N.Y. Banking Law Section 9-T
Unsolicited mail-loan checks


1.

For purposes of this section, the following terms shall have the following meanings:

(a)

“lending institution” shall mean a licensed lender or a state or federally chartered bank, trust company, savings bank, savings and loan association or credit union.

(b)

“mail-loan check” shall mean a check, made out to and mailed to a person by a lending institution, which, when cashed or deposited by such person, obligates such person to repay to such lending institution the amount of the proceeds of such check according to terms mailed to such recipient with such check.

2.

Any lending institution which issues mail-loan checks shall:

(a)

include on the face of each check issued to a non-customer a written statement, in legible type reading “ONE FORM OF VALID PHOTOGRAPHIC ID NEEDED TO CASH OR DEPOSIT”; provided, however, that any entity cashing or accepting a mail-loan check for deposit may require more than one form of identification;

(b)

make no reference on the outside of the envelope containing a mail-loan check that indicates that a check is enclosed within such envelope;

(c)

provide that all mail-loan checks shall be non-transferable; and

(d)

include the transaction fee and interest rate and an expiration date of not more than six months on the mail-loan check, as well as any additional information that the superintendent may require.

3.

No lending institution shall issue a mail-loan check, except in response to a request or application therefor.

4.

Failure to destroy or return a mail-loan check shall not constitute acceptance of the check.

5.

Any lending institution which mails a mail-loan check in violation of the provisions of this section shall be liable for a civil penalty not to exceed five hundred dollars for each such violation.

Source: Section 9-T — Unsolicited mail-loan checks, https://www.­nysenate.­gov/legislation/laws/BNK/9-T (updated Sep. 9, 2022; accessed Mar. 23, 2024).

1
Short title
2
Definitions
2–A
Limited liability investment company
2–B
Limited liability trust companies
4
Information to be given to social services officials, state department of social services, state department of mental hygiene, the mental...
4–A
Banks to display signs
4–B
Advertising
4–C
Exemptions from certain provisions of chapter
5
Loans pursuant to the "Servicemen’s Readjustment Act of 1944
6
Investment in obligations of housing corporations indirectly guaranteed pursuant to the “Servicemen’s Readjustment Act of 1944”
6–A
Investment in obligations of certain persons sixty-five years of age or over incurred to satisfy real property tax indebtedness
6–C
Application forms to be made available
6–D
Requirement to state in writing reason for denial of mortgage loan
6–E
Graduated payment mortgages authorized
6–F
Alternative mortgage instruments made by banks, trust companies, savings banks, savings and loan associations and credit unions
6–G
Override of certain provisions of United States Public Law 97-320
6–H
Reverse mortgage loans authorized
6–I
Mortgage loans
6–J
Proof of insurance
6–K
Real property insurance escrow accounts
6–L
High-cost home loans
6–M
Subprime home loans
6–N
Responsibility of banks for mortgages being processed for modification
6–O
Single point of contact for modifying delinquent home loans
6–O*2
Reverse cooperative apartment unit loans for persons sixty-two years of age or older
6–P
Loan counseling for mortgages guaranteed by the Servicemen’s Readjustment Act of 1944
7
Payment of dividends or interest upon unclaimed deposits or shares
8
Deposits by custodian designated by administrator of veterans’ affairs, or by person certified by social security administration
9
Checks drawn against corporate funds or payable to corporations
9–A
Defense of ultra vires
9–B
Actions or special proceedings by superintendent or attorney-general
9–C
Superintendent’s or attorney-general’s action for judicial dissolution
9–D
Enforcement of section two hundred ninety-six-a of the executive law
9–F
Geographic discrimination in making mortgage loans prohibited
9–G
Right of set off
9–H
Imposition of service charges prohibited
9–I
Close-out fees prohibited in certain cases
9–I*2
Prohibition on depositor of early withdrawal penalty in certain cases
9–J
Disposal of records
9–K
Sale of education loans
9–M
Return of checks
9–N
Trust accounts
9–O
Mortgage loans
9–P
Acceptance of certain checks for deposit
9–R
Geographic restrictions
9–S
Preauthorized electronic fund transfers
9–T
Unsolicited mail-loan checks
9–U
ATM transactions by persons using foreign bank accounts
9–V
Savings promotion prize giveaway
9–W
Standard financial aid award letter
9–X
Mortgage forbearance
9–X*2
Fees based on inactivity
9–Y
Order of payment of checks and other debits, insufficient funds charges and return deposit item charges
9–Z
Cashing of certain checks

Accessed:
Mar. 23, 2024

Last modified:
Sep. 9, 2022

§ 9-T’s source at nysenate​.gov

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