Consumer complaint received 2024-01-19 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: MOHELA
State: IN

Complaint narrative:
I am enrolled in the PSLF program and MOHELA has incorrectly placed me on a Level repayment plan which does not count towards PSLF. I have called numerous times to check on the status of my pending IDR plan. 

I applied for the XXXX repayment plan in XX/XX/XXXX. MOHELA/Student Aid has been processing my application since XX/XX/XXXX, and it is still " processing '' as of today, XX/XX/XXXX. Since XX/XX/XXXX, MOHELA has placed me on the wrong repayment plan. MOHELA has placed me on the Level plan, but previous to my re-application in XX/XX/XXXX I have always been on an IDR ( income-driven ) repayment plan in order to count my eligible employment toward the PSLF program. I spoke to customer service representatives at MOHELA back in XXXX and XX/XX/XXXX, who verbally verified the correct payment under the XXXX plan that would be applied to my account once payments restart, yet I never received written communication about this. For the last 2 months, MOHELA has disabled the message button on my account, so I am unable to directly send messages in order to have written communication on file. When I asked a MOHELA customer service representative for written verification of my conversations, they said no. 

Since then, I have reached out to MOHELA again to fix this issue and to place me on the correct IDR plan. They have me due for a payment today, XX/XX/XXXX, on the Level plan which is incorrect and will NOT count toward PSLF payments, as well as the payment amount being incorrect and much higher than what I would pay on my typical IDR plan. I have reached out 3 separate times during the month of XXXX alone to have this issue resolved and still no change to my account. As of XX/XX/XXXX, MOHELA has placed only half of my loans in Administrative Forbearance, with a XXXX plan payment still being reflected on my account. When I last spoke with a representative at MOHELA previous to XX/XX/XXXX, they misinformed me. I was explicitly told that my full account would be placed into forbearance until I was on the right repayment plan, since I have taken all necessary steps on my end to apply to an IDR plan to have my payments reflected for PSLF. As of today, there is no change on my MOHELA account. For the record, I have a 100 % on-time payment history for my loans and now due to MOHELA 's processing errors, misinformation, and lack of proper guidance, I may have a past-due payment reflected on my account and a full month of eligible employment not counting toward my PSLF. How is that fair, when I have taken all the correct steps necessary on my end to make sure I am on an IDR plan for my PSLF payment counts? 

I need further assistance with this matter as my calls to MOHELA have not remedied my requests and have created significant stress on my end over the last couple of months.

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