NAC: CHAPTER 670B - STUDENT LOAN SERVICERS

[Rev. 11/2/2026 2:49:25 PM]

CHAPTER 670B - STUDENT LOAN SERVICERS

[NAC-670B Revised Date: 10-26]

GENERAL PROVISIONS

670B.050 “Place of business” defined.

LICENSING

670B.100 Requirements for applicant whose place of business is located outside of State.

670B.110 Documentation of eligibility for exemption.

670B.120 Surety bond.

670B.130 Applicant or licensee required to notify Commissioner of change in information in application, name, place of business or control person.

670B.140 Licensee required to post assigned unique identifier on its Internet website.

670B.150 Renewal of license: Waiver of late fee.

670B.160 Information required to be filed with annual report.

PAYMENT OF ASSESSMENTS AND FEES

670B.200 Assessment for costs related to audits and examinations: Amount; collection; failure to pay.

670B.210 Assessment for cost of legal services provided by Attorney General: Amount; collection; failure to pay.

670B.220 Fee for supervision and related activities: Amount; collection; failure to pay.

REGULATION OF PRACTICES

670B.300 Prerequisites to acting as student loan servicer.

670B.310 Authorization of borrower for receipt of electronic communications: Form; retention.

670B.320 Policies and procedures to identify, notify and assist borrowers at risk of default and ensure accurate and updated personal information of borrowers.

670B.330 Monthly statement to borrower regarding loan; annual statement to borrower regarding loan interest paid.

670B.340 Requirements regarding application of payment.

670B.350 Requirements regarding allocation of partial payments if licensee services more than one loan for borrower.

670B.360 Payoff statement: Period for provision; contents; fee prohibited.

670B.370 Authority to charge and collect fees from borrowers.

670B.380 Requirements relating to provision of information to consumer credit bureau.

670B.390 Records: Retention.

670B.400 Required notice of right of borrower to file written complaint with Office of Commissioner.

ADMINISTRATION AND ENFORCEMENT

670B.600 Investigation or examination of applicant or licensee: Request for information by Commissioner.

670B.610 Revocation or suspension of license: Grounds.

GENERAL PROVISIONS

NAC 670B.050 “Place of business” defined. (NRS 670B.600) As used in this chapter, unless the context otherwise requires, “place of business” means the physical location at which:

1. The officers and senior management of a student loan servicer direct the business of student loan servicing and oversee the day-to-day operation of that business; and

2. All books and records of the student loan servicer are maintained.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

LICENSING

NAC 670B.100 Requirements for applicant whose place of business is located outside of State. (NRS 670B.230, 670B.600)

1. To be eligible for a license to act as a student loan servicer in this State, an applicant for such a license whose place of business is located outside this State must agree, unless the provisions of subsection 2 apply, to:

(a) Make available to the Commissioner, at a location within this State, the books, accounts, papers, records and files of the student loan servicer; or

(b) Pay the reasonable expenses for the travel, meals and lodging of the Commissioner that are incurred during any investigation or examination made at an office or principal place of business that is located outside this State.

2. In the discretion of the Commissioner, any books, accounts, papers, records and files of a place of business that is located outside this State may be electronically submitted to the Office of the Commissioner.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.110 Documentation of eligibility for exemption. (NRS 670B.240, 670B.600) For the purposes of subsection 1 of NRS 670B.240, a person seeking to act as a student loan servicer who is exempt from the application procedures described in subsections 1 and 2 of NRS 670B.210 and NRS 670B.290 must document eligibility for the exemption by submitting to the Commissioner an executed copy of the contract awarded to the person by the United States Secretary of Education pursuant to 20 U.S.C. § 1087f.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.120 Surety bond. (NRS 670B.210, 670B.600)

1. In accordance with subsection 5 of NRS 670B.210, an applicant for a license to act as a student loan servicer in this State shall file with the Commissioner, concurrently with the application, a surety bond in the amount determined pursuant to subsection 3, which is payable to the Division of Financial Institutions. Thereafter, each licensee shall maintain the surety bond so that the surety bond is in the amount determined pursuant to subsection 3.

2. The surety bond required by subsection 1 must be in the form prescribed by the Commissioner and made and executed by the principal and a surety company authorized to do business in this State. The bond must be conditioned:

(a) That the principal, who must be the applicant, must, upon demand in writing, pay any lender from whom any loan for collection is received the proceeds of the collection, in accordance with the terms of the agreement made between the principal and the lender; and

(b) That the principal must comply with all applicable requirements of this section and any other provision of law or regulation with respect to the duties, obligations and liabilities of a licensee.

3. The amount of the surety bond required by subsection 1 must be determined based on the dollar amount of servicing activities conducted by the applicant or licensee, as applicable, in this State in the immediately preceding calendar year, as follows:

Dollar Amount of Loans Serviced	Bond Amount
$0.00-50,000,000.00.................................................	$50,000.00
$50,000,000.01-100,000,000.00...............................	$75,000.00
$100,000,000.01-250,000,000.00.............................	$100,000.00
$250,000,000.01 or more..........................................	$250,000.00

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.130 Applicant or licensee required to notify Commissioner of change in information in application, name, place of business or control person. (NRS 670B.320, 670B.340, 670B.600) An applicant for a license to act as a student loan servicer in this State or a person licensed as a student loan servicer in this State shall, in accordance with NRS 670B.320, notify the Commissioner of, and obtain the approval of the Commissioner for, any change:

1. In the information provided in the initial application for a license or the most recent application for renewal of such a license, as applicable;

2. To the legal or fictitious name of the applicant or licensee, as applicable;

3. To the proposed licensed place of business of the applicant or to the licensed place of business of the licensee; or

4. In a control person of the applicant or licensee.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.140 Licensee required to post assigned unique identifier on its Internet website. (NRS 670B.300, 670B.600) A licensee shall post the unique identifier assigned to the licensee pursuant to subsection 1 of NRS 670B.300 on:

1. The home page of the Internet website of the licensee; or

2. A page that is clearly and conspicuously connected to the home page of the Internet website of the licensee by a link that clearly reveals its contents.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.150 Renewal of license: Waiver of late fee. (NRS 670B.250, 670B.600) The Commissioner may waive the late fee required by subsection 2 of NRS 670B.250 if a licensee submits an application for renewal of a license through the Nationwide Multistate Licensing System and Registry after November 1 but not later than December 31 of the year in which the license expires.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.160 Information required to be filed with annual report. (NRS 670B.250, 670B.600, 670B.620, 670B.640)

1. A licensee shall submit with the annual report required to be filed on or before April 15 of each year pursuant to subsection 4 of NRS 670B.250, on a form prescribed by the Commissioner, the following information for the immediately preceding calendar year:

(a) A listing of the following information in aggregate from all student education loan accounts serviced by the licensee, along with the total number of accounts used to calculate the information:

(1) The average annual percentage rate.

(2) The average amount financed.

(3) The average finance charges.

(4) The average dollar amount of scheduled payments.

(5) The number of accounts with a cosigner.

(6) The average dollar amount of payments made, with a separate identification of the average dollar amount of full payments and the average dollar amount of partial payments.

(7) The average outstanding account balance.

(8) The total number of delinquent accounts and the percentage of student loan borrowers in delinquent status.

(9) The average dollar amount of late fees charged to the accounts of student loan borrowers and the percentage of student loan borrowers being charged such late fees.

(10) A statement of any miscellaneous fees charged to the accounts of student loan borrowers, the average dollar amount of such miscellaneous fees charged to the accounts of student loan borrowers and the percentage of student loan borrowers being charged such miscellaneous fees.

(11) The total number of accounts for which student loan borrowers are repaying private education loans.

(12) The total number of accounts for which student loan borrowers are repaying federal education loans.

(b) The total number of student education loan accounts:

(1) That were being serviced on January 1 of the calendar year, and the total amount of such loans.

(2) That were being serviced on December 31 of the calendar year, and the total amount of such loans.

(3) That were paid in full, and the total amount of such loans.

(4) That are being paid pursuant to an income-driven repayment plan, and the total amount of such loans.

(5) For which a loan modification was approved, and the total amount of such loans.

(6) That are being paid pursuant to a flexible repayment plan, and the total amount of such loans.

(7) That were placed in forbearance, and the total amount of such loans.

(8) That were placed in default, and the total amount of such loans.

(9) That were placed in forgiveness, and the total amount of each such loan.

(10) That were cancelled or discharged, and the total amount of each such loan.

(11) That were assigned to a collection agency and the name of the collection agency.

(12) For which a court action was initiated, and the status of such accounts.

(13) For which an unfavorable payment history of a student loan borrower was reported to a nationally recognized consumer credit bureau.

2. At any other time the Commissioner deems necessary, the Commissioner may request additional information pursuant to the provisions of this chapter or NRS 670B.620.

3. The filing of an annual report pursuant to subsection 4 of NRS 670B.250 and the submission of the information required by subsection 1 do not preclude the Commissioner from requesting identical or similar information in the course of an examination or investigation of a licensee.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

PAYMENT OF ASSESSMENTS AND FEES

NAC 670B.200 Assessment for costs related to audits and examinations: Amount; collection; failure to pay. (NRS 670B.350, 670B.600, 670B.690)

1. In accordance with subsection 1 of NRS 670B.350 and except as otherwise provided in NAC 658.030, each licensee shall pay to the Division of Financial Institutions an annual assessment of not more than $300 to cover the costs related to the employment of a certified public accountant and the performance by the certified public accountant of independent audits and examinations.

2. The Division of Financial Institutions shall send an invoice to each licensee for the assessment described in subsection 1. The assessment must be paid not later than 30 days after the date on which the invoice is received. Except as otherwise provided in this subsection, any payment received after that date must include a penalty of 10 percent of the assessment plus an additional 1 percent of the assessment for each month, or portion of a month, that the assessment is not paid. The Commissioner may waive the penalty for good cause.

3. In accordance with NRS 670B.690, the failure of a licensee to pay the assessment required in subsection 1, as provided in this section, constitutes grounds for revocation of its license.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.210 Assessment for cost of legal services provided by Attorney General: Amount; collection; failure to pay. (NRS 670B.350, 670B.600, 670B.690)

1. In accordance with subsection 2 of NRS 670B.350, each licensee shall pay to the Division of Financial Institutions the assessment determined by the Commissioner pursuant to NRS 658.098 to recover the cost of legal services provided by the Attorney General to the Commissioner and to the Division.

3. In accordance with NRS 670B.690, the failure of a licensee to pay the assessment required by subsection 1, as provided in this section, constitutes grounds for revocation of its license.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.220 Fee for supervision and related activities: Amount; collection; failure to pay. (NRS 670B.600, 670B.640, 670B.690)

1. The Commissioner will charge and collect a fee of $75 per hour from each licensee for any supervision, examination, audit, investigation or hearing conducted pursuant to chapter 670B of NRS.

2. The Commissioner will send an invoice to each licensee upon the completion of the activity for the fee established in subsection 1. The fee must be paid not later than 30 days after the date on which the invoice is received. Except as otherwise provided in this subsection, any payment received after that date must include a penalty of 10 percent of the fee plus an additional 1 percent of the fee for each month, or portion of a month, that the fee is not paid. The Commissioner may waive the penalty for good cause.

3. In accordance with NRS 670B.690, the failure of a licensee to pay the fee required by subsection 1, as provided in this section, constitutes grounds for revocation of its license.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

REGULATION OF PRACTICES

NAC 670B.300 Prerequisites to acting as student loan servicer. (NRS 670B.200, 670B.600) A person shall not act as a student loan servicer in this State unless, in addition to satisfying all other applicable requirements set forth in law or regulation, the following requirements are met:

1. Unless otherwise exempt pursuant to subsection 2 of NRS 670B.200 or any other provision of law, the person holds a license issued by the Commissioner pursuant to chapter 670B of NRS and any other required license or permit issued by a local governmental entity; and

2. The place of business of the student loan servicer is:

(a) Located in the United States;

(b) Located in an area zoned for commercial use; and

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.310 Authorization of borrower for receipt of electronic communications: Form; retention. (NRS 670B.600) A licensee may send a notice or other communication to a student loan borrower through electronic means only if, during the process of originating the student education loan or at any other time after the origination of the student education, the student loan borrower has authorized the receipt of electronic communications on a form that clearly states that the student loan borrower has consented to receiving through electronic means all notices and other communications from the student loan servicer. A licensee shall retain the form providing such authorization in accordance with NAC 670B.390.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.320 Policies and procedures to identify, notify and assist borrowers at risk of default and ensure accurate and updated personal information of borrowers. (NRS 670B.380, 670B.600) In addition to any policies and procedures required to be developed and implemented pursuant to chapter 670B of NRS, a licensee shall develop and implement policies and procedures to:

1. Identify student loan borrowers who are at risk of default;

2. Notify student loan borrowers of the possibility of default;

3. Make reasonable efforts to assist student loan borrowers in avoiding default; and

4. Ensure the licensee has the most accurate and updated personal information of student loan borrowers.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.330 Monthly statement to borrower regarding loan; annual statement to borrower regarding loan interest paid. (NRS 670B.600)

1. A licensee shall provide a monthly statement to each student loan borrower whose student education loans are being serviced by the licensee. The statement must clearly identify:

(a) The student loan servicer and the current holder of the student education loan;

(b) The date of the origination of the student education loan;

(d) The monthly payment amount;

(e) The current term of the student education loan;

(f) The interest rate on the student education loan;

(g) Any interest and fees that were charged since the last monthly statement; and

(h) Any payments received since the last monthly statement.

2. For tax reporting purposes, a licensee shall also provide to each student loan borrower whose student education loans are being serviced by the licensee timely and accurate annual statements identifying loan interest paid during the immediately preceding calendar year.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.340 Requirements regarding application of payment. (NRS 670B.600) A licensee shall apply a payment from a student loan borrower to the outstanding balance of the student education loan of the student loan borrower upon the date on which the licensee receives the payment in accordance with the loan agreement and in a manner that is most beneficial to the student loan borrower.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.350 Requirements regarding allocation of partial payments if licensee services more than one loan for borrower. (NRS 670B.380, 670B.600) A licensee who services more than one student education loan for a student loan borrower shall:

1. Notify the borrower, at least annually, of the manner in which the licensee intends to allocate partial payments across multiple loans in accordance with paragraph (c) of subsection 1 of NRS 670B.380;

2. Provide an opportunity for the borrower to request the allocation of partial payments in a manner other than that which the licensee intends to use; and

3. Adhere to any alternative payment allocation requested by the borrower pursuant to subsection 2.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.360 Payoff statement: Period for provision; contents; fee prohibited. (NRS 670B.600)

1. Not later than 5 business days after receiving a request from a student loan borrower for a payoff statement, a licensee shall provide the student loan borrower with a complete and accurate payoff statement that clearly indicates:

(a) The date on which the statement was prepared;

(b) The total payoff amount of the student education loan;

(d) Any circumstances that could change the total payoff amount.

2. If, in accordance with NAC 670B.310, a student loan borrower has consented to receive electronic communications from a licensee, the licensee may provide a payoff statement to the borrower by electronic means.

3. A licensee shall not charge a fee for providing a payoff statement to a student loan borrower pursuant to this section.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.370 Authority to charge and collect fees from borrowers. (NRS 670B.600) Except as otherwise prohibited by law or regulation, a licensee may charge and collect fees from a student loan borrower if such fees are authorized by the loan agreement between the lender and the borrower.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.380 Requirements relating to provision of information to consumer credit bureau. (NRS 670B.600) A licensee shall:

1. Provide timely and accurate information to a nationally recognized consumer credit bureau;

2. Reasonably investigate any complaint received from a student loan borrower concerning inaccurate information that was reported to a credit bureau within 30 calendar days after receipt of any such complaint; and

3. Promptly correct any negative information previously reported to a credit bureau that is found to be inaccurate after a subsequent investigation by the licensee.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.390 Records: Retention. (NRS 670B.380, 670B.390, 670B.600) A student loan servicer shall retain the following records for a period of not less than 2 years after the date on which the student education loan is paid in full, assigned for collection or transferred to another student loan servicer, whichever is applicable:

1. Any correspondence or communication involving the student loan borrower, including, without limitation, any mail or electronic mail correspondence, records of telephone calls, call notes and communication logs.

2. Any acknowledgment and information provided in accordance with NRS 670B.380.

3. The payment history on the student education loan account, including, without limitation, the date of each payment received, all interest and fees charged and the allocation of payments to the amount of the principal, interest and fees.

4. Any requests from a student loan borrower for an alternative payment allocation in accordance with NAC 670B.350.

5. The complete account history of the student education loan account, including, without limitation, information relating to any accounts transferred to or from another student loan servicer and the dates of such transfers.

6. Any documentation used in determining the eligibility of a student loan borrower for an income-driven repayment program, including, without limitation, the dates of any evaluations for such eligibility and the reasoning behind any decision to place the student loan borrower in an income-driven repayment program or in forbearance or default.

7. The loan agreement between the student loan borrower and the lender of the student education loan and supporting documentation evidencing the obligations of the borrower to the lender.

8. Each contract entered into by the student loan servicer governing the servicing of a student education loan.

9. Any other document, disclosure, notice or release required to be provided or obtained by the student loan servicer pursuant to chapter 670B of NRS.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.400 Required notice of right of borrower to file written complaint with Office of Commissioner. (NRS 670B.600) A licensee shall post a notice of the right of a student loan borrower to contact the Office of the Commissioner regarding concerns or complaints on the home page of the Internet website of the licensee or on a page that is clearly and conspicuously connected to the home page of the Internet website of the licensee by a link that clearly reveals its contents. The notice must be in substantially the following form:

NOTICE OF RIGHT TO FILE A WRITTEN COMPLAINT WITH THE

COMMISSIONER OF FINANCIAL INSTITUTIONS

You may file a written complaint with the Commissioner of Financial Institutions by submitting a signed complaint form to the Office of the Commissioner. The required complaint form can be found on the home page of the Internet website of the Division of Financial Institutions of the Department of Business and Industry at https://fid.nv.gov, or you may request a complaint form via telephone by calling the toll-free telephone number (866) 858-8951.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

ADMINISTRATION AND ENFORCEMENT

NAC 670B.600 Investigation or examination of applicant or licensee: Request for information by Commissioner. (NRS 670B.600, 670B.640) Pursuant to NRS 670B.640, the Commissioner may request any information or documentation that the Commissioner deems necessary to perform an investigation or examination of an applicant for a license or a licensee. Upon such a request, the applicant or licensee shall provide or make available to the Commissioner such requested information or documentation unless the disclosure of such information or documentation is prohibited by any provision of state or federal law.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)

NAC 670B.610 Revocation or suspension of license: Grounds. (NRS 670B.600, 670B.690) In accordance with NRS 670B.690, the Commissioner may revoke or suspend the license of a student loan servicer if the licensee violates any provision of this chapter or chapter 670B of NRS, including, without limitation, if the licensee:

1. Does not allow the Commissioner to conduct an investigation or examination of any books, accounts, records, files, documents, information or evidence, as authorized pursuant to NRS 670B.640; or

2. Fails to pay any required fee or assessment.

(Added to NAC by Comm’r of Financial Institutions by R120-23, eff. 11-15-2024)