Nearly $55
billion in PSLF forgiveness processed for 737,000 borrowers
by MOHELA staff while operating as interim PSLF
servicer
ST.
LOUIS, July 10, 2024 /PRNewswire/ -- MOHELA, a
governmental non-profit organization dedicated to helping the
student loan borrowers it serves, announced it set a program record
during its time as the U.S. Department of Education's Office of
Federal Student Aid's (FSA) interim Public Service Loan Forgiveness
(PSLF) servicer from July 2022
through April 2024.
"MOHELA is proud of our record in supporting the federal
government as their interim PSLF servicer during its transition to
a new loan servicing environment," said Scott Giles, CEO and Executive Director of
MOHELA. "Our dedicated team of customer service representatives
worked diligently to support federal borrowers during this time,
setting the record for processing the highest amount of forgiveness
in the history of the government-run program. This achievement
reflects MOHELA's continued commitment to assisting and supporting
the borrowers we serve as they repay their student loans."
From July 1, 2022, through
April 30, 2024, MOHELA supported the
federal government as the interim PSLF servicer while FSA
transitioned to its new loan servicing environment through
StudentAid.gov, which was announced by the Department in
May 2022. During this time, MOHELA
helped student borrowers who qualified for PSLF process their
request to FSA for forgiveness.
During the history of the program, almost 876,000 borrowers have
received PSLF forgiveness. Of those who received PSLF forgiveness
under the program, MOHELA processed nearly $55 billion in PSLF forgiveness for over 737,000
borrowers at the direction of FSA. In contrast, directly prior to
MOHELA becoming the PSLF servicer, only about 165,000 borrowers had
received $10.5 billion in loan
forgiveness during the previous five-year period from 2017 through
June 2022.
The final decision on a borrowers request to discharge their
loan under the PSLF Program is made by FSA as the owner of the
loan, not MOHELA.
Borrowers seeking more information from ED about the transition
of the PSLF Program to its new loan servicing environment can
visit StudentAid.gov/streamlining.
About MOHELA
MOHELA is a governmental non-profit
organization with 40 years of experience and a track record of
providing exceptional customer service to the borrowers it serves.
MOHELA plays an essential role in the federal student loan
ecosystem, providing support and assistance for around eight
million federal borrowers on behalf of the U.S. Department of
Education's Office of Federal Student Aid (FSA). The organization
is frequently named a top servicer in FSA quarterly surveys due to
its performance and commitment to providing high-quality customer
service to their borrowers.
In 2023, MOHELA was proud to assist more than 6 million federal
borrowers in their return to repayment. MOHELA's customer service
team facilitated over 3.1 million customer service calls and
processed more than 2.36 million Income-Driven Repayment Plan
applications and over 2.58 million payments to the federal
government on behalf of borrowers throughout 2023.
Media Contact: media@mohela.com
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SOURCE MOHELA