Consumer complaint received 2025-11-17 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Don't agree with the fees charged
Company: MOHELA
State: CA

Complaint narrative:
I am contacting you due to a disputed accrual of approximately {$22000.00} in interest that has been applied to my student loans as of XX/XX/XXXX and XX/XX/XXXX despite being on the SAVE repayment plan during the 0 % interest accrual forbearance that began in XX/XX/XXXX. Please note, I am not disputing any loan accrual that began on XX/XX/XXXX, only interest accrued during the SAVE forbearance period. 

I first noticed the additional loan balance when I was notified via XXXX XXXX in XX/XX/XXXX. I have contacted MOHELA customer service on several occasions, spoken with supervisors and advanced agents, only to be told it would be fixed on " x '' date or that the issue was being escalated. However, the issue has never been resolved nor fixed by the prior dates of which supervisors and advanced agents indicated. 

Unfortunately, due to being assessed interest that should not have been added to my account, my credit score has decreased, I have been unable to receive approval for a housing loan due to my debt-income ratio as my loan total is fairly high, and I am unable to switch to a different repayment plan to begin making interest and principal payments as my repayment will be calculated at a higher total than I am rightfully required to pay. I have been advised by customer service representatives to wait until the issue is fixed before applying for a new repayment plan but approximately 7 months have passed and the error has not been corrected. 

Additionally, I am delayed in aggressively paying down my high interest loans as I have saved up a relatively large amount of money to begin making the financially responsible decision to pay down my loans and decrease my interest payments as soon as possible with lump sum payments. The reason being, any large payment I make at this juncture will be applied to this wrongful interest amount and will not be applied directly to my principal balance. Therefore, I am frustratingly at a standstill from addressing my student loans. 

Despite having requested my MOHELA Balance account history from customer service, I have never been provided documentation nor can I access any documentation following XX/XX/XXXX ( per the attached document ). I have requested my own credit reports for all loans through XX/XX/XXXX and have calculated the following per the account number listings of each respective loan in my account summary which I can provide documentation for : XXXX : Principal {$3000.00}, increased to {$3000.00} XX/XX/XXXX XXXX : Principal {$4500.00}, XX/XX/XXXX increase to {$5400.00} XXXX : Principal {$1000.00}, amount increased to {$1000.00} on XX/XX/XXXX but corrected to XXXX on XX/XX/XXXX = {$0.00} increase XXXX : Principal {$5500.00}, XX/XX/XXXX increased to {$5500.00} XXXX : Principal {$5500.00}, XX/XX/XXXX increased to {$6900.00} XXXX : Principal : {$2000.00}, XX/XX/XXXX increased to {$2500.00} XXXX : Principal {$20000.00}, XX/XX/XXXX increase to {$26000.00} XXXX : Principal {$39000.00}, XX/XX/XXXX increased to {$51000.00} XXXX : Principal {$20000.00}, XX/XX/XXXX decreased to {$18000.00}, XX/XX/XXXX increased to {$18000.00} XXXX : Principal {$40000.00}, XX/XX/XXXX increased to {$40000.00} XXXX : Principal {$20000.00}, XX/XX/XXXX increased to {$20000.00} XXXX : Principal {$7000.00}, XX/XX/XXXX increase to {$7100.00} Total Additional interest added during forbearance : {$22000.00}

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