Business Profile

Loans

MOHELA

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Complaints

This profile includes complaints for MOHELA's headquarters and its corporate-owned locations. To view all corporate locations, see

Customer Complaints Summary

4,039 total complaints in the last 3 years.
1,377 complaints closed in the last 12 months.

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The complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.

Initial Complaint
Date:05/06/2025
Type:Billing Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
During a time when the student loans were on hold they reported my loan as late on my credit bureaus. So now my credit is effected.
Business Response
Date: 05/08/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.
Initial Complaint
Date:05/06/2025
Type:Billing Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
I am supposed to be in an in-school deferment and sent the paperwork several times and this organization continues to have me in payment status. If this continues they will force me into bankruptcy. I keep getting a an automated message asking for what I already sent them on multiple occasions. When I call, it take two house of holding only to be told I will need to speak to another person and then places on a 5 hour plus hold! This is NOT good practices.
Business Response
Date: 05/07/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Customer Answer
Date: 05/08/2025
Complaint: 23293242

I have reviewed the business' response and am rejecting it because:
1. I have not received communication other than the same generic email requesting a document that was sent multiple times.
2. A consumer should not have to wait on hold for 5 hours for help.
3. My loans are at risk of missing a payment deadline because this company is not capable of handling the volume of loans they are servicing.
4. If my loans are late, that will have an immediate negative effect on my credit.
5. I am enrolled in a qualified academic program that places the loans in deferment,
I have no confidence this will be resolved based on my continued efforts over the past three months.

Sincerely,

**** ****
Business Response
Date: 05/09/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Initial Complaint
Date:05/06/2025
Type:Billing Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
I had to change my bank account due to fraudulent activity. On 2/18 I set up a new direct deposit information with Mohela and followed instructions on how to do so. Even understanding that it would take a whole months cycle to complete. My March payment was paid manually instead of taken out automatically. Mid March I emailed Mohela to confirm that my ***** payment was set to be taken out automatically as it would have been over 30 days of processing. I never heard back from them. I have attempted to call them several times.Consequently, my monthly payment for ***** was considered past due as I had to pay manually after not seeing a withdrawal from my account. I then attempted to call mid ***** and sent another email and have not heard a response. Subsequently, my May payment was made manually yesterday on 5/5 after the withdrawal was not made again. this is affecting my credit score by several points. the lack of response from them via email and hours long wait times is unacceptable, but the consequences of not getting an answer of it and when my updated checking information will go into affect is ridiculous.All my information is correct and entered properly.
Business Response
Date: 05/07/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Initial Complaint
Date:05/06/2025
Type:Billing Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
I received PSLF forgiveness in November 2024. On 11/11/2024, my account listed a $3551.40 refund. I have spent hours calling them across the last 6 months and have been told at least 4 different answers as to why it is being delayed. First, I was told to wait 90 business days, then it was 120 business days, then It was 120 business days for Mohela processing plus 120 business days for US Treasury processing. I just want the refund and I am tired.
Business Response
Date: 05/07/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Initial Complaint
Date:05/06/2025
Type:Service or Repair Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
*** request placed in January, application still being reviewed now in May. As well, need payment history sent to me for my EDRP, have been placed on hold for hours at a time, eventually being hung up on.
Business Response
Date: 05/06/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Initial Complaint
Date:05/06/2025
Type:Billing Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
About a week ago, I got a notice that my credit score had decreased by over 100 points for a delinquency from MOHELA.When I havent heard from them since January about any payments, and was also under the impression that I was still in forbearance until July. To find out I was already 90 days delinquent and now my credit score has plummeted without any notices from them via email/text/voicemail. All I want is action to be taken to reverse this delinquency on my credit score. They told me over the phone that there is nothing they can do, but they were gladly able to put my account into forbearance, and lower my monthly payments when I called them about the delinquency. When I asked them why I wasnt contacted about this, the person I was speaking with couldnt give me any answers
Business Response
Date: 05/06/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Initial Complaint
Date:05/06/2025
Type:Service or Repair Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
Mohela is the worst loan servicer. My wife and I have called them 8 times and each time we are told that our issue requires an "advanced" team member to resolve it. We get transferred to the "advanced" team and are left to wait on hold for hours on end. We have waited on hold a couple times for 3+ hours and never got anyone on the phone. This is simply call deflection at its best.We are trying to contact Mohela about getting my wifes loans put back in an administrative forbearance due to the SAVE injunction, but regardless of how much we try, they constantly tell us that only an advance team member can fix it.
Business Response
Date: 05/06/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Initial Complaint
Date:05/06/2025
Type:Billing Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
****** was not my original loan provider. DOGE then invaded everyone's privacy by accessing our documents without our consent. I went to look at my loans and the amount has doubled with Mohelo suddenly. My original loan shows canceled.
Business Response
Date: 05/06/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Initial Complaint
Date:05/05/2025
Type:Billing Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
I have contacted Mohela by my count, ten times since Apr 1 2025, pursuant to a concern that my account has accrued MUCH more interest than is due. In July 2024 before going into forbearance in August, I had a total principal $254,449.25. Between then and Mar 16 2025, I made payments totaling $33,651.34. Instead of the balance decreasing to $220,797.91. Instead, it INCREASED to $265,321.24. It is currently $44,523.33 higher than it should be based on Mohela's ********** last call 4/25/2025, I spoke to a female resolutions officer named *****. She escalated my case to "resolutions management", and I was told I would receive an update in approximately ten days, I have not yet. I am asking for an update on progress made in correcting my account, so I may make payments against a known balance when they come due in September. Please call or reply with an update immediately.***** ********** Cell: ************
Business Response
Date: 05/06/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Customer Answer
Date: 05/06/2025
Better Business Bureau:

I have reviewed the business' response regarding complaint ID ******** and am satisfied with this plan for resolution. However if they do not respond within five days I will seek additional action.

Sincerely,

***** **********
Customer Answer
Date: 05/19/2025
To whom it may concern,
Since filing the original complaint, additional information has come available.
First, I found the root cause of much of the dispute, in VERY poor recordskeeping at MOHELA. Of their THREE monthly statements sent to me in the ELEVEN MONTHS between June 2024 and May 2025, none were in the same or similar format, and compared apples to oranges when compared to prior statements. As a result I overestimated the error at approximately $45,000, when some of that was accounted for by correcting my interest calculations.
After correcting this error in my records, I have determined they have still overcharged my account to the tune of $**,602, by applying a nonsensical and incorrect amount to two of my loans' interest. My loans #** and #** appear to have accrued approx $5,000 and $10,000 erroneous interest, respectively.
Their response to me, received on 5/13/2025, detailed no progress on resolving this matter at all, and provided no means of follow-up. I again called customer service and spent four more hours speaking with resolutions staff and on hold, before being forwarded to the *** main line, who could do nothing to help. This is not being addressed as I hoped they would, and expected they would based on their response via the BBB. Meanwhile the forbearance end-date is approaching and my loans are coming due. I cannot negotiate loan repayment without a clear balance and clear documentation of interest owed. This is negligent mismanagement of an account with a balance of over $250,000, that I need accurate accounting of, because payments of this size constitute years of savings from my job, and years of my life.
Please reissue the complaint with the above information. I look forward to your (and their) response.
***** **********
************
Business Response
Date: 05/20/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Customer Answer
Date: 05/21/2025
Complaint: 2329**63

I have reviewed the business' response and am rejecting it because:

They neither established or upheld a timeframe in which my accrued interest will be reviewed for accuracy. This will result in payments coming due in September on loan funds that I have NOT incurred through the normal process of student loan disbursement or interest accrual. For example, loans #** and #** are grossly overestimated in their current balances, by my corrected calculations the discrepancy of just these two loans approaches $16,000. This can be proven with a calculator and ten minutes of sixth grade arithmetic. But every day Mohela does nothing my repayment of these loans draws closer, and payments coming due on either of these loans will result in an illegitimate charge that must be regarded as fraudulent, harmful, and require legal action.
An acceptable course of action for Mohela at this time would be any ONE of the following: (a) an expedited review of my initial principle amounts, interest capitalized and accrued in the name of accuracy, extending from each loans' date of origination to present, provided to me within ten business days, (b) a call with a Mohela accountant who is qualified to make appropriate adjustments to, and is familiar with my account, and to whom my case has already been referred twice without any response, or (c) an extension of my forbearance at 0% interest until they can determine the accurate balances of my loans, and deferment of payments due until that point as well.
Failure to address these issues via the above acceptable terms will result in legal action for fraudulent, negligent and predatory lender behavior.

Sincerely,
***** **********
Business Response
Date: 05/22/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

A Note to Our Customer: ********************** will respond to your concerns directly by sending the letter through your online portal or to the mailing address on file within 5 business days. We appreciate your patience as we research your account.
Customer Answer
Date: 05/28/2025
Complaint: 23291163

I have reviewed the business' response and am rejecting it because:

The lender did not provide ANY timeframe for when this issue will be resolved, nor did they offer any cooperation toward even the most simple of my proposed solutions to this problem, which would've been a conversation with anyone in their accounting department about the balance of my loans. Further, they didn't even bother to write a reply, but copied their prior reply and re-attached it to this claim. They remain uncooperative, and this is not an acceptable response.

Sincerely,

***** **********
Initial Complaint
Date:05/05/2025
Type:Billing Issues
Status:
AnsweredMore info
Complaint statuses
Resolved:
The complainant verified the issue was resolved to their satisfaction.
Unresolved:
The business responded to the dispute but failed to make a good faith effort to resolve it.
Answered:
The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
Unanswered:
The business failed to respond to the dispute.
Unpursuable:
BBB is unable to locate the business.
To Whom It May Concern,I am filing this formal complaint against MOHELA for failing to validate the accuracy of a tradeline reporting on my credit report. Despite my repeated requests for proper verification, MOHELA has continued to report the following account inaccurately:Account Name: **************************** Account Number (Partial): ********************Balance: (not disclosed)Issue: Unverified federal student loan reporting Under the Fair Credit Reporting Act (FCRA), specifically Section 609(a)(1)(A) and Section 611(a)(1)(A), I have the legal right to receive a copy of the original signed contract bearing my signature as verification of this account. ********************** has not complied. Additionally, under Section 611(a)(7), MOHELA is required to disclose the method of verification used, which also has not been provided.This account continues to negatively impact my creditworthiness, resulting in denials of credit and emotional distress. If MOHELA cannot substantiate this account with original documentation and confirm its accuracy, it must be removed immediately as required by FCRA Section 611(5)(A).I do not consent to any method of verification through automated systems like e-OSCAR.This is a final request for MOHELA to correct this matter. Failure to do so within 30 days will result in further legal action and formal complaints filed with the ************************************, ************************, and ************************, seeking up to $5,000 per violation for:Defamation *************************************************** and Emotional Harm Sincerely,****** *******
Business Response
Date: 05/07/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.
Customer Answer
Date: 05/14/2025
Complaint: 23289144

I have reviewed the business' response and am rejecting it because:

Sincerely,

****** *******
Business Response
Date: 05/15/2025
MOHELA has received this customers inquiry. Please be advised that ********************** will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint. Financial privacy laws prevent MOHELA from providing your office with borrower-specific information, or any specific information regarding MOHELA's response to the complainant. If, however, your office receives further communication from the complainant regarding this matter, please do not hesitate to contact MOHELA directly.

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MOHELA is NOT a BBB Accredited Business.