Date Received: 2023-11-30
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: My loans were fully forgiven under XXXX in XXXX of 2023. I have all of the documentation and forgiveness letter to confirm this. A few months after being forgiven, I received two checks in the mail, in identical amounts. I found this odd, so I called Mohela, my servicer, and they said they accidentally sent out duplicate refund checks to thousands of PSLF recipients. They told me to keep one check and to return the other, so I did. Then, I noticed a few weeks later my Mohela account, which had been listed as " Forgiven under PSLF '' with NO balance since XXXX, suddenly showed my full loan balance and showed I owed money again. I was absolutely shocked an in hysterics that my loans were somehow reinstated without my permission or even any notice being given to me. This is HIGHLY ILLEGAL. So, I reached out to Mohela for the past several months in an attempt to resolve this issue. I have filed complaints, I have had supervisors " looking into it '' and several different case numbers open. Nothing has been resolved. And, my account went from being XXXXXXXX XXXXt to showing them owing me money to now showing I am in repayment. On XX/XX/2023 I received an email from Mohela saying " congratulations your loans are being forgiven under PSLF '' and that I would be getting a refund in the mail, again, which makes no sense because they were forgiven in XXXX of 2023. Then today I get an email saying I have a payment due in XXXX and my account shows I am in repayment with my original loan balance pre-covid, and no PSLF listed anywhere. I am completely at my wits end and I want my loan closed out completely. I have all documentation to prove this and am so upset I am considering legal aid. Please help resolve this once and for all. I have submitted 18 emails to Mohela and have had hours upon hours of phone calls with no help, no resolve, and I'm afraid my credit will report that this loan that I don't owe is back. I can supply every email I have ever sent Mohela if needed, however they are all readily available on their website as well. Please resolve this as soon as possible.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CA
Zip: 95209
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: Need information about your loan balance or loan terms
Consumer Complaint: I've called many times regarding the remaining student loan balance on Mohela 's website. I want to know what colleges those loans were paid to. If some or all of that is for XXXX, why hasn't it been forgiven per President XXXXXXXX XXXX request and per the Sweet vs. Cardone lawsuit. Some of the loans were forgiven but I never received an email or letter from Mohela. Other people have that have Mohela as their servicer. Last time I called Mohela I waited for hours. When are they going to hire more people and train them to answer these questions?
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MN
Zip: 55104
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: Struggling to repay your loan
Subissue: Problem with forgiveness, cancellation, or discharge
Consumer Complaint: I requested on in XX/XX/2022 that my loans be discharged due to a disqualifying status. The fact is that when I took out the loans I was receiving social security XXXX benefits. I was not producing any income and was encouraged to enroll into a program I had I had no previous experience and have found it difficult to gain employment. This loan should not of been provided and it can not be repaid and has caused undue stress on top of the XXXX that I had when I took out the loan.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CA
Zip: 90505
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: Received bad information about your loan
Consumer Complaint: My account has been placed into administrative forbearance because they havent processed any requests for IDR on my account and MOHELA continued to charge interest. I also submitted employment certifications for PSLF during the special waiver period and was within a few years of forgiveness. I consolidated my loans and my eligible payment counts have disappeared and have not been corrected. It appears on my account that they have been reset to XXXX. It was my understanding that with the special rules, after consolidating that my payment counts would not revert to XXXX for PSLF.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TX
Zip: 773XX
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: Received bad information about your loan
Consumer Complaint: I have currently been on hold with Mohela for one hour and 43 minutes. This is a common occurance. My issue is that I am full-class with XXXX vs XXXX, so my loans are approved for complete discharge. Yesterday Mohela sent me an email advising that I owe them almost {$3000.00} and it's due today. Sending me a statement and taking me out of forbearance is in direct violation of the settlement agreement. I am in forbearance and have been since XXXX due to borrower defense. Mohela has taken me out of forbearance numerous times and I have had to fight through long holds, being hung up on, waiting weeks for answers online and speaking with advisors who provide false information. Department of Education has sent Mohela the information, for forbearance, numerous times. I even have an email from Mohela stating I would be in forbearance until XXXX, due to my approved borrower defense application.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: IA
Zip: 520XX
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 have only federal student loans from XXXX and XXXX XXXX I have been enrolled in PSLF since XXXX. In XX/XX/XXXX I consolidated all of my loans to take advantage of the IDR one time account adjustment. I then applied for the SAVE repayment plan on XX/XX/XXXX. Student loans website said that application was completed on XX/XX/XXXX, it said I would owe {XXXX} a month. In XXXX and XXXX, I like many other millions of people was put on administrative forbearance. As per 34 CFR 685.219 ( c ) ( 2 ) ( v ) ( H ), periods of administrative forbearance should be counted towards PSLF when you are at a qualifying employer, which I am. The forbearance is set to end on XX/XX/XXXX. On XX/XX/XXXX, I log into my Mohela account and find that my bill is actually {XXXX}, which is MORE than {XXXX} if i can do the basic math. I also found out that i was not on the SAVE plan, but on the LEVEL plan. Which not only doesn't count towards PSLF but is XXXX higher than what the payment should have been. I called MOHELA on XXXX XXXX, XXXX, and while they said they could elevate the payment count issue with the administrative forbearance, they could not help me with the SAVE plan and i needed to call student aid. So i called student aid. They told me that their records show the information about my SAVE application was sent to MOHELA on XX/XX/XXXX. They recommended that I resubmit the SAVE application, which i did. They also contacted MOHELA to get this sorted and then told me to file a complaint on their website. I am filing a complaint here because MOHELA is a loan servicer and both MOHELA and student aid, have no clue what is going on, and it puts my livelihood and the livelihood of millions of people in jeopardy. CFPB, congress, and the public needs to understand what is going on, because its not getting resolved any time soon and the government is continuing to co-sign loans for XXXX XXXX XXXX.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: DC
Zip: 20003
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 submitted an IDR/SAVE plan application to MOHELA on XX/XX/2023. It still hasn't been processed. Instead I received a letter in mid XXXX ( letter is dated XX/XX/XXXX ) that informed me that the automatic forbearance that I was placed in ( due to their internal problems with servicing ) was ending on XXXX XXXX and that I am on a level payment plan, which is well over {$1000.00} per month. I have called numerous times and waited on hold for hours. No one ever answers. As I write this, I'm on hold with MOHELA and have been for almost an hour and a half. They close at XXXX. It's XXXX. I still have no update on my SAVE plan application and I can't afford to pay the amount they're trying to bill me. I have to work so spending more than 3 hours on hold waiting for someone to answer isn't an option. I've even tried the veteran liaison phone number and its still impossible to get ahold of anyone. Please help...
Company Response: Company believes it acted appropriately as authorized by contract or law
State: KY
Zip: 410XX
Submitted Via: Web
Date Sent: 2023-11-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-30
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I applied for the income-driven repayment SAVE repayment plan through the studentaid.gov website on XX/XX/XXXX, the same day I applied for PSLF with my employer information. When I applied, it was estimated I would owe $ XXXX on the SAVE plan due to my previous tax information. At the time, my loan servicer was XXXX, who I have never had issues with. I then received notification my loans were being transferred to MOHELA. I began receiving different billing statements from MOHELA, one stating I owed {$350.00} on XX/XX/XXXX, and another stating I owed upwards of {$850.00} in XXXX of XXXX. I reapplied for SAVE on XX/XX/XXXX and XX/XX/XXXX after contacting studentaid.gov and being told they did not have any information and I would need to reach out to MOHELA. I was unable to contact MOHELA. I waited on hold for hours before having to hang up due to working. I sent an email and received notification back that I would hear back in two business days, but weeks later I still have not received a response. Finally, I called and waited on hold for upwards of two hours on XX/XX/XXXX and spoke to a MOHELA rep who told me my initial SAVE application from XXXX was probably " lost in the transfer '' and that it was good I resubmitted a SAVE application on XX/XX/XXXX. This rep told me it would only take 5-7 business days to process my SAVE application and I would not have to pay any of the payments I was billed for in XXXX. After XXXX business days went by with no notifications, I called and sat on hold with MOHELA for three hours to be told that it would actually take 90 days to process my SAVE application and I was already being auto-debited in the mean time for the {$350.00} bill. I asked if there was any way this could be cancelled due to this being an error on the part of MOHELA, and I was told that they didn't know. As a social worker new out of graduate school, this payment is not realistic for me. I feel as though MOHELA can not give me clear answers as to what happened to my original SAVE application and I am told conflicting information each time I call. Their mistakes are costing me money I do not have and I need clarification on where my loans are at. Update as of XX/XX/XXXX : Mohela told me they would place ALL of my loans in administrative forbearance while they attempt to process my resubmitted SAVE application. I received an email from studentaid.gov stating I missed a student loan payment, due to Mohela putting ALL BUT ONE of my loans in administrative forbearance without explanation, after I was told all of my loans would be in forbearance. This has very real and dire consequences on my life, my financial wellbeing, and my ability to remain in the PSLF program. This is completely unacceptable and this company 's errors are costing me everything.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MO
Zip: 64030
Submitted Via: Web
Date Sent: 2023-11-30
Company Response to Consumer: Closed with non-monetary relief
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 received confirmation from Mohela on XXXX of my loan repayment auto-debit withdrawal request which should have drafted my first loan repayment on XX/XX/XXXX as required. They did not draft my payment and I then submitted a one-time payment via the website on XX/XX/XXXX. I then resubmitted my auto-debit withdrawal request, and received confirmation that Mohela processed it on XXXX. They did not draft my payment for XXXX either as of today, XXXX. Upon checking my account, I discovered that all of my loan accounts have been placed in forbearance until XX/XX/XXXX. I received multiple messages from Mohela in early XXXX related to my PSLF status but did not receive any correspondence related to a forbearance period. I called and spoke with XXXX, a Mohela customer service rep, who confirmed that Mohela placed these accounts into forbearance status for all account holders who did not have payments processed properly. They stated that this way no one would risk having late payment fees or accrued interest charges. XXXX XXXX today, I owe nothing on my account until " sometime in XX/XX/XXXX- I can not confirm a due date yet. '' My loans are enrolled in the SAVE program ( formerly XXXX ) and should be under repayment as of XX/XX/XXXX like all other student loans. The rep did confirm that the months in forbearance DO count against the total months of forbearance use available to a customer for their particular loan. I do not understand how they are able to count off months of forbearance allocated to your loan accounts for their inability to process payments properly.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: WV
Zip: 253XX
Submitted Via: Web
Date Sent: 2023-11-29
Company Response to Consumer: Closed with non-monetary relief
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 applied for an income-driven repayment plan ( XXXX, now the XXXX plan ) in XX/XX/XXXX, received approval, and that repayment plan was assigned to all of my loans. Then, several months ago, my loans were transferred from XXXX to Mohela, and my IDR was only applied to half of my loans, with the other half set up with the traditional payment plan. I contacted customer support on XX/XX/XXXX ( which was an incredibly frustrating and time-consuming experience ) and was told I had to reapply for the XXXX plan, which I did over the phone even though my repayment plan shouldnt have changed when my loans were transferred, per information on the Department of Education XXXX XXXX I was told I would receive a response to the application within 14 days. I again inquired as to why I had to reapply for my repayment plan of choice, and I was transferred to a different representative who stated they revert all loans to the traditional plan following loan servicer transfer to give borrowers the option to choose a different plan. Again, this is not the way loan servicer transfers should be handled per the DOEd. As of today, I have received no response regarding my repeat application for the XXXX ( formerly REPAYE ) plan but have received a bill for {$2300.00} due on XX/XX/XXXX. This is more than my monthly income, and I cant afford to pay it ( which is why I applied for the XXXX plan ). I need the correct repayment plan set up for my account and am unable to get Mohela to correct this error. Now I have to decide whether to overdraw my account or be delinquent on my loans. Mismanagement of student loans to this extent should be criminal, and there needs to be a formal investigation into Mohela business practices.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MO
Zip: 65203
Submitted Via: Web
Date Sent: 2023-11-29
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A