The Latest Breaking News from MOHELA

I recently had the pleasure misfortune to spend several hours on the phone bouncing back and forth between the Department of Education and my student loan servicer, Mohela. I wish I were being hyperbolic or exaggerating when I say “several hours” but, alas, I am not.

The Education Department will begin shifting an unspecified number of federal student loans away from MOHELA to other servicers by year's end, according to recent correspondence between Sen. Elizabeth Warren (D-Mass.) and Education Secretary Linda McMahon.

This would virtually ensure the case can't be dismissed for lack of standing, thanks to Missouri's precedent-setting Supreme Court victory in Biden v. Nebraska. The Show Me State can once again really show 'em!

As Eugene mentioned yesterday, the Missouri Higher Education Loan Association (MOHELA), has threatened to bring a lawsuit for libel. but New York Times v. Sullivan, among other cases, say the constitution forbids libel suits brought by the government. The Washington Post ran a story about this, and asked me (and…

There are many parallels between this case and the one the Supreme Court decided in Biden v. Nebraska, invalidating Biden's previous large-scale loan forgiveness plan.

But lawsuits for libeling the government do not "have any place in the American system of jurisprudence."

Sen. Elizabeth Warren takes action against MOHELA for mishandling student loan repayment post-pandemic pause, raising concerns about future issues.

The past few months have been marked by headache after headache for federal student loan borrowers.

A student loan servicer has caused 'confusion and financial distress' for 2.5 million borrowers, group says.