Student loan debt is a serious financial concern for over 40 million Americans (roughly 1 in 8), with the average person owing around $38,000. If you’re in this group, you’ve almost definitely gotten a call telling you that you may be eligible for a new student loan forgiveness program. But are these student loan forgiveness program calls real or are they a scam? Are there legitimate options for relief? We’re looking at how to spot scams and what you need to know.
If it sounds too good to be true, it probably is, but here are three key ways to determine whether a student loan forgiveness program is a scam.
Your FSA ID password is used to sign electronic documents, such as signing for loans or consolidating them, so it’s very important to never give this out. Anyone with this information can take action on your account, such as applying for new loans or filing for forbearance after telling you your loans have been forgiven. The Department of Education nor legitimate loan servicers will ever ask you for your FSA ID password.
Unless you are dealing with a reputable entity or law firm with good consumer feedback or reviews, you should never pay a fee for assistance in:
There are no student loan forgiveness programs that happen immediately or are easily accomplished nor are there any programs that offer total forgiveness on your loan.
If you have already made a payment or shared personal information with a company you feel is committing a student loan forgiveness program scam, take these steps immediately:
There are legitimate student loan forgiveness programs that you may be eligible for:
There are also state programs for student loan forgiveness, and many employers offer programs to pay off a portion of their loans.
If you are struggling with student loans, credit cards, and other debts, we can help you find the right options to lower monthly payments and achieve financial freedom. To learn more about your options, schedule a free consultation with a Fort Lauderdale bankruptcy or student loan lawyer today by calling (954) 932-7804 or filling out the form below to get started.
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