Consumer complaint received 2024-03-08
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: MOHELA (CO)

I have been on an IDR since XXXX, I attempted to recertify several times during COVID and was told that there was no need to recertify during the payment pause. In preparation for the restart of payments, I began to attempt to recertify XXXX which was approved in XXXX of XXXX. I then had my loans transferred to MOHELA and received a letter stating that I needed to recertify my IDR as it had expired. I submitted another recertification form XXXX with the same information as the one in XXXX and was denied as I did not qualify. I attempted to submit another recertification form in XXXX of XXXX, which was denied because they could not verify my income. I resent the recertification form again XXXX, again on XXXX, on XXXX I decided to submit a new application rather than a recertify application and each one was returned for different reasons. None of these applications show in my federal student aid portal. I submitted another new application on XXXX and this one was finally processed according to the Federal Student Aid portal on XXXX. On XXXX I received a letter from MOHELA stating that they received my application and were having delays in processing but that it would be processed within 90 days. On XXXX I received a letter from MOHELA informing me that I had been put on administrative forbearance until XXXX I requested to be removed from this in my new application submitted on XXXX. I am currently unable to make any payments on my loans and therefore can not earn any credit towards my PSLF, meanwhile I am having huge amounts of interest added to my account every day. I still have no idea how much my payments will be or when they will be due. Additionally, I applied for Borrower Defense on XX/XX/XXXX and received a letter from the Department of Education stating that because I submitted my application between XXXX and XXXX that I would be in the Class members group who would have a decision no later than 30 months after the court 's approval of the settlement agreement- XX/XX/XXXX. I than received a letter on XXXX stating that because I applied for Borrower Defense between XXXX and XXXX that I was considered part of the Post-Class applicant group and that my application would be processed no later than XXXX and that my application would not be reviewed under the Streamlined Review Process the Class Settlement group would be reviewed under. I am not able to make payments to count towards my PSLF, I don't know how much my payments are, when they are due, my borrower defense is not going to be processed under the Streamlined Review Process, I have huge amounts of interest being applied to my loans and it is reporting to my credit that my student loan debt continues to increase. I cant do anything except watch my debt grow, knowing that by the time I am allowed to pay it back it will be significantly higher than it is now- which is already considerably higher than when the loans were established, despite paying on them for 10 years and never missing or being late on a payment.