MOHELA review: What student loan borrowers should know

The Missouri Higher Education Loan Authority, or MOHELA, is a student loan servicer that administers both federal and private student loans. MOHELA has been a student loan servicer for more than 30 years, and it has served as the main servicer of student loans in the Public Service Loan Forgiveness (PSLF) program since July of 2022.

MOHELA isn’t a student loan lender itself; instead, it takes care of administrative tasks for the U.S. Department of Education and some private lenders. If you have student loans through MOHELA, this is the company that you’ll make payments to every month. If you need to apply for deferment or forbearance or change your payment plan, you’ll apply through MOHELA.

Is MOHELA a good loan servicer?

Most companies in the student loan industry get lukewarm reviews from current and past customers. MOHELA is no exception.With that said, MOHELA is still a credible business. The student loan company currently boasts an A+ rating with the Better Business Bureau.

What types of student loans does MOHELA service?

MOHELA services federal student loans, including all loans being paid off with the Public Service Loan Forgiveness (PSLF) program.

MOHELA is also the loan servicer for some private student loan companies, like SoFi and Laurel Road. If you take out a student loan with one of these companies or refinance your loans with them, your private loans will be managed by MOHELA.

How do I know if MOHELA is my servicer?

While you should receive a welcome letter from your loan servicer at the start of your student loan repayment, there are a few ways to find out who your loan servicer is after the fact. If you have federal loans, the easiest way to find out is to log in to your Federal Student Aid account and scroll down to the “My Loan Servicers” section. You can also call the Federal Student Aid Information Center at 800-433-3243.

If you have private student loans, you can find the names of your loan servicers by checking your credit reports or billing statements.

If you are currently paying off student loans through PSLF, MOHELA is now your loan servicer. The program was once managed by FedLoan, but accounts were transitioned over to MOHELA.

Lawsuits against MOHLEA

While lawsuits involving a student loan servicer are not automatically a negative mark, borrowers should be aware of any cases involving the company that administers their loans.

Notably, MOHELA is directly mentioned in the pending student loan forgiveness plan, which is still facing legal challenges. Borrowers in California may be especially mindful of the case, as the loan servicing giant is accused of denying more than $58 million in student debt and thereby violating the California Student Borrower Bill of Rights.

How do I make my MOHELA student loan payments?

To create an online account with MOHELA, you’ll need to provide your Social Security number, full legal name and date of birth. You’ll then have to choose a username and password. MOHELA will also ask for your address, phone number and email address. You can choose paperless statements or have the monthly statements mailed to you.

MOHELA offers a variety of payment methods. You can sign up for automatic payments, which will be deducted from your bank account on roughly the same date every month. If you have federal student loans, you’ll receive a 0.25 percent interest rate deduction by signing up for autopay.

Borrowers can also make manual online payments every month, but they will not be eligible for the 0.25 percent interest rate discount. You can also pay over the phone via 888-866-4352 toll-free nationwide or via 636-532-0600 if you’re abroad.

If your bank has a bill pay feature, you can have it send payments directly to MOHELA. This can take several days to process, so be sure to give yourself some leeway before the due date.

You can also mail a check or money order to MOHELA. For both the bill pay and the direct check option, make sure to write your 10-digit account number on the check. This will ensure that the payment is credited correctly to your account.

How to contact MOHELA

If you have questions for MOHELA and you haven’t found an answer to them online, you may need to reach out to the company directly. You can contact MOHELA via secure message on its contact page or by phone at 888-866-4352. International borrowers may call 636-532-0600. MOHELA’s customer service hours for Direct Loan, PSLF, and FFEL loan borrowers are 7 a.m. to 8 p.m. CT Mondays, 7 a.m. to 7 p.m. CT Tuesdays through Wednesdays and 7 a.m. to 5 p.m. CT on Fridays.

If you’d like to send correspondence, you can do so by writing MOHELA at 633 Spirit Drive, Chesterfield, Missouri, 63005.

How to file a dispute with MOHELA

The first step toward filing a dispute with MOHELA is contacting the servicer directly, using one of the methods listed in the section above. Be sure to keep detailed notes about when and how you reached out, with whom you spoke, and any details or specifics discussed in the conversation. If corresponding by mail or email, keep comprehensive records of your exchange.

If you are unable to settle matters with MOHELA directly, you may reach out to the U.S. Department of Education to submit a complaint. A step further, if your dispute or complaint is still not resolved, is to contact the Federal Student Aid Ombudsman Group for additional assistance.

The bottom line

MOHELA is one of the largest student loan administrators nationwide, servicing both federal and private student loans. The company now administers a significant portion of student loans, including those related to the Public Service Loan Forgiveness (PSLF) program.

For information on your student loans and payment plan options, log into your Federal Student Aid account or contact your loan servicer directly.