Date Received: 2023-08-22
Issue: Struggling to repay your loan
Subissue: Can't get other flexible options for repaying your loan
Consumer Complaint: I have consolidated all of my loans & they are now with MOHELA from Direct Loans. I went to XXXX XXXX as well as XXXX XXXX. I was offered forbearance multiple times & have been on it for years now. I spoke to someone that I was referred to from my teachers ' union, XXXX XXXX XXXX, & I was told by one of their representatives that my situation looked like something called forbearance abuse. He advised me to reach out to the Ombudsman Group & I did so. My case number with them is XXXX. I reached out to them periodically only to be told they were " still investigating '' or that I should fill out a PSLF Reconsideration which I also did. I am not sure what is going on but I am afraid that since this has gone on now for so long that it will be really bad once XXXX rolls around. I need someone to reach out to me & maybe make an appointment to speak because I am very very concerned. My email is XXXX & my mobile number is ( XXXX ) XXXX. If someone can please help I would appreciate it. Thank you for your help.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NY
Zip: 10512
Submitted Via: Web
Date Sent: 2023-08-24
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-22
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I have asked MOHELA several times why certain periods of deferment/forbearance are not counting toward my PSLF forgiveness count. MOHELA is saying I am 8 payments short of forgiveness, but I have submitted employment certification ( which they have approved ) for the following dates that are not being counted. The missing months are XX/XX/XXXX through XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXXXXXX through XX/XX/XXXX. That is nearly 30 payment periods when I was certified working in public service they are not counting even though the rules of of the PSLF waiver which I applied for. I can not get an answer from then on why these payments are not counting. I need an answer.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NC
Zip: 28804
Submitted Via: Web
Date Sent: 2023-08-22
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-22
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Summary of complaint : I received incomplete and misleading information about the new SAVE repayment plan. This misinformation resulted in early recertification of my income, which will result in repayments 12 months sooner than would have been required on my previous plan ( totaling more than {$3000.00} in additional payments ). I requested a reversion of my repayment plan back to its previous state prior to payments resuming, which MOHELA has denied. I believe I am entitled to the benefit of delayed income recertification that has been extended to all other borrowers previously enrolled in the same plan as I am now. Details : I initially signed up for Income Based Repayments with XXXX in XXXX just after graduating school. At this time, my income was {$0.00}, and therefore my monthly payments ( regardless of the COVID payment pause ) were {$0.00}. I continued on this plan until XXXX of XXXX, at which point I read about the benefits of the SAVE plan ( see screen shots below ). FSA and MOHELA advertised this plan as a way to save money on monthly repayments, so I submitted an application to change to the REPAYE plan, which would become the SAVE plan in XX/XX/XXXX. During this application process, I was asked for my adjusted gross income from my most recent tax return ( NOTE the application threatens fines or legal action if this is not provided - it does NOT mention that this will be used for early income recertification for borrowers already on Income Driven Repayment plans ). I entered this number as {$61000.00}. I was NOT informed that by entering this number, my income would be re-certified EARLIER than the FSA deadline ( please see screen shot below from FSA 's website detailing that recertification dates have been delayed by one year ). What I had unknowingly done by applying for the SAVE repayment plan ( that was ironically promoted to reduce borrowers ' monthly repayments ) was prematurely recertify my income a year before it was officially due. This was not discussed anywhe re in the application, nor on either MOHELA or FSA 's websites. My monthly payments went from being {$0.00} through at least XXXX of XXXX, to {$230.00} starting XX/XX/XXXX. As soon as I realized what had happened, I contacted MOHELA to either cancel my entire SAVE application, or at the very least cancel my income recertification. Screen shots of their response has been included below, but effectively they declined to do either. I replied stating that their SAVE application was misleading, and that I had spoken to both a financial advisor and legal counsel who both advised me that I should be eligible for a reversion back to my previous plan and income. They did not reply to this message for 3 weeks. While awaiting their second reply, I called MOHELA to discuss that I had not been provided sufficient information to understand the effect changing from IBR to SAVE would have on my income recertification. I once again requested cancellation of my application and reversion back to my previous income certification of {$0.00}. I spoke to XXXX ( ID # XXXX ) who was unable to help me directly with this request, but attempted to get me in touch with a supervisor. After 3 attempts to get his supervisor on the line, he told me he had spoken to her ( her name was XXXX, he was unable to provide a last name ). She told him she would submit a request to revert my plan AND income back to its previous state. He confirmed this to me twice before the phone call ended. On XX/XX/XXXX, I finally received an online reply to my message response discussed above. MOHELA once again refused to cancel or revert my income recertification stating " We are unable to revert your payment plan back to a prior plan once your application is approved ''. I believe I am entitled to either a reversion back to my previous plan at my previous income certification of {$0.00} OR simply just a cancellation of my income recertification until it becomes due again in XX/XX/XXXX at the EARLIEST ( see FSA screen shot below ) for the following reasons : 1. Nowhere on the REPAYE/SAVE application is early income recertification discussed. Please see attached screen shot. You are required to provide your most recent AGI, but you are not told that supplying this will result in early income recertification. 2. Borrowers already enrolled in REPAYE are not being made to recertify early, despite their plans being automatically being transitioned to SAVE. There should be an option for borrowers to change plans WITHOUT forced income recertification before it is officially due. I believe this to be an intentionally deceitful practice with the aim of tricking borrowers into recertifying prematurely. 3. I have spoken to colleagues and classmates who have successfully had their income recertifications cancelled by MOHELA after they realized they recertified prematurely. I believe I should be afforded the same. 4. I was already enrolled in an income driven repayment plan prior to applying for REPAYE/SAVE. As such, it makes entirely no sense that I would voluntarily apply for {$230.00} monthly payments if I had already been aware that my payments would have continued at {$0.00} through XX/XX/XXXX. The only way in which this could happen is if the SAVE plan was misleading or lacking information to make an informed decision.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: ID
Zip: 83706
Submitted Via: Web
Date Sent: 2023-08-22
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-23
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I enrolled in REPAYE income-driven repayment plan for my federal student loans on XX/XX/XXXX. I recertified this repayment plan on XX/XX/XXXX as is required on an annual basis. The Federal Government transitioned all borrowers enrolled in the REPAYE plan to the SAVE plan, therefore, my loans are now enrolled in the SAVE repayment plan. Per this plan, my monthly payments should be calculated based on my adjusted gross income from the most recent tax year at the time of recertification. I recertified in XXXX, therefore, my monthly payments should be calculated based on my XXXX annual gross income of {$5100.00} and amount to $ XXXX. My loan servicer, MOHELA ( A Dept of Education servicer ), has erroneously calculated my monthly payment beginning XX/XX/XXXX to be $ XXXX. This is incorrect. I called MOHELA customer service today, XX/XX/XXXX, to inquire about the basis for the monthly payment. The representative could not justify the monthly payment calculation nor did the representative recalculate my monthly payment correctly. I was directed to re-enroll in SAVE, however, I am already enrolled in this plan.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: PA
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-08-23
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-23
Issue: Dealing with your lender or servicer
Subissue: Need information about your loan balance or loan terms
Consumer Complaint: My student loan was discharged in full on XX/XX/2023 by the Department of Education and I received a letter to that effect, but my servicer Mohela has refused to discharged my loan or refund the total amount I paid to all servicers of my student loans from XXXX XXXX.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CO
Zip: 80015
Submitted Via: Web
Date Sent: 2023-08-23
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-22
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: I submitted my student loan forgiveness application in XX/XX/XXXX. They did not confirm receipt of the processing of that application until XX/XX/XXXX. Despite repeated outreach attempts and complaints in XXXX and XXXX of this year, they have still not finished processing the application. Instead of providing valuable information, they continuously send repeated responses citing an unprecedented amount of applications that they have to process. It has been over 6 months in which they have had the necessary information to process my application and they have not. I am already nearing the point of having to recertify again without the original request being processed because of the duration they've had these materials. Payments are to resume in a month and without accurate information as a result of the processed application I am still expected to make payments and failure to do so will result in a penalty. This student loan servicer is not new to processing these applications and should have been well aware of what to expect when they took over the service of these loans from the US Dept of Education. They are ill-prepared and ill-equipped to handle these applications and do a disservice to their customers with a lack of efficiency and lack of effective communication.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CO
Zip: 80249
Submitted Via: Web
Date Sent: 2023-08-22
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-21
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I sent this letter and received no response. These loans keep getting transferred without my knowledge, approval, or consent. These loans have been reporting on my credit report for over 7 years hence they should have been deleted. I have received no documentation verifying these debts. I have been harassed via email and phone about payments. My cease and desist request has not been adhered to.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MD
Zip: 212XX
Submitted Via: Web
Date Sent: 2023-08-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-21
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: I am eligible for Public Service Loan Forgiveness. I am a XXXX who has worked at XXXX XXXX XXXX XXXX full time since XXXX. In order to get the PSLF I first consolidated my loans with Mohela, as required. Then, I filled out Mohela 's online application. My application was not accepted. So, I submitted a paper copy, which was accepted. After waiting a long time I received a letter telling me that XXXX XXXX XXXX government EIN number was in their database as a for-profit business. They asked me to submit a letter from my employer stating the name of the XXXX, that it is a non-profit, how long I have worked there, and giving the EIN number. I submitted the requested letter by uploading it to their website. I followed their exact directions regarding where to upload it. I received a denial letter again. When I called them they told me I had uploaded it to the wrong place. So, I uploaded it again. Today I received an email saying that my EIN number is not eligible, and that they need a letter from my employer ( the same letter I already uploaded twice ) or a W2. I uploaded the W2 and called them. I am now taking to a supervisor who is escalating the application, but I have no faith in the process as they seem unwilling to research the EIN number themselves, and I have no idea how to prove that XXXX XXXX is a non-profit other than by the means I have already employed. My manual application was processed on XX/XX/XXXX. Since then, I called them on XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, and today XX/XX/XXXX. Each time I call they tell what I need to do and then say it will take up to 30 days to process. Now they are escalating my case, but also telling me that it could take up to 30 days to resolve, and in the meantime loan payments resume on XX/XX/XXXX. I should not have to pay them anything as I have been trying to have this taken care of since last XXXX.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NY
Zip: 12603
Submitted Via: Web
Date Sent: 2023-08-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-21
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: mohela FSA XXXX not crediting pslf covid and other credit to loan wrong number of payments not refunding due money not properly crediting loans for borrower defense first borrower defense app XXXX XXXX schools numerous apps since then claim they dont have first XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX emails chats no resolution falsehoods and excuses
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MO
Zip: 650XX
Submitted Via: Web
Date Sent: 2023-08-21
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-21
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I applied for the PSLF and received a letter from XXXX Dept. of Education, on XX/XX/2021, that they received the form and the second page stated my loans " Are being transferred for PSLF eligibility confirmation, " further stating that they " Reviewed my PSLF certification and application form and based on my employment and other information ( we ) determined that ( you ) have eligible loans and ( your ) employment qualifies for PSLF and that ( they ) do not know yet whether I had made the 120 qualifying payments to be eligible for forgiveness ( note I have a copy from my servicer ) of all my payments and have over the required amount ) to be eligible for forgiveness, and that before ( we ) can determine if ( you ) are eligible for forgiveness ( we ) must transfer all ( your ) US Dept. of Ed owned loans from ( your ) current servicer to us. '' I have been waiting for those transfers and any information. I never received information form servicers tehy had my loans, and calling Dept, of Ed, Mohelia, and XXXX has been a nightmare. I am unable to log onto Mohelia becasue XXXX now has my loans, which should have gone to Mohelia, and XXXX said I needed to talk with Mohelia. Mohelia told me they don't have them. I received an email my student loans are coming due ( despite I applied for forbearance while my PSLF was being forgiven. I filed a complaint with the Dept. of Education who responded in an email that they " ... were not able to locate ( my ) application on Mohelia 's status center '' and that " We recommend that you submit a new application to be sure your information is fully processed ''! further, it would take approximately 30 calendar days then take another 60-90 days from the date ( my ( PSLF form is approved. It was already approved back in XXXXXXXX XXXX XXXX I have the account number assigned to my Dept of Ed XXXX 's letter dated XX/XX/2021 but I have not been able to reach Mohelia ( and now the Dept. of Ed XXXX 's Loan Discharge and Forgiveness '' department by phone to provide the account number assigned to my PSLF form that they received it and determined through my employer I am eligible, etc. I have a copy of all my on-time, never late payments from my loan holder/servicer with their letterhead on it of all my payments since XXXX that I can provide.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: OH
Zip: 454XX
Submitted Via: Web
Date Sent: 2023-10-02
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A