On April 24, the New York Department of Financial Services (NYDFS) announced a study of the practices, economic impact, and operations of online lending in New York. The study will culminate in a public report with recommendations to the state legislature by July 1. NYDFS indicates that the report will cover, among other things, an analysis of the differences between online lending products and services and those of traditional lending institutions, the risks/benefits of the products offered, and the availability of various credit products in the absence of online lending. The report will also provide information on the business practices of online lenders operating in New York.
NYDFS is requesting comments and feedback on this study by May 24.