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

4,078 total complaints in the last 3 years.
1,378 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:03/17/2025
Type:Delivery 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.
This company has a 5-hour hold/ wait time; any time of day and never can get a response, while jumping through hopes just to listen to nothing but an automated voice. never a live agent. I have paid my debt in full and have email confirmation from this company stating I have paid in full but yet they are saying I still owe the full amount. so, I am disputing this amount due to the fact I have payment confirmation from them and my bank. that. This is so unprofessional and unacceptable.
Business Response
Date: 03/18/2025
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:03/17/2025
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.
My loan was transferred to Mohela some time ago. I set up regular payments and everything was fine. In December my payment was not recognized by Mohela, despite proof that they received and processed the check, and now my account is in default. I have attempted to reach out to Mohela by phone, email, portal, and **** without success. One call back from Mohela was a waste of time as they transferred me to another department with a three-hour wait time. Mohela, just like the rest of our ******************* is great at taking our money and providing zero service in return. 4 hour wait times on hold? Really?
Business Response
Date: 03/18/2025
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:03/17/2025
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.
In the beginning of January, I put in an request for a graduate rate payment plan. As of February of 2025, I have not heard back from them, and wanted to request a temporary forbearance as I could not afford student loan payments at the time. When I tried to call however, it's in access of 3 - 5 hours to reach an agent. I also emailed them messages, yet they do not respond. It is now march of 2025, and I still have not heard back from them. Worse, because I was unable to get a forbearance, my payments fell behind by 2 months.
Business Response
Date: 03/18/2025
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: 03/22/2025
Complaint: 23076514

I have reviewed the business' response and am rejecting it because: I only received a message a few days ago that my application for a graduated plan was rejected. However, I'm still on the hook for two months of missed payments because I had to wait to long to hear back and I never received a forbearance.

Sincerely,

******* ******
Business Response
Date: 03/24/2025
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: 04/01/2025
It's been a week and I have yet to hear anything.
Business Response
Date: 04/01/2025
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:03/17/2025
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.
I filed for loan consolidation with Mohela in Oct 2024, and was approved with my loans consolidated in Nov 2024. Along with my loan consolidation, I had to file for an IDR plan. Since then, despite my numerous efforts to contact them, I continue to only hear that due to the injunction related to the *** plans, everything is on hold and my loan will automatically go into forbearance. Mohela has not put my loan in forbearance and I am now behind on payments. Every time I try to contact them, they try to send me back to the website, and do not solve my problem, which is impacting my credit. Wait times on the phone have been over 3 hours long. They are not treating customers fairly and setting us up for failure. I just want my issue resolved in a timely manner with communication by them so that I dont have to wait on the phone for over 3 hours every time the issue continues to arise. Additionally, I want my credit adjusted due to the failure on their end to put my loan in forbearance, as I was told would happen several times.
Business Response
Date: 03/18/2025
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: 03/28/2025
MOHELA has not yet resolved this issue. I have not had communication from them at this point in time. I contacted them on 3/17 by phone to resolve the issue and they told me that they would try to resolve the issue in 10 business days. I have as waiting to respond to the BBB until after that time had passed. I contacted MOHELA again today 3/28 by phone and the issue has still not been resolved at this time.
Business Response
Date: 03/28/2025
MOHELA has received this customers inquiry. Please be advised that ********************** has sent written correspondence on March 27, 2025, to 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: 03/28/2025
Better Business Bureau:

I have reviewed the business' response regarding complaint ID ******** and am satisfied with this resolution, provided that the written response arrives to me. If it does not arrive, I will reach out again.

Sincerely,

**** ********
Initial Complaint
Date:03/17/2025
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.
I applied for the **** nearly 2 years ago and most recently, about 2 months ago applied for the Total and Permanent Disability Loan (***) repayment as I am a 100% rated disabled veteran. I have provided every required document for both applications, to include the required form for the **** The *** form and the filing of the **** according to both Mohela's website and on **************, my student loan payments were to stop and go into forbearance while the applications are being processed. Mohela has continued to bill me and request payment. I have tried numerous times to contact Mohela through email as I can never get anyone on the phone. Mohela has never replied to any of my emails. I filed a complaint through ************** as well and have never received a reply. Today, 15 March I received emails for my credit report saying Mohela has listed my student loans as delinquent. This is in clear violation of the set rules and verbiage on both Mohela's and the federal student aid websites. Mohela should have these delinquencies removed immediately.
Business Response
Date: 03/18/2025
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: 03/18/2025
Better Business Bureau:

I have reviewed the business' response regarding complaint ID ******** and am satisfied with this resolution. However, due to restrictions at my work place, I am not able to have my cell phone with me. I kindly ask that the number ************** be used as the primary and ************** be used as an alternate, should a call be me. If the preferred method of contact is through email, that will be fine as well. I sincerely ask that the correspondence be related, only to rectifying this particular matter and not a to receive payment as currently IAW both Mohela's website and **************, the payments should have stopped while in the processing stage.

Sincerely,

******* ********
Customer Answer
Date: 03/25/2025
I agreed to the terms set in this dispute, but have not received any type of contact from Mohela other than to request a payment. I rescind my agreement to the terms if Mohela is not going to meet their obligation of said terms.
Business Response
Date: 03/25/2025
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: 03/26/2025
Better Business Bureau:

I have reviewed the business' response regarding complaint ID ******** and am satisfied with this resolution. Again, I ask that the conversation pertain to rectifying the issue and not a call to collect payment.

Sincerely,

******* ********
Initial Complaint
Date:03/16/2025
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.
The Family Education Rights and Privacy Act, FERPA, protects the confidentiality of student records. This breach is a clear violation of ***** and their responsibility to safeguard my information. I have also had NO ACCESS to my account when ******* merged these loans with Mohela which in turns means I am accruing interest on these loans with no way of making a single payment. I am seeking loan forgiveness, billing adjustments, and credit adjusted to reflect all changes.
Business Response
Date: 03/17/2025
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:03/15/2025
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.
I have had an IBR application pended with Mohela since 10/10/24, and according to the US Department of education, and Mohela's own website, "If you have an IDR application that has not been processed within 60 days and have an unpaid bill within 10 days of the due date, MOHELA will automatically place a processing forbearance as directed by Federal Student Aid to your account. No action is required by you."However, my account has yet to be placed on a forbearance, and has accrued interest every single day. When contacted over the phone, Mohela insists that they are unable to place people onto a 0% forbearance.
Business Response
Date: 03/17/2025
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:03/15/2025
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.
Via a letter from MOHELA dated 4.9.2024 and via email from MOHELA on 4.10.2024, I was notified that my subsidized consolidation loan and my unsubsidized consolidation loan were forgiven effective 2.29.2024 under the **** program. I made 133 qualifying payments to the subsidized consolidation loan and 133 qualifying payments to the unsubsidized consolidation loan per the qualifying payment counts letter I received from MOHELA dated 4.4.2024. Twelve overpayments were made to Advantage between August 2021 and February 2024, and one overpayment was made to MOHELA in March 2024 for each of the forgiven loans. The total amount of overpayment is $8,613.46 ($7,462.40 paid to Aidvantage and $1,151.06 paid to MOHELA). The overpayments made on these loans have not been applied to my outstanding loan balances, nor have the overpayments been refunded directly to me. On 1.9.2025, a MOHELA representative told me that the loans had not been discharged by MOHELA, which is the reason I have not been refunded the overpayments. On 1.24.2025, a MOHELA representative told me that the loans were discharged effective 5.31.2021. I have contacted MOHELA multiple times since August 2024 regarding this issue without resolution and have been given erroneous and differing information during each phone call.
Business Response
Date: 03/17/2025
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:03/15/2025
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 has continuously placed my loans in forebearance status over 10 times, although I have specifically asked them not to. I have asked for the forebearance to be removed several times and each time I have been giving excuses regarding processing times. My PSLF loan payments have been calculated incorrectly ever since my loan was transferred to Mohela. The wait times are always over 2 hours. They never call back, when you do get access to a representative they hang up on you or do not provide accurate information. This loan servicer is horrible and has been mismanaging my loans since the loans have been transferred Mohela account **********
Business Response
Date: 03/17/2025
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:03/15/2025
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.
In February 2025 I received an email that I needed to renew my IDR plan by April 10, 2025. When I attempted to do so I couldnt because of ongoing litigation that has frozen applications to those plans. Trying to protect my credit, I attempted daily for the first two weeks of March 2025 to contact MOHELA. Each time my call was placed on hold with wait times of 3 hours minimum. Each time their call system hung up on me. Their automated system encouraged submitting documents online. I submitted a request to have my PSLF payments recounted as I believe I have made all payments/met time in payment required. I submitted an application for a forbearance due to my husbands ongoing battle with cancer and my diminished income. Today, MOHELA emailed me with an automated message stating it would be 90 days before my documents are processed and that payments will be due. This will adversely impact my credit and my financial future. MOHELA is violating their own terms, and is not providing the services they are contractually obligated to.
Business Response
Date: 03/17/2025
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.