Student Loan Servicer Licensing Resources

New York’s FY 2020 Enacted Budget included legislation that requires entities servicing student loans held by New York borrowers to obtain a license from the Department of Financial Services. The law, Banking Law Article 14-A, becomes effective October 9, 2019.

Student loan servicers must submit their licensing applications through the Nationwide Multistate Licensing System (NMLS), a secure, web-based, nationwide licensing system. The licensing application will be live on the NMLS website on August 1, 2019.

Certain entities may be exempt from the licensing requirement of Banking Law Article 14-A. Entities that believe they are exempt should notify the Department by email at [email protected]. The notification should include a detailed description of why the entity believes it is exempt.

Questions

You may contact the Department with questions about this license by emailing [email protected].