Consumer complaint received 2025-01-10 00:00:00
Product: Student loan — Private student loan
Issue: Dealing with your lender or servicer — Problem with customer service
Company: MOHELA
State: NC

Complaint narrative:
I attended an XXXX XXXX XXXX, Illinois XXXX XXXX XXXX XXXX XXXX graduating in XXXX which has since been closed, sued by the federal government for fraud and forgiven federal loans. 

In XX/XX/XXXX I submitted my first school misconduct application to XXXX ( now Mohela ). I included copies of the XXXX federal lawsuit that found AI guilty of using predatory and aggressive admission practices, inflating ( lying about ) employment numbers and Career Services, and lying about accreditation, amongst other illegal practices. Screenshots of the XXXX AI website prove this. I also includedpersonal facts about shady admissions practices, how I was unable to find gainful employmentafter graduation, and how the Career Services promised at admissions was nothing more than leads for restaurant and minimumwage retail jobs. 

Degrees from all AI schools have been deemed worthless because the organization lost their college accreditation. XXXXMohela gave me vague responses to the denial about it being proprietary and specific to each individual. Submitted a responding complaint here at XXXX for more specific explanation about the denial and received THE EXACT SAME RESPONSE. 

I have friendsthat attendedAI with me the exact same years, and owe less than I do, that received a loan discharge from XXXXMohela! The same friends who received thedischarge told me to give a morepersonal response of how I was harmed by AI. Again, MY FRIENDS HAVE EXACT YEARS OF ATTENDANCE AT THE SAME SCHOOL AND OWE MORE THAN ME, WERE APPROVED BY NAVIENT ( NOW MOHELA ) FOR A SCHOOL MISCONDUCT LOAN DISCHARGE. My account is in good standing and I have paid on it for almost XXXX years. What reasoningcould possiblyexplain why my friends with more money owed on their XXXX loans at the exactsame school during the same time be? XXXX XXXXXXXX is afraudulentschool and has been acknowledged so by XXXX ( now Mohela ) by discharging loans from the same time period. 

The business practice of random denial of the application is nonsense and discriminatory. 

In XX/XX/XXXX, when Mohela took over from XXXX, they doubled my interest. 

I resubmitted my loan discharge application to Mohela ( formerly XXXX ) in XX/XX/XXXX with even more evidence in addition to the first set of evidence from XX/XX/XXXX. I talked about cobbling together part time jobs ( not in my field ) after graduation to put a roof over my head. Gave medical evidence of mental health treatments due to overwhelming XXXX. Being denied transfer credits to finish my education, being told by potential employers that my degree was worthless... 

Today, again, XX/XX/XXXX I was denied the school misconduct discharge by Mohela. A flaccid explanation of " A variety of factors are considered in determining whether a private loan should be discharged based on school misconduct and you don't meet the requirements for discharge based on misconduct by your school. '' I am being wrongly denied private loan forgiveness and the lack of specifics from Mohela. They are not using fair business practices by randomlyassigning school misconduct discharges for an opaque mystery factor. Same years, same loan types, classmates get theirdischarges for my XXXX  " misconduct practices. '' I belong to an online group of AI alumni. This practice being randomlydistributedwith no reasoning. Why am I denied? 

The business practice of random denial of the application is discriminatory.

Company response to consumer: Closed with explanation