Date Received: 2023-10-22
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: In sum : Mohela account marked " past due '' before the 2-3 business days passed for payment clearance confirmation. I enrolled for auto debit for my federal consolidation loan managed by Mohela. I received confirmation stating my first payment may have to be done manually. On Mohela 's website it stated that payments processed in 2-3 business days. My payment was due XX/XX/23. I checked XX/XX/23, 1-2 business days later, just to be safe. My account said it was past due. I paid it immediately. There was no way for me to verify if my auto debit payment completed before my account became past due. How am I expected to verify if the auto debit was successful after 2-3 business days after due date if I am marked " past due '' immediately? I see many other consumers are having the same problem. I attempted to call and the office was closed. I filed an online complaint with Mohela. With some forum searching I see many users are facing call holds of 3+ hours. Please address this ASAP. I do not want my loans serviced by Mohela. Their practices are completely unacceptable.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: WA
Zip: 98032
Submitted Via: Web
Date Sent: 2023-10-22
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-22
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: Mohela put my formerly REPAYE loans into level repayment status while processing my SAVE application. Mohela is demanding payment under the level repayment plan, in contradiction with guidance on their own site : " your payment will be recalculated before it is due. '' These loans should have been in forbearance while Mohela drags their feet processing applications. Repeated attempts to contact Mohela have yielded no results. Further research indicates this is a known and ongoing problem with Mohela.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: OR
Zip: 97206
Submitted Via: Web
Date Sent: 2023-10-22
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-22
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I applied for the SAVE program through the studentloans.gov website. I self reported my income through mohela as I was unemployed at the time. Mohela automatically put me in administrative forbearance, I never wanted to be in forbearance. I requested to be taken off because I did not want to be charged interested. I was told it would take 5-10 business days. It has been a month now. Everytime I call to get it fixed I have to wait on hold for at least an hour. The other day I was on the phone for 4 hours trying to escalate my issue to leadership. I was told that I was not being charged interest by multiple employees even though I know that is incorrect. No one can give me an actual date when I will be off forbearance. I will have {$900.00} dollars of interest a month while I am in forbearance instead of getting the interest credit through the save program. If they did this to everyone who self reported their income they are likely racking up millions of dollars of interest. No one can take me off, no one can credit my account, no one can expedite the process, no one can give me an actual date when my request will be processed.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MT
Zip: 598XX
Submitted Via: Web
Date Sent: 2023-10-22
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-22
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: On XX/XX/XXXX I made two payments to my student loan servicer, Mohela : one for a total of {$5500.00}, and another for a total of {$50.00} ( see attachments ). As of today, Sunday, XXXX XXXX XXXX, these payments have not been reflected by StudentAid.gov nor Mohela. Interest continues to accrue even though the payments have been fully processed and are completed according to my bank which sent me the Acquirer Reference Data, Network Reference ID, and Transaction Approval Code ( see attachment ). I have sent messages to Mohela and StudentAid.gov for assistance in understanding why my payments are not being reflected on my account -- I have yet to receive a response from either institution. I am ready to pay off my entire loan, but because my two payments are not being applied to my loan account, I am hesitant for any more money to leave my bank. I sent two messages Mohela on XXXX XXXX XXXX A fair resolution would be for the two payments I made on XX/XX/XXXX to be credited to my student loan balance, and for the intervening interest from this amount be deducted from my account, and assurance that my next payment to pay off my loan will be applied in a timely manner.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: CA
Zip: 90015
Submitted Via: Web
Date Sent: 2023-10-22
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-23
Issue: Struggling to repay your loan
Subissue: Problem with your payment plan
Consumer Complaint: Mohela has been terrible 6 hour wait times Cant get straight answers Stick me in a high monthly SAFE payment plan without me knowing [ I cant pay XXXX a month ) Bankrupt 2 years ago, unemployed which ends soon and on public aid ( no assets ) The calculations are bad and XXXX us deceprive calc politicians are our if touch and XXXX XXXX XXXX leaders Mohela is a mess and problem and traumatizing borrowers in many ways
Company Response: Company believes it acted appropriately as authorized by contract or law
State: IL
Zip: 617XX
Submitted Via: Web
Date Sent: 2023-10-24
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-21
Issue: Dealing with your lender or servicer
Subissue: Don't agree with the fees charged
Consumer Complaint: I was notified in XXXX XXXX that repayments would be restarting even though I had been in graduate school since XX/XX/XXXX which I had previously submitted by loan deferment request. I was previously with XXXX but after the switch to Mohela, apparently all the information was lost. As a result, I am being charged for loan payments and interest on my subsidized loans even though I should be in deferment and the interest on my subsidized loans should be paid. I submitted a new loan deferment request in XX/XX/XXXX but apparently the request has not been processed yet ( expected to take 90 business days to process! ). As a result, I have been charged interest and repayment amounts that I should not be charged for.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TX
Zip: 752XX
Submitted Via: Web
Date Sent: 2023-10-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-21
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I have two federal student loans administered by MOHELA. The calculation for my second loan grossly miscalculated by MOHELA and they charged me far too much for the most recent auto-draft of the student federal loans now that the loan payments resumed. Loan # XXXX is for a principal balance of {$21000.00} at 4.05 % for 10 years ( 120 months ), though for some reason they have it posted in my loan details as 115 months. {$21000.00} at 4.05 % for 115 months should be a monthly payment of {$220.00}, though they are charging me {$220.00}, which is pretty close. Loan # XXXX is for a principal balance of {$16000.00} at 5.05 % for 10 years ( 120 months ), though for some reason they have it posted in my loan details as 119 months. {$16000.00} at 5.05 % for 119 months should be a monthly payment of {$170.00}, though they are charging me {$320.00}!!! This is grossly miscalculated. I called MOHELA on XX/XX/2023 to draw attention to the fact that they grossly miscalculated my monthly payment for XXXX # XXXX. They phone associates did not understand that the calculation was incorrect and were asking me to look at other loan repayment options, but I explained the calculation was incorrect based on the principal balance, interest rate, and loan term. I asked to speak to a manager, who admitted the loan calculation was incorrect but could not explain why. He said that he recalculated it and the new monthly payment for both loans would be for a combined {$410.00} ( this is still not quite correct, but much closer ). Even though the manager said he would fix the issue I was still charged {$540.00} for the most recent loan payment in XX/XX/2023.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: PA
Zip: 19006
Submitted Via: Web
Date Sent: 2023-10-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-21
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I am trying to make an additional target loan payment. The website says to call them. Call times are XXXX minutes and the recording says I can make an additional targeted loan payment online. Online says to send a secure message about making an additional payment, and they will respond in 3 business days. Currently waiting a week to hear back. I dont know why they are making additional payments so difficult to make. Do they not want loans to be paid in full? It seems like they want borrowers to take on additional interest payments due to their slow response. This seems inappropriate and slightly illegal. To summarize, I am trying to make additional payments to specific loans to pay off my loans and manage my interest. MOHELA doesnt allow easy additional payments to be made. It seems they dont want the loans to be paid off.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: ID
Zip: 83687
Submitted Via: Web
Date Sent: 2023-10-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-21
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I attempted to pay off all my student loans in two payments in XX/XX/2023 but I could not because MOHELA 's portal was unclear and customer service was unresponsive well after the 3 business days waiting period. Additionally, the portal possibly included incorrect information - I say " possibly '' because they still haven't cleared it the confusion. - In early XXXX, I made a small payment to see how the payment system worked. This was successful. - I made a large " final '' payment to pay off my entire balance. The process to pay off the loan was confusing because I could not see where to pay for the interest, it only showed me an option to pay for principal. When I made my " final '' payment, I thought it included everything since I was reading off of the amounts in the portal. I logged in a few days later to find that more PRINCIPAL was owed ( around {$60.00} ) - I sent them a secure message through their system to ask how to complete the payment of the interest and to clarify why I had a principal balance when I had paid off all my principle. -After sending the message to customer service, I made another payment to clear out the remaining {$60.00}. - I logged in again today ( XXXX ) and found that an additional amount is still owed. - As of this writing, I have yet to receive a response. My friend has had similar issues paying off her loan in one go and I have encouraged her to submit a complaint as well. I should have not have to go through so many loops to pay off my student loans. I have the money to pay off everything now - Imagine those who do not and are forced to work with MOHELA.
Company Response: Company believes it acted appropriately as authorized by contract or law
State: MD
Zip: 20904
Submitted Via: Web
Date Sent: 2023-10-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-21
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: MOHELA was my loan service provider while I attended school at XXXX, XXXX XXXX XXXX XXXX. I received a {$5500.00} loan to help pay for school, and I paid off this loan in full before it started receiving interest on XX/XX/21. I have a screenshot of the payment confirmation from this exact date as clear evidence. MOHELA is now trying to charge me a student loan payment as if the loan had not been paid off. I need help
Company Response: Company believes it acted appropriately as authorized by contract or law
State: TN
Zip: 373XX
Submitted Via: Web
Date Sent: 2023-10-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A