A scam is often a crime of opportunity and scammers are looking online and through your social media for any opportunity to steal your money. So while you and your loved ones celebrate college graduation, you also need to watch out for fraudulent student loan forgiveness.
Scams This Week 6/14/22
June 14, 2022
Student Loan Forgiveness Scams: There is a pause on federal student loans until August 31, 2022 but that is not stopping the scammers from coming out and targeting victims. If you get a call about President Biden's student loan relief or Biden's student loan forgiveness it is a scam.
The key is that student loan relief services are free. Some debt relief companies will charge a fee for services that you and your servicer can work out together, for free. But scammers will frequently request an up-front or monthly fee while promising immediate and total cancellation. If any caller is asking for a fee it is a SCAM. This approach falls under the Advanced Cash Scams Category. The scammer asks you to pay a percentage and they will forgive the rest.
A less common approach used in these scams is the "lawsuit." You will likely receive a cold contact from a "law firm" claiming they can eliminate your entire debt. That does not exist.
Like all of the other scams:
- They use high-pressure situations like a “limited time offer”
- It is too good to be true, with outrageous claims, “total elimination for a flat fee.”
- They are aggressive and use confusing terms.
- They need your personal information, including your FSA ID and password.
- When in doubt, always go to the source. Contact your loan company directly to talk about your options. If you've received a federal loan you can find more information and manage your loan at https://studentaid.gov/ or https://studentaid.gov/h/manage-loans
Click here for more federal student loan forgiveness scam tips.
Remember to always Stop, Question, and Confirm.
Contact: Boise Police Media Relations