Consumer complaint received 2024-09-29 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Received bad information about your loan
Company: MOHELA
State: CA

Complaint narrative:
Two issues : 1. In XXXX, my student loans were improperly moved out of the Public Service Loan Forgiveness ( PSLF ) program and placed into another payment plan without my knowledge or consent. Prior to this change, I had Income-Contingent Repayment ( ICR ) in place. When I discovered the issue, I submitted the necessary forms to have my loans moved back into PSLF and requested that my ICR plan be reinstated. 

On XXXX, I submitted these forms via priority mail to MOHELA, and they were received on XX/XX/XXXX. Despite this, MOHELA has not acknowledged receipt of these documents or restored my ICR. I have made multiple attempts to contact MOHELA through phone calls and their online portal, but they have not responded or provided any resolution. As of XXXX, my account has been marked as past due. I have struggled to make the payments demanded of me, each time having to borrow the {$1600.00} needed to keep my account current. 

I'm in ICR  as I am a public school special education teacher. My path through college was always with the understanding that PSLF and IDR were part of the deal, given that the salaries of public school teachers are not such that it's financially viable to pay for the necessary degrees and certifications. I have kept up my end of the bargain by communicating with MOHELA, but they have not acknowledged any of the issues I've presented and they have not communicated with me. 

I consider the now over {$3200.00} I've paid in the last XXXX months to be an over payment and expect that the ICR to be implemented and the overpayment refunded so that I can pay back the people from whom the money was borrowed. At a minimum, my account should be placed in administrative forbearance whilst the issue is resolved, then the overpayment be refunded.

2. As a credentialled public school teacher ( special education ), there are steps that I must take in maintaining my credential. Now in my fourth year of teaching in XXXX, I am in XXXX programmes, XXXX to move from probationary status to a full, clear credential. For this, I am enrolled less than full time at XXXX XXXX XXXX XXXX XXXX. Simultaneously, as a XXXX XXXX XXXX  at a Title XXXX school in XXXX XXXX, I primarily work with XXXX Language Learners. To that end, I began a XXXX programme ( full time ) at XXXX XXXX XXXX  on XX/XX/XXXX. This fact should place my account in in-school deferment. I communicated my new status to MOHELA on XXXX via their web site, uploading documentation to support my status. I received no reply. At the time, my account was current. My account was not moved into deferment. Waiting a time with patience, I reached out to my school for additional documentation that I could submit to MOHELA. The school wrote a letter explaining my enrollment dates, full time status, and etc. I uploaded it on XXXX. This was done as the account was a few days past due and I lacked the funds to pay given I get paid on the fifth of every month. Not hearing a thing, I reached out to my school again. They said that they communicated my enrollment status electronically to the " XXXX XXXX '' on XXXX. They advised me to visit the " XXXX XXXX '' web site and download a verification letter. I did so and uploaded it on XXXX. Each of these uploads included a detailed letter explaining the situation and what I expected to happen. 

This morning, seeing no movement on my account, I again borrowed money to bring my account current. 

Given that I was enrolled full time at an accredited programme ( XXXX ), I consider the last payment an overpayment and need it to be refunded very soon so as I can re-pay the loan that allowed me to pay it. 

In all of this, MOHELA has not contacted me. They have not acknowledge receipt or understanding of any of my communications. 

I look forward to the refund of my overpayments and the immediate placement of my account into in-school deferment.

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