Date Received: 2023-12-26
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: Payment was made to student loan on XXXXXXXX and was not applied to loan Called Loan service provider was placed on hold for 6 hours 2 times and no resolution ; Effective Date Posted Date Amount Applied to Principal Applied to Interest Confirmation Number XX/XX/XXXX XXXX {$3500.00} {$3500.00} {$0.00} XXXX XXXX XXXX {$3500.00} {$3500.00} {$0.00} N/A
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TX
Zip: 75035
Submitted Via: Web
Date Sent: 2023-12-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-26
Issue: Credit monitoring or identity theft protection services
Subissue: Billing dispute for services
Consumer Complaint: Apparently a loan was taken out in my name using my information in XXXX. I did not sign for any loan. This needs to be taken out of collections, out of my name. I do not have a student loan for {$110000.00} that was told to me by Mohela. I do not have an outstanding loan.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: VA
Zip: 22191
Submitted Via: Web
Date Sent: 2023-12-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-26
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I submitted an application to Mohela for loan forgiveness through the XXXX program on XX/XX/XXXX. Mohela stated that they submitted the forgiveness application to the Department of Education, specifically to XXXX. Mohela would not provide the date that they submitted the package to XXXX and the Mohela representative told me to contact XXXX directly for that information. I contacted XXXX on XX/XX/XXXX and the XXXX representative informed me that the last XXXX form they had any record of for me was from XX/XX/XXXX and that Mohela had not submitted the XXXX form to them for the XX/XX/XXXX application for forgiveness that I had submitted. XXXX website indicates that they will process XXXX applications within 30 days, they took almost 60 days to process my application internally, and now after almost 4 months XXXX has no record of Mohela submitting this application to them. Mohela must submit this application to XXXX for forgiveness ASAP.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: VA
Zip: 201XX
Submitted Via: Web
Date Sent: 2024-01-02
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-26
Issue: Incorrect information on your report
Subissue: Account status incorrect
Consumer Complaint: Subject : Request for Assistance - Discrepancy in Credit Reports Following Loan Forgiveness Dear CFPB, I hope this letter finds you well. I am writing to bring to your attention a matter related to the forgiveness of my student loans through MOHELA, and the subsequent discrepancies in my credit reports. I believe your office can provide valuable assistance in resolving this issue. Identify the Problem and the Reason Behind It : Recently, my student loans with MOHELA were officially forgiven on XX/XX/2023. The forgiveness resulted in a XXXX balance, and my accounts are currently in good standing. However, despite this forgiveness, my credit reports inaccurately reflect that the accounts are still open and active. Define Expectations : In seeking your assistance, my primary expectation is to rectify the inaccuracies on my credit reports. I anticipate that, with your intervention, the correct status of my student loan accountsclosed with a XXXX balancecan be communicated to the credit reporting agencies. Describe Actions Already Taken to Resolve the Problem : To address this issue, I have taken the following actions : - Contacted MOHELA to verify the forgiveness and status of my loans. - Obtained documentation from MOHELA confirming the forgiveness and a XXXX balance. - Disputed the inaccuracies with the credit reporting agencies, providing them with the supporting documentation. Despite these efforts, the credit reports continue to incorrectly reflect that my student loan accounts are open and active. Supply Documentation to Support My Position : Enclosed with this letter, you will find copies of the relevant documentation from MOHELA confirming the forgiveness and a XXXX balance. Additionally, I have included copies of the dispute communications sent to the credit reporting agencies. I kindly request your assistance in investigating and resolving this matter. The inaccurate reporting is adversely affecting my credit profile, and I believe that the XXXXXXXX XXXX XXXX can help ensure that the correct information is communicated to the credit reporting agencies. Thank you for your attention to this matter. I am willing to provide any further information or clarification that may be necessary. I can be reached at XXXX or XXXX.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CA
Zip: 94061
Submitted Via: Web
Date Sent: 2023-12-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-26
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Prior to applying for PSLF, my loans were serviced by XXXX XXXX. On XX/XX/XXXX, my loans were transferred to MOHELA as a result of my PSLF application. On XX/XX/XXXX, MOHELA informed me by way of letter that my application for the PSLF waiver was approved, and that my loans had been forgiven. During the course of my repayment, I made XXXX payments. The total refund I received is {$22000.00}. {$22000.00} / {$450.00} ( my monthly loan payment amount ) = XXXX. Mohela is not reconciling my payment history correctly. I am owed XXXX payments as a function of basic math. My repeated requests for a refund of the remaining XXXX payments has gone unanswered as well as support for how Mohela determined I only made XXXX payments towards my student loans.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MD
Zip: 21212
Submitted Via: Web
Date Sent: 2023-12-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-26
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: Hello, I submitted a principal only payment to go into effect XX/XX/XXXX. That applied and I received a notice of forbearance XX/XX/XXXX showing my updated loan balances. On XX/XX/XXXX, I received a new statement with different principal amounts. Part of my payment was redistributed across all of my loans leading to my highest interest loans having more principal and leading to larger interest accrual. I called on XX/XX/XXXX to inquire what happened and they did not know. After XXXX hours, the customer service person insisted the statement I received from MOHELA ( XXXX XXXX ) was incorrect. I insisted that the payment I made was reflected in the XXXX statement was intended to be correct. They did transfer to a representative to modify my payment amounts. They have no explanation as to why the payment was retroactively changed after sending me and updated balance post-payment and have not been able to verify my original payment- they dont seem to have a record of it accessible.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: IN
Zip: 46201
Submitted Via: Web
Date Sent: 2023-12-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-27
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Understanding that Mohela 's technical infrastructure has been inundated with requests for borrowers to switch to the Save Plan since late XXXX, XXXX, I've run into several concerning instances of misinformation and apathetic attempts to resolve my situation that has resulted in my problem being pushed to sometime in the future when Mohela has said they can review my application : XXXX XX/XX/XXXX, having been on an IBR plan I was happy with, I decided to apply to the Save Plan. I am certain I was eligible based on my income at that time. During the initial application process, I synced my studentaid.gov account to the IRS for ease of processing my application, per the site 's prompting. -In early XXXX, I logged in to find out that my application in XXXX had been denied. I received no email about the status of my application. It seems at this point I was also placed on a standard repayment plan as opposed to the plan with the lowest monthly cost or back on the IDR plan I have been on for years. -I called Mohela and a representative told me that they were inundated with requests, and that I should reapply, so I did, this time removing that automatic check with the IRS given I was told I was denied based on my previous income as reported to the IRS and not my current income. -In mid XXXX, I again learned I was denied without being notified, after logging in and checking under the " Documents Recieved '' tab. At that point I called Mohela and another representative mentioned I should submit a " Supplemental Alternative Documentation of Income '' form in lieu of providing tax information, so I did. -It seems at this point, my supplemental alternative documentation of income form was attached to a previously denied application. When I called to check the status of my application a representative reiterated they were inundated and placed my application on an administrative forbearance, also mentioning that many others would as well to allow Mohela time to review all applications. I was assured my application would be reviewed within thirty days. XXXX XX/XX/XXXX, I received a electronic letter on Mohela 's site dated XX/XX/XXXX, stating my application had again been denied, per the below : " We apologize but we are unable to grant your request for the following reason ( s ) : - To return to the SAVE Repayment Plan ( formally the REPAYE program ), you will first need to provide income documentation and family size for the period since you were last on the SAVE ( or REPAYE ) plan. '' So I called again, and was promptly told to ignore this message as it didn't apply to me given I have never been on a REPAYE plan and because I had already provided a " Supplemental Alternative Documentation of Income '' form. -I called again in XXXX and was assured my application was still being processed due to delays. -After calling several times in XXXX, I was told my forbearance would be pushed to late XXXX to allow Mohela XXXX to process my application. -I called again today, XX/XX/XXXX and was told that my applications in XXXX and in XXXX had all been denied ( on XX/XX/XXXX, XX/XX/XXXX and XX/XX/XXXX ) and when my administrative forbearance was up XX/XX/XXXX I'd have to begin making payments on a standard repayment plan. At several points I had to call and call again repeatedly to only get conflicting information, wait on hold for hours to get to what at the time seemed like more knowledgable second or third level representatives, only to find out later they had also been mistaken, culminating in today 's phone call in which I was : -Told I always needed to have submitted the past three years of tax documentation. -Told that the " Supplemental Alternative Documentation of Income '' form I submitted in mid XXXX was never sufficient because people moving off of a REPAYE plan to another IDR plan always had to submit previous years of tax information ( I reiterated to the representative that I have never been on a REPAYE plan and she mentioned she didn't know why this was noted as the reason for my repeated denials ). -Told that there was no easy way to direct me to a webpage on Mohela.com or Studentaid.gov that offered examples of sufficient proof income verification. -Offered an apology for not being promptly notified of these denials, that they were in fact denials though I see my documents are still pending per the Mohela site, or what additional documentation would be required and why throughout the ordeal. -Told I should reapply for the Save plan and that Mohela would " take care of '' next month 's payment if I submitted another application today. I asked what they meant and why I should have any confidence given how things have been bungled until now and was told those were my options and to not focus on the past. Just a few moments ago I uploaded my past three years of tax information ( the first page of my XXXX, XXXX and XXXX tax transcript indicating my family size and AGI for those years ). The document upload section also indicated I should not upload another " Supplemental Alternative Documentation of Income '' form though this would be the only place where I can indicate my current income and why I qualify for an IDR plan and specifically the Save plan.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: IL
Zip: 60707
Submitted Via: Web
Date Sent: 2023-12-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-26
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: Today is XX/XX/XXXX. I have been waiting since XX/XX/XXXX for Mohela to process an electronically submitted XXXX XXXX XXXX form for my last payment. In the meantime, Mohela has decided to mark my loan as XXXX in spite of : XXXX. My loan would be forgiven by now if they would just process my XXXX XXXX certification XXXX. My loan is not in repayment according to the account update posted on my log-in page. Screenshot of this provided I suspect that Mohela is charging the XXXX for each month that a loan is open and this is a way for them to make more money fraudulently.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NY
Zip: 10003
Submitted Via: Web
Date Sent: 2023-12-26
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-26
Issue: Struggling to repay your loan
Subissue: Problem with forgiveness, cancellation, or discharge
Consumer Complaint: I applied for XXXX last year and this year and payments during XXXX even if {$0.00} were supposed to count towards total payments made. I am in the XXXX XXXX and sent the application twice. Paper form and electronic. Still nothing forgiven or counted towards it.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NY
Zip: 132XX
Submitted Via: Web
Date Sent: 2023-12-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-12-26
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: For my loan to be forgiven I have to pay XXXX payments. At one time I was XXXX payments which means I paid XXXX Payments. I check back and now they are saying I made XXXX payments. Which is it? How could it change? My loans should have been forgiven and now they are reporting my loans payments inaccurately.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NJ
Zip: 08060
Submitted Via: Web
Date Sent: 2023-12-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A