r/ StudentLoans

u/longdogs1

5h

Loan forgiveness, overpayment, and lack of refund?

Has anyone else experienced this?

Two loans hit their 300 payments according under ICR (yes I’m old) in Jan 2025. Federal Loan Servicing website and the back door counter all state as such.

Servicer, the dreaded MOHELA, does not acknowledge/process this until March 2026, which means I made 17 months of extra payments. MOHELA then does “payment reversal” for each of those extra payments, leaving me with almost a $900 credit between the two loans.

Now those loans continue to sit there with negative balances. I have been contacting MOHELA throughout the year and they said overpayments would be credited to my other existing loans. Ok, cool. Finally this month I was able to reach humans on the phone and after several days and multiple rounds of “escalation,” I was told that while there is indeed a negative balance on the loans, there is nothing to credit.…