Consumer complaint received 2023-02-16
Company: MOHELA
State: AZ
Product: Student loan
Sub-product: Federal student loan servicing
Issue: Dealing with your lender or servicer
Sub-issue: Received bad information about your loan

Complaint:
Since Mohela took over my student loans it has been a true nightmare which has affected my mental health. They have been so unresponsive down from the agents on the phone to the agents in chat, to the supervisor, and Ombudsman. I have contacted them over the phone, in writing and filed a complaint to the ombudsman and all I get as a response is that they are working on it. I have spent endless hours on the phone waiting for agents to take my call, and every time I am sent to speak to a supervisor, I have to wait over one hour to speak to someone. I have spoken to XXXX XXXX & XXXX over chat, not to mention all the other agents I have spoken to over the phone, as well as the various supervisors, XXXX ext. XXXX, XXXX ext. XXXX, XXXX  ext. XXXX, XXXX ext. XXXX, and XXXX. I have spoken with 5 different supervisors which names I have mentioned, and they all agreed and were confused as to why my only XXXX  loan was updated differently on the qualifying payments. Every supervisor has confirmed that I only have THE XXXX  loan which is Subsidize/Unsubsidized should update the exact same way. I have been told that they reach out to Customer Advocacy team and they cant resolve their error. Then they tried to blame it on XXXX  XXXX that they did not provide the correct information however that is completely a lie because when my loans transferred to Mohela from XXXX XXXX XXXX XXXX  loan would update with the same payment count. Every year when I certified my employer XXXX form with XXXX  XXXX they did it in a timely manner and they would update the same loan unsubsidized/subsidize with the same payment count. ( Mohela ) I logged in and had seen the XXXX  Loan XXXX having the same payment credit count, however I logged in on XX/XX/2022 and noticed that my subsidized loan had updated to 116 qualifying payments, but my unsubsidized loan had stayed at 87 qualifying payments. I was assured by XXXX the supervisor that within the next 30 days I would see my payment count to reflect the same however I was then called by another supervisor that I needed to file a reconsideration form through studentaid.gov. While on the phone with supervisor XXXX, she asked me to file the reconsideration and wait to provide her with the case number. I provided her with case # XXXX and XXXX had me submit a copy of the email receipt with the case number to the XXXX department for further processing. A few days later I received a call from supervisor XXXX, and she advised me that the CAT team had advised her that it was in internal error that they could not correct. It is unacceptable that Mohela is the one who made the mistake and did not update my XXXX  loan with the correct qualifying payments, and they keep blaming others for their wrongdoing. I also never heard from the Ombudsman which that person should be investigating claims filed and discrepancies done by Mohela. Also, Mohela continues to tell me that XXXX is the only one that can correct this however I have spoken to XXXX  many times and they continue to advise me that Mohela is the only one that can correct it. I was encouraged by the Department of Education to file this complaint. I continue to reach roadblocks with many attempts for clarification and correction by Mohela. I have been working towards XXXX XXXX for the last 10 years. I am requesting that forgives is applied to my XXXX loan that has Subsidize/Unsubsidized balance as I would have taken all the steps necessary to have the entire sum of my loan forgiven. It is not appropriate that I have to work around any remaining obstacles created by Mohela to obtain forgiveness.

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