Title: Student Loan Lenders & Servicers
Alternate Title:
Description:
Student loan servicers are responsible for the servicing of any student loan to any borrower, and they include any nonbank covered person as defined under federal regulation. Minnesota Department of Commerce
Subject: Loans and Lenders
Creation Date: 9/4/2021 2:16:56 PM
Modification Date: 8/19/2026 4:04:06 PM
Agency Name: Commerce, Minnesota Department of
Agency URL: https://mn.gov/commerce/
Agency Description:
The Minnesota Department of Commerce is the chief regulator for the banking, energy, insurance, real estate, securities, telecommunications industries and also operates Minnesota's Unclaimed Property.
Agency Phone: 651-539-1500
Agency Fax: Agency URL: https://mn.gov/commerce/
Agency Address:
85 7th Place East, Suite 500
St. Paul
MN
55101
Division Name: Financial Institutions Division
Division URL:
Division Description:
Division Phone: 651-539-1548
Division Fax: Division URL:
Audience: Hold
Application URL: https://mortgage.nationwidelicensingsystem.org/Pages/default.aspx
Renewal URL:
Versa URL:
Requirements:
Review Student Loan Lenders & Servicers
Apply
Minnesota uses the Nationwide Multistate Licensing System (NMLS). Persons applying for the student loan servicer license are required to use the NMLS
- 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.
- Please read Minn. Stat. Chapter 58B, which you can access before applying for a license.
Renewal
- Licenses issued under Minn. Stat. Chapter 58B expire annually on December 31 and are renewable by January 1 of each year.
Cancellation/Surrender
- 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.
Exemptions
The following persons are exempt from the servicing 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
- the University of Minnesota
The following persons are excluded from the definition of a lender for the purposes of this chapter:
- a bank, savings banks, savings and loan association, or credit union;
- a wholly owned subsidiary of a bank or credit union;
- an operating subsidiary where each owner is wholly owned by the same bank or credit union;
- the United States government, through Title IV of the Higher Education Act of 1965, as amended, and administered by the United States Department of Education;
- an agency, instrumentality, or political subdivision of Minnesota;
- a regulated lender organized under chapter 56, except that a regulated lender must file the annual report required for lenders under section 58B.03, subdivision 11; or
- a person who is not in the business of making student loans and who makes no more than three student loans, with the person's own funds, during any 12-month period.
Rules:
Statutes: 58
Forms:
Persons applying for the student loan servicer license are required to use the NMLS
Fees:
Initial Application Fee - $1,000
Renewal Fee - $500
Period of Issuance:
Student Loan Servicer licenses licenses expire on December 31 of each year and are renewable on January 1 of each year after that date.
Length of Determination:
Other Info:
Activity: Residential Mortgage Originator or Servicer
License Detail URL:
Student Loan Lenders & Servicers
License Lookup Directory
