Virginia and Massachusetts recently added student loan service licenses to the National Multi-State Licensing System (NMLS).
In 2020, Virginia adopted a law which, among other things, requires qualified student loan managers to be licensed effective July 1, 2021. In Virginia, a “qualified student loan services officer” refers to anyone who manages a student loan at a qualified student loan borrower, including a loan made to refinance a qualifying student loan. In addition, “eligible education loan” is defined as any loan primarily used to finance post-secondary education and tuition fees at a public or private post-secondary educational institution. As noted above, the Virginia Qualified Education Loan Servicer license is now available through the NMLS.
Similarly, in January 2021, Massachusetts adopted a law which, among other things, requires that student loan administrators be licensed. Note that a “student loan officer” is defined as anyone responsible for servicing a student loan to a student loan borrower. Additionally, “student loan” means a loan primarily used to finance post-secondary education or other school-related expenses. The new licensing requirement goes into effect on July 1, 2021, and as noted above, the Student Loans Manager license application is now available through the NMLS.