The New Jersey Department of Banking and Insurance (DOBI) requires a license for servicing student loans, regardless of where the entity is located. To obtain this license, one must provide a New Jersey Student Loan Servicer Bond in the amount of $30,000. While the license is required by the DOBI, it is administered by the Nationwide Mortgage Licensing System (NMLS) and the required surety bond is filed electronically with the NMLS.
Who Is Required to Have a New Jersey Student Loan Servicer License?
A student loan servicer is any person or entity, wherever located, responsible for:
- The receiving any scheduled periodic payments from a student loan borrower or notification of such payments, and applying payments to the borrower’s account pursuant to the terms of the student education loan or the contract governing the servicing of the loan;
- During a period when no payment is required on the student education loan, maintaining account records for the loan and communicating with the student loan borrower regarding the loan, on behalf of the holder of the loan;
- Interacting with a student loan borrower to facilitate the loan servicing as described in this definition, including activities to help prevent loan default on obligations arising from a student education loan of any student education loan to any student loan borrower.
This license is for private student loan processing only. A separate license is required for servicing Federal Student loans. For license requirements, visit the NMLS license checklist.
How to obtain a New Jersey Student Loan Servicer Bond
At Surety1.com we make it easy to obtain the required surety bond. Our simple, 3 step process is:
- Apply for the bond using our easy to navigate and secure online application.1
- Review your free, no obligation quote from one of our surety bond professional agents.
- Sign some paperwork and make payment (all major credit cards accepted)
Once these steps have been completed, the New Jersey Student Loan Servicer Bond will be filed electronically by Surety1.com with the NMLS.
1 – The name of the applicant on the surety bond application must match exactly the full legal business name of applicant for the license.
Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Representing over a dozen surety bond companies, Surety1.com is the premier online provider of surety bonds nationwide since 2003.
How to Get Your New Jersey Student Loan Servicer Bond
- Complete an online application. It’s free and no-obligation.
- One of our surety experts will contact you with a firm quote and an agreement to sign.
- Provide payment and your signed agreement, and then you will receive your Surety Bond!
If you have any questions, please call us at 877-654-2327.
Surety1 was founded in 2003 and helps thousands of clients find the best prices on their surety bonds. We take pride in our work so that we can give you great service. Learn more about Surety1.