There are two checklists on the NMLS for student loan servicers. There is a regular application checklist titled “student loan servicer license”, and a separate one titled “student loan services – federal contract” for those applicants who can document that they are servicing student loans pursuant to a contract awarded by the United States Secretary of Education.
Please note that there is also a student loan servicer branch license for those persons who wish to service student loans at multiple places of business.
Licenses issued under Minnesota Statutes Chapter 58B expire annually on December 31 and are renewable by January 1 of each year.
The renewal fee is $500.
Surrender of a license can be requested through the NMLS.
The written notification will need to include a plan for withdrawal from student loan servicing as listed on the surrender checklist, including a timetable for the disposition of the student loans being serviced.
The following persons are exempt from the requirements of this chapter:
a financial institution (defined as any of the following organized under the laws of this state, any other state, or the United States: a bank, bank and trust, trust company with banking powers, savings bank, savings association, or credit union)
a person servicing student loans made with the person's own funds, if no more than three student loans are made in any 12-month period
an agency, instrumentality, or political subdivision of this state that makes, services, or guarantees student loans
a person acting in a fiduciary capacity, such as a trustee or receiver, as a result of a specific order issued by a court of competent jurisdiction