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The Education Department says Mohela has failed to process borrower applications for key repayment plans. The department isn't assigning new accounts to the student-loan company until it corrects ...
A MOHELA spokesperson previously told Business Insider that "providing support to student loan borrowers is the utmost priority to MOHELA, and any claims to the contrary are false."
The Department of Education's announcement comes a week after a department spokesperson said 305,000 federal student loan borrowers received an incorrect bill for October 2023 from MOHELA.
SAVE plan paused during litigation and MOHELA faces lawsuit for mismanagement claims. ... Borrowers who have at least one graduate loan that’s been in repayment for at least 25 years.
The Washington Post noted that student borrower complaints against MOHELA spiked from 2021 to 2022: The Consumer Financial Protection Bureau (CFPB) went from receiving seven official complaints regarding MOHELA in the last quarter of 2021, to receiving over 500 complaints in the last three months of 2022 over MOHELA's loan servicing practices. [13]
A Missouri court will hear oral arguments for Biden's SAVE student-loan repayment plan on October 24. ... including the plans' harm to student-loan company Mohela and the states' tax revenues.
MOHELA is one of several student loan servicers that the Department of Education contracts with to collect federal student loan payments from borrowers. ... The new repayment plan offers the most ...
About 2.5 million borrowers did not get a timely statement from the loan servicer ahead of the resumption of federal student loan payments this month.
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