Short answer
A supervised lender license authorizes consumer loans above a state's standard rate threshold, under enhanced regulatory oversight. States that follow a supervised-loan framework use it to permit higher rates in exchange for closer supervision and examination. Not every state uses this category, so it depends on where you lend.
Some states split consumer lending into two tiers. A standard consumer lender license covers loans at or below a defined rate ceiling, while a supervised lender license authorizes higher rates with added oversight. The dividing line is the rate you charge, so the same lender can need a standard license in one state and a supervised license in a neighboring state with a different threshold.
Because the supervised category permits higher rates, states usually ask for more financial and management disclosure and examine those licensees more closely. If your product sits near a state's threshold, the rate you set effectively chooses your license. Map each product's rates against each state's ceilings before filing.
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