SB 426

Enacts new Article 26 to GS Chapter 53 to be cited as the Student Borrowers' Bill of Rights. States the Article's purpose and sets forth defined terms. Prohibits servicing a student loan without a license issued pursuant to the Article. Sets forth seven exceptions to the licensure requirement, including banks and similar savings and loan associations organized under the laws of any state or federal law. Details application requirements and requires applying through the Nationwide Multistate Licensing System and Registry (NMLS) in a form acceptable by the Commissioner of Banks (Commissioner) and verified by attestation of the applicant or a designee. Sets the application fee at $1,500, with initial applicants also responsible for the actual cost of obtaining a credit report and federal and State criminal background checks, as well as processing fees required by the NMLS. Provides for application investigation and abandonment, and establishes six qualifications for licensure. Establishes procedures by which a person seeking to act as a student loan servicer is exempt from the described application procedures upon determination by the Commissioner that the person is a party to a contract awarded by the US Secretary of Education under identified federal law.