Consumer complaint received 2025-08-12 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Struggling to repay your loan — Problem with forgiveness, cancellation, or discharge
Company: MOHELA
State: GA

Complaint narrative:
XXXX XXXX XXXX XXXX XXXX XXXX XXXX, GA XXXX XXXX XXXX XX/XX/year>2025 To : XXXX XXXX XXXX Feedback Center U.S. Department of Education Subject : Urgent Complaint Regarding MOHELA Misreporting Paid Student Loan Balance To Whom It May Concern, I am writing to formally document and request immediate correction of a serious and ongoing error involving my federal student loan account serviced by MOHELA. 
On XX/XX/year>2025, MOHELA received a payment of over {$220000.00} from the XXXX Department of Education under the Public Service Loan Forgiveness ( PSLF ) program, fully satisfying my student loan balance. Despite this payment being received and applied, MOHELA has continuedfor more than eight monthsto report that my loans remain owed and active on my online account and some of the information is still reflected on my credit report. 
Since XXXX, I have made at least 10 documented calls to MOHELA, including conversations with multiple supervisors. Each time, I was told the error was due to a system glitch and that the matter would be resolved. As of todays date, ( XX/XX/year>2025 ), my account still reflects an outstanding loan balance that should have been cleared in XXXX. In fact, one of the call center associates suggested that I put the loans in forbearance until this is resolved, but it may accrue interest. ( Interest on a loan that was already paid off is illegal. ) This persistent misreporting has caused unnecessary XXXX, uncertainty about my loan status, and concern about possible credit reporting issues. Furthermore, MOHELAs continued inaction despite repeated assurances raises serious questions about compliance with federal loan servicing obligations. 
Timeline Summary : XX/XX/scrub> 2025 MOHELA received PSLF payoff from the XXXX Department of Education ( ~ {$220000.00} ). 

XXXX 2025 Multiple calls to MOHELA ; supervisors confirm its an error and will be corrected. However, as of XX/XX/year> I am still being sent letters for upcoming payments, XXXX ( XX/XX/year> ) XXXX still appears as owed on MOHELAs system. 

Requested Action : Immediate correction of my account to reflect a {$0.00} balance in accordance with the PSLF discharge received in XX/XX/year>2025. 
Written confirmation from MOHELA verifying the account is fully satisfied. 
Verification that no adverse credit reporting has occurred due to this ongoing error.

If corrections have been reported to credit bureaus, written documentation of the updates.

I am prepared to provide copies of my call logs, screenshots of my online account, and any relevant correspondence to substantiate my claims.

Given the duration of this error and the lack of resolution despite numerous attempts, I am requesting that this matter be addressed within 15 business days of receipt of this letter.

Thank you for your prompt attention to this matter. I look forward to your written response confirming resolution. 
Sincerely, XXXX XXXX XXXX XXXX

Company response to consumer: Untimely response