Consumer complaint received 2023-12-11
Company: MOHELA
State: CA
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:
Essentially I am running into an issue with Mohela intentionally using misleading and incorrect information to force me to pay them at a higher and non-contractual rate. I would also complaint that their issues which while it is extremely frustrating to me, is at least somewhat navigable to me while I have time, not everyone works at a desk and can wait hours to speak with the company. This should NOT be the process, and these should not be with private servicers. 
Background -- -- I have a student loan with Mohela totaling approx XXXX, previously XXXX that transferred to Mohela. During the transition my loans were on their pay program, and during the transition from REPAYE to SAVE, Mohela inputted data incorrectly and did not include my spouse 's loans, resulting in incorrect amounts being due each month. When I spoke to Mohela multiple times, they indicated they would recalculate with the correct information from the loans, and that the only change would be the amount of total loans included ( i.e. adding my spouses loan amounts ). When the loans were reviewed, my loans went from XXXX/month under repay ( correct ) to XXXX during the covid forbearance, to XXXX/month, to XXXXmonth, to XXXXmonth under the SAVE plan, ( based on total amounts, still high but at least agreeable ), and then to XXXX undera 11 leveland 1 save plan split. I will be paying the XXXX in XXXX, and while it affects XXXX, and what I can get my son, wife, and family for XXXX, its what I agreed to and I will happily pay that amount and amounts as applicable until paid off. I previously spoke to Mohela during the transition to reflect the transfer and was told they would be able to handle the change. This was incorrect, they set the monthly payment amount to XXXX, I called and indicated my spouse had loans, and Mohela indicated they would review and reprocess, this revised my monthly to an amount totaling XXXX on XX/XX/XXXX. I called and spoke to a supervisor on XX/XX/XXXX indicating that i previously had my monthly amounts under repay at XXXX and to ensure that the applications should be IDR and reflect the full amounts of loans at issue, the supervisor indicated that she entered the data from the information she had based on my XXXX data, and that everything would be OK when it was processed. And then on XX/XX/XXXX, I thought we were at least in agreement and my monthly amount was set at XXXX. This is the amount I accepted to pay until I would recertify as Married Filing Separate next year ( around XX/XX/XXXX when recertification was due ). _________ Current status After multiple discussions, multiple hour long calls and requests, on XX/XX/XXXXXXXX my loans which previously have always been income based XXXXmonth and XXXXmonth, were switched to have 1 loan be a SAVE plan loan, while each and every other one were changed to a LEVEL plan payment, totaling a monthly payment of XXXX and 11 level plans totaling which ( inclusive of XXXX ) total XXXX. This amount would mean I could not buy food, pay for my son 's school or contribute to my household in any way. 

After waiting for nearly an hour to speak with my servicer today on XX/XX/XXXX, I was told that there was an issue with my account as a previous request to include information that existed in my file, was interpreted as " to put borrower back at regular payment '' based upon my XX/XX/XXXX call to update information and review all loans based upon my complete history, XXXX, no id #, somehow processed that request and jumped to the idea that I was to be converted to a monthly payment plan without IDR included, increasing my loans from XXXX to XXXX, and removing my previous history of on time payments 1/3 of the way to loan forgiveness. 

I was subsequently told that : I could not speak to a supervisor. 
That the only solution that I had was to put in a new application. 
that " XXXX '' she has been advised we would have to go over repayment options if I disagree with the payment plan that I have been on. 
She has requested the approval to transfer to a supervisor and was advised to handle the account and procedure. 
And the agent is requiring that I submit a new application and a new rate. Further that my only option was to speak Student Aid if I wanted help, That the only possible thing that Mohela could do was to process a new application. She further indicated that she could not send a copy of the request, or the communication, or the data that went into the application because it was an internal communication. 

I need help, and I will not get it from Mohela. Please get me off of the level plan and put on the same plan that I should be on. Further, have Mohela review the XX/XX/XXXX communication from their own supervisor and the existing messages requesting help with the intent it was given, and update my application based upon the existing information currently in file with Mohela from XXXX, as indicated in my multiple calls and written communication. In the alternative, please review my monthly payment amount to the amounts set on the approval letter for XX/XX/XXXX.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation