Consumer complaint received 2025-08-05 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Struggling to repay your loan — Problem with your payment plan
Company: MOHELA
State: IA

Complaint narrative:
I called Mohela on XX/XX/year> at approximately XXXXXXXX XXXX XXXX. It took several minutes of automated messages to find the option to speak with an actual representative. However, I was only on hold approximately 30 seconds to reach the first representative I spoke with, so that was good. I was on the call for a total of 1 hour and 22 minutes, and I spoke with two representatives. 

I applied to switch from SAVE to IBR online at StudentAid.gov on XX/XX/year>. I received an email that day confirming the receipt of my application. I then received the next email on XX/XX/year> stating it would take up to NINETY DAYS to process my request which may still result in denial. Though I did not state this on the phone with Mohela, it is worth mentioning that I did allow Federal Student AID to use my IRS tax return to expedite the processing of my application. 

I asked the first representative why it would take so long to process my application for a new loan repayment plan? I was told essentially that " ... it just takes that long, there is no reason why. '' I then asked " If that is the case, why would my husband 's plan already be switched from SAVE to IDR if he applied near the same time as I did for a new plan? His loan amount is also 6 figure debt like mine for mostly professional school. The only difference is he has XXXX for his servicer, and they processed and approved him within a few weeks of applying. '' The representative did not have an answer for me ; I was met with an awkward silence. 

I continued with my questions : " Am I still accruing interest while they process my application to switch to a different payment plan? '' I was told yes, to which I replied that seems awfully unfair to charge me interest when I am awaiting a decision on what my new plan is to be for repayment? 

I asked if there was another rep I can speak with about this or if I should be contacting a lawmaker with my concerns. I was kindly transferred to another line with an expected wait time of 45 minutes. I was told the second representative was a " senior '' rep who should have been more equipped than the first rep to answer my questions. 

The second rep answered approximately 1 hr and 8 minutes into the phone call. I repeated my questions and was met with the same answers. I asked if there is anyone to whom I can speak to who might resolve this? He offered to again transfer me to a third rep who was higher in the management chain, but I was out of time and had to return to my work duties. 

Since I had to end the call, I asked if I could schedule a call with this person. The rep told me " No, you would have to call again and go through the same call transfer steps ''. I expressed to him that since my spouse is serviced by a different company, I know that this 90-day period is not universal to all the loan servicers.

I stated I understand that I will have to call on my day off to attempt to get more information on the issue. The call ended after 1 hr and 22 minutes.

Company response to consumer: Untimely response