N.Y. Comp. Codes R. & Regs. tit. 3 § 402.21

Current through Register Vol. 46, No. 43, October 23, 2024

Section 402.21 - Books and records

(a) Every licensee shall keep its books and records in a manner which will allow the superintendent to determine whether the licensee is complying with article 12-C of the Banking Law. Every licensee shall preserve its books and records for inspection for a minimum of six years. Specifically, every licensee shall establish and maintain the following to be kept readily available for review by the superintendent:

(1) all rejected debtor application files which shall contain all documentation relating to the applications. A list of rejected files shall be maintained;

(2) all cancelled debtor application files which shall contain all documentation relating to the applications. A list of cancelled files shall be maintained;

(3) a correspondence folder to contain all correspondence to and from the Banking Department, or copies thereof;

(4) a separate file for all written debtor complaints to contain the original complaint, documentation of actions taken and any related correspondence; and

(5) a current business plan which describes in detail the budgeting, educational and counseling services offered; the policies and procedures governing each service including the curriculum utilized that provides the educational and counseling services; the person(s) responsible for administering each such service and the training provided to employees engaged in the rendering of each such service.

(b) Ledgers. Each licensee shall maintain a general ledger and such subsidiary ledgers as is necessary to accurately record all assets, liabilities, net assets, income and expenses, and contingencies. Such ledgers shall be posted at least monthly. As of the end of each month a trial balance shall be prepared and kept readily available for inspection by Banking Department personnel.

(c) In the event the licensee conducts business in more than one state, New York debtor files are to be kept separate from the individual client files of other states. Upon request, the New York client files are to be made readily available to the superintendent or the superintendent's duly appointed representative.

(d) In the event that books and records are maintained at a location that is not within the dominion and control of the licensee, the licensee shall provide the superintendent with a written authorization to examine, have access to, and retain copies of all its books and records relating to its budget planning business.

N.Y. Comp. Codes R. & Regs. Tit. 3 § 402.21