Consumer complaint received 2025-05-12 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: FL

Complaint narrative:
MOHELA is my loan servicer. For starters, back around XX/XX/XXXX this loan servicer changed to a new website. During this transition, my automatic payments stopped. When I attempted to login to the new website I was flagged and subsequently locked out. To correct this first major issue, I spent a whole day using personal leave to contact them and correct this issue. Im not exaggerating when I say all day. I called XXXX XXXX to only be told to call MOHELA. My original wait time was 86 mins, but was disconnected around 65 mins into my wait. I called back, waited another 65 mins before speaking with a representative. This first call was around early XXXX of XXXX. After reaching a representative, it appeared all my issues were resolved. The missing payments due to their issue was waived and we setup automatic payments starting XX/XX/XXXX. 

I noticed on XX/XX/XXXX that my bank account was never charged for the XXXX billing cycle and there was an outstanding balance. I decided to make a direct payment assuming this would cover the XXXX payment and ensured my automatic payment information was up to date. Unfortunately I discovered in XXXX my automatic payments still did not take place. I again followed the website instructions to confirm my billing information which did finally automatically withdrawal from my bank account in XXXX. 

Due to their incompetence and my inability to reach a representative within a reasonable wait time, Im now being threatened with emails and phone calls concerning my delinquency. I work as a healthcare provider for a federal agency. My days are filled with direct patient care. I arranged for a second personal day off work using my annual leave hours to contact MOHELA. I would like it on the record that Im currently on hold for 3 hours and 16 minutes waiting to speak to a representative to help correct their incompetence. At this point Im sure Ill never speak with a representative as its now after their business hours.

Ive been informed by one representative earlier on this call that my account has been labeled as delinquent. I have approximately 2-3 days ( depending on who or what you reference ) before Im sent to collections. Of course, this representative did not have the ability to assist me and transferred me. That was the second time I was transferred today.

I would like to know how one loan servicer holds our financial wellbeing in their hands yet is unavailable within a reasonable amount of time to assist us with our needs. I should not have to use my personal leave for my school loans but yet Ive done it twice with the same issues unresolved.

Please help those of us who are dedicated civil servants, working long hours off the clock to deliver the very best healthcare to our nations Veterans. As I
wrap up this complaint, know Im still waiting on hold with MOHELA.

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