Beware of “Student Loan Forgiveness” Programs

Many companies claim to offer assistance with “student loan forgiveness” to set you up to rip you off!

If you see an ad on the internet/social media or receive a phone call, watch for these scam red flags:

  1. Be very cautious if they are not the current federal servicer of your student loans. If they claim to be with your servicer, be skeptical. It is best to call your servicer directly and you can find those numbers here.

  2. If the person you speak with tries to pressure you into paying up front or uses scare tactics to try and get you to pay by phone, don’t do it. Contact your servicer by phone to get the true status on your account.

  3. If the person you are speaking with requires you to pay any fees to consolidate your loans don’t do it.  Your federal student loan servicer does not charge a fee to help you qualify and apply for loan forgiveness.

Our website Champion Empowerment Institute includes student loan troubleshooting for FREE with your subscription while the scammers often ask for thousands of dollars and you never see any loan forgiveness.  If you attend a school serviced by Champion College Services we will also assist you for free.

Please, read the Nerd Wallet Student Loan Watch List to review a current list of questionable companies.