Consumer complaint received 2025-11-21 00:00:00
Product: Debt collection — I do not know
Issue: Attempts to collect debt not owed — Debt is not yours
Company: MOHELA
State: MO

Complaint narrative:
I am filing this complaint because the information being furnished and reported under MOHELA ( also appearing as MOHELAXXXX XXXX  on my credit reports contains significant inaccuracies, inconsistencies, and unverifiable data that have severely damaged my credit profile. After reviewing my credit reports, I noticed multiple MOHELA-related accounts with conflicting balances, inconsistent payment histories, and discrepancies that raise serious concerns about the accuracy of the reporting. I have attempted to dispute these accounts through the credit reporting agencies, and I also filed an official identity-theft report with the Federal Trade Commission XXXX Despite these steps, the derogatory MOHELA information continues to appear on my credit reports without any legitimate documentation or method of verification provided to me. Because of these failures and the ongoing harm the incorrect reporting has caused, I am requesting assistance from the Consumer Financial Protection Bureau ( CFPB ) to compel MOHELA to provide full documentation or remove the unverifiable negative entries. 

The first indication that something was wrong came when I noticed that MOHELA was reporting several accounts with balances and dates that did not align with any record I have. The MOHELA entries show balances that appear inflated compared to the original loan amounts, dates of last payment that do not seem accurate, and reported updates that do not match my understanding of my payment history or interactions with any servicer. In some cases, MOHELA lists a last payment date but shows a {$0.00} payment amount, which is contradictory and suggests an internal data error. Additionally, the reported account statuses appear inconsistent across multiple credit bureaus. This type of inconsistency is deeply troubling and strongly suggests that the information may not be accurate, may not have been transferred correctly from previous servicers, or may be tied to identity misuse.

These inconsistencies prompted me to initiate disputes with each of the major credit reporting agencies. In these disputes, I clearly stated that I believed the MOHELA information to be inaccurate, incomplete, or unverifiable. I requested that the bureaus contact MOHELA to obtain proper documentation verifying the accuracy of the accounts, including original loan documents, payment histories, delinquency notices, servicing-transfer records, and communication logs. However, instead of receiving copies of these documents or any explanation of how the information was verified, I received generic responses from the bureaus stating that the accounts had been verified. No documentation was provided. No investigation results were shared. No explanation was provided regarding the method of verification. A generic verified response without documentation does not satisfy the Fair Credit Reporting Act, which requires a reasonable reinvestigation of disputed information.

Because MOHELA handles student loans, it is common for these loans to have been serviced by multiple companies throughout their lifespan. If these loans were transferred between servicers, the transfer should have included complete and accurate records, including payment histories, repayment plan selections, deferment or forbearance records, and delinquency data. If MOHELA received incomplete or incorrect records during such a transfer, the information they furnished to the credit bureaus may be incorrect. However, since MOHELA has not provided any transfer records or original loan documents, I can not confirm whether the reporting is based on legitimate loan data or whether the negative information stems from servicing-transfer errors.

Part of my concern also comes from the appearance of MOHELA accounts only on certain bureaus or appearing differently depending on which bureau I review. A legitimate loan servicer reporting accurate information normally reports the same information to all three major credit bureaus. The inconsistent reporting suggests that either MOHELA is not furnishing uniform information to all bureaus or that certain bureaus are receiving incomplete or incorrect files. This adds to my belief that the information is not being validated before submission or that MOHELAs data-furnishing process itself may be flawed.

Another major issue is that I do not recall receiving any delinquency notices or communication from MOHELA regarding missed payments or late payments that would justify the negative reporting. Under federal law and federal student-loan servicing guidelines, servicers must send multiple notices before reporting adverse information. These notices typically include updated billing statements, repayment-plan options, reminders, warnings, and offers to assist borrowers in avoiding delinquency. If MOHELA claims that I was delinquent, they should be able to provide copies of these notices and communication logs. I have not received any such documentation, nor have the bureaus provided it to me. Without proof that these notices were sent, the derogatory reporting is incomplete and misleading.

Additionally, because I filed a formal FTC Identity Theft Report, MOHELA is required under the Fair Credit Reporting Act to either verify the account with proper documentation or block it from appearing on my report. Since MOHELA has not provided verification through original documentation, they should have removed the information. Instead, the negative accounts remain, suggesting noncompliance with identity-theft procedures and federal reporting standards.

The financial and emotional impact of this inaccurate MOHELA reporting has been significant. Incorrect student-loan reporting can dramatically lower credit scores, making it difficult to obtain loans, buy a home, rent an apartment, secure employment, or access competitive interest rates. It creates barriers to financial mobility and results in long-term consequences that could have been avoided if MOHELA and the credit bureaus had complied with federal law. Additionally, the stress of dealing with unverified derogatory student-loan reporting has caused ongoing emotional distress, confusion, and frustration.

Because the negative reporting remains despite my disputes and despite the identity-theft report I filed, I have reason to believe that the credit bureaus did not conduct a proper reinvestigation and instead relied on automated systems such as XXXX  Automated reinvestigations often result in blanket verified responses that lack human oversight. This is unacceptable when dealing with complex federal student-loan accounts, which require detailed documentation and manual review. 

Given all these issues, I am requesting CFPB assistance to compel MOHELA to comply with federal law by providing full documentation or removing unverifiable information. The following steps outline what a fair and lawful resolution would include : MOHELA must provide original loan documentation, including promissory notes, disbursement dates, repayment agreements, and any signed documents confirming the origin of the account. 

MOHELA must provide complete payment histories that accurately show all payments received, dates of payments, and how those payments were applied. 

MOHELA must provide delinquency documentation, including any notices they claim were sent prior to reporting negative information. 

MOHELA must provide servicing-transfer records, including all files it received from prior servicers and any files transferred out. 

MOHELA must provide communication logs, including emails, letters, phone attempts, and notices purportedly sent. 

The credit bureaus must provide the full method of verification, and disclose whether they received actual documentation from MOHELA. 

Any unverifiable, incomplete, or inconsistent information must be permanently deleted from all credit bureaus. 

Any information impacted by identity theft must be blocked, in accordance with my FTC report. 

Any unauthorized or unverifiable hard inquiries must be removed immediately. 

MOHELA must correct all inconsistencies between bureaus and ensure accurate, uniform reporting. 

Updated credit reports must be sent to all entities that accessed my credit in the past XXXX months. 

No unverifiable information should be reinserted unless MOHELA and the bureaus fully comply with federal reinsertion laws. 

MOHELA must review and correct its internal data-furnishing practices to prevent future inaccuracies. 

The inaccurate MOHELA information is causing ongoing, unnecessary harm. I have followed all required consumer steps by disputing the information and filing an identity-theft report. The companies involved have not provided documentation, transparency, or lawful verification. Therefore, the only fair resolution is for MOHELA and the credit bureaus to either provide documented proof of the information or permanently delete it.

Company response to consumer: Closed with explanation