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

4,048 total complaints in the last 3 years.
1,378 complaints closed in the last 12 months.

If you've experienced an issue

Submit a Complaint

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:12/04/2022
Type:Customer Service Issues
Status:
ResolvedMore 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.
Submitted PSLF employer verification August 2022. Receive notice in October that form was processed. Only one of the two employer verifications uploaded in the document was processed- therefore payments were not counted. Called multiple times- extensively long wait times. Also sent multiple messages via the portal. Representative finally answers on one of the calls and tells me she sees my employment verification for 6/2008-8/2014. Counts still not updated and account does not reflect this. I re uploaded the verification form x 2 into their system to be sure. Counts still not updated. A Reply to my portal message says we see you spoke to someone so we will consider this issue resolved. It is not resolved and no one went back to the original upload to confirm that they received both employment verification forms and did not process correctly.
Business Response
Date: 12/06/2022
MOHELA has received this customers inquiry.Please be advised that MOHELA 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: 12/19/2022
The above complaint has been resolved by MOHELA to my satisfaction.
Initial Complaint
Date:12/03/2022
Type:Customer Service 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.
My student loans have been transferred 3 times since August. They finally landed with Mohela and I have been unable to contact them via email or phone. When you go to the website, they say you can send an email, but then it redirects you to their phone. You call and are on hold for hours. One time I finally got through after being on hold for 2.5 hours, they transferred me and hung up. I am so frustrated, and I can't even contact them to tell them or to get help. I have an issue with my student loans and need to talk to someone. This is ridiculous that I am expected to go along without fixing the issue. They are unreachable and care nothing about talking to their customers.
****
Business Response
Date: 12/06/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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:12/03/2022
Type:Customer Service 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.
All of this information is available in my account. I applied for Public Service forgiveness on 8/30/22 with my employer verification. On 11/1/22 I was denied despite having 120 qualified payments. I called 11/3/22 and was told it would be resolved in a month. The erroneous letter was never corrected. I have sent three specific messages of concern to Mohela. There only response was a form email that did not address my concerns. It takes an hour to hours to talk to someone with Mohela. You may get cut off and have to start over. When the do answer the phone the answers they give are not supported by any actions the borrower can see.
Business Response
Date: 12/05/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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.
Business Response
Date: 12/07/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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: 12/07/2022
Complaint: ********

I am rejecting this response because:
I have made 120 qualified payments according to the earlier correspondence and a phone call with Mohela. They stated my information is with the feds. They have no sent the original erroneous information today. Thank you.

Sincerely,

***** ********
Initial Complaint
Date:12/02/2022
Type:Billing Issues
Status:
ResolvedMore 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.
My loan was transferred to MOHELA from MyFedLoans as of August 19, 2022. I made a payment of $5,600 to my loan listed as loan number 1 on August 4, 2022. The payment was withdrawn from my bank account. However, when my loans were transferred to MOHELA, that payment isn't reflected in the balance of my loan shown when I log-in to my account details. It is still showing a balance of $6951.57, but it should be $1,351.57. I contacted MyFedLoans and they are unable to provide me with any support because my loans are no longer managed by them.Mohela first told me that it would process within 60 days. Then they told me 100 days. It has been well past 100 days, and it still isn't showing as pending or completed. I have spent 15 hours on the phone with Mohela, and I am always asked to do something such as call back to a direct supervisor line (which then doesn't work) or upload something online, and that they will resolve it. It is never resolved. I've been hung up on by them multiple times, and they don't respond to my online portal messages. Thank you. ***************************
Business Response
Date: 12/05/2022
MOHELA has received this customers inquiry.Please be advised that MOHELA 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: 12/05/2022
Complaint: 18515815

I am rejecting this response because: Mohela did not provide a date when this issue would be resolved. They just said they will review it.

Sincerely,

***************************
Business Response
Date: 12/06/2022
MOHELA has received this customers inquiry.Please be advised that MOHELA 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: 12/06/2022
Complaint: 18515815

I am rejecting this response because: it has been 124 days since the payment was made. In their response, they said it would take 2-3 weeks for the payment to process.

Sincerely,

***************************
Customer Answer
Date: 12/07/2022
12/07/2022: Mediator sent an email to the consumer requesting an update.
12/21/2022: Sorry for the delay. I was allowing Mohela time to apply my payment, and they still have not done so. I would like to proceed with mediation. The last thing I heard from them was on 12/14/22 stating, "Please allow 2-3 business days to process, we appreciate your patience." I have allowed 4 business days, and I have not received any further communication from them, and my payment still hasn't been applied to my account. Please let me know how to proceed. Thanks,

Business Response
Date: 01/30/2023
MOHELA has received this customers inquiry. Please be advised that MOHELA will send a written response to, and/or will speak directly with, the customer addressing the issues raised in their complaint.
Customer Answer
Date: 01/30/2023
Better Business Bureau:

I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me.

Sincerely,

***************************
Initial Complaint
Date:12/01/2022
Type:Customer Service 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 applied for PSLF and followed the instructions meticulously. I am sure I have not made any mistake, verified all the employment etc. Based on Mohela's own status, I have more more than 135 payment but still my application is denied. No clear reason is given. Their response is just convoluted and contradictory. On many occasions, I tried to call them but despite hours on the phone, I could not reach a live person. The status given on ********** is simply "your application is processed and a noticed is sent". That is it. I can not sent them message via online and cannot reach them by phone. Their phone menus just make you run in a loop. This is really frustrating. It is as if they are trying to hide from me. Increasingly, it seems more like a scam than a service. As a last resort, I am complaining here because I do not see any other recourse.
Business Response
Date: 12/05/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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:12/01/2022
Type:Customer Service 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 submitted my PSLF by certified mail in July of 2022. MOHELA does not allow people to upload documents if you aren't serviced by them. In October I called to check status, was told November 30th was my 90 day mark. Called today, and they informed me they don't have any of the paperwork anymore. They then said I could resubmit and maybe the temporary waiver would still cover it. Transferred me to a supervisor and have been on hold for over an hour with no answer. This directly affected my ability to use the PSLF temporary waiver all for their benefit.
Business Response
Date: 12/05/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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: 12/05/2022
Complaint: ********

I am rejecting this response because:

MOHELA has never reached out to contact in previous attempts and still continues to push unreasonable timelines for their mistake

Sincerely,

***** *********
Business Response
Date: 12/06/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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:12/01/2022
Type:Customer Service 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 in the process of applying for PSLF. I currently have 117/120 payments certified toward paying off my loan. My last employment has been certified through 3/2022. I have continued to work for a qualifying employer since this date and have uploaded forms certifying employment through September 2022 but they are not being processed as MOHELA keeps marking them as "duplicate" when they are new forms signed in October 2022. I have completed more than 3 months of qualified employment since March 2022. I cannot get anyone to respond to me to tell me what the issue is or how to get this resolved. My loan should be paid off at this point.
Business Response
Date: 12/05/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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: 12/05/2022
Complaint: ********

I am rejecting this response because:
The response to my inquiry did not address my question to the company. I submitted a form on 9/25 certifying my employment through 8/5/2022 and submitted this form a second time on 10/31/2022. I then had my employer update my employment verification form which I submitted on 11/3/2022 verifying my employment through 10/14/2022. These forms were marked as duplicate and not processed.

Review of my account shows that my employment has been verified through March 2022. Since I have met 117 of 120 required payments, my qualifying employment for the months of April, May, and June should fulfill the three remaining months for employment certification. This documentation has been submitted multiple times, but my account has not been updated to reflect this.

Sincerely,

******* ******
Business Response
Date: 12/07/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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:12/01/2022
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.
Upon applying for Public Loan Forgiveness’s my loans transferred to Mohela Loan servicing. Mohela rejected my application for forgiveness and gave no explanation. I called Mohela several times and was on hold for 3 hours waiting to speak to representatives. I tried to register my account and the Mohela system did not allow me to proceed. There is no online support center to assist the customers and they do not answer the phone. Currently I have no way to access my student loans and appeal the loan forgiveness decision.
I applied months ago, gathered proper documents and paperwork. I’m eligible for for forgiveness. However, Mohela is inaccessible to its customers. I didn’t receive payment information and to nor want to be late with payments.
Mohela must address these issues asap quite stressful for the customer.
Business Response
Date: 12/02/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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:12/01/2022
Type:Service or Repair Issues
Status:
ResolvedMore 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.
In summer of 2022, my Fed Loans were transferred to MOHELA for processing of consolidation/PSLF request. My consolidation was processed in a timely manner & then it stalled. Call times to follow-up, obtain additional information are excessive. My last was time was approx. 3 hr.I am repeatedly given conflicting information. This leads me to believe that folks aren't even looking at my actual file, they are just making stuff up. I've been told the rep's ability to see information varies from phone to chat to supervisor. I should be eligible for discharge under PSLF as I have worked in eligible healthcare since the program's inception. I am also in the unique position of being eligible for retirement. I would love to retire but I have no way of confirming that my counts are indeed 120 or over as my account still shows 0 qualifying although I have an approved ECF from my employer of the last 17 years.Understandably, MOHELA is busy. However, they accepted the role of processing PSLF. I was unable to choose my servicer.Just this week I was told my loans have been "sent to accounting for DC" (although I have 0 payments showing) but I have also been told that there is no evidence that my loans are being discharged,We live in an era of technology. It should not be difficult to show a tracker for folks- *******'s Pizza can do it.I want WRITTEN confirmation of my loan status, Notes in a call can be falsified, signing a name takes more accountability. How can I plan for my future retirement when I don't know if I need to keep working for 12 more payments/months or 100? There should be some triage of requests. At a minimum, provide accurate information & not make people wait hours to speak to reps who have no answers,I have to give extended notice (6 mo) notice for retirement. I can't even start that process until I know the status of my loans and whether I need to make additional payments. I really need MOHELA to step up to the plate on this.
Business Response
Date: 12/02/2022
MOHELA has received this customers inquiry.Please be advised that MOHELA 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: 12/02/2022
Better Business Bureau:

I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me.

Sincerely,

***************************
Initial Complaint
Date:11/30/2022
Type:Customer Service 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.
On 10/6/2022, I requested proof of my July 2022 and Aug 2022 payments that I made to *** **** ********* before my loan was taken over by Mohela. I made this request by calling in (I waited on hold for three hours) and through their website. They advised it could take 30 days (??!!) to provide this to me. It has been almost 60 days. I called several times over the last couple months to follow-up only to be told it was still being worked on. I called on 11/28/2022 again. This time they tried to transfer me to someone who might be able expedite my request. I was in hold for over an hour, but I had to hang up. These proof of payments are being required by my employer as part of their Education Debt Relief Program. I would appreciate these documents as soon as possible.
Business Response
Date: 11/30/2022
MOHELA has received this customer’s inquiry.
Please be advised that MOHELA 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.