Consumer complaint received 2023-04-20
Company: MOHELA
State: MS
Product: Student loan
Sub-product: Federal student loan servicing
Issue: Dealing with your lender or servicer
Sub-issue: Trouble with how payments are being handled

Complaint:
I recently submitted a complaint with the XXXX and through the CFPB on XXXX regarding my student loans that are being handled through Mohela. I applied for the PSLF back in XXXX of XXXX. I submitted and uploaded all the documents that I was asked to send in regarding my current employer. When I applied, my current employer wasn't coming through the student aid tools database. So, I was required to print the form off and complete it manually. Months later I was asked to submit documentation showing where my employer is a governmental agency. I submitted this information to Mohela last year along with my w2 showing my employer 's EIN. After filing my complaint, it appeared that Mohela was finally looking into my application. I received a letter from Mohela dated XX/XX/XXXX stating that I have 114 qualifying payments and when I logged into my Mohela account online it reflected the same number of qualifying payments and stated that I had 6 remaining payments left before I would reach the 120 payments needed for my loans to be forgiven. It also showed where my current employer had been qualified and approved as being a qualifying employer. I logged back into my account a week or two later and saw my qualifying payments have been dropped from XXXX to XXXX. I have been employed with governmental agency since XXXX. I've been with my current employer since XXXX. My loans should be near the 120 payments needed in order for Mohela to forgive my loans. I called Mohela last month regarding the issue and I called again on today. I was placed on hold forever by the rep. She stated that she did see the letter that was sent out to me, but she stated that the system still was showing that my employer still hadn't been approved and was being reviewed. I asked to speak with a supervisor, but was placed on hold for almost an hour after having already being on hold forever with the rep. The supervisor stated that the letter that was sent to me and the payments that were uploaded to Mohela were done in error by an employee. She stated that all of my information was sent to the Federal Student Aid for them approve my employer. She stated that it was still being reviewed. I stated to her that this issue has being going on now for over a year, which is absolutely ridiculous! I feel that Mohela has mishandled my case for months. I have been having problems with them since my loans were transferred to them. How do you send someone a letter and update your system to reflect something and then just remove it after being approved. There should be someone in upper management, through their corporate office who can reach out to Federal Student Aid regarding my complaint and to see why has it taken so long for them to look into my case. It should not be that hard for them to verify with the IRS or whomever it is that they need to reach out to, to verify that my employer, XXXX XXXX XXXX XXXX is a governmental agency. I am sick and tired of having to submit complaints before my case is looked at. I have attached a copy of the letter that I received from Mohela and the letter I received from my Human Resource Dept. I would like for all of my payments to be added back to my account because I meet all of the required qualifications. My account number is XXXX.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with non-monetary relief