Consumer complaint received 2024-09-12
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: MOHELA (NE)

Have been paying on FFEL loans on XXXX from XXXX through XXXX. 
Principal balance in XXXX : XXXX XXXX XXXX- Applied for consolidation to XXXX and also made a payment due of {$300.00}. 
XX/XX/XXXX - I cancelled the consolidation, and requested to end my consolidation forbearance ( which amounted exactly 1 day ), because I feared the possibility of getting an unreasonable IDR payment plan after consolidation. 
XX/XX/XXXX - XXXX sent a letter confirming that I ended consolidation and then sent me another bill for {$400.00}. 
XX/XX/XXXX - Requested that XXXX count my payment from XX/XX/XXXX. They did, and then sent me a bill for {$100.00}. ( smh ) So I paid that bill. 
XX/XX/XXXX - XXXX notifies me of my *new* payment plan after my 24-hour forbearance in XXXX, and it is now {$100.00} more than what I was paying, and my next payment due is either XXXX, ( according to a letter they sent ) or XXXX ( according to the info on the site ). Im a little shaken, so I budget, and make a {$400.00} payment, in XXXX. 
XX/XX/XXXX - Found out new info stating that an IDR was not necessary after consolidating to direct loans, so I called XXXX to reinstate the consolidation. I spoke with a Consolidation Specialist who reinstated my consolidation also told me to upload my PSLF Application that same day. 
XX/XX/XXXX -Loan Consolidation was complete ( exactly 30 days from reinstating ). 
XX/XX/XXXX - Checked XXXX balance and I have a CREDIT of, you guessed it, {$400.00}. 
XXXX XXXX put my account into XXXX payment suspension. So no interest and no payments until XX/XX/XXXX. 
XX/XX/XXXX - XXXX sent a letter saying PSLF Application was received and the review has begun. 
XX/XX/XXXX : Still waiting for my payments to be reviewed. Loans went from XXXX, to MOHELA to MOHELA XXXX. I have XXXX years ( from XX/XX/XXXX to XX/XX/XXXX ) payment history missing from the transfer XXXX. All the transitions just transferred incorrect information from my payment history. My missing history does not consist of ineligible payments either. The history is just not there. There is nothing recorded from between basically XXXX and XXXX. 

XX/XX/XXXX : Submitted a complaint to Department of Education, asking for the missing payment to be recorded and provided them with my documentation from XXXX that proves I made payments. 

XX/XX/XXXX : I got this feedback message today from Student Aid dot Gov regarding payments that were missing. Mind you, I consolidated with XXXX, then during my payment counts my loans were sent to MOHELA, and they were never updated. 
*I also called MOHELA several times and they said ( ED ) is in charge of this.

Thank you for contacting the U.S. Department of Educations ( ED ) Office of Federal Student Aid. We have received your complaint regarding the Federal Direct Student Loan that was being serviced by MOHELA. Your concern, as we understand it, is that you believe there were 6 years of payments that were not applied to your account prior to your consolidation, from XXXX through XXXX. You want these payments applied to your account now. MOHELAs records indicate you consolidated your loans on XX/XX/XXXX. When you consolidate your loans, the prior loans no longer exist. You agreed to the new loan balance when you signed the consolidation paperwork. Anything that occurred prior to consolidation can not be changed or adjusted after the consolidation. The time to bring up the missing payments would have been when you were going through the consolidation. 

XX/XX/XXXX : I filed a reconsideration request today. But I decided to also submit a complaint to you because I found that reconsiderations will also prolong my wait and I have already been waiting for 3 years.