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MOHELAThis business is NOT BBB Accredited.
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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
- 3,714 total complaints in the last 3 years.
- 1,244 complaints closed in the last 12 months.
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Submit a ComplaintThe 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:09/04/2024
Type:Billing IssuesStatus: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 have student loans, serviced by Mohela which I have been attempting to pay in full since March of 2024. I have been unable to do so because of "processing errors/practices" on Mohela's behalf.On February 26, 2024 a payment of $306.00 was lost. The payment cleared my bank account but was not applied on my Mohela account. I contacted ********************** every month with the confirmation number for payment, but they always stated this would take ****************************************************************** their system. The payment was eventually found and applied in July of 2024, but this took numerous monthly calls and emails to to their customer support.Once the February payment was applied, Mohela, did not apply the payment as requested and this resulted in an overpayment of $90 to one of the loans. Between March and August I have made the additional payments; I would have paid the remaining balance in full in March, however because of pending actions needed by Mohela, I could not:04/08/2024: $300 04/30/2024 $305 05/29/2024: $305 06/30/2024: $305 07/29/2024: $500 08/23/2024: $1200 I contacted Mohela in early August 2024 to have the $90 credit applied to another loan. The credit has not been applied and I contacted Mohela again on September, 3 2024. They continue to state that it will be applied, but no action is taken. The total remaining balance was $445, I submitted a payment of $355 and with the $90 credit, my balance should be $0. Today, additional interest was applied and the customer service ********************* nothing can be done until the credit is applied so I will continue to acquire interest.I am filing this complaint because this is very unethical business practice, and between the situation in February and the current pending action needed by Mohela, I have incurred unnecessary interest applied to my account. This should not occur and with these practices, I am certain many other student loan borrowers are also experiencing unnecessary charges.Customer Answer
Date: 09/05/2024
Returning requested Third Party Authorization Form.Business Response
Date: 09/05/2024
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: 09/06/2024
Complaint: 22237716
I have reviewed the business' response and am rejecting it because: This is the same standard vague response I have continued to received from this organization when raising concerns. I would appreciate the business to provide, in writing, a reasonable timeframe in which I can expect to be contacted directly to fully resolve this matter. Due to the simplicity of the matter, I would expect this timeframe to be no longer than 30 days.
Sincerely,
*****************************Business Response
Date: 09/10/2024
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: 09/12/2024
Better Business Bureau:
I have reviewed the response made by the business in reference tocomplaint ID ********, and find that this resolution is satisfactory to me.
Sincerely,
*****************************Initial Complaint
Date:09/03/2024
Type:Billing IssuesStatus: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 withdrew $3000 from my account without my approval. I have always made consistent monthly payments to Mohela for around $1000. One day Mohela decides to place me on an administrative forbearance without my approval. Then they remove the forbearance and auto withdrawal over three times the amount I was normally paying. They didnt adjust the monthly payment owed after removing my foreberance.They just withdrew the entire amount without placing me on my previously agreed upon income driven payment plan. I have called multiple times to dispute this,however they offer no explanation and said my refund is denied. To this day they continue to place and remove me from administrative forbearance.Business Response
Date: 09/19/2024
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:09/03/2024
Type:Billing IssuesStatus: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 was instructed last February via email to consolidate my loans with the federal government if I wanted more options for loan forgiveness. I did. During that process I applied for income driven repayment plan which Ive been on fir10 years. Mohela was the company that was given to me and they received my information in may. Its now September and my account is passed due. I e called them numerous times applying for deferments until the idr application was approved. Its way passed time, Ive been lied to, I cant log into my account nor have I ever been able to. Today my calls keep getting terminated while on hold. They have been slapped with a huge illegal lawsuit ******************************************************************************************************** recently and if my status is broken for my idr plan the last ten years will be wiped away and Ill have to start over, not to mention this will damage my credit. All because of their obvious illegal shady fraudulen practices and aidadvsntage and federal ******* wont help at all with this. The feds are illegally defrauding borrowers and it needs to stop because its ruining livesBusiness Response
Date: 09/19/2024
MOHELA cannot verify or dispute the facts in the complaint as the information provided is not sufficient to locate an account.Business Response
Date: 09/27/2024
MOHELA cannot verify or dispute the facts in the complaint as the information provided is not sufficient to locate an account.Business Response
Date: 10/15/2024
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: 10/22/2024
This isnt over. The letter states I have to repay my loans starting December 1st. Like h*** I will. 90 days has past and if my account gets messed up due to mohelas struggles Ill take it to court with a million other people. You cant force someone to pay when I just requalifued with the previous owners and was told I had to consolidate for early forgiveness I qualify for. I didnt consolidate to get bent over and rammed up the a**Initial Complaint
Date:08/31/2024
Type:Service or Repair IssuesStatus: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 8/12/24, I requested a general forbearance via Mohela customer service line. The ***resentative told me she processed the request and it would be approved within 5-10 days. She indicated she was working with a supervisor to do it correctly. On 8/23/24, I called Mohela customer service to check on the status of the request. The ***resentative told me there was no request submitted. They transferred me to a supervisor in the **************** who apologized and said the notes by the customer service *** on 8/*********************** the *** was "placing the [general forbearance] request" that day but for some reason she didn't actually submit the request. The supervisor told me there was nothing they could do now as my account had went into a court forbearance and it was too late to process the general forbearance.Business Response
Date: 09/10/2024
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: 09/12/2024
Complaint: 22224005
I have reviewed the business' response and am rejecting it because: Please see attachment for completed Authorization Form
Sincerely,
****************************Business Response
Date: 09/12/2024
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: 09/12/2024
Complaint: 22224005
I have reviewed the business' response and am rejecting it because:
I have executed a Third Party Authorization form providing BBB the ability to communicate directly with Mohela regarding my concerns. As such, I would like for the BBB to be a part of my conversations with Mohela.
Sincerely,
****************************Initial Complaint
Date:08/31/2024
Type:Billing IssuesStatus: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 issue involves student loan payments. I have a subsidized and unsubsidized student loan. I have finished paying off my unsubsidized loan. However, for the last year whenever I make a payment, part of the payment gets applied to my PAID OFF unsubsidized loan. The money appears as negative payment, the money is held, and after a few months gets applied to subsidized loan. The issues are as follows: 1. I cannot choose which loan the payment is applied to. 2. The payment is automatically split into two loans. For example, I pay 3000 monthly of which ******* gets applied to the already PAID OFF loan. The balance sits assigned to this loan while I pay interest on the principal amount of the unpaid loan. 3. That means that I am sending money that is not applied correctly and forcing me to pay higher interests on the unpaid loan. The $1862 finally gets moved to the unpaid loan but after several months. 4. I have already called to complain and this was supposed to be addressed, where my payments would all be applied to the unpaid loan instead of being split up. 5. However, a portion of may payment continues to go to the PAID OFF in full loan, the money sits there, while I get charged interest on the unpaid loan. 6. I presume I am not the only person encountering this issue. This is a big loophole in which this company collects extra interest payments because they are not appropriately distributing our funds. I think this is fraud and a mistake that should have been corrected long ago.Business Response
Date: 09/10/2024
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:08/30/2024
Type:Billing IssuesStatus: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 March 10, 2022, I setup a payment plan for my student account for the Summer 2022 ********** some point my payment was returned, because the account I was using closed. However, I immediately reached out to ****** to reschedule the payment, and I paid the $30 Returned Payment Fee. Then in August of 2022, I received another Returned Payment Fee of $30 and to my knowledge that $30 payment was paid on August 8, 2022. However, my account is still showing a past due balance of $30.00, that I am unaware of. Therefore, I am pleading with ****** to waive this $30 past due balance from my account, as I am currently in a financial hardship and not able to make this $30 payment that I have no knowledge of.Business Response
Date: 08/30/2024
Hello,
We do not have an account for this borrower. If you could please redirect this to MOHELA, as they are the ones w/the borrowers account. Please let me know if you need anything else. Thank you.
Business Response
Date: 09/10/2024
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:08/30/2024
Type:Billing IssuesStatus: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 was made aware on 8/28/2024 that eight fraudulent accounts were opened under my name through MOHELA during my four years in undergraduate. The accounts were opened in 2017, 2018, 2019, and 2020. Each time it was the same day, and two small loans were taken out each time. They ceased upon my graduation in 2021. The total amount taken out under my name amount to over $27k. I was never once contacted by MOHELA about these accounts, nor did I ever receive money from MOHELA during my undergrad. In the three years post-graduation, MOHELA has never one tried to collect payment on these loans. When I attempted to gather more information through MOHELA, I was made aware that no account linked to my personal information exists in their records. I am seeking to have these loans removed from my credit report, as they are not loans I took out or owe. I have filed a complaint through the ***, opened disputes with Experian, and filed a complaint with my state attorney general. Below is attached proof of my complaint through the ***. More documentation can be sent if required.Business Response
Date: 09/10/2024
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:08/29/2024
Type:Service or Repair IssuesStatus: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 documents for my aggregate loan limit. It has been a month and the documents disappeared from the system. I have sent several emails. No response. I can not get through on the phone. I have submitted another document and fear the same thing is going to happen. I can not get a PLUS loan until this is resolved.Customer Answer
Date: 09/03/2024
SignedBusiness Response
Date: 09/04/2024
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:08/29/2024
Type:Service or Repair IssuesStatus: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 November 2023, I contacted Mohela and spoke with a representative who informed me that I needed to verify my status as an in-home provider since 2005. Following her instructions, I visited the Department of Aging and *************** Public Authority ********************************** to obtain the necessary documentation. I secured copies of my check stubs to substantiate my employment history.Initially, I provided care for my grandfather, followed by my nephew, who passed away on April 6, 2006. Subsequently, I began caring for my niece, ***** *******, my sister, Rykellia *******, and my brother, ***** *******. While my niece has since relocated, I continue caring for my brother and sister. As requested, I submitted all relevant check stubs from 2006 to the present to Mohela.The representative assured me that this verification would lead to the discharge of my loans. Mailing the four extensive packages containing all necessary check stubs and documentation cost me over $100. Based on the evidence provided, I was informed that my loans would be discharged.Business Response
Date: 09/10/2024
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: 09/12/2024
Complaint: 22214966
I have reviewed the business' response and am rejecting it because: I have already forwarded a third party signature and I am waiting for Mohela to honor my request. I have been waiting for a response for almost two years and Mohela had me make copies of my check stubs for both my disabled brother (***** *******) and sister ********* *******) and forward years of check stubs verifying that I am a in-home provider that I would be discharged of the loans because of how long I have been working as a In-home Provider beginning in 2006 to the present, it cost me a fortune to send all those check stubs out. I want what I was promised my loans to be discharged.
Sincerely,
******* *******Business Response
Date: 09/13/2024
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: 09/18/2024
This is the second authorization form that I filled out, I sent one to Mohela and a copy to you.
******* *******
I want what i was promised. I was promised that my loans would be discharged through PSLF if I verified that I am a In-Home Provider. Mohela asked me to send verification that I am a in-home provider. Mohela also asked me to mail out the check stubs because uploading the stubs will be time consuming. So I did what Mohela requested and mailed out the check stubs from 2005 to the present for both Rykellia and *****. I mailed them out and never heard anything back. I have been a in-home provider since 2005 and has been taking care of multiple family members. I have been taking of my grandfather, **** ***** (RIP); (2005 - 2006) my niece, ***** *******, (2006 - 2008) she moved away with her husband, my nephew ****** ******* *** (RIP) (2006 - 2007) and now my sister, Rykellia ******* and brother ***** ******* from (2007 to the Present). Please grant me this discharge.
Initial Complaint
Date:08/29/2024
Type:Billing IssuesStatus: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 not reporting accurate loan history to the Federal Student Aid and the Department of Education. I have a stretch of time on my federal student loan history (FSA website) September 2014 through April 2016 listed as, first, a deferment and later incorrectly changed to *********** Notification Forbearance. Over the last TWO years I have tried to resolve this. I was not in school and fully in repayment. On several occasions I have reached out to Mohela. I provided all documentations to show that I was not enrolled in school. I have been assured at least 3 times by one of their customer service specialists that they would fix the mistake and report my In-repayment status for this stretch of time, September 2014-April 2016 (which would remove that deferment/forbearance on my loan history).Business Response
Date: 09/10/2024
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: 09/12/2024
An attachment was sent, a Mohela third party authorization form. I am unsure of how it needs to be filled out. It asks for the information for party 1 and party 2. I am assuming that Party 1 is the BBB. What address and telephone should be included for the BBB information needed. Also, what is the relationship I should list?
Am I only submitting this form to Mohela, or does it need to be sent back to you, the BBB?
Thank you.
Customer Answer
Date: 09/12/2024
Attached is the 3rd party authorization form that was sent to me to fill out.Customer Answer
Date: 09/16/2024
Complaint: 22215153
I have reviewed the business' response and am rejecting it because:I just recently submitted the third party authorization form, so now the BBB can access my account information at Mohela and properly investigate my complaint.
Sincerely,
***********************************Business Response
Date: 09/17/2024
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: 09/18/2024
My complaint has not been investigated yet, so I faxed Mohela AGAIN with my third party authorization form that they said was needed.
Sincerely,
***********************************
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