Student Loan Scams, Fake News, and Bad Advice…Oh My!
Student Loans Can Be an Opening to Bad Financial Advice
If you’ve bought a home or a new car, or opened a credit card, you know that there are folks out there that are watching your big financial decisions and won’t miss an opportunity to try to sell you something. Suddenly you have an uninvited subscription to an endless supply of offers for credit, refinancing, suspicious warranties, and more.
Student loans, unfortunately, are no exception. If you’ve ever refinanced, you’re probably well acquainted with this. But those who look to profit off of unsuspecting borrowers aren’t just watching individuals, they’re watching what’s happening nationally.
Government Debt Relief and Student Loan Scams
The Biden Administrations’ student debt relief plan—and upcoming showdown in the Supreme Court—is on the lips of every major news agency in the country, and scammers are taking note. Even before the $10k debt relief program was announced, borrowers were already getting calls offering to secure their place in line—for a fee. While we await the court’s decision, scams continue to proliferate and borrowers should be as wary as ever.
Who to Trust with Your Student Loan Info
If you’ve gotten a call or an email regarding your student loans, but are unsure of their authenticity, how can you make sure it’s trustworthy? First off, remember that student loan servicers and Federal Student Aid are very busy. They have literally millions of clients and are unlikely to take the time to call each and every one of them. If you do receive a call, never give out your personal information. If you receive an email that provides specific info like, “you could save $42,683,” don’t trust it. Neither FSA nor loan servicers share sensitive information or figures in emails, but rather direct you to secure messaging on their websites. If you hear something that seems too good to be true, check it at studentaid.gov, or reach out to your student loan professional for trusted, tried-and-true advice.
If you have Federal Student Loans, schedule your free 15-minute Discovery Session to find out if your loans can be forgiven after 25 years.