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, is now in effect.

Student loan servicers must submit their licensing applications through the Nationwide Multistate Licensing System (NMLS), a secure, web-based, nationwide licensing system. The student loan servicer licensing application can be found on the NMLS website.

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.

Annual Report

All entities with active or pending New York State student loan servicer licenses must submit a completed Annual Report to the Department by April 1, 2021.

Servicers should log in to the DFS Portal to securely transmit the completed report. If you are new to the DFS Portal, Login Instructions are available. To get started, visit the DFS Portal:

Browsers and Blockers:

  • Use a supported browser: The latest version plus one previous of IE, FF, Chrome and Safari, are supported.
  • Disable “Pop-up Blocker” setting in your browser before using DFS portal applications.
  • Maintenance: The Portal may be unavailable daily from 7:30am to 7:45am for scheduled maintenance.
  • Applications may not be compatible with cell phones, tablets or other mobile devices.

Please note: Submissions must include a completed spreadsheet, a notarized affidavit, and any additional documentation as required.

FAQs

Questions

Contact the Department with questions about this license by emailing [email protected].