Date Received: 2023-11-21
Issue: Struggling to repay your loan
Subissue: Problem with your payment plan
Consumer Complaint: I was transferred to Mohela in XX/XX/XXXX when I applied for Temporary Extended Public Service Loan Forgiveness ( TEPSLF ). It took over a year for Mohela to accurately import my loan balances from XXXX, and dozens of calls and emails as I needed to repeatedly correct their information. During this process, Mohela stated they could not verify the total amount of my student loans, which required that I actually go back and contact my various university offices and upload the information for them, in order to have my student loans serviced using the correct loan balances. In XXXX, I applied for the Saving on a Valuable Education ( SAVE ) plan via studentaid.gov. My application was submitted on XX/XX/XXXX. On XX/XX/XXXX, my online account was noted to be " in forbearance '' on my online account, but I did not receive any digital or written communication as to why this happened. My forbearance was noted to expire on XX/XX/XXXX. Since then, it has been near impossible to contact Mohela to process any of my requests for additional information or clarification. There is no way on my client portal to pay down accruing interest. Mohela did not respond to emails, messages, messages on their " contact portal '', or calls. Attempting to wait on the phone to speak to customer service often requires over 2+ hours to reach a customer service agent. On XX/XX/XXXX, I was finally able to be connected to a customer service agent ( XXXX ). I had to wait for 2 hours on the phone. Then I was on the phone with an agent for an additional 45 minutes, who stated they did not know why my SAVE plan was not being processed, but stated Mohela " will continue to work on it ''. The agent stated that my account was listed as " processing forbearance '', but could not state why I was listed as " processing forbearance ''. She stated it was likely due to my pending SAVE application. The cause of the delays in my SAVE application was important to me, as the interest on my account continues to accrue, there was no way to pay down interest, and there was no estimated date on when my application would be processed. I asked about administrative forbearance, as it had been over 2 months with no information of any kind from their company. Additionally, the DOE directed that borrowers affected by the error-laden roll out of student loan payments or the SAVE plan should be placed into administrative forbearance. I was informed that I had been placed in a " processing forbearance '', and that I did not qualify for an " administrative forbearance '', and so the interest on my student loans would continue to accrue. When I asked for details of what placed a borrower in " processing forbearance '' versus " administrative forbearance '' which SAVE applicants should qualify for and which pause interest and payments, the customer service agent was not able to answer my question. She also stated that she was unable to send out a letter explaining the difference. I was told to call back on XX/XX/XXXX to see if there were any further updates on my account and to request continued " processing forbearance '' if my SAVE application was still pending. Despite the extended wait times to reach customer service, I was told could not make the request during our current call that my SAVE application be processed even if it took extending forbearance. At this point, Mohela is not only not servicing my loan, but they are also not providing critical information on the status of my loan repayment, or on a pending application for a nationally available payment plan. They are not able to give an estimated completion date, and in the interim my balance increases. Based on my forbearance status listed on my customer portal, unless this is resolved by XX/XX/XXXX, I will be listed as being a borrower who did not make required payments, despite all the difficulties above.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CA
Zip: 90731
Submitted Via: Web
Date Sent: 2023-11-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-21
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I started in XXXX COVID loan forgiveness program, I have the qualifying 120 month/10 years with non-profit employment, i have been told several times my load was forgiven, I was with Navient, XXXX XXXX Services XXXX XXXX Mohela. I have a XXXX page track record of everyone I have spoken to in Mohela, I was told they are processing my information but I needed to email my XXXX 's which i have done 8 times, they are not located so I email again, I am getting the run around half the time i feel the person I am speaking with has no idea what to tell me. the last time I called I was on hold for XXXX XXXX hours before I could speak to a supervisor, I spoke XXXX XXXX XXXX case # XXXX was asigned to me said check in of XXXX I should be getting a letter forgiving my loan, did not happen, I spoke XXXX XXXX - XXXX XX/XX/XXXX Resolution team, she promised me my loan will be forgiven because I have 120 month/10 years full time employment, said she would call/email process within 30 days this did not happen, I spoke to XXXX ( employee XXXX XXXX ) - supervisor end of XXXX after waiting XXXX XXXX hours said i need to email XXXX XXXX yet aging that was the hold up, I asked her why the last supervisor XXXX said everything was XXXX place my loan was forgiven, XXXX said they do not have an XXXX XXXX, XXXX XXXX XXXX would XXXX me XX/XX/XXXX letting me know I was approved, she promised me several times she would not let me down, she did no call. I am paying {$17.00} a month, back in XXXX i owed less than {$8000.00} now it's over {$23000.00} with the interest rate and who know what ever charges I have, this is so wrong, I am very educated on the media with Mohela not using the COVID funds properly, I need help I need to know who I can speak to that will review my case and see that I have been scammed, please, please help me I need your help.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: WA
Zip: 98203
Submitted Via: Web
Date Sent: 2023-11-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-21
Issue: Dealing with your lender or servicer
Subissue: Keep getting calls about your loan
Consumer Complaint: I had my student loans on auto payment from XXXX until XXXX. I took it off because I could not pay my medical bills and living expenses because of the amount I expected to pay monthly. The amount that would be taken out was {$1100.00} a month. I make {$1200.00} twice a month. I called XXXX and Mohela ( both are in charge of my loan ), to talk to them about my options. When I spoke to representatives from both companies, I was given conflicting answers. I first spoke to Mohela, the representative said that I had to get a forbearance and/or have my amount changed monthly from XXXX. I then called XXXX, and their representative said that I could only get a forbearance from Mohela and that the only way I could get my monthly amount changed was through refinancing, but that they don't recommend that because the interest rates were higher and then my monthly amount would increase. I told both representatives that I could not pay {$1100.00} monthly and that I hadn't been paying my medical bills for months because of this high amount. They both said that everything would be fine as long as I was putting money towards my balance. However, they had already taken out my amount automatically for XXXX, so I canceled my auto-pay so that I could pay off my medical bills in XXXX. I did not have money to put into my balance at all in XXXX as I was putting that money into medical bills, prescriptions, and necessities. I paid {$100.00} in XXXX as I had missed work quite a few days because I was sick for most of XXXX. This month I put {$1000.00} to my balance because a man claiming to work for XXXX had called my father threatening a lawsuit if I did not pay {$33000.00} that I owe in back pay. This was a lie. I owed {$3300.00} the day that this man threatened my father, XX/XX/2023. I paid {$1000.00} to calm down my father. I now have a medical bill that I am unable to pay until my next paycheck. At the same time, between XXXX and XXXX, I was trying to get forbearance, so that I could keep the back pay from increasing. However, I would wait a long time on hold and when I finally got through, the representative on the line would say that they were unable to help me with this, even though I had picked the option for a forbearance representative. I would ask if they could transfer me to someone who could. As this occurred multiple times, I would get these excuses : the person to speak to has already left for the day and I will have to wait for them to call me back tomorrow, or they were told that I would be called back by the correct authority. I never received any callback. When I refused to hang up and wait for a callback, the representatives would hang up on me. I was eventually able to get a representative to help me at the beginning of XXXX to apply for forbearance. I did so and was denied. Just last week my father was once again threatened by the man saying that he worked for XXXX. After a while, I finally was able to get a representative to give me contact information to someone supposedly in charge of my account. They only had her email. I emailed her XXXX days ago and went over everything that I have already written here. All she sent back was " Looking at your account you have a past due amount of XXXX. Your next payment XXXX is XXXX. Feel free to reach out to me if you have any questions. '' She did not answer whether this man actually worked for the company or if she would be willing to tell this man to quit threatening my father. On XX/XX/XXXX, I was sent a demand letter from a law firm claiming to be representing the man who worked for XXXX, demanding that I pay {$3300.00} by XX/XX/XXXX and that I had to get in contact with this man. As stated previously, I paid {$1000.00} on XX/XX/XXXX to quell my parents ' fears. I do not owe {$3300.00}. According to my online statement, I owe {$2300.00}. I was also told by the woman who I was told was in charge of my account at XXXX that I only owe {$65.00} in back pay. Also, no one has confirmed with me that this man actually works for XXXX. I have asked both the woman supposedly in charge of my account and multiple representatives and no one will answer the question. I don't know what else to do at this point. I have been trying for months to get this sorted and instead, I have a man calling my father to threaten him, giving the wrong amount that I owe he doesn't even know my name, has no help from any representatives, and this man now having a law firm getting involved. I don't trust this man like I said, he doesn't know my name, doesn't know my actual amount, and keeps calling my father instead of me. Also, no one will tell me if he even works for the company.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: NC
Zip: 28079
Submitted Via: Web
Date Sent: 2023-11-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-20
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I had selected the Standard Repayment Plan and had gone through the process to set-up Auto-Debit so my student loan payments would be automatically withdrawn from my account. My first payment was made smoothly in XXXX. Then, I received a notice that my account was automatically put into something called Administrative Forbearance without my permission. My XXXX payment was not withdrawn from my account, my Payment Amount Due in MOHELA isnt showing up and the due date for my payment isnt showing up either.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MO
Zip: 63146
Submitted Via: Web
Date Sent: 2023-11-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-20
Issue: Struggling to repay your loan
Subissue: Problem with forgiveness, cancellation, or discharge
Consumer Complaint: This student loan debt qualified for public service forgiveness due to employment with the XXXX XXXX. At the time applied my student loan servicer was XXXX XXXX I never signed anything with Mohela who is trying to collect and has only sent me statements. Has not provided any ledger or agreement with my signature.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MD
Zip: 212XX
Submitted Via: Web
Date Sent: 2023-11-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-20
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: I contacted FASFA on XX/XX/XXXX and asked for alternative payment options to lower my monthly bill. The PAYE monthly amount of {$810.00} is unaffordable at this time. They recommended I apply for the Graduated Repayment Plan - this afford a lower monthly amount of {$410.00}. The application and request was completed. They said I should hear about the update in 3-5 business days. On XXXX I received an electronic message from Mohela that an automatic withdrawal of {$810.00} would be taken from by bank account on XXXX. I called Mohela on XXXX to speak to a representative. I waited on hold for over an hour. When I finally got to speak to a representative they were undergoing training and were unable to locate my complete FASFA Graduated Repayment Plan request. I was put on hold for another 45 minutes. The second representative made me reapply for the Graduated Repayment Plan. I completed the submission with her over the phone. I was then told I would have to go on an administrative forbearance while my application was processed. On XX/XX/XXXX I received an electronic communication from Mohela " Repayment Options '' with detailed estimate of my Graduated Repayment Plan payment amount and schedule. No action was required. On XX/XX/XXXX I received an electronic communication from Mohela saying an automatic withdrawal of {$810.00} would be taken from my bank account on XX/XX/XXXX and that my administrative forbearance is expiring on XX/XX/XXXX. On XX/XX/XXXX I received an electronic communication from Mohela saying my Graduated Repayment Plan request was denied. The reasoning stated Consolidation Loans were ineligible. I did not authorize the consolidation of my Student Loans. I am unable to afford the {$810.00} monthly payment. I work a full-time job Monday-Friday from XXXX XXXX XXXX and can not afford to sit on hold for hours. Mohela has been unable to provide me with accurate clear information on my repayment options.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TX
Zip: 76011
Submitted Via: Web
Date Sent: 2023-11-20
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-20
Issue: Dealing with your lender or servicer
Subissue: Don't agree with the fees charged
Consumer Complaint: My account was sold to MOHELA. This company has placed me on forbearance so I called to ask why. They really couldnt provide me with information. I am continuing to be charged interest even though theyre not taking my payments. Im also having accrued interest added to my balances. Id like to know where this came from since no interest was to accrue during COVID. I also continued to make payments during this time. Lastly, they are charging me a flat XXXX XXXX interest even though my interest rates range from XXXX XXXX with only one loan at XXXX XXXX I told them this is illegal since I signed contracts for the other interest rates. I filed a complaint with them on XX/XX/XXXX and no one has gotten back to me. Thank you
Company Response: Company believes it acted appropriately as authorized by contract or law
State: OR
Zip: 97355
Submitted Via: Web
Date Sent: 2023-11-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-20
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: My new loan servicer ( Mohela ) is showing a balance due on 2 loans that were paid off to the prior loan servicer ( XXXX ). I have written to Mohela twice ( XX/XX/XXXX and XX/XX/XXXX ) and provided documentation of payments which were made toward these loans. I requested a complete list of how all payments made were applied, including payments which were made while the loan was still being serviced by FedLoan Servicing. Mohela has not provided a substantive response to this request. Despite contacting them as soon as they took over my loans and then again a year later, and providing documentation of the payments that were made toward these loans, they have failed to rectify this problem and they still show that I have a balance due on these 2 loans. It is not clear what XXXX did with the payments I made toward these 2 loans. These payments were made manually, separate and apart from the auto payments being made toward my consolidated loans. Additionally, I designated how each of these manual payments was to be applied toward these 2 loans and at the time, XXXX showed these 2 loans as having been paid in full. Unfortunately, I can not access my XXXX account information and it is not clear why the information transmitted to Mohela was incorrect. Nonetheless, Mohela has wholly failed to respond to this situation.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: UT
Zip: 840XX
Submitted Via: Web
Date Sent: 2023-11-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-20
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I had a large student loan in the XXXX XXXX XXXX ( $ XXXX principal and $ XXXX interest ) as of the day interest and payments were to resume, serviced through Mohela. I made a XXXX time payment of {$1000.00} on XX/XX/XXXX to see how the money would be applied when I opted to lump sum to pay down principal/interest. This payment was misapplied towards future payments, not as a XXXX time pay down as I intended so I had to call Mohela to get it reapplied. This put some administrative flag on my account for them to make a correction on the payment. In the meantime I applied for the new XXXX program on XX/XX/XXXX to help with the large amount of interest I would soon be accumulating. I did this over the phone was told this should take no more than XXXX weeks to process ( even accounting for longer wait times ). In the interim I was placed on forbearance with interest still accumulating, but no payments due. XXXX weeks passed and I called Mohela to see where my application stood and what was taking so long- they were not able to tell me or give me a timeline. Several more weeks passed and same thing, no answer after I waited hours on the phone to get ahold of someone to talk to - there is no information on their online portal. Last week on XX/XX/XXXX I called again and was escalated to a manager who stated that it looks like they had not begun processing the XXXX application because they still had not corrected the payment from way back on XX/XX/XXXX and until that was corrected they could not transfer my loans to the XXXX XXXX -- so a XXXX week delay on their end. In the meantime I have continued to accumulate interest ; more than {$4000.00} of interest (!!! ) all because of their administrative delays in handling a payment I made on XX/XX/XXXX. Nobody in their customer service will give me any information on when this will completed and they seem unable to grasp why I am furious that their delays are costing me thousands of dollars in interest while I am in this limbo of interest accruing forbearance instead of XXXX like I wanted. Not to mention every time I call to speak to someone it takes XXXX minutes to reach someone to talk to. At the time of this writing my loans currently stand at $ XXXX principal and now $ XXXX interest with my XXXX application still in a pending status. And I have no timeline for when it will change. And Mohela will not accept any responsibility for being unable to process my loans in a timely manner nor for the unnecessary interest that I am now responsible for.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: WA
Zip: 98112
Submitted Via: Web
Date Sent: 2023-11-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-20
Issue: Struggling to repay your loan
Subissue: Problem with your payment plan
Consumer Complaint: I applied for SAVE on XXXX. I am currently on PAYE and was on REPAY prior. On XX/XX/XXXX I called about the processing delay. They originally claimed that my loans did not qualify for SAVE. All of my student loans are direct loans and this information was simply not true. After further pushing as to the reason why my application had not been processed, they informed that that my application was declined for missing information ( which they never notified me about ) and require 3 years of tax returns to re-process the application. I referred to the Federal Register update 685.209 ( e ) from XX/XX/XXXX that eliminated the previous years income requirement. The rep insisted that this is just required and that the government has to know how much money I made during nonpayment ( even though I file and pay taxes every year ) and could not tell me why. I have never received in writing why my application was declined or what information was " missing ''. I later recontacted them again on XX/XX/XXXX and pushed for supervisor who assured me that my application would be processed within 2-3 weeks and that the tax return requirement was in fact, not required. As of XX/XX/XXXX, my next payment is due on XX/XX/XXXX and they still have not processed my application and their stated reason is that they are " behind '', even though I have been speaking with peers with applications submitted after mine that have already been approved. My choices presented to me by the phone rep was to pay the monthly payment ( that I can't afford ) or extend my forbearance. They continue to ignore my application while my loans gather interest. It is incredibly unfair that I have to continue to accrue interest that will be capitalized because of their inability to perform the most basic of their job functions. It feels predatory that the ineptitude of a company can contribute to my student loan debt. Why should they do anything in a timely manner if they benefit from it financially? Mohela clearly does not have the necessary staff knowledge to appropriately service loans. They can not be bothered to keep up with current/up to date rules and requirements. There is no consistency. Every time I speak with a representative ( after hours on hold ), I am told something different or a vague explanation.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TX
Zip: 76039
Submitted Via: Web
Date Sent: 2023-11-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A