New York Department of Financial Services announced it will be transitioning to the Nationwide Multistate Licensing System and Registry in order to manage the license application and ongoing regulation of all nondepository financial institutions doing business in New York. 

The NMLS was created by the State Conference of Bank Supervisors and began operations in January 2008. 

The department added that it “strongly supports CSBS efforts such as Vision 2020 and currently employs NMLS to manage and regulate mortgage providers licensed in New York.”

While the department will begin transitioning July 1, this usage will be expanded, in stages, to all nondepository insitutions, commencing with money transmitters.

“DFS is proud to expand its use of NMLS, bringing the efficiencies and improved oversight of NMLS to additional financial services industries,” said Financial Services Superintendent Maria Vullo. 

“By working with the CSBS, which is leading the modernization of state regulation through Vision 2020, DFS is supporting the strong nationwide regulatory framework created by states to provide improved licensing and supervision by State regulators,” said Vullo. “The success and effectiveness of the NMLS platform is just one more example of the superiority of the state-based financial services regulatory system in protecting consumers and fostering industry innovation.”