will be announced at https://compliance.docutech.com/.