Date Received: 2023-03-03
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: I am asking that Mohela begin start a good faith processing of my student loan forgiveness request. I originally submitted my application on XXXX, with a hand signature, as required. I have had constant difficulties with both Mohela and the prior loan servicer getting any work or progress on my application. When I call to check progress, I have always been told, including by Mohela, that I have provided all I need to provide and nothing else is required, but there has been no progress on processing my application since it was transferred to Mohela on XXXX. The transfer was completed by XXXX... but I grew concerned that Mohela never noted online my originally submitted documents. I called Mohela and was assured that they had all they needed but, To err on the safe side, I re-uploaded my application and employment verification to make absolutely certain Mohela had what was needed. I additionally sent a customer service message to them on XXXX to explain what I submitted and how to reach me easily if any additional information was needed. I received no response until XXXX and that message contained no useful information, advising me only to call customer service. Each call to customer service results in a 1-2 hour hold with, at the end of the hold, no information being given in response to even the most basic questions. I today received a letter from Mohela stating that some form I submitted, as well as a form submitted by my employer, was improperly signed. The form is not attached and there is nothing to identify which forms are at issue, or how they are defective. My employer has submitted MULTIPLE forms to the PLSF program and called once, after being on hold to hours, to verify my employment. Mohela 's letter directs me to submitted a correction on an enclosed form, but no form was enclosed. I no longer wish to call Mohela, be placed on hold for multiple, only to be connected to someone who can not provide any information.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: KY
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-03-27
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: I consolidated my loans to work towards PSLF and they were transferred to MOHELA on XX/XX/XXXX. I received two separate notices from MOHELA on XX/XX/XXXX both claiming that my employers had not provided signatures or that the signatures were not in the proper form. In their communication, MOHELA did not identify which employers were the cause of the issue or what the proper signature format entailed but nonetheless directed me to go to my employers, obtain the proper signatures in the proper format, and resubmit. However, I had already checked on the possibility of PSLF with my old serviced ( FedLoan ) and the missing/improper signature was already a known issue for at least one employer. Thus, when I consolidated and resubmitted the PSLF paperwork I ticked the box indicating that I would have difficulty getting signatures/my employer would refuse to certify. This put the responsibility of obtaining the signature in the proper format on MOHELA. To my knowledge, MOHELA has not called any of my employers or requested any corroborating information ( paystubs, W2s, etc. ). I would also like to add that it has taken MOHELA nearly nine months to even get this far ( a total of 272 days ). The process of checking for a wet-ink signature or appropriately formatted e-signature should only take a matter of seconds, even if done by hand and not using an automated system. Tracking down employers and getting them to submit proper signatures could take more time, but nothing anywhere near nine months. It is unclear if MOHELA did contact the employers but, assuming they did and the employers still did not submit a proper signature, that further implicates MOHELA in failing to follow Department of Education procedures for servicers of student loans. Borrowers should not be responsible for MOHELA 's failure to clearly communicate, nor should borrowers be expected to have any leverage over employers than MOHELA does. Indeed, because adverse interactions with HR can jeopardize further employment, borrowers have arguably much less leverage.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: ME
Zip: 040XX
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: MOHELA is unable to answer phone calls or messages through their message center. I believe they may have broken a law regarding reinstatement of a law without my signature. I have asked several times if they got a judge to sign off on the reinstatement. Over the phone I was told that the law does not apply to student loans. I have reached out several times via messages and have gotten no response. Currently, I have two loans with MOHELA one is my true current loan and the other is leftover money that was generated and reinstated by their mistakes. Following a previous complaint we had agreed to backdate any payments I made on the first loan so that it would waive all interest. We have had some snags with that arrangement. First, it took over a month to iron out any details. Then, there was an issue with changing the date on it and it would charge me late fees and weird things. Lastly, a condition of this plan is that I have to call to have any payments backdated. I am allowed to call about several payments at a time, but my issue is that I do not trust the company to honor this forever. Their lack of responsiveness and my previous experience calling them, lead me to believe that if the 1 person at the company who was able to help me leaves I'll be back to square XXXX. For this reason, I no longer want to be held responsible for loan that their mistake generated. I feel like this company is incompetent and will not be able to provide adequate loan services to me in the future. I am fully willing to repay the full amount of my true current loan, as of XX/XX/23 {$20000.00}. Please help me deal with the situation. MOHELA is entirely unhelpful, and I need representation. If the CFPB is not able to provide me with this kind of support please tell me who would be able to provide it.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: PA
Zip: 18966
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I requested a refund of voluntary payments made during the pandemic in XX/XX/2022. I was told that they could not provide me with a confirmation number or any specific details about my request, however they did provide me with the amount coming back to me. It is now XXXX, and I still havent received anything. Was told today this shouldnt take longer than 60 days and asked if I wanted to be transferred to resolutions. Have been on hold with them ( is this a real department?? ) for XXXX and counting. I understand MOHELA is getting the bad end of the student loan reform deal but they need to process these refunds for voluntary payments made in a timely manner. This is a federal program and MOHELA needs to adhere to the rules.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: KY
Zip: 40207
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: The complaint is against Mohela, the federal student loan servicer. I have made 120 qualifying payments to qualify for public service loan forgiveness. 115 of these payments have been previously certified. I submitted my paperwork for forgiveness on XX/XX/2023. They estimate a 90-180 business days for processing time, which is about 7-8 months. They freely admit it takes only a couple days for the agents to process the paperwork, but they dont have enough agents to process the paperwork. The wait time to have my paperwork assigned to an agent is 90 business days, and then it could take them another 60-90 business days to get approval from the department of education. These delays are unacceptable for straightforward paperwork processing. Whats more, due to student loan forgiveness requirements, I have to be at my qualifying employer at the time the loans are discharged, which means that I am not free to change jobs at any point during this long wait time, lest I risk not qualifying.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: WA
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I have submitted CFPB Complaint # XXXX, which is still open. However, in the interim I have received a notification from Moehala stating I only have 36 months worth of PSLF payments. This is obscured! I have provided documentation in my initial complaint and previously to Moehala to reflect that I worked at the state while making payments for significantly more than 36months. I continue to believe that the same illegal tactics used previously to keep people drowned in student loan debt is still being used. I have been out of XXXX since XX/XX/2008 and made payments this entire time. That is 15 years, and yet I still am in student loan bondage. Every time there is hope that the system has changed to ensure there isnt so much red tape to qualify for PSLF, it is quickly taken away. It is very upsetting to know that I took a job with the state barely making enough to be out of poverty with the promise that I would qualify for some level of student loan forgiveness, to yet still be waiting. I cant even consider getting a car because I realize the strain that having a car payment and potentially a student loan payment would cause my family.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: SC
Zip: 297XX
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I submitted an employment certification form on XX/XX/XXXX to certify my employment for the Public Service Loan Forgiveness Program. I received notice today, XXXX XXXX XXXX that my form was a duplicate. However, my form is not a duplicate, I have only submitted one form ( XX/XX/XXXX ). I spoke with a customer service representative who confirmed that only employment certification form is on file ; she said they would process my form within 3 business days. However, the form status online provides conflicting information as it says to allow up to 90 business days for processing. This unfair as it is not my error that caused this issue ; I shouldnt have to start over again waiting up to another 90 business days for this company to correct their error. The timely and accurate processing of this employment certification form is extremely important to me as once it is processed I will have over 120 qualifying payments for the PSLF program and be a step closer to being forgiven.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: GA
Zip: 30312
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Hello, I have XXXX in student loans held at Mohela. I have worked more than 10 years at a PSLF qualifying non-profit making payments so I qualify for PSLF. On XXXXXX/XX/2022 I submitted a final employment verification that would put me over the 120 required payment mark. It is still processing today XXXX. My non-profit employer has announced that my job along with >1000 others will be transferred to a for-profit company at the end of XXXX. On the phone today with Mohela I was told on my first call that it wouldn't be a problem. My employer asked me to call again and verify and get it in writing so I called back. With another representative I was told the opposite that there is fine print stating I need to be working for the non-profit AT THE TIME of loan discharge even if I surpassed the 10 year requirement. I was also informed that even though my application has been pending for 2 full months it is well below 90 business days and once approved there would be ANOTHER 90 business days to adjust my qualifying payment counts and then ANOTHER 90 business days to get the loans discharged. 3 Rounds of 90 business days to process is more than a year 's worth of business days so it could take over 11 years working for a non-profit to get loans discharged which was not the intent of the program.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: ME
Zip: 04401
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: XX/XX/2022, I requested to have my student loan payments during the pandemic refunded to me as they were voluntary payments. This amount is around {$5000.00}. I was informed via messenger from Mohela that my request was submitted and it would take 30 days to be processed. A month later in XXXX, I requested to have my student loans consolidated. I originally had 8 student loans and wanted them consolidated to show less loans on my credit report. My consolidation request was granted, but I never received my refund. After speaking with Mohela, I was informed that the U.S Department of Education took it upon themselves to cancel my request for my refund, and to approve the consolidation loan without speaking to me for clarification. The system is showing the consolidation loan was requested prior to the refund but that is 100 % inaccurate. I believe there is potential corruption in this decision. Someone could have pocketed my refund instead of giving it back to me. Im asking for money back that are my earnings and I was informed I could receive it back as a refund which would help me financially. On my end, I submitted the request correctly. I attempted to call Mohela and could never get on the phone with them. They were impossible to reach during this time. They still are! I spent three hours today attempting to speak with the resolution department. The only way I could reach them was via messenger on their website. This is how I submitted the request and they verified they submitted it for me. The resolution department is impossible to get in contact with. I called XXXX, and have no automated option to reach the resolution department. I go through hoops to speak with someone, and then they transfer me to the resolution department which never answers. I sit on hold for hours until I can no longer do it. I only have so much time in a Monday to Friday time frame business hours where I am available to speak to someone about this for help. It is exhausting. They are never available to help me. I am hitting a wall with this situation and it is wrong. I should not be penalized due to the inability of the US Department of Education and Mohela not being able to process requests orderly and timely. I spoke to the Department of Education and they confirmed Mohela is responsible for canceling my refund request and allowing the consolidation loan to process.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: PA
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-03-01
Issue: Incorrect information on your report
Subissue: Account information incorrect
Consumer Complaint: I have asked for a copy of each school I have been to with the amount of loans and I cant get a specific amount
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TX
Zip: 750XX
Submitted Via: Web
Date Sent: 2023-03-01
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A