Consumer complaint received 2024-02-10 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: AR

Complaint narrative:
On XX/XX/XXXX, I received a written request for annual recertification of income and family size indicating I must recertify by XX/XX/XXXX or be " redisclosed to a permanent standard plan. '' When attempting to do this according to the instructions, studentaid.gov would not allow me since I was already in a forbearance. On XX/XX/XXXX, I received an email indicating my account had been put in administrative forbearance between XXXX and XX/XX/XXXX. It is important to note that according to XXXX XXXX, my loans are still in a forbearance. I emailed MOHELA on XX/XX/XXXX, requesting additional information and why my recertification date was not extended. On XX/XX/XXXX, I spent about XXXX minutes on hold and spent another XXXX minutes requesting why my income recertification was not extended until XX/XX/XXXX. It is important to note that while on hold, MOHELAs automated messages indicated XXXX months past the payment pause would be XX/XX/XXXX numerous times. The representative was unwilling to listen despite me explaining the information on the Department of Education website. To prevent my student loan payments skyrocketing to almost {$2000.00}, I recertified my income which resulted in my payments increasing by {$450.00}. On XX/XX/XXXX, I filed a complaint with the department of Education who indicated I should receive an acknowledgement within 15 days. On XX/XX/XXXX, I received an acknowledgement indicating that I should receive a response within XXXX calendar days ( as of today, I have not received any response ). On XX/XX/XXXX, I filed a complaint with MOHELA about their deceptive practices for failure to follow Department of Education XXXX and trying to coerce borrowers in recertifying 12 month prior than they are required. On XX/XX/XXXX, MOHELA sent correspondence that my complaint could take 90 days to receive a response. On XX/XX/XXXX, I received written correspondence indicating my income recertification was approved and that my new payment would start on XX/XX/XXXX. At the bottom of this letter under annual recertification, it states : " The earliest you could be required to recertify is XXXX months after XX/XX/XXXX, when the payment pause ended. If your recertification date falls between now and XX/XX/XXXX, it will be pushed out by XXXX year. '' It is important to note that the letter also indicates I should received a billing statement at least 21 days before my due date. It was not received until today. 21 days from today is XX/XX/XXXX with a due date of XX/XX/XXXX. MOHELA has already failed to meet their obligations resulting in docking of payments due to this and still fails to continue to understand the requirements as set out by the Department of Education and it appears that they are deceptively trying to fraud individuals in recertifying sooner ( resulting in increased payments in most cases ) to help increase their income.

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