Date Received: 2023-04-13
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I have XXXX loans, a subsidized and an unsubsidized loan, that are serviced through Mohela. The balances of the loans are {$94000.00} and {$160000.00} respectively, with the subsidized loan having originated on XX/XX/XXXX. Previously, my loans were serviced by XXXX, but I was transferred to Mohela in XX/XX/XXXX. In XX/XX/XXXX, I submitted an XXXX for processing, which was completed in XX/XX/XXXX, resulting in a payment count of XXXX for both loans. However, in XX/XX/XXXX, I noticed that my counts had increased to XXXX and XXXX. To rectify the discrepancy, I immediately submitted an updated XXXX and contacted Mohela. The Mohela representative explained that the difference in counts was normal and would correct itself when the XXXX was processed. In XX/XX/XXXX, I realized my previous XXXX was incomplete and uploaded a full version. On XX/XX/XXXX, Mohela notified me that my counts had updated to XXXX and XXXX with the new XXXX. I contacted Mohela again to inquire about how to reconcile the counts as I was to that although they were being tracked separately, it was XXXX loan. The representative put me on hold and asked a supervisor, who requested an adjustment that would take two weeks to process. When I called again on XX/XX/XXXX to find out why there had been no change, the agent I spoke with a supervisor who said they could see the difference in the counts and would request a manual review, which would take an additional 30 days. During the call, it was apparent that the manual request had not been put in previously. During the call, I also inquired about the requirement to be employed by a nonprofit employer when discharged. I had previously explained that I might leave my employer and not work for a qualifying employer. The representative initially informed me that it was acceptable, given the XXXX waiver. Based on this information, I gave notice to my employer. However, during the call, I was informed that this was not the case, and I would not receive forgiveness if I were not still employed at discharge, regardless of reaching the threshold. I am now very confused and concerned because I made a decision about my employment based on incorrect information that I received. I need this addressed asap.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CO
Zip: 80601
Submitted Via: Web
Date Sent: 2023-04-13
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-12
Issue: Incorrect information on your report
Subissue: Account status incorrect
Consumer Complaint: Mohela dept of edu has my accounts on credit report with reporting. I spoke to the company and they said Im current until XX/XX/XXXX. My credit is showing delinquent, they are not will to assist with letter showing good standing. Im a single mom trying to buy a house and this effecting me getting approved for any kind of house. Dates XX/XX/XXXX good standing and delinquent. Several accounts that contradict one another. Reached out to the company and they were not willing to help me. Thank you for your time, XXXX
Company Response: Company believes it acted appropriately as authorized by contract or law
State: AZ
Zip: 85268
Submitted Via: Web
Date Sent: 2023-04-12
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-12
Issue: Improper use of your report
Subissue: Reporting company used your report improperly
Consumer Complaint: In accordance with the fair credit Reporting act XXXX, XXXX and XXXX have violated my rights. 15 U.S. Code 1681a.2 15 USC 1681 Section 602 States I have the right to privacy. 15 USC 1681 Section 604 A Section 2 : It also states a consumer reporting agency can not furnish a account without my written instructions. 11.4K 15 USC 1666B : A creditor may not treat a payment on a credit card account under an open end consumer credit plan as late for and purpose.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NV
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-04-12
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-13
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I called Mohela on XX/XX/XXXX ( Representative XXXX XXXX # XXXX ). I asked about my latest Employment Verification Form that was completed utilizing the StudentAid.gov tool and filed electronically. I was told several times that utilizing the electronic form was not an option that it must be signed. This is not the case according to StudentAid.gov where I was specifically told to NOT send Mohela the form since StudentAid.gov will forward it to the server ( Mohela ). The form was sent on XX/XX/XXXX to Mohela and received on XX/XX/XXXX and has not been processed. This should have been a streamlined process. I have heard from several other borrowers that many of the forms are being denied because of LACK OF TRAINING at Mohela. I have contacted Mohela again. No response.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TX
Zip: 765XX
Submitted Via: Web
Date Sent: 2023-04-13
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-12
Issue: Struggling to repay your loan
Subissue: Problem lowering your monthly payments
Consumer Complaint: Case # XXXX. I don't agree with this matter being closed. Please look at the case cited above. Mohela has not reduced my payments to {$200.00} - {$300.00} as requested. The letter they sent did not address this issue. They said on the phone that they could reduce my payment to {$530.00}. This is not affordable. Please continue to work on this as Mohela has not responded favorably to me.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: WI
Zip: 53212
Submitted Via: Web
Date Sent: 2023-04-12
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-12
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I am seeking further information or escalation about why my 501c3 ECF is stuck on " Processing '' after my public school ECF was moved to " Processed '' much quicker and reflected in the Payment History. The employer that has not been Processed as of XX/XX/23 is a registered 501c3, appeared on the FSA Employer Search Tool, but lacked an accurate address. Here is their address : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX. XXXX XXXX, TX - XXXX Processing this ECF/employer is crucial for my Payment History/Count to be accurately reflected ; I believe I will be at or right near 120 payments after this update, and am trying to have PSLF processed before I start a new job in XXXX. Thank you!
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TX
Zip: 77407
Submitted Via: Web
Date Sent: 2023-04-12
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-12
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Mohela is not even processing my PSLF application. They are closing it as a duplicate or canceling it. There isnt a duplicate or at least an approved XXXX so this pushes the processing time even further due to their mistake. I submitted a total of XXXX applications to Mohela, all for different employers, but they appear to only have processed XXXX of them while closing the rest as duplicates. Because of this, I am only receiving XXXX qualifying payments, when I should have close to XXXX qualifying payments. I have attached a copy of the employment applications that need to be added to my account. Please note, my identifying information has been removed for my security but was present when the forms were sent to Mohela. The applications for The XXXX XXXX XXXX XXXX XXXX and XXXX XXXX XXXX XXXX XXXX were provided on XX/XX/2023, along with the application for XXXX XXXX XXXX. The application for XXXX XXXX was provided to Mohela in XXXX. Their website reflects it was processed, but no qualifying payments have been awarded, likely because of the XXXX other missing employment periods. This employment is not showing as approved on my qualifying payment statement.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CO
Zip: 80207
Submitted Via: Web
Date Sent: 2023-04-12
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-11
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: Hello, I hope you are doing well today! I am writing because I am struggling to get any information from MOHELA about my attempt to enter the PSLF program. Under the extension which allowed PSLF applications last year, I put in a request to enter the program and have my service at several universities credited toward the length of service for loan forgiveness. This was some time in the Fall of last year, prior to the XXXX deadline. I eventually got a confirmation that my materials were received on XX/XX/XXXX. I was told at that time that I could expect more information within 90 days. Unfortunately, they have not been forthcoming with any information. At the beginning of XX/XX/XXXX, I had tried accessing their online system repeatedly, to no avail. I then tried to get the information over the phone and found myself faced with a frustrating automated system, which almost seemed to be engineered for the purpose of dissuading an individual from utilizing it. No matter the information I entered or words I said, I would get put into a loop where the system wanted to know what i was looking for, and then asked for identifying info- Which was unrecognized in each and every instance. Finally, after about 15 minutes of struggling with this automated system ( and attempting to trigger a transfer by using words such as " Agent, '' " Human, '' and " Representative '' ), I was connected with someone. While the woman I spoke to was incredibly kind, it seemed that she did not have access to much information, or at the very least, was unwilling to divulge any to me. After providing her with my information she was able to find my request, and informed me that it was being held up for review. Upon asking what the review was for, she refused to provide any information. I asked how long I could expect this to take, and was told I should hear back within a couple of weeks. It has now been over a month and I have not heard from MOHELA. Their phone system remains a kafkaesque nightmare. I was apprehensive about even wasting my time on the PSLF, knowing that previous administrations defrauded those who applied through the program, and I am now wondering if I have wasted my time for nothing. I would be immensely appreciative of anything the CFPB could do to compel Mohela to at least give me some information on what is happening.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MA
Zip: 01970
Submitted Via: Web
Date Sent: 2023-04-11
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-11
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I took out my first student loan as a freshman in XXXX. According to Mohela, I borrowed {$64000.00} in total. Even though I've been paying on these loans for almost 40 years, I still have almost XXXX payments to go, totaling nearly {$45000.00} more. If all the payments I've made were added up since XXXX and that amount was compared to the amount I borrowed, I've surely paid off what I borrowed ( and then some ) and certainly shouldn't have to continue paying until XXXX, which is when my loans are scheduled to be paid off. In addition, my understanding is that student loans should be discharged once someone has made payments for 20 years, which Ive also done. From XXXX until XXXX, my loans were serviced by Direct Loans. I was making payments when I could during this time, in between deferments due to going back to school or financial hardship. My payment was {$310.00} a month, which is all I could afford back then. I've been unable to track down how many payments I made during this period of two decades and for how much, but I know it's in the thousands. In XXXX, my loans were transferred to Mohela ( with the same payment ), who serviced them until XXXX, at which time I did a refinance with XXXX. I would estimate that I made somewhere between {$30000.00} and {$40000.00} in payments during the decade that Mohela serviced my loans. While talking with a Mohela representative recently, I was told that I made over {$12000.00} in payments between XXXX and XXXX alone, but this all went to interest, so my debt actually increased during those years. I was basically throwing my money down a well ( and a lot of it ). During a XXXX phone conversation with another Mohela representative, I was told very directly, " You'll never pay off your loans at this rate. '' This conversation is what led to me doing the refinance with XXXX. I had no choice. The refinance dropped my interest rate from 8.5 % to a fixed rate of 5.47 %, with a monthly payment of {$570.00}. By XXXX, I was in a better financial situation due to advancing in my career, so I could afford a higher payment. The refinance was done at the beginning of XXXX and my payments began that XXXX. The total amount refinanced was {$70000.00}. Remember, I only borrowed {$64000.00}, so the 30 years of payments I had made up to that point did nothing to reduce the amount I owed. Instead, my debt increased by several XXXX dollars. In the last XXXX years alone, I've made over {$48000.00} in payments, yet still owe nearly {$45000.00}. There's no way this is right and I have no idea how its even legal. One of the things that makes this so frustrating and difficult is the fact that my loans have gone from one company to another. Since they're not in a straight line, it's very hard for someone to resolve this kind of a mess on their own. I've spoken with several different people over the years from the Federal Student Aid Department, Mohela, and XXXX. I was told many different things and the explanations I was given are often contradictory. One of the companies will tell you to call another, and that company will tell you to call the first. I feel like I've been running in circles for decades about this. I can't help but become overwhelmed with the feeling that this is incredibly unfair and wrong. Unfortunately, Im not the only person who is drowning in student loan debt due to this type of predatory lending. Someone shouldn't have student loans they took out when they were XXXX still hanging over their heads for over 40 years and continue paying on them well into their XXXX, despite making tens of thousands of dollars in payments, far exceeding the original amount borrowed. If I'm required to make the remaining XXXX scheduled payments over the next eight-plus years, that's exactly what I'll do. I will have paid somewhere between {$120000.00} and {$150000.00} when I only borrowed {$64000.00}. In addition, my loans won't be paid off until XXXX when I'm XXXX XXXX XXXX. Meanwhile, Ill pay off my XXXX, {$120000.00} mortgage in one-third the amount of time itll take me to pay off {$64000.00} in student loans. That's insane. While trying to resolve this, I first reached out to the White House. Ive attached the response I got, which includes references to President Bidens student loan relief plan ( I was a Pell Grant recipient, so Im eligible for the full {$20000.00} in relief ). The response also directed me to the Federal Student Aid website ( studentaid.gov ). In one of my conversations with XXXX, I was also advised to go to that site and file a complaint about my case. I did that on XX/XX/XXXX and received a response on XX/XX/XXXX, which Ive also attached. If my understanding of their response is correct, my loans arent eligible for any kind of federal relief because they were refinanced with a private company ( this is one of the things which contradicts what I was told over the phone ). Of course, when companies like XXXX or XXXX encourage you to refinance your student loans with them in their TV commercials, they dont tell you that. As in my case, you dont find out until its too late. I took FSAs response as being the sorry about your luck explanation, which simply isnt acceptable. Ive also attached a current screenshot from my XXXX account, which shows the details of my loan, including the number of remaining payments and the exact amount I still owe. I first filed a complaint with XXXX on Monday, XX/XX/XXXX, since they are the current loan servicer. They responded later that day and denied my claim. I've also attached their response. Please let me know if there's anything else you need from me. Thank you for your help. I really appreciate it!
Company Response: Company believes it acted appropriately as authorized by contract or law
State: OH
Zip: 43081
Submitted Via: Web
Date Sent: 2023-04-11
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-12
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: They are withholding my voluntary refund. I placed a request in XXXX 2022 and I still have not received my refund after reaching out to them over a dozen times.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: VA
Zip: 23834
Submitted Via: Web
Date Sent: 2023-04-12
Company Response to Consumer: Closed with monetary relief
Timely Response: Yes
Consumer Disputed: N/A