Date Received: 2023-11-08
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: My Federal Loans have transferred to Mohela. I have always been able to make payment from my checking account to Mohela with no issues prior to XX/XX/XXXX. I was not making regular payments due to the federal pause and have been preparing for the repayment restarting as of XX/XX/XXXX. I was placed on an Administrative Forbearance on XX/XX/XXXX. This is not something I requested and I take issue with Mohela collecting interest for a Forbearance that was not requested by myself. I have attempted to make several payments to Mohela via XXXX XXXX and XXXX time payments. Each time, I receive a message that my financial institution has returned the payment. This is simply not true and my account information has not changed with previous payments being processed with no issue. I would like to make my payments and not face interest penalties for something I did not request. My current XXXX plan payments are {$170.00} and my new monthly payment plan ( as per studentaid.gov ) will be {$630.00}. I received notice that my auto debit was approved and will be debited on XX/XX/XXXX but do not know the amount to be withdrawn or if this auto debit will also be rejected once again. I need to understand the amount to be withdrawn to financially prepare. I have attempted to contact Mohela via telephone with over XXXX hour wait times and have been unsuccessful in speaking with a representative. I sent an email complaint regarding this issue on XX/XX/XXXX and have not received any response.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CO
Zip: 80550
Submitted Via: Web
Date Sent: 2023-11-08
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-08
Issue: Struggling to repay your loan
Subissue: Problem with forgiveness, cancellation, or discharge
Consumer Complaint: I am writing to express my deep dissatisfaction and frustration with the handling of my Public Service Loan Forgiveness ( PSLF ) application and loan consolidation process. On XX/XX/, I submitted my application for PSLF with the understanding that my loans would be consolidated and transferred to MOHELA, as indicated in your communication. Regrettably, the promises made have not been fulfilled. Despite multiple requests for the transfer, my loans remained with the original servicer. Furthermore, it has come to my attention that my servicer failed to correctly account for all my payment credits that should have been included while my loans were in forbearance. This oversight significantly impacts my eligibility for loan forgiveness. Additionally, the COVID forbearance payments, which should have been counted, were not properly applied to my account. These payments, when correctly accounted for, would bring my total payment credits well above the required threshold of XXXX payments for loan forgiveness. I believe that my PSLF application and loan consolidation process have not been handled with the due diligence and care they deserve. The failure to correctly consolidate my loans and properly account for payment credits has put my financial future and my pursuit of loan forgiveness at risk.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NY
Zip: 10466
Submitted Via: Web
Date Sent: 2024-01-08
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-08
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: The information and payments from my student loan were transferred improperly. Mohela is starting my loan from the beginning. I had been paying on my student loan since XXXX before the payment pause. I had the loan adjusted in XXXX. Mohela is stating they did not receive that information. However, when I log in to my account I can see clearly on my loan detail page they have the correct information. They have stated they can not change my loan payments.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: WV
Zip: 254XX
Submitted Via: Web
Date Sent: 2023-11-08
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-08
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: On XX/XX/XXXX. I contacted MOHELA about XXXX loan forgiveness. They stated I had XXXX qualifying payments for loan forgiveness. I recertified and by the end of XXXX my qualifying payments were at XXXX for both loans. When on the phone, a representative said that I could certify for a job I had in XXXX and XXXX. I sent in the paperwork at the end of XXXX and was approved for XXXX more months. One of my loans was forgiven, but the other portion still shows XXXX. Every correspondence, they representatives and the XXXX XXXX XXXX keep starting I am approved for dates XXXX and XXXX. Besides 2 months in XXXX all have been approved, which as my calculations show is XXXX payments. No one will fix my issue. Please help!
Company Response: Company believes it acted appropriately as authorized by contract or law
State: IN
Zip: 46217
Submitted Via: Web
Date Sent: 2023-11-08
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-08
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I am not sure that MOHELA is properly administering the new SAVE repayment plan on my student loans. On XX/XX/2023, when the COVID pandemic forbearance was still in effect, I applied to switch to the SAVE repayment plan. Please see the attached PDF from studentaid.gov. The interest on my student loan was frozen during the COVID pandemic forbearance. My student loan servicer MOHELA processed my SAVE plan request on or about XX/XX/2023, when the COVID pandemic forbearance was still in effect. Please see attached letter from MOHELA. My monthly payments are {$220.00} under the SAVE Plan. My total student loan balance was {$250000.00} on XX/XX/2023, which is the date the COVID pandemic forbearance ended. Please see the attached screenshot. As of today, XX/XX/2023, my student loan balance is {$250000.00}. Please see the attached PDF of my MOHELA borrower portal homepage. Studentaid.gov specifically states : The SAVE Plan has an interest benefit : If you make your full monthly payment, but it is not enough to cover the accrued monthly interest, the government covers the rest of the interest that accrued that month. This means that the SAVE Plan prevents your balance from growing due to unpaid interest. Please see the attached from studentaid.gov. Even when you add my {$220.00} monthly payment to my {$250000.00} loan balance at the time the COVID pandemic forbearance was in effect, my balance should only be {$250000.00}. My balance should increase to {$250000.00} per month at the most and then revert to {$250000.00} after I make my {$220.00} monthly payment under the SAVE plan. While I am certainly not an expert on the nuances of the SAVE plan, MOHELA has failed to adequately explain its practices to me.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: WV
Zip: 25801
Submitted Via: Web
Date Sent: 2023-11-08
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-09
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: **Please disregard my previous complaint XXXX and replace it with this complaint. ** On XX/XX/23, I received a notification via email from Studentaid.gov that I missed a loan payment so on XX/XX/23, I spent 2 hours and 18 minutes on the phone with Mohela until my call was dropped ( 90 % of call was hold time and I never received a callback ). I had attempted to learn why my account had a delinquent status and the representative spent over an hour trying to figure out why before she stated it was an interest balance from a loan in the amount of {$18.00}. I indicated numerous times that I had autopay set up and it paid what I thought was the total balance due ( {$380.00} ). The representative 's response was the same, " it can take one to two months for autopay to become active. '' I originally filed for the SAVE IBR on XX/XX/23 and then sent an updated SAVE IBR on XX/XX/23, both have never left pending status and when it came time for the interest payment to be paid on XX/XX/23, it was paid fully in the amount of {$380.00}, or at least so I thought. I was enrolled in autopay and so my understanding was that my entire payment was made and did not owe anything additional for XXXX. I could not get Mohela to explain why the {$18.00} amount was not included in my autopay pymt. On XX/XX/23, I was on the phone for over 5 hours ( 97 % of time on hold - before they hung up on me without warning ). At one point during my call, the representative stated that I " was in administrative forbearance, '' but later relayed a message from their supervisor that " because my bill was sent on XX/XX/23, the required 21 days notice was provided and I did not meet eligibility for administrative forbearance. '' I did not receive any notification for this bill. I made a request to the customer representative to speak with a supervisor four or more times before I was finally placed on a two hour hold which resulted in Mohela disconnecting the call without notice ( total of over 5 hours on the XXXX call and over XXXX hours in less than 24 hours ). It appears that Mohela made a billing error on my account as they failed to provide a bill in the amount of {$18.00}. The rep I was speaking with on XXXX stated that it should have also been emailed on XX/XX/23 so I asked them to forward me the email but there was no email notification to send. Instead, they emailed me the billing statement with a billing date of XX/XX/23, but they were unable to provide me any verification that it was actually sent to me and I did not receive it. I checked my US Mail Informed Delivery and no mail from Mohela was received within a seven days of XX/XX/23. They also stated that notification should have been sent via secure message but there was no record of it. Finally, they stated that the notice was sent as a secure message on XX/XX/23, which I said that was only one day before my payment was due ( not the obligatory 21 days ) and the representative did not respond. I have been diligently making my student loan payments for many years and made an interest payment via autopay in the amount of {$380.00} on XX/XX/23. It makes zero sense that I would avoid paying {$18.00} which would put my account into delinquency. Mohela has failed to adequately address my concerns and has consumed hours of my life with undue burdensome holdtimes and poor and ineffective communication. I'm afraid that my credit score will be impacted and have also lost faith that Mohela can competently perform any further duties as my loan servicer. Please provide more oversight over this poorly run loan servicer or allow borrowers with Mohela to change loan servicers.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: OR
Zip: 97222
Submitted Via: Web
Date Sent: 2023-11-09
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-09
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: I've reached out XXXX times since XX/XX/XXXX about the status of my XXXX application and have not received a response. Meanwhile, I received notification that money will be withdrawn to make a debt payment. I reached out the following dates without yet receiving a reply : XXXX XXXX XXXX XXXX
Company Response: Company believes it acted appropriately as authorized by contract or law
State: DC
Zip: 20008
Submitted Via: Web
Date Sent: 2023-11-09
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-09
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: In applying for an income driven repayment plan only a small number of my loans were put on the SAVE plan. I was not informed that my other loans were not included on the income driven payment plan. When I got a surprise bill and called to inquire, I was told some of my loans were not included because they were in a grace period when I applied for this income driven repayment plan. I was told I had to apply with LESS THAN 30 days remaining in my grace period for these loans to be considered for the income driven repayment plan. This is contrary to what studentaid.gov states. Student aid.gov states borrowers should apply at least two months in advance of their grace period ending to allow processing of their application. Studentaid.gov also states if the borrower applies too early, the student loan servicer must inform the borrower that they need to approve reapply closer to the end of the grace period. MOHELA did not do this. To rectify this MOHELA had to submit a new application for these outstanding loans, and in the meantime, will put my account on forbearance. This will not prevent interest from accruing, and had the loans been placed on the income driven repayment plan under the save plan I would have zero payment, and the outstanding interest would be covered per the SAVE plan policy.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MN
Zip: 55414
Submitted Via: Web
Date Sent: 2023-11-09
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-09
Issue: Struggling to repay your loan
Subissue: Problem with your payment plan
Consumer Complaint: I applied for income-driven repayment XX/XX/23. I received confirmation from my loan servicer ( XXXX at the time ) that my application went through. I was subsequently transitioned to Mohela for my loan servicer to have my loans placed on the REPAYE and then SAVE plan once it became opperational. I just now found out that only XXXX of my XXXX student loans were actually transitioned to the XXXX plan. The other XXXX loans have continued to accumulate interest ( {$3700.00} ) when they otherwise wouldn't have on the XXXX plan and I now received a bill for a large sum of money that I can not pay with my current income.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MN
Zip: 554XX
Submitted Via: Web
Date Sent: 2023-11-09
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-09
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I am in repayment of my Federal Student Loans. My loan processor is MOHELA. They sent me a bill that showed an incorrect amount due in XXXX of XXXX. I advised them on XX/XX/2023 via web message on their web site of their error and explained that under SAVE payment plan my bill amount should be less as I my spouse repays her Federal student loans under SAVE plan as well. MOHELA acknowledged their error and promised to correct it. In XX/XX/2023 they, nonetheless, sent me another bill showing the same incorrect amount. I sent another web message on XX/XX/2023 to them asking them to correct the amount due. MOHELA ignored my message and as of today, XX/XX/2023, have not responded to my request at all.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NY
Zip: 133XX
Submitted Via: Web
Date Sent: 2023-11-09
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A