Consumer complaint received 2025-05-06 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Incorrect information on your report — Account information incorrect
Company: MOHELA
State: IL

Complaint narrative:
I am writing to formally dispute the accuracy, legality, and continued credit reporting of the above-referenced student loan account currently serviced by your organization. Based on publicly available reports, oversight findings, and my own personal experience, I assert that your servicing of my student loan has violated federal loan servicing standards and consumer protection laws. I am therefore demanding immediate investigation and corrective action. 
Background and Grounds for Dispute According to a XX/XX/year> report by the XXXX XXXX XXXX XXXX supported by additional investigations MOHELA has demonstrated a documented pattern of mismanagement and misconduct, including but not limited to : 1. Failure to Send Timely Billing Statements As acknowledged by U.S. Department of Education oversight reports, MOHELA failed to send timely billing notices to over XXXX XXXX borrowers, causing involuntary delinquency and missed payments. 
Source : protectborrowers.org/mohela-hit-with-groundbreaking-consumer-protection-lawsuit XXXX. Providing Misleading or Incomplete Information Borrowers including myself have been misinformed about repayment options, forbearance availability, and eligibility for loan forgiveness programs ( e.g., XXXX, XXXX ). 
MOHELA has also been accused of obstructing access to loan relief through deceptive practices and administrative delays. 
XXXX. Imposing Unlawful Waiver Clauses MOHELA has reportedly inserted legal disclaimers into borrower portals requiring consumers to waive legal rights including those granted under the Higher Education Act and relevant state protections.

4. Negative Credit Reporting Due to Servicer Error If any delinquencies or late payments have been reported to credit bureaus as a result of your servicing failures such as missed statements or inaccurate information this constitutes inaccurate reporting in violation of the Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681i Legal Demands Under Federal Law In accordance with the FCRA ( 15 U.S.C. 1681s-2 ( b ) ) and the Higher Education Act, I am requesting the following actions : XXXX. Comprehensive Audit and Documentation Provide a complete, itemized payment history and ledger for my account. 
Include all notices of deferment/forbearance, communication logs, and any interest capitalization activity.

2. Verification of Legal Compliance Demonstrate, with documentation, that all required statements and communications were sent in a timely and lawful manner.

If failures are found, correct the account and notify all credit reporting agencies of any resulting inaccuracies.

3. Removal of Adverse Credit Reporting Immediately remove or correct any derogatory information, including late payments or delinquencies caused by servicing failures.

Under FCRA 1681i ( a ), you are obligated to investigate and delete unverifiable or inaccurate data.

4. Cessation of Unlawful Waiver Practices Eliminate any clauses in borrower accounts that seek to waive rights protected under federal or state law. These may violate consumer protection statutes and borrower defense rights under the Higher Education Act Failure to Comply If you fail to respond and comply with the above requests within 30 days of receipt, I will proceed with the following actions : Filing formal complaints with the Consumer Financial Protection Bureau ( CFPB ) and the U.S. Department of Education, Office of Federal Student Aid Reporting this matter to my State Attorney General Exploring civil legal action for damages related to misrepresentation, credit harm, and unlawful practices

Company response to consumer: Closed with explanation