Consumer complaint received 2026-04-12 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: PA

Complaint narrative:
I found out I had bad credit from my credit officer in XX/XX/XXXX. He informed me that I have XXXX delinquent accounts with MOHELA, that are in SERIOUS Delinquency. I called MOHELA the same day to resolve what is happening. I was not NOTIFIED when my loans came out of DEFERMANT and FOREBARANCE. I called MOHELA XXXX months after I graduated from my XXXX XXXX XXXX to set up a payment plan, XX/XX/XXXX. The guy on the phone said DO NOT WORRY about your loans, your school still thinks you are in school and not graduated. He put my loans into Forbearance and told me this phone line is recorded QUOTE FROM THE REPRESENTATIVE, DO NOT WORRY call again in a year so about XXXX or XX/XX/XXXX. I did not worry about this issue until XX/XX/XXXX when my loan officer informed me about my bad credit. I called MOHELA in XX/XX/XXXX to set up a payment plan and start paying on my loans. I started paying on my loans XX/XX/XXXX. My loans came out of delinquent status. I went back into MOHELA to make my second payment for XX/XX/XXXX. I saw that it says on my MOHELA account I missed 7 payments, I DID NOT. I was approved to pay {$40.00} a month starting XX/XX/XXXX. My account is saying I owe XXXX dollars. I called MOHELA to fix the issue of why it is saying my loans are in delinquency again and I missed 7 payments. The representative on the phone and their supervisor tried to " override '' this problem but failed 5 times in trying. The representative then informed me that she put my account into a " QUE '' in another department to resolve this issue. She said it could take XXXX week to resolve since my account is flagged and in SERIOUS delinquency, or it could take up to 90 days to resolve. I check my account every week, nothing has changed and my CREDIT SCORE in going BACK DOWN BECAUSE NOBODY IS HELPING ME WITH THIS PROBLEM THAT IS OUT OF MY HANDS. I HAVE DONE EVRYTHING I COULD DO TO FIX THIS. I CALL MULTIPLE TIMES per week for someone to figure this out so my CREDIT SCORE can stop declining. I AM FURIOUS that nobody is doing anything to resolve this issue. When I called MOHELA again and stated this issue, the representative on the phone stated it is still in the " QUE '' and will take 120 days. I asked does this hurt my credit since it is out of my hands, and she QUOTE said " If there are any repercussions from this on your credit, it will resolve over time. '' THAT IS NOT FAIR TO ME AND THE CREDIT I WORKED HARD TO FIX!! I do not have time to wait 120 days to see if this " resolves. '' This is hurting my Credit score, which is affecting my mortgage on my house, my credit card, my car payment, and my loans for school. If I knew this would have happened with MOHELA I would have never even wanted to be a XXXX because of this!! This is extremely awful, which is making me have a serious decline in my XXXX health because I am trying to fix this issue but nobody else on their part is doing ANYTHING about this!! I need to have this problem resolved as soon as possible so that my credit score can be in a steady incline to resolve itself. I am fed up with MOHELA!!

Company response to consumer: Untimely response