Consumer complaint received 2025-11-23 00:00:00
Product: Student loan — Private student loan
Issue: Struggling to repay your loan — Can't get other flexible options for repaying your loan
Company: MOHELA
State: NC

Complaint narrative:
I am XXXX years old and the co-signer on a private student loan taken by my son, more than 25 years ago for study abroad at XXXXXX/XX/XXXX Over the years he made intermittent payments and then stopped entirely. The servicer ( first XXXX XXXX XXXX now MOHELA ) has repeatedly pursued me rather than the borrower, despite my age and financial hardship. 
However, cosigner release has been made impossible because MOHELA will not contact the borrower, despite having been provided his business address and phone number in XXXX, XXXX XXXX. Instead, they continue to list my address, even though he has not lived with me for decades. 
Here are the co-signer release requiremnents from MOHELA 1.24 consecutive on-time payments. I have made three years of on time payments 2. Borrower credit worthness review. Difficult to do if you never contact the primary borrower.

3, Borrower consent and address and phone number. The borrower in question has not provided his home address and phone number to MOHELA and to his family. He is in hiding in XXXX XXXX at least in terms of how to contact him. So i pay the price Let me put this all in perspective. My son graduated from XX/XX/XXXX ( which I paid for ) and then after various jobs and startup companies decided at the age of XXXX that he wanted to go to XXXX XX/XX/XXXXXXXX to obtain a XXXX XXXX. After a year he was finally accepted as a student. He came to me to co-sign an XXXX XXXX loan with XXXX with the understanding he would repay. He went on to getting a XX/XX/XXXXfrom XXXX in Business, anotherXX/XX/XXXX in XXXX XXXX and later aXX/XX/XXXX from XXXX. He and his wife ( who also has a degree from XXXXXX/XX/XXXXstayed in XXXX and started a Business, The XXXX XXXX. With all that education it is clear he could afford to pay off his loan. But over the years he got deferments, missed payments and went into default which I had to bail him out. My son who is a big deal at XXXX has severed all contact with me and his sister. Same goes from MOHELA. So I am left hanging with no option but to make payments or see my credit rating go down the drain ( which it did when he defaulted 10 years ago. 


Below is the financial history demonstrating the burden placed on me : Current Loan Status and Payment History ( per MOHELA Account Summary ) : - Original loan amount : {$40000.00} - Current balance : {$57000.00} - Total paid since XX/XX/XXXX : {$64000.00} Principal paid : {$16000.00} Interest paid : {$46000.00} Despite more than {$64000.00} paid, the remaining balance is still {$57000.00}. My current payment is {$450.00} This outcome is due to : Borrower-caused defaults, capitalized interest and periods where son when into default and I would have to bail him out. 
Based on my records, I personally have paid approximately {$25000.00} toward this loan. 
This situation is unreasonable and unfair to an XXXXyear-old co-signer on a fixed income. I therefore request CFPB : Require MOHELA - Correct the borrowers address and stop listing mine - Contact the borrower using the XXXX business information provided - Allow the cosigner release review to proceed - Explain how a {$40000.00} loan can have {$64000.00} paid while still showing a {$57000.00} balance - Review account for fairness, accuracy, and potential abuse toward an elderly consumer Finally I have written numerous letter to XXXX and before them XXXX about this unfair practice and unfair financial burden on me. The latest letter dated XX/XX/XXXX was to MOHELA CEO XXXX XXXX. There was no response. Beside this complaint I am also sending another letter to MOHELA Customer Advocate Office, and new letter to the NC Attorney General Consumer Protection Division. 

Hopefully someone from these various entities will recognize the unfairness of an XXXX year old Veteran having to pay for a loan because the primary Borrower will not meet his responsibilities. I guarantee that is MOHELA released me from co-signer and goes after my som he will start paying to avoid is credit rating going to XXXX! 


Thank you for your assistance.

Company response to consumer: Closed with explanation