Student loan -- Struggling to repay your loan -- Complaint #7645592
Complaint Overview
Complaint ID: 7645592
Company: Mohela
Product: Student loan
Sub-Product: Federal student loan servicing
Issue: Struggling to repay your loan
Sub-Issue: Problem with your payment plan
State: Virginia
ZIP Code: 22043
Date Received: 2023-10-04T12:00:00-05:00
Date Sent to Company: 2023-10-04T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Consumer Narrative
I initially submitted a request to MOHELA on XX/XX/2023 to switch my IDR plan to the new SAVE plan. They denied my first request for no apparent reason, saying that I was ineligible for the SAVE plan. I submitted a second request, which was also denied, saying that my payment amount would be higher after the switch, which was not the case. I submitted a third request, which was ultimately approved, but the payment amount applied on my account was substantially higher than what the calculated payment was supposed to be. I contacted MOHELA and asked them why the payment amount was so different, and the individuals I spoke to " had no idea where that payment amount came from '' and submitted it to be reviewed and reprocessed yet again. While this was being investigated, I decided to consolidate my loans to take advantage of the limited-time IDR Waiver program in effect currently. As part of this consolidation effort, the application asked me which plan I would like to be on, to which I responded that I would like to be on the SAVE plan. Apparently, MOHELA tried to process the IDR plan request that traveled along with the consolidation request before the consolidation actually occurred, resulting in them denying the request yet again since I " had no eligible loans. '' Based on discussion with MOHELA, this " should never have happened. '' I contacted them another time this week ( on XX/XX/XXXX ) and they said they would have to reprocess the IDR plan request, which may take up to 35 days at this point due to volume. This whole process has been a nightmare and reeks of incompetence. The fact that it's been over 2 months and they have yet to successfully and accurately process a single SAVE plan request I've submitted is unbelievable. Now I'm being told I have to get in the back of the line yet again, which is going to negatively impact my pursuit of PSLF and getting qualifying payments if they have to put my account on a " processing forbearance '' while they learn how to manage the SAVE plan.
Frequently Asked Questions
What is Complaint #7645592 about?
Complaint #7645592 was filed against Mohela regarding Student loan specifically about Struggling to repay your loan. It was received by the CFPB on 2023-10-04T12:00:00-05:00.
How did Mohela respond to this complaint?
The company responded with: "Closed with explanation". The response was timely.
What is the risk level of this complaint?
See the risk assessment section for details on this complaint's risk profile.
How do I file a similar complaint?
You can file a complaint with the CFPB at consumerfinance.gov/complaint. Select the appropriate product category (Student loan) and describe your issue in detail.
Can I see other complaints against Mohela?
Yes, visit the Mohela company profile at readthecomplaint.com/company/mohela to see all complaints, risk scores, and analysis.
Disclaimer
This analysis is AI-generated based on publicly available CFPB complaint data. It does not constitute financial or legal advice.