Consumer complaint received 2023-11-16
Company: MOHELA
State: WA
Product: Credit reporting or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account status incorrect

Complaint:
As of XX/XX/2023 I was already fully enrolled in the Fresh Start program and had already received my letter from Mohela stating that my 2 federal loan accounts were fully transferred back to them from Department of Education collections, and I used that letter to prove that the collection accounts on all 3 bureau credit reports were non-existent and essentially incorrect. I submitted that letter as the documentation attached to the disputes I created on those collection accounts so I could get them removed as soon as it became possible to prove, since I was desperately trying to eliminate any excuses being used to deny rental applications for housing and to also finally have a chance to get loan approval because I kept struggling to avoid eviction risks while my money was going to tenant screening over and over.

I needed to be able to put my Emergency Housing Voucher ( Section 8 ) to use before it expired so I pretty much did not have an option to sit around patiently waiting on anyone to correct my credit reports on their own time, or I would still have the collections on my report right now. Shortly after my disputes, all 3 bureaus had deleted the collection accounts. My credit scores disappeared entirely, and my chances of being approved for anything at all definitely did not increase, the chance remained the same or worse because of it. My Mohela accounts were still in the closed status and having a negative impact along with all their same negative history. I didn't or couldn't include them in the disputes, but Mohela staff told me they would be reported with all the fresh 100 % positive indicators, all the negatives removed and replaced with Paying As Agreed for every aspect of the accounts from the beginning to current. I was told that the credit reporting would take place the following month since I had called them just a few days after the normal monthly reporting date. 
XXXX comes and I check my reports : Mohela accounts unchanged whatsoever and still completely negative and closed status. 
XXXX comes and still nothing was changed. I called all XXXX bureaus to explain everything in order to have them dispute the accounts since they were still 100 % completely incorrect. 
XX/XX/XXXX : I call the bureaus that still show the Mohela accounts unchanged on todays generated reports received from annualcreditreport. XXXX deleted them entirely instead of them getting the full overhauled update I have been expecting and waiting for, so I don't think they did what I needed them to do at all.. XXXX doesn't show any indication of the disputes and the accounts are unchanged. XXXX doesn't work at all and has no data on my reports nor dispute history or anything else whatsoever, its just a barren void with dead buttons, so I called them at a totally new different number and actually got through. They told me the dispute was completed just last week and that Mohela verified the accounts as being accurate ...... 

XX/XX/2023 : Mohela reported the accounts as being exactly the same as they have been for years ; Closed, transferred, delinquencies, severely past due, all the same. The only difference on my report for the Mohela accounts info is the box indicating Date Reported : XX/XX/2023 ..... 

I didn't believe that XXXX had even submitted the disputes because I found it very hard to believe Mohela would verify my open active accounts that I have even submitted payments on last month as being closed, let alone the rest of the negatives. This is unacceptable and it is not in line with what I was told from them at all. 

The worst part of the whole thing is that I still don't have any chance to get a loan, not even for the absolute minimum amount. My credit reports are essentially empty with XXXX open/active accounts on any of them and no scores. I thought I was finally going to become a regular person with options available like everyone else, but I am still locked out with no options at all.

Company response to consumer: In progress