New York State Real Estate Salesperson Licensing Exam

Who oversees the licensing and registration of mortgage bankers and brokers in New York State?

1. NYS Banking Department

2. Federal Trade Commission

3. NYS Department of State

4. NYS Department of Justice

The correct answer is: NYS Banking Department

The New York State Banking Department is responsible for overseeing the licensing and registration of mortgage bankers and brokers in New York State. This department ensures that all mortgage-related activities adhere to state laws and regulations, facilitating consumer protection and maintaining the stability of the banking system. The Banking Department evaluates applications, enforces compliance, and conducts investigations into the practices of mortgage professionals to ensure integrity within the industry. While other agencies play important roles in different aspects of finance and consumer protection, such as the Federal Trade Commission focusing on trade practices and the NYS Department of State handling a variety of industries including real estate, they do not have direct oversight over mortgage banking specifically in New York. The NYS Department of Justice primarily handles legal enforcement rather than licensing. Thus, the role of the NYS Banking Department is distinct and crucial in the context of mortgage banking activities.