Imagine student loans gone with a click of button! Sound too good to be true? That's because it is. A scam has been surfacing through email or on social media platforms, most commonly Facebook, that promises student loan holders their debt will be erased. BBB serving Eastern North Carolina wants consumers to be aware of this scam and not become of a victim of this viral con.
How the Scam Works:
An email will come to your inbox or you will come across a social media post on your screen claiming that this company can erase all of your student debt regardless of the amount. The ad may even have the name and a picture of the college or university you attended to it to make it seem more believable. These scammers claim that their service is made possible by a new government program or policy.
The company will ask for an upfront fee to negotiate with your student loan lender on your behalf. They will claim they've helped numerous other clients, but don't believe them! Student loans can only be forgiven under specific circumstances, and it's not fast or easy. These scammers will take your fee and disappear.
In another version of the student loan scam, con artists claim that they can save you money by consolidating your loans. Loan consolidation is a free government service and can be done by completing a form. Others may actually move your loans to a private lender with a higher interest rate.
For more information about student loan scams, visit bbb.org or for more information on student loans, visit studentloans.gov.