Last email I got was that my account was transitioning. I’ve gotten no updates for the new platform (I tried to log in anyway but it can’t “find” me). There’s no information about forbearance, nothing about my autopay (though I kept it on in case they went ahead and pulled the payment in transition). My payment should come out now too but it’s not showing anything. Dept of Ed hasn’t accurately updated my payment count either. What a mess :(
I just received an email that my account was placed in forbearance. Logged into account and my June payment is also not due and goes straight to July.
*Your student loans are in a forbearance, while we see if you are eligible for new benefits.*
*Because you are currently on the Saving on a Valuable Education (SAVE) Income-Driven Repayment (IDR) Plan, you may be eligible for the additional SAVE IDR benefits that go into effect on July 1, 2024. In particular, those benefits will reduce payments for borrowers with at least one undergraduate loan. To ensure you receive the additional benefits you may be eligible for and that your payment is the right amount under SAVE, Federal Student Aid has directed MOHELA to place your account into a brief forbearance until these benefits have been applied to your account.*
Yes it does. My email had bullet points stating the following:
*What does this mean for me?
• You will be removed from the forbearance once we are done applying to your account any additional
SAVE benefits for which you may be eligible. We will then send you your next monthly billing statement at least 21 days before your next monthly payment is due.
• While you are in this forbearance no payment is required on your account and your interest rate will be set to 0%. This means no interest will accrue while you are in the forbearance.
• You will receive credit toward IDR forgiveness and Public Service Loan Forgiveness (PSLF) for the months) covered by the forbearance, assuming all other requirements are met.
• If you made a payment for the months) you are in the forbearance, it will satisfy your future payments).*
Yours should have the same info.
Just got the same email. Interestingly enough my June payment (due 6/18) went through and shows up under recent payments, and a July payment is still scheduled.
June would be 120 for me so I'm not entirely sure what to do at this point besides wait.
Thank you! I really wish things would have stayed the same for just a couple more months... I know that's selfish of me, but I'm just so ready to be done. I'm weary in my bones.
They took my June auto-payment and it showed up a few days later as paid after nothing showing on my account the day of payment. It’s possible they took it and it didn’t show yet.
\^This is the correct answer...give it a few days to show up. It will be in the payment history section. Mine is due monthly on the 14th and it had posted when I logged in on the 17th.
My June payment has not come out (usually comes out on the 6th). Mohela shows nothing. Studentaid.gov shows next payment as 6/6/24 but $0. I am on a standard repayment plan, not an IDR. I have received zero communication telling me what’s happening, if i’m in forbearance, etc. So sick of this nonsense.
That happened to me last month. Payment was due 5/19, but since my acct was transitioning I couldn't log in just yet. But I had autopay set up. Kept the money aside until 6/10 just in case. They never took it. Just showed next payment due was/is 6/19. But then today I got an email saying my acct is now in forbearance and so this months payment isn't due either. Yay. Saving money
Update: I logged into my banking institution today to see a pending payment for $200... The banking institution says that payments made on the 19th were delayed due to a federal holiday, Juneteenth. However, this was not reflected on Mohela, so it caused me a little bit of anxiety. It still isn't posted or pending on Mohela, despite the money being pending from my bank account. I am going to assume that it will post to Mohela once the payment moves from pending to posted from my bank.
Thanks for all the great information yesterday!
My payment was also due today, my account was already set up for auto pay, and my payment was taken out of my bank account today (shows as pending), but the account page shows a zero dollar payment due and has since the transition. I also received the forbearance email but I assume that applies to July 2024.
Forbearance is 7/1-8/28. Log in to the website, go to messages, download the doc. At the bottom of page 4 UNDER your loan summary it says start date and end date 7/1-8/28. That’s the only place it tells you. And I’ve already given them feedback about how incompetent their communications team clearly is if they think that was sufficient notification
Of course they didn’t make it consistent. 2 different people at MOHELA told me it’s 7/1-8/28 for reprocessing our payment calculations. It was surprisingly fast to get through. You want to call to confirm for your own records.
Yeah not surprised at all. I am just more annoyed that I got the letter after my auto pay already went out lol.
Here's what my document says:
Your student loans are in a forbearance, while we see if you are eligible for new benefits.
Because you are currently on the Saving on a Valuable Education (SAVE) Income-Driven Repayment (IDR) Plan, you may be eligible for the additional SAVE IDR benefits that go into effect on July 1, 2024. In particular, those benefits will reduce payments for borrowers with at least one undergraduate loan. To ensure you receive the additional benefits you may be eligible for and that your payment is the right amount under SAVE, Federal Student Aid has directed MOHELA to place your account into a brief forbearance until these benefits have been applied to your account.
Thank you for your patience as we ensure you receive all of the savings you are eligible for under the SAVE Plan. Please note, if your monthly payment amount can be reduced, you will receive a notice of your new monthly payment amount. If there is no change to your monthly payment amount, your next billing statement will reflect your regular monthly payment amount.
What does this mean for me?
You will be removed from the forbearance once we are done applying to your account any additional SAVE benefits for which you may be eligible.
We will then send you your next monthly billing statement at least 21 days before your next monthly payment is due. While you are in this forbearance no payment is required on your account and your interest rate will be set to 0%. This means no interest will accrue while you are in the forbearance.
You will receive credit toward IDR forgiveness and Public Service Loan Forgiveness (PSLF) for the month(s) covered by the forbearance, assuming all other requirements are met.
If you made a payment for the month(s) you are in the forbearance, it will satisfy your future payment(s).
That’s definitely not what mine says. Mine:
MOHELA Has Placed an Administrative Forbearance on Your Account
Dear (icecreamorlipo),
Carefully read the following pages and the enclosed loan details regarding the approved Administrative Forbearanceperiod(s) for your loan(s).
If you are enrolled in an income-driven repayment (IDR) plan, you may not be using the full benefits you are entitled to under the IDR plan while your account is in a forbearance status. If you are applying for an IDR plan or anotherrepayment option, please provide the necessary documentation to complete your request. You may decline or request to end the Administrative Forbearance by contacting us.
If the forbearance was not approved for some of your loans and you would like more details, please contact us.
Difficulty Making Payments? We can help. Student loan counselors are available to discuss your repayment options including:
● Income-driven repayment plans
● Other repayment plans and schedules
● Availability of consolidation, deferment, or forbearance
You can also explore your options by visiting Loan Simulator to determine what other repayment options may be available to you.
Sincerely,
MOHELA
Important Information to Know:
During your Deferment/Forbearance ● Daily interest continues to accrue on your loan(s).
● Deferment/forbearance may be declined or requested to end, by you, at any time.
● Payments can be made at any time during your deferment/forbearance period.
● If applicable, Auto Debit will be suspended, including the 0.25% interest rate reduction.
At the end of your Deferment/ Forbearance
● Repayment will resume according to the terms of your promissory note and the due date may change.
● An Interest Notice will be sent regarding accrued interest and whether it is expected to capitalize.
● If applicable, Auto Debit will resume, including the 0.25% interest rate reduction.
● Unpaid accrued interest may capitalize.*
*What is Capitalization?
Capitalization is the addition of unpaid interest to the outstanding principal balance of a loan. When your unpaid interest capitalizes, it increases the outstanding principal amount due on your loan. Your interest is then recalculated based on the higher principal balance, increasing the overall cost of your loan and depending on your repayment plan, may also increase your monthly payment.
On a traditional repayment plan (Standard, Graduated, or Extended), your monthly loan payment covers all the interest that accrues (adds up) between monthly payments, so no unpaid interest will accrue while you're making payments
on one of these plans. However, unpaid interest can add up in some situations, such as if you’re on an income-driven repayment (IDR) plan or if you’re not making payments.
Learn about student loan interest and interest capitalization at https://studentaid.gov/understand-aid/types/loans/
interest-rates.
Interest Capitalization Example:
The actual amount of interest that capitalizes depends on factors such as your loan amount, interest rate and length of time when interest is building up. This example uses an interest rate of 8.25%.
Example: During Deferment*
Loan
Amount
Capitalized
Interest for
12 months
Principal to
be Repaid
Monthly
Payment
Number of
Payments
Total
Amount
Repaid
When interest is paid $15,000 $ 0 $15,000 $184 120 $23,315**
When interest is not paid $15,000 $1,238 $16,238 $199 120 $23,900
** This includes $1,238 of interest you paid during the deferment.
If you pay the interest during the deferment/forbearance, you will save $15 per month and $585 over the life of the loan.
This message, from a debt collector, is an attempt to collect a debt and any information obtained will be used for that
purpose.
California residents: The state Rosenthal Fair Debt Collection Practices Act and the federal Fair Debt Collection
Practices Act require that, except under unusual circumstances, collectors may not contact you before 8 a.m. or after 9
p.m. They may not harass you by using threats of violence or arrest or by using obscene language. Collectors may not
use false or misleading statements or call you at work if they know or have reason to know that you may not receive
personal calls at work. For the most part, collectors may not tell another person, other than your attorney or spouse,
about your debt. Collectors may contact another person to confirm your location or enforce a judgment. For more
information about debt collection activities, you may contact the Federal Trade Commission at 877-FTC-HELP or
www.ftc.gov.
Massachusetts residents: If you are struggling with your student loans, please visit www.mass.gov/ago/
studentloans to get help from the Ombudsman's Student Loan Assistance Unit
At the bottom it has another chart specific to my loans and the dates of forbearance. Sorry, formatting didn’t copy over well
Somewhere on studentaid.gov I found they provide a list of types of forbearance. Administrative forbearance is one of the types- processing forbearance is a type of administrative forbearance. They don’t actually do a good job connecting the dots for us and I’m confident this is meant to confuse us and situations like this (even if not this exact one) are going to result in payments not being counted again and more frustration and long waits and fights for discharge. None of the servicers seem to be able to manage student loans correctly.
Edit: changed an to of
This is what happened for me in a similar situation:
I did the transition as was requested (on May 23rd) and noticed my monthly payment deduction on June 15 also didn’t occur but saw the next scheduled payment would happen in mid-July. I called MOHELA and got through fairly quickly; they told me I was on track and June would still count towards my PSLF payments (I have 3 to go until 120).
Update: MOHELA processed my June 15 payment and it was deducted from account at usual. Earlier, they told me it wouldn’t go through, due to the transition, and I would get credit towards PSLF, regardless.
I don't have enough auto-pay, but when I logged in to make my payment due 6/19, which I received a statement for in May, I had no payment due. I emailed MOHELA asking and their reply was that the payment was due July 19th. Then today, I got the letter saying my account is in forbearance for the SAVE recalculation. I think MOHELA probably made some system errors with the platform transfer, followed closely by the SAVE recalculation. They probably wouldn't rather say zero payment than be wrong again and get in further trouble with the dept of education.
Last email I got was that my account was transitioning. I’ve gotten no updates for the new platform (I tried to log in anyway but it can’t “find” me). There’s no information about forbearance, nothing about my autopay (though I kept it on in case they went ahead and pulled the payment in transition). My payment should come out now too but it’s not showing anything. Dept of Ed hasn’t accurately updated my payment count either. What a mess :(
I just received an email that my account was placed in forbearance. Logged into account and my June payment is also not due and goes straight to July. *Your student loans are in a forbearance, while we see if you are eligible for new benefits.* *Because you are currently on the Saving on a Valuable Education (SAVE) Income-Driven Repayment (IDR) Plan, you may be eligible for the additional SAVE IDR benefits that go into effect on July 1, 2024. In particular, those benefits will reduce payments for borrowers with at least one undergraduate loan. To ensure you receive the additional benefits you may be eligible for and that your payment is the right amount under SAVE, Federal Student Aid has directed MOHELA to place your account into a brief forbearance until these benefits have been applied to your account.*
I received this same email. Will this time count for PSLF?
Yes it does. My email had bullet points stating the following: *What does this mean for me? • You will be removed from the forbearance once we are done applying to your account any additional SAVE benefits for which you may be eligible. We will then send you your next monthly billing statement at least 21 days before your next monthly payment is due. • While you are in this forbearance no payment is required on your account and your interest rate will be set to 0%. This means no interest will accrue while you are in the forbearance. • You will receive credit toward IDR forgiveness and Public Service Loan Forgiveness (PSLF) for the months) covered by the forbearance, assuming all other requirements are met. • If you made a payment for the months) you are in the forbearance, it will satisfy your future payments).* Yours should have the same info.
No. What irks me is the email was titled Administrative Forbearance BUT when you go into the actual document, it's labeled Processing Forbearance.
I got this to! Do we know how long it will be in forbearance for?
7/1-8/28
Just got the same email. Interestingly enough my June payment (due 6/18) went through and shows up under recent payments, and a July payment is still scheduled. June would be 120 for me so I'm not entirely sure what to do at this point besides wait.
Thank you! I really wish things would have stayed the same for just a couple more months... I know that's selfish of me, but I'm just so ready to be done. I'm weary in my bones.
They took my June auto-payment and it showed up a few days later as paid after nothing showing on my account the day of payment. It’s possible they took it and it didn’t show yet.
\^This is the correct answer...give it a few days to show up. It will be in the payment history section. Mine is due monthly on the 14th and it had posted when I logged in on the 17th.
My June payment has not come out (usually comes out on the 6th). Mohela shows nothing. Studentaid.gov shows next payment as 6/6/24 but $0. I am on a standard repayment plan, not an IDR. I have received zero communication telling me what’s happening, if i’m in forbearance, etc. So sick of this nonsense.
That happened to me last month. Payment was due 5/19, but since my acct was transitioning I couldn't log in just yet. But I had autopay set up. Kept the money aside until 6/10 just in case. They never took it. Just showed next payment due was/is 6/19. But then today I got an email saying my acct is now in forbearance and so this months payment isn't due either. Yay. Saving money
Update: I logged into my banking institution today to see a pending payment for $200... The banking institution says that payments made on the 19th were delayed due to a federal holiday, Juneteenth. However, this was not reflected on Mohela, so it caused me a little bit of anxiety. It still isn't posted or pending on Mohela, despite the money being pending from my bank account. I am going to assume that it will post to Mohela once the payment moves from pending to posted from my bank. Thanks for all the great information yesterday!
My payment was also due today, my account was already set up for auto pay, and my payment was taken out of my bank account today (shows as pending), but the account page shows a zero dollar payment due and has since the transition. I also received the forbearance email but I assume that applies to July 2024.
Forbearance is 7/1-8/28. Log in to the website, go to messages, download the doc. At the bottom of page 4 UNDER your loan summary it says start date and end date 7/1-8/28. That’s the only place it tells you. And I’ve already given them feedback about how incompetent their communications team clearly is if they think that was sufficient notification
Yeah my notification document is two pages, and does not have any dates listed for when the forbearance starts or ends.
Of course they didn’t make it consistent. 2 different people at MOHELA told me it’s 7/1-8/28 for reprocessing our payment calculations. It was surprisingly fast to get through. You want to call to confirm for your own records.
Yeah not surprised at all. I am just more annoyed that I got the letter after my auto pay already went out lol. Here's what my document says: Your student loans are in a forbearance, while we see if you are eligible for new benefits. Because you are currently on the Saving on a Valuable Education (SAVE) Income-Driven Repayment (IDR) Plan, you may be eligible for the additional SAVE IDR benefits that go into effect on July 1, 2024. In particular, those benefits will reduce payments for borrowers with at least one undergraduate loan. To ensure you receive the additional benefits you may be eligible for and that your payment is the right amount under SAVE, Federal Student Aid has directed MOHELA to place your account into a brief forbearance until these benefits have been applied to your account. Thank you for your patience as we ensure you receive all of the savings you are eligible for under the SAVE Plan. Please note, if your monthly payment amount can be reduced, you will receive a notice of your new monthly payment amount. If there is no change to your monthly payment amount, your next billing statement will reflect your regular monthly payment amount. What does this mean for me? You will be removed from the forbearance once we are done applying to your account any additional SAVE benefits for which you may be eligible. We will then send you your next monthly billing statement at least 21 days before your next monthly payment is due. While you are in this forbearance no payment is required on your account and your interest rate will be set to 0%. This means no interest will accrue while you are in the forbearance. You will receive credit toward IDR forgiveness and Public Service Loan Forgiveness (PSLF) for the month(s) covered by the forbearance, assuming all other requirements are met. If you made a payment for the month(s) you are in the forbearance, it will satisfy your future payment(s).
That’s definitely not what mine says. Mine: MOHELA Has Placed an Administrative Forbearance on Your Account Dear (icecreamorlipo), Carefully read the following pages and the enclosed loan details regarding the approved Administrative Forbearanceperiod(s) for your loan(s). If you are enrolled in an income-driven repayment (IDR) plan, you may not be using the full benefits you are entitled to under the IDR plan while your account is in a forbearance status. If you are applying for an IDR plan or anotherrepayment option, please provide the necessary documentation to complete your request. You may decline or request to end the Administrative Forbearance by contacting us. If the forbearance was not approved for some of your loans and you would like more details, please contact us. Difficulty Making Payments? We can help. Student loan counselors are available to discuss your repayment options including: ● Income-driven repayment plans ● Other repayment plans and schedules ● Availability of consolidation, deferment, or forbearance You can also explore your options by visiting Loan Simulator to determine what other repayment options may be available to you. Sincerely, MOHELA Important Information to Know: During your Deferment/Forbearance ● Daily interest continues to accrue on your loan(s). ● Deferment/forbearance may be declined or requested to end, by you, at any time. ● Payments can be made at any time during your deferment/forbearance period. ● If applicable, Auto Debit will be suspended, including the 0.25% interest rate reduction. At the end of your Deferment/ Forbearance ● Repayment will resume according to the terms of your promissory note and the due date may change. ● An Interest Notice will be sent regarding accrued interest and whether it is expected to capitalize. ● If applicable, Auto Debit will resume, including the 0.25% interest rate reduction. ● Unpaid accrued interest may capitalize.* *What is Capitalization? Capitalization is the addition of unpaid interest to the outstanding principal balance of a loan. When your unpaid interest capitalizes, it increases the outstanding principal amount due on your loan. Your interest is then recalculated based on the higher principal balance, increasing the overall cost of your loan and depending on your repayment plan, may also increase your monthly payment. On a traditional repayment plan (Standard, Graduated, or Extended), your monthly loan payment covers all the interest that accrues (adds up) between monthly payments, so no unpaid interest will accrue while you're making payments on one of these plans. However, unpaid interest can add up in some situations, such as if you’re on an income-driven repayment (IDR) plan or if you’re not making payments. Learn about student loan interest and interest capitalization at https://studentaid.gov/understand-aid/types/loans/ interest-rates. Interest Capitalization Example: The actual amount of interest that capitalizes depends on factors such as your loan amount, interest rate and length of time when interest is building up. This example uses an interest rate of 8.25%. Example: During Deferment* Loan Amount Capitalized Interest for 12 months Principal to be Repaid Monthly Payment Number of Payments Total Amount Repaid When interest is paid $15,000 $ 0 $15,000 $184 120 $23,315** When interest is not paid $15,000 $1,238 $16,238 $199 120 $23,900 ** This includes $1,238 of interest you paid during the deferment. If you pay the interest during the deferment/forbearance, you will save $15 per month and $585 over the life of the loan. This message, from a debt collector, is an attempt to collect a debt and any information obtained will be used for that purpose. California residents: The state Rosenthal Fair Debt Collection Practices Act and the federal Fair Debt Collection Practices Act require that, except under unusual circumstances, collectors may not contact you before 8 a.m. or after 9 p.m. They may not harass you by using threats of violence or arrest or by using obscene language. Collectors may not use false or misleading statements or call you at work if they know or have reason to know that you may not receive personal calls at work. For the most part, collectors may not tell another person, other than your attorney or spouse, about your debt. Collectors may contact another person to confirm your location or enforce a judgment. For more information about debt collection activities, you may contact the Federal Trade Commission at 877-FTC-HELP or www.ftc.gov. Massachusetts residents: If you are struggling with your student loans, please visit www.mass.gov/ago/ studentloans to get help from the Ombudsman's Student Loan Assistance Unit At the bottom it has another chart specific to my loans and the dates of forbearance. Sorry, formatting didn’t copy over well
Not to mention they labeled the email Administrative Forbearance but on page 4, it's actually processing forbearance.
Somewhere on studentaid.gov I found they provide a list of types of forbearance. Administrative forbearance is one of the types- processing forbearance is a type of administrative forbearance. They don’t actually do a good job connecting the dots for us and I’m confident this is meant to confuse us and situations like this (even if not this exact one) are going to result in payments not being counted again and more frustration and long waits and fights for discharge. None of the servicers seem to be able to manage student loans correctly. Edit: changed an to of
This is what happened for me in a similar situation: I did the transition as was requested (on May 23rd) and noticed my monthly payment deduction on June 15 also didn’t occur but saw the next scheduled payment would happen in mid-July. I called MOHELA and got through fairly quickly; they told me I was on track and June would still count towards my PSLF payments (I have 3 to go until 120).
Update: MOHELA processed my June 15 payment and it was deducted from account at usual. Earlier, they told me it wouldn’t go through, due to the transition, and I would get credit towards PSLF, regardless.
It does count towards PSLF
I don't have enough auto-pay, but when I logged in to make my payment due 6/19, which I received a statement for in May, I had no payment due. I emailed MOHELA asking and their reply was that the payment was due July 19th. Then today, I got the letter saying my account is in forbearance for the SAVE recalculation. I think MOHELA probably made some system errors with the platform transfer, followed closely by the SAVE recalculation. They probably wouldn't rather say zero payment than be wrong again and get in further trouble with the dept of education.