Statutes, codes, and regulations
New York Codes, Rules and Regulations
Title 3 - BANKINGChapter III - SUPERINTENDENT'S REGULATIONSSubchapter B - NON-BANKING ORGANIZATIONS
Part 404 - Budget Planners/delegation Of Certain Activities
Section 404.1 - Definitions

N.Y. Comp. Codes R. & Regs. tit. 3 § 404.1

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Current through Register Vol. 46, No. 50, December 11, 2024
Section 404.1 - Definitions

For purposes of this Part:

(a) The term debtor shall mean an individual who enters into a contract with a licensee and is at that time a New York resident.
(b) The term licensee shall mean an entity licensed pursuant to article 12-C of the New York Banking Law.
(c) The term licensee service provider shall mean an entity licensed pursuant to article 12-C of the New York Banking Law that holds, or has access to, or can effectuate possession of, by any means, the monies of another licensee's debtors, or distributes, or is in the chain of distribution of such monies, to the creditors of such debtors, pursuant to an agreement or contract with the licensee. This term shall not include entities that solely provide the electronic routing and settlement of financial transactions and their sponsoring banks.
(d) The term non-licensee service provider shall mean an entity that holds, or has access to, or can effectuate possession of, by any means, the monies of a licensee's debtors, or distributes, or is in the chain of distribution of such monies, to the creditors of such debtors, pursuant to an agreement or contract with the licensee. This term shall not include entities that solely provide the electronic routing and settlement of financial transactions and their sponsoring banks.
(e) The term control party shall mean with respect to a licensee, any individual or entity that possesses, directly or indirectly, the power to direct or cause the direction of the management and policies of a licensee. With respect to a non-licensee service provider it shall mean any individual or entity that has a 10 percent or more ownership interest in the non-licensee service provider and/ or any individual or entity that possesses, directly or indirectly, the power to direct or cause the direction of the management and policies of a non-licensee service provider.

N.Y. Comp. Codes R. & Regs. Tit. 3 § 404.1