Date Received: 2023-11-29
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: My Mohela student loan accounts were placed on administrative forbearance in late XXXX. I was not informed why. I looked it up and found this website https : XXXXXXXX which explains why I was placed on administrative forbearance but also states that interest accrued during this forbearance should be zeroed. I then received a letter from Mohela about a week later stated that I was placed on administrative forbearance, but it still didn't explain why. The letter specifically states that " daily interest continues to accrue '' during the forbearance. In addition to this, because I was placed on forbearance, my auto payments were cancelled which caused my interest rates to increase by 0.25 % on all of my loans. I emailed Mohela through the secure messaging platform on their website in XXXX XXXX XXXX XXXX XXXX. I have yet to hear back from them at all. I tried to call at some point too but the wait time was over 2 hours. I have significant student loans through Mohela so the interest accrued during this time is at least {$1700.00}.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: AR
Zip: 72015
Submitted Via: Web
Date Sent: 2023-11-29
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-29
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: In XXXX I refinanced my home in hopes of paying off some debt. My lender accidentally sent a {$14000.00} payment to my student loan ( which was in Covid deferment at that time ) instead of paying off my vehicle, which created huge financial issues for me. I am part of the Public Student Loan Forgiveness ( PLSF ) program XXXX XXXX XXXX XXXX XXXX XXXX XXXX and when I called my servicer at that time I was told that I would have to complete the PLSF program and would be reimbursed after I hit my 120 payments. I reached 123 payments and have inquired several times about getting reimbursed for the overpayment, but have not been able to get any information about getting reimbursed.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: AZ
Zip: 85140
Submitted Via: Web
Date Sent: 2023-12-05
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-29
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I am under XXXX, but on XX/XX/XXXX, I also applied for XXXX XXXX XXXX forgiveness. On this application, I specifically checked the box to not put my loans into forbearance while the application is being processed. However, in XX/XX/XXXX, my loans were placed into a forbearance until XXXX/XXXX/XXXX. I called XX/XX/XXXX, twice in XXXX, and once in XXXX to have the forbearance taken off, but it is still on. Also, my payments made while on this forbearance are not counting towards XXXX. The XXXX XXXX pause month did not count towards XXXX ( when all prior months for the 3 years of that pause did count ) and my actual payments made in XXXX and XXXX are also not counting. I only have XXXX XXXX payments left, including these three, so I'm planning on applying for forgiveness after my XX/XX/XXXX payment. However, I can't until Mohela takes off the forbearance I specifically did not want or request and goes back to count the XXXX pause and XXXX and XXXX payments. Everytime I call, I have to wait 2 to 3 hours only to be told that they'll put in the request and it'll take a few weeks.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NV
Zip: 89156
Submitted Via: Web
Date Sent: 2023-11-29
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-29
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: My servicer, Mohela, is not responding to requests in a timely manner. Today is XX/XX/XXXX. On XX/XX/XXXX I submitted an application to switch the to SAVE plan. I requested my loans NOT be placed on forbearance during this time. The application has not been processed yet. After submitting, I received an automatic response that it would be processed within 90 days. On XX/XX/XXXX I was advised an administrative forbearance was placed on my loans ( I assume as part of the punishment for their billing failures ). That same day, I requested via secure message that my forbearance be lifted. That request has not been processed or responded to. On XX/XX/XXXX I contacted Mohela via phone to again request the forbearance be lifted. That has not yet been processed. On XX/XX/XXXX, I sent Mohela a secure message with standing payment instructions and requesting that my account due dates be adjusted to reflect these instructions ( " STANDING PAYMENT INSTRUCTIONS Please do not place my loans into Paid Ahead status. All payments made over my monthly payment amount should be applied to my current bill and not advance my due date. Please adjust my current loan due date ( XXXX ) to reflect this request as well. '' ) This has not yet been processed. On XX/XX/XXXX, Mohela sent me two secure messages saying they see I spoke to someone about my previous messages and assume the matter is resolved. I replied immediately advising that 1 ) I do not know which messages they are referring to and 2 ) that none of my requests were resolved. I have not yet heard back. The forbearance is blocking me from refinancing my loans, and interest continues to accrue. Every day that Mohela delays their response, it is costing me money.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: FL
Zip: 34202
Submitted Via: Web
Date Sent: 2023-11-30
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-30
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: On XX/XX/23, I received an Auto Debit Withdrawal Confirmation message from MOHELA. The message stated that an automatic payment of {$360.00} would be withdrawn from my checking account on XX/XX/23. Today, XX/XX/23, I checked my bank account and the money has not been withdrawn. I checked the MOHELA website and there is no record of any payment. I am scared of defaulting on my loans which are now under repayment since their administrative forbearances have expired. They should have originally taken my automatic payment at some point in XXXX, but they never even sent me a bill, much less take the payment. After 2 months of calling and emailing them, they finally sent me the Auto Debit Withdrawal Confirmation, but they still clearly haven't gotten organized enough to follow through. I'm tired of worrying about this issue. Before COVID, I was on auto-pay and there was never any issue.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CA
Zip: 94596
Submitted Via: Web
Date Sent: 2023-11-30
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-30
Issue: Struggling to repay your loan
Subissue: Problem with your payment plan
Consumer Complaint: In XX/XX/2023, I signed up for the SAVE plan on the Department of Education website. The XXXX indicated that it could take up to 15 days for MOHELA to process my application, which seemed reasonable. However, by XX/XX/XXXX, there was no indication that my application had been processed. All three of my remaining student loans indicated that they were on the " PAYE '' repayment plan. I took to the website ( I'm a millennial, I avoid talking to people on the phone at all costs ) to try to send a message to check the status of my repayment plan application. However, the website would not allow me to send a message if the topic was on repayment plans -- the website specifically states " Sorry, messaging is not available for this topic. Please choose a different topic, call us or mail us correspondence. '' At this point I was frustrated. I struggle with XXXX, XXXX, and XXXX. Forcing student-debtors to communicate explicitly through phone call prevents people with disabilities from being able to ask questions and receive quick and convenient responses ( not that messages receive quick, convenient, or ANY response, as I will later learn ). So I wrote a script for myself and settled in for what I assumed would be a pretty long wait, and I was not wrong. I was on the phone for well over an hour before I even heard a human voice. But what I did get to hear every XXXX seconds was an automated voice reminding me that my issue could be handled online, and wouldn't it be better to do that than wait on hold? " Yes, '' I wanted to shout, " that would be lovely! But I can't, because you won't let me! '' When I finally got through to someone, they told me that they JUST received my application, they were still processing it, and they would get back to me... eventually. But probably in the next two weeks! Well, harried after spending an hour listening to what must be the most annoying soundtrack on earth, I made sure that MOHELA knew of my displeasure, and I wrote them a complaint on XXXX XX/XX/2023. I have attached a copy here. Obviously they never got back to me. My three student loans each still reflect that they are on the PAYE plan. I have received no correspondence or acknowledgement from MOHELA that they denied OR approved my application. I am exhausted, and frustrated. I have XXXX, and unfortunately it's the survivable kind. So any sort of forbearance offered by MOHELA is just going to put me into more debt ( because interest continues to accrue and is amortized into the balance of the loan ). The best hope I have to ever get out from under these loans is the SAVE plan, and everything MOHELA has done so far indicates that they have no intention of honoring the application. Please help me.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: VA
Zip: 22306
Submitted Via: Web
Date Sent: 2023-11-30
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-30
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: On XX/XX/, my account was removed from administrative forbearance for no reason and is supposed to be in forbearance until they can process my student loan discharge which the Department of Education has approved. Mohela has all of this information, and I called yesterday and was told after waiting for more than 2 hours that the forbearance was removed because of an error and that it would be put back in place, however, on XX/XX/. I received a bill that I owed a payment. Therefore it is obvious that they did not complete the process or follow through with their word. Last time it took three complaints from the Department of education to get the account put in administrative forbearance in the first place because of my borrow defense application and the lawsuit approval of which they have all of the correspondence and information from the department of Education, which they have received at least two times, and a letter from me as well.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: AZ
Zip: 85024
Submitted Via: Web
Date Sent: 2023-11-30
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-28
Issue: Dealing with your lender or servicer
Subissue: Don't agree with the fees charged
Consumer Complaint: I qualified under the Save plan but Mohela keeps accruing interest on my loan amount. I have called Mohela in XXXX and they said they will pause interest at the end of XXXX. However my interest amount has grown from {$30.00} to {$110.00}. Accrued Interest as of XX/XX/23
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MD
Zip: 20817
Submitted Via: Web
Date Sent: 2023-11-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-28
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I requested an In-school deferment waiver. Mohela sent me the form. I signed the form and uploaded to Mohela 's online portal on XX/XX/23. I was told by customer service that it would take 30-45 days to process. It is past 45 days and it still has not been processed. I do NOT want to be in deferment. I never requested to be in deferment. When they automatically put me in deferment, they back-dated it to XX/XX/23.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: PA
Zip: 150XX
Submitted Via: Web
Date Sent: 2023-11-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-28
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I consolidated my federal student loans and applied for SAVE ( previously on REPAYE ) back on XX/XX/2023. The consolidation was processed in XXXX but the SAVE application was listed as processing on Mohela. I checked my account on XX/XX/XXXX and noticed that my SAVE application was still listed as processing but my repayment was on the LEVEL ( standard plan ) and due in XXXX. I called on XX/XX/XXXX to get an update on my SAVE application. The rep on XX/XX/XXXX told me my SAVE application must have gotten lost and to resubmit the application verbally. I did that and was placed on administrative forbearance until XXXX. On XX/XX/2023 a bill was generated for my account and still was listed for the LEVEL payment. I called on XX/XX/XXXX to see what was going on since I now have a payment due for the LEVEL ( standard ) repayment due on XXXX. I was told by three different reps that once again my SAVE application from XXXX has been lost or is not finished processing. I was once again told to resubmit my SAVE application and it would take 10 business days to process. Seeing as I can't afford the standard repayment, I asked if the administrative forbearance be extended through XXXX to give the application time to be processed. The rep told me they could only put me on a " processing forbearance '' through XXXX and it would NOT count towards PSLF. Attached is the screenshot depicting the now XXXX IDR applications I have submitted for SAVE. At this point it is taking almost 5 months to try to get on the income driven repayment plan that I have been told to be put on. Now my forbearance will not count towards my PSLF thanks to the incompetence of Mohela. It is unacceptable to still be dealing with this and Mohela needs to be held accountable by the Department of Education and the federal government for misleading loan borrowers and losing their applications.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NY
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-11-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A