Loan Payoff

Public Service Loan Forgiveness (PSLF) and TEACH Grant Updates

The U.S. Department of Education (ED) has announced that the customer service and processing work associated with the Public Service Loan Forgiveness (PSLF) and Teacher Education Assistance for College and Higher Education (TEACH) Grant programs is shifting to ED via StudentAid.gov.  

Beginning May 1, 2024, these programs will began transitioning to ED and will no longer be managed by MOHELA. To allow for the transition of the PSLF and TEACH Grant Programs to StudentAid.gov, the processing of all forms is temporarily paused starting May 1, 2024.

• For the PSLF Program, the form processing pause is expected to last into July;

• For the TEACH Grant Program, the form processing pause is expected to last into fall 2024.

For more information, please visit StudentAid.gov/streamlining.

Borrowers can continue to submit PSLF forms during the pause, but they will be put on hold and not processed until July. We encourage you to use the PSLF Help Tool to submit your forms. Effective May 1, 2024, manual PSLF forms should be sent by mail to U.S. Department of Education, P.O. Box 300010, Greenville, TX 75403. Forms may also be faxed to: 540-212-2415.

TEACH Grant Program recipients have two choices regarding form submission during this time. You can do either of the following: 

• Submit a form now by mail* for the current or upcoming school year. Processing of that form will be held until the fall, when the transition to StudentAid.gov is complete; or

• Wait until fall 2024 to submit your form on StudentAid.gov.

* Send TEACH forms to TEACH Grant Program, P.O. Box 300010, Greenville, TX 75403.  Forms may also be faxed to: 540-212-2415.

StudentAid.gov/streamlining will be updated as new information becomes available so check back often.

Welcome to our new MOHELA portal

If your account recently transitioned to our new servicing portal, we're excited you're here.  It's time to create an online account.  You can also read our info page about the transition.

MOHELA Transitioning Loan Servicing Platforms

We're making enhancements! MOHELA is part of Federal Student Aid's (FSA's) long-term servicing solution that will eventually allow you to fully manage your federal student loans on StudentAid.gov. Transitioning to StudentAid.gov will ensure borrowers can continue to successfully manage repayment of their federal student loans in a secure, long-term servicing environment. 

No action is required of you as part of this change. MOHELA will continue to be your student loan servicer and will remain in contact with you regarding updates to your account. You may notice changes to our website and communications during this transition. For more information about how FSA is changing your student loan web experience, visit StudentAid.gov/streamlining.

High Call Volume

Due to the unprecedented event of millions of student loan borrowers returning to repayment at the same time, you may experience longer than normal wait times to speak to a Customer Service Representative. Log in for self-service 24/7 or visit StudentAid.gov. There you can explore your repayment plan options which may help to lower your monthly payment amount. We appreciate your patience.

Saving on a Valuable Education (SAVE) Repayment Plan (formerly the REPAYE Program)

The SAVE plan provides the lowest monthly payment of any income-driven repayment plan available to nearly all student borrowers. If you were previously participating in the Revised Pay as You Earn (REPAYE) plan, you will automatically be enrolled in the SAVE Plan and your payment recalculated before payments resume, no action is required. If you want to enroll in the SAVE plan and calculate what your estimated monthly payment may be, use Loan Simulator.

Note: If you are on the REPAYE alternative plan, you will need to apply for the SAVE plan.

Income-Driven Repayment Account Adjustment

Update: If you received an email from Federal Student Aid regarding income-driven repayment forgiveness, please know that we are working to process your forgiveness as soon as possible. Once the forgiveness has been applied, you will be notified. Our customer service representatives do not have any further information about this forgiveness to provide at this time.

Based on the newly eligible months from the one-time account adjustment, borrowers who have reached 240 or 300 months' (as applicable) worth of payments for IDR forgiveness or 120 months of PSLF will begin to see their loans forgiven in spring 2023. The Department will continue to discharge loans as borrowers reach the months needed for forgiveness. All other borrowers will see their accounts update in 2024.

For more information, please visit StudentAid.gov/IDRAdjustment.