Conn. (WTNH) — The Better Business Bureau (BBB) is warning student loan holders of scams following President Biden’s decision to partially forgive student loan debt.
The Biden Administration announced this week that the federal government will cancel up to $20,000 of Federal student loans per person. While this will help millions of Americans who are suffering in student loan debt, the BBB said this is a perfect opportunity for con artists to scam loan holders.
The BBB offered the following tips to avoid student loan forgiveness scams:
- Always do your research — know the terms of your student loan and the relief program, and always research before offering any personal information.
- Never pay money for a free government program — scammers will claim that they can offer additional or faster benefits, but a government agency will not ask for any fees.
- Be way of calls, emails, or texts from the government — the government won’t contact you through these methods unless you grant them permission to do so.
- Steer clear from phony government agencies — do research on anyone who claims to be a government representative offering loan relief.
Report any student loan forgiveness scams to BBB.org/ScamTracker.