Date Received: 2023-04-01
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: On or about XX/XX/XXXX, I refinanced my student loan, previously held at XXXX XXXX XXXX ( hereinafter XXXX ), through XXXX XXXX XXXX ( hereinafter XXXX ). The remaining balance of the student loan held at XXXX on or about XX/XX/XXXX was {$23000.00}. XXXX issued a payoff to XXXX in the amount of {$23000.00}, resulting in an overpayment of {$150.00}. On or about XX/XX/XXXX, XXXX issued a refund to XXXX in the amount of {$150.00}, the amount of the overpayment. On or about XX/XX/XXXX, I received an e-mail from XXXX stating an overpayment refund in the amount of {$150.00} has been applied to your XXXX loan. In the subsequent weeks, I noticed the overpayment refund had not been applied to my XXXX loan. On or about XX/XX/XXXX, I submitted an inquiry through the XXXXMohela online messaging portal regarding the discrepancy. On or about XX/XX/XXXX, I received a reply from Mohela through the online messaging portal stating, in relevant part, Our Accounting Department stated that your lender ( XXXX ) requested the payment of {$150.00} that was posted on your account effective XX/XX/XXXX be removed on XX/XX/XXXX. We are not certain as to why, so we have submitted a lender review request to XXXX to inquire. Approximately two weeks passed without a resolution or response ; therefore, I submitted another message through the online messaging portal inquiring about a status update. On or about XX/XX/XXXX, I received a reply from Mohela stating they would follow-up with XXXX. On or about XX/XX/XXXX, I received a message through the online messaging portal from Mohela stating, in relevant part, XXXX responded with the following : The refund check from XXXX in the amount of {$150.00} that was received on XX/XX/XXXX was returned on XX/XX/XXXX per their request. XXXX stated they are unaware of a specific reason for this request, but suggest that you reach out to XXXX for this detail. After receiving the reply from Mohela on or about XX/XX/XXXX, I contacted XXXX and spoke with a representative. XXXX stated they never requested that the funds be returned. Additionally, they stated that their records showed the payment was negotiated by XXXX and cleared their bank. I then contacted XXXX and spoke with a representative. The XXXX representative stated the funds were sent back to Mohela on or about XX/XX/XXXX. Additionally, they stated it can take up to 10 days to appear on my account. Approximately two weeks passed without resolution and the funds were not applied to my account. On or about XX/XX/XXXX, I submitted another message through the online messaging portal inquiring about the status of the funds. On or about XX/XX/XXXX, I received a reply from Mohela stating, in relevant part, As previously stated the funds were requested to be returned to XXXX on XX/XX/XXXX and were returned on XX/XX/XXXX according to the message received from XXXX. We have forwarded your message today to XXXX and will respond to you once we have a response from XXXX. On or about XX/XX/XXXX, I received a message from Mohela through the online messaging portal stating, in relevant part, Per XXXX : The payment was removed because XXXX placed a stop payment on the check. We had to process a reversal of the payment since the funds didnt settle. I subsequently contacted XXXX to inquire about the stop payment on the check and spoke with a representative. XXXX stated they did not stop payment on the check and confirmed that the check was negotiated by XXXX. Additionally, XXXX provided me the image of the check negotiated by XXXX. I then contacted XXXX again with this information and spoke with a representative. The representative provided no resolutions and said they would follow-up with me at a later date. To date, I have received no resolution to this issue and the {$150.00} owed to me has not been applied to my XXXX loan. On or about XX/XX/XXXX, I mailed a letter to XXXX including the exact details laid out above. I also provided them a copy of the negotiated check that I obtained from XXXX. In the letter, I requested resolution of the issue by XX/XX/XXXX and notified them of my intent to file a complaint with CFPB if no resolution was received by that date. To date, I have received no acknowledgement or reply to my letter. On XX/XX/XXXX, I submitted another message through the Mohela messaging platform again requesting resolution of the issue and notifying them that I am filing a formal complaint with CFPB regarding this matter. Based on the documentation provided by XXXX showing that the funds were paid to XXXX and the check was negotiated by XXXX and based on the lack of documentation offered by XXXX and Mohela to contradict this information, I am left to surmise that either XXXX or Mohela misappropriated these funds. While the amount of funds in my particular situation are not substantial in an isolated context, I'm left wondering how many other borrowers have experienced the same thing and have either not noticed or have been exhausted with the process of trying to get it resolved. If this is a standard occurrence, with the number of borrowers I can only imagine that XXXX and Mohela service, the amount of misappropriated funds would no doubt be substantial to the benefit of XXXX and/or Mohela.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: IL
Zip: 60169
Submitted Via: Web
Date Sent: 2023-04-01
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-01
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: Timeline for PSLF : XX/XX/XXXX - submitted my final employment certification form for public service loan forgiveness as I made my XXXX payment in the month of XXXX. This was sent to XXXX. XX/XX/XXXX XXXX notification from XXXX that I made XXXX qualifying payment for PSLF. XX/XX/XXXX XXXXtransferred to MOHELA as my loan servicer and was instructed that the transfer to a new servicer would not impact the timeline for forgiveness. As of this date ( XX/XX/XXXX ) - I have not received student loan discharge/forgiveness. I have any communication about discharge/forgiveness. I have received no communication at all about anything. I have called MOHELA multiple times asking them to verify that the process is moving along but then have never been able to verify this. At first, MOHELA said " you should hear something by the end of XXXX. I called in XXXX and informed them I've seen zero communication. They said I should hear something by XXXX at the latest. I called in XXXX, again due to zero communication. Now they don't give me a timeline. They say call the Department of Education. I call the Dept. of Educaiton which leads me right back to MOHELA. According to my " federal student aid '' website, it has showed XXXX payments for several months. MOHELA 's website has showed XXXX payments for several months ( since early XXXX ). Why is MOHELA not moving this process along as they should? No one from MOHELA will answer this question. I've spend countless hours of my life on hold to reach out to them for answer and/or written verification and they've refused every attempt. Now it is XXXX, and I've heard nothing and they still can't tell me anything when I call about the issue. Other individuals on PSLF submitted their PSLF months after I did and have already received forgiveness. I have submit an employment certification form every year as instructed and I consolidated all of my loans into a XXXX XXXX in XXXX. I've done everything by the book. The only document I can upload is a screenshot of my MOHELA online account because I have received no communication at all.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: PA
Zip: 180XX
Submitted Via: Web
Date Sent: 2023-04-01
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-01
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: My loans were forgiven under the Public Service Loan Forgiveness Program while they were still with Federal Loan Servicing. However, while my loans were discharged, I never received a forgiveness letter, or a forgiveness date. My account was then transferred to Mohela, which is now handling the Public Service Loan Forgiveness Program. Whenever I call Mohela, however, I am given the run-around that told that they do not have my account because I was already given forgiveness. It is true that I have had my loans forgiven. HOWEVER, I did not receive an accounting of overpayments I made on my loan. I should have about 180 loan payments, while only 120 are required for forgiveness. Therefore, I have about 60 overpayments that should be returned to me. I finally talked to someone at Mohela who understood the problem, and she created a case for me to research whether I made any overpayments and whether any money was due back to me. The case number is XXXX XXXX, and I have a reference number of XXXX XXXX. Whenever I try to call Mohela for an update, I get a run-around and then I get cut off. I have been unable to get anyone to give me an update of my case.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MD
Zip: 20906
Submitted Via: Web
Date Sent: 2023-04-01
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-31
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Hello, I am writing to express concern about PSLF payment counts incongruences, Mohelas unresponsiveness to me, unwillingness to correct their mistake, and everchanging reasoning for a differing loan count upon inquiry. My loans have been on the same repayment schedule since my graduation in XXXX. As such, my qualifying PSLF payments have consistently reflected this. However, my loan payment count has changed with Mohlea without given reason. Specifically, loans 1-5 on my account are listed as having 112 qualifying payments ( 5 needing employment certification ) and loan 6 lists 110 qualifying payments ( 5 needing employment certification ). I have contacted Mohela 6 times about this incongruence ( 3 times by phone and 3 times by email ) and have been provided 3 different reasons as to why my payment count is differing between my loans. I am writing to request the assistance of the Consumer Financial Protection Bureau to hold Mohela accountable for the inaccuracies in my payment count and to ensure that all 6 of the loans reflect the 112 payments I have made while working fulltime in public service. On XXXX I called Mohela PSLF Support at XXXX. I initially spoke to XXXX. I explained the inconsistencies in loan count. Was then transferred to XXXX who stated I appeared to have an in-school deferment for loan 6 for XXXX and XXXX of XXXX. I shared that I did not have a deferment during this period and was working full time. Was then transferred to XXXX XXXX who was accompanied by a trainer on the phone ) She reviewed My Fed Loan information received from this previous server. Stated that 1/2 of the page sent from My Fed Loans was missing and did not show all completed payments. She stated she would submit a request for review of all payments. She asked for EIN for XXXX XXXX XXXX, which I provided. I shared with XXXX that I have documentation from My Fed Loan XXXX XXXX XXXX XXXX and XXXX company approval and PSLF counted payments for XXXX, and that I can provide this information. Was placed on hold for 30 minutes, then the call abruptly ended. On XXXX I uploaded documentation from My Fed Loan which demonstrated I made payments on loan 6 in XXXX and XXXX of XXXX. I requested a recount of my qualifying payments be completed and that all of my eligible payments were reflected in said count. I received a response on XX/XX/XXXX stating that a supervisor would call me to discuss the issue within 72 business hours. I was never called. On XX/XX/XXXX I wrote to Mohela stating that I had not been contacted by a supervisor. I received a response saying I would be contacted within 72 business hours. On XX/XX/XXXX I called to request to speak with a supervisor. I initially spoke to XXXX who ignored my request to speak to a supervisor. She investigated my loan account and told me the reason my XXXX & XX/XX/XXXX payments do not count on PSLF is because the payment update request I submitted to My Fed Loan in XXXX listed my XXXX XXXX XXXX and XXXX employment end date on XX/XX/XXXX, but the document was signed on XX/XX/XXXX. Again, I referred to the documentation I submitted from MyFed Loan stating my loan payments from XXXX qualify for PSLF via my full-time employment with XXXX XXXX XXXX and XXXX XXXX She stated this document is not adequate and I need to submit documentation from XXXX XXXX XXXX and XXXX that is singed the last day of my employment with that company. I then asked to be transferred to a supervisor. I was then on hold for 40 minutes before calling back and asking to speak with a supervisor. I initially spoke to XXXX, who stated she was transferring me to a supervisor. I then spoke to XXXX, who shared she was not a supervisor. I asked to speak to a supervisor. I was then placed on hold for XXXX minutes at which point I had to hang-up to attend to my work at a childrens hospital. In summary, I have been told loan 6 has a differing payment count because of an in-school deferment, because only the page of verification came from My Fed Loan was missing, and finally because the date a payment update request that I sent in XXXX was allegedly incongruent. This appears to be bureaucratic incompetence at best and volitional corruption at worst. I need the assistance of the CFBP to communicate with Mohlea and have my PSLF payment counts reflect the time I have worked full time. Thank you.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: OR
Zip: 97223
Submitted Via: Web
Date Sent: 2023-03-31
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-31
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Consolidated loans in XXXX. Working for PSLF-qualifying employers since then. Reached 120 eligible payments in XX/XX/XXXX. Loans previously services by XXXX, transferred to Mohela in XX/XX/XXXX, with payment counts gradually updated to the account. As of XX/XX/XXXX, account reflected >120 eligible, 110 qualifying. I submitted my last ECF form on XX/XX/XXXX to certify the last 10 months of employment and apply for PSLF. On XX/XX/XXXX the form was processed, but my payment counts were not updated. I called Mohela customer service on XX/XX/XXXX and was informed that the form was processed and that my payment counts will update, but that it could take up to 30 days. She stated that I just need to " be patient '' and I will receive a letter when the payments are updated to reflect the form. On XX/XX/XXXX, I received a letter from Mohela stating that I am not eligible for PSLF. The letter stated that I had the same 110 qualifying payments. The same letter listed the end date for my current employer as XX/XX/XXXX, which is the date I submitted a prior ECF for this employer ( in other words, the XX/XX/XXXX form is still not reflected ). I called Mohela again XX/XX/XXXX and was told by the representative that the form was approved and had the correct dates, so my payments will update within the next few weeks and the loans will automatically be sent to Dept of Ed for loan discharge at that time. They stated that process will take an additional 90 business days before they get approval from Dept of Ed, then an additional 90 business days before the loans are fully forgiven and cleared from Mohela site. Today ( XX/XX/XXXX ) I logged in to the Mohela chat feature because I felt I should get this information in writing. This time I was connected to XXXX, who informed me that the XX/XX/XXXX ECF was actually NOT approved and that is why my payments are not showing as qualifying. She also stated " however I do not see anything wrong with the application '' and will submit the form to a supervisor for review, which will take up to 14 days to process. I asked how to follow up with the supervisors directly, and was told to wait and I will receive a notice when the review is complete. At this point, I have worked in public service and made income-based payments for over 10 years. I have been eligible for loan forgiveness for 5 months. I submitted appropriate documentation almost 3 full months ago to satisfy requirements for loan discharge. After taking 2 months just to process the form, they gave me false reassurance twice about the processed form that further delayed my application by an additional month ( 2 weeks since being processed with zero communication that the form was actually rejected until I logged into the chat today, an an additional 2 weeks for supervisor review ). Even the XX/XX/XXXX letter does not state that the XX/XX/XXXX form was rejected.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NY
Zip: 10543
Submitted Via: Web
Date Sent: 2023-03-31
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-31
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: This is my third time submitting this follow-up. Mohelas response to my first CFPB request did not answer all my questions. I submitted a second complaint so that I could receive answers to the questions that Mohela chose not to address in their first response. However, that request was not completed. As mentioned in my first complaint, I have called Mohela ( calls are recorded as necessary ) and I received multiple different answers from multiple people. I would like a written response on why interest was added to my account, despite having 0 % interest right now. I have paid all my bills on time before the student loan pause and there was no interest accruing during that time. As mentioned in my original complaint, one person from Mohela ( via documented phone call ) has claimed this is interest that I accrued during the pandemic, another has said Mohela is charging me for requesting the refund, and a third said they don't even know. I would like a clear, written response to this request. Im not sure why my second request to clarify this issue was denied and not processed. It does not even appear in my CFPB dashboard of requests anymore. This is my third request. The first complaint number is XXXX. The second complaint number is XXXX.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NJ
Zip: 07016
Submitted Via: Web
Date Sent: 2023-03-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-31
Issue: Incorrect information on your report
Subissue: Public record information inaccurate
Consumer Complaint: Upon receiving a loan discharge of {$26000.00} letter for borrow defense fund. Again I only borrowed {$26000.00} which is still on the MOHELA account. This is fraudulent and my student loans still have not been discharged per borrower defense letter under the Sweet v. Cardona Settlement
Company Response: Company believes it acted appropriately as authorized by contract or law
State: AL
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-03-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-30
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I believe Mohela has mishandled my student loans and my eligibility for the Public Service Loan Forgiveness Program. They have erroneously denied and/or processed my PSLF application incorrectly. Mohela did not process my PSLF application for my current employer. 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 have attached a copy of my application below. The identifying information has been redacted for my security but was present when faxed to Mohela.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: PA
Zip: 17036
Submitted Via: Web
Date Sent: 2023-03-30
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-29
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: My student loans were transferred to Mohela last year. I have been working in public service since XXXX and have made qualifying payments for years. Prior to Mohela, my loans were held by XXXX then XXXX. I was enrolled in XXXX and XXXX, working full time, and making qualifying payments. Furthermore, I was told that the COVID relief program meant that each month of relief would also count as a qualifying payment. My qualifying payments should be XXXX, but on XX/XX/XXXX -- 6 months after I submitted my paperwork -- I was notified that I have only 13 qualifying payments. I have tried to contact MOHELA customer service and was on hold repeatedly, then told that I need to call back another day. I asked why someone couldn't call me back and I was told that they had too many calls, which makes no sense. They are a financial company and surely are able to take a message and call a customer back. I feel mistreated and defrauded. Any help you can provide would be great. Thank you.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CA
Zip: 94110
Submitted Via: Web
Date Sent: 2023-03-29
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-04-03
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I called multiple times in XXXX of XXXX and XXXX of XXXX to request student loan payment refund for payments made during the XXXX pandemic. They did not submit the request to the treasury department until the 3rd time I called during this time period and they did not submit the request for payments made from my previous servicer until XXXX of XXXX. I had not submitted any student loan payments to Mohela and it is now XXXX of XXXX and I still have not received any refunds for the payments I made during the XXXX pandemic and Mohela has consistently given incorrect timelines for when I was to receive payments and lied multiple times about when they had submitted the request to the federal government. This had resulted in loss of income that I could have potentially made on the refund payments while the payment pause is in effect.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CA
Zip: 92122
Submitted Via: Web
Date Sent: 2023-04-03
Company Response to Consumer: Closed with monetary relief
Timely Response: Yes
Consumer Disputed: N/A