Consumer complaint received 2026-05-05 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: KS

Complaint narrative:
Subject : Formal Complaint PSLF Payment Count Errors, Improper Repayment Plan Placement, and Consolidation Processing Issues Borrower Name : XXXX XXXX Date of Birth : XXXX FSA ID : XXXX Loan Servicer : MOHELA Summary of Issue I am submitting this complaint to request a formal review and correction of my Public Service Loan Forgiveness ( PSLF ) payment count and loan history due to longstanding servicing errors, improper repayment plan placement, and consolidation processing mistakes. I have been employed as a public school teacher for approximately 16 years, and my employment has been certified. Based on my continuous qualifying employment, I believe I have met or exceeded the 120 qualifying payment requirement for PSLF. However, due to repeated servicing and processing issues over the past six years, my current payment count is significantly inaccurate. Detailed Issues 1. Inaccurate PSLF Payment Count My current PSLF qualifying payment count reflects XXXXXXXX payments, which does not accurately represent my repayment and employment history. I have had continuous qualifying public service employment and should have significantly more qualifying months credited. 2. Improper Handling of Consolidation Application My consolidation application was mishandled, resulting in certain loans not being properly included initially. This caused delays and disruption in my PSLF progress. These errors were not caused by borrower inaction but appear to be the result of servicer processing failures. 3. Placement on Incorrect Repayment Plan ( ICR vs. IBR ) I was placed on an Income-Contingent Repayment ( ICR ) plan instead of an Income-Based Repayment ( IBR ) plan, resulting in a substantial and unexpected increase in my monthly payment ( approximately triple what I anticipated ). I request a review of : Whether this placement was appropriate Whether I was provided accurate guidance regarding repayment plan options Whether this contributed to financial hardship or loss of qualifying PSLF credit 4. Extended Periods of Forbearance and Servicing Delays Over the past six years, I have experienced extended periods of forbearance and administrative delays. During these periods, I would have otherwise continued making qualifying payments toward PSLF. These interruptions were not voluntary and appear to be tied to servicer processing issues and lack of timely resolution. 5. Impact of Servicer Errors Due to the issues described above, I have : Lost qualifying PSLF credit Experienced unnecessary delays in reaching forgiveness Been placed in a more expensive repayment plan Been unable to make consistent progress despite qualifying employment Requested Resolution I respectfully request the following actions : Full manual review of my PSLF payment history, including all periods of qualifying employment Application of the Income-Driven Repayment ( IDR ) Account Adjustment to ensure all eligible months are credited Correction of any servicer-related errors, including consolidation processing issues Re-evaluation of my repayment plan placement, including whether I was incorrectly placed on ICR Consideration of retroactive credit for periods of administrative forbearance or delay If appropriate, immediate processing of PSLF forgiveness, as I believe I have met the 120 qualifying payment requirement Supporting Context I have made good-faith efforts to comply with all PSLF requirements, including maintaining qualifying employment and submitting necessary documentation. The discrepancies in my account appear to stem from servicing and administrative issues outside of my control. Conclusion After 16 years of public service, I am requesting a fair and accurate accounting of my PSLF eligibility. I am seeking resolution so that my loan status reflects my true eligibility for forgiveness. Thank you for your time and review of this matter. Sincerely, XXXX XXXX XXXX XXXX

Company response to consumer: Untimely response