Ever felt suspicious about student loan forgiveness offers in calls, emails, or texts? Here’s a guide to help identify and ward off such scams, and what steps to take if you think you’ve been duped.
Deceit can take various forms, like phone calls, emails, or texts, and you might encounter it in relation to current events. A quick solution and massive savings could lure you into a scam. Remember, scams don’t need to be complicated.
In the first quarter of 2023, the Federal Trade Commission recorded 495,855 fraud complaints.
Credible programs and resources are there to help with federal student loans, including
Legitimately, you can collaborate with your loan servicer for free to determine suitable options. Nonetheless, some companies will attempt to trick borrowers by promising immediate results or asking for upfront payment for services they cannot deliver.
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How do typical scams appear?
High-pressure Marketing Devices
Below are examples of potential fraudulent claims:
- “Act now to become eligible for student loan forgiveness before it’s discontinued.”
- “Possibility for complete discharge for your student loans. Enrollments are first come, first served.”
- “Student alert: Your student loan is selected for forgiveness subject to validation. Call immediately!”
Although the U.S. Department of Education may highlight temporary programs, they or their partners will not use high-pressure marketing devices like these.
Surreal Promises
Scammers often ask for an upfront or monthly fee, promising instant and total student loan forgiveness. Most government forgiveness programs require several years of payments and/or employment in certain fields before forgiving loans.
Requests for Log-in Info
A deceit could entail asking for your StudentAid.gov account credentials, like your FSA ID. This is a warning sign. We and our partners will never ask for your password. That’s a commitment.
The U.S. Department of Education and our associates will never ask for your StudentAid.gov username and password.
Typographical Errors
Be mindful of typographical errors such as unusual capitalization, grammatical mistakes, or incorrect sentences in any message promising loan forgiveness. These mistakes suggest a potential scam.
Unverified Addresses or Phone Numbers
Scammers may replicate official names, seals, and logos, but it does not confirm their credibility. Familiarize yourself with what official emails from us and our partners look like and cross-check the sender’s email address.
Only emails from certain addresses come from us:
Only text messages from 227722 or 51592 come from us.
If you’re uncertain about a potential scam, consult your local Better Business Bureau® to see if there any complaints against a company.
Can I pay for debt relief assistance?
If you’re struggling with student loans, firstly reach out to your loan servicer. Some debt relief companies impose a fee for services that you and your servicer can handle together for free.
Assistance can be provided by us and our affiliated federal loan servicers
Engaging a private, independent debt relief company doesn’t indicate a scam. However, looking for unvalidated services can lead to student loan forgiveness scams.
Who are legitimate loan servicers?
We work in collaboration with private firms such as lenders and loan servicers to support borrowers and federal student loans. Recognizing these companies and their services are essential to prevent student loan forgiveness scams.
Your loan servicer, assisting the government, can:
- collect your loan payments,
- answer your loan-related queries,
- suggest suitable repayment plans, and
- facilitate swapping to a new plan at no cost.
To find your student loan servicer, log in and check your account dashboard. Alternatively, call the Federal Student Aid Information Center at 1-800-433-3243.
If you need assistance with federal student loans or aim to avail student loan forgiveness, ensure that you are contacting a U.S. Department of Education affiliated company. Before contacting a potential partner, read through our list of contracted federal student loan servicers.
What if I believe I was scammed?
If you think you’ve fallen for student loan forgiveness scams, be swift to follow any or all of these steps:
FSA ID Account Scams
In case you’re embroiled in a scam related to your StudentAid.gov account or if you’ve disclosed your FSA ID details with a suspected scammer, ensure you log in and change your password right away. Check all account information (email, address, and phone number) for accuracy. Furthermore, you should file a complaint to keep track of suspicious activity in your account. Be certain, neither ED and nor our partners will ever ask for your FSA ID password.
FAQ
How can I avoid student loan forgiveness scams?
Be cautious about high-pressure marketing tactics, fantastical promises, and any requests for your login credentials. Keep an eye out for typographical errors in any communications and double-check any addresses or phone numbers against known, verified contacts.
Should I pay for help with debt relief?
Before looking for outside help, your first move should be to contact your loan servicer. Some companies may charge a fee for services you and your servicer can handle together for free.
What do I do if I think I’ve been scammed?
Change your login password, update any personal information, and file a complaint so your account can be monitored for suspicious activity. Remember that the Department of Education and its partners will never ask for your login password.
