Quick student loan repayments? Better Business Bureau of Central Virginia says unlikely
From the Better Business Bureau of Central Virginia:
Traditionally, this is the time of year when aspiring graduates eagerly plan their walk on the stage. Soon after, the student loan repayment process begins. The Better Business Bureau warns against deceptive fraudsters and encourages graduates to carefully research reliable sources related to federal reimbursement plans before giving out personal information.
Read the latest news on Emergency COVID-19 Student Loan Assistance.
Beware of companies that promise to reduce their debt by lowering their payments by enrolling in student loan forgiveness programs or other programs. They may also falsely promise to apply monthly payments to consumer student loans and improve credit scores – all you have to do is pay a small fee so they can negotiate with the lender on your behalf. last name.
In another version, dishonest collectors claim that they can save you money by consolidating your loans if a nominal fee is paid.
“BBB urges consumers to do research before buying, especially the BBB.org website for trusted student loan consolidation services,” said Barry N. Moore, president and CEO of BBB serving Virginia central.
The best rule is to keep all your personal information private and never give it to an unsolicited source.
The BBB offers you these tips to protect yourself from student loan scammers:
- Look for the lender. Visit BBB.org to read company profiles and verify companies before working with them. The FTC has educated consumers on student debt relief scams at ftc.gov/StudentLoans.
- Report it. If you’ve been the victim of a suspected scam, report it to BBB.org/ScamTracker.
- Empty promises lead to an empty wallet and more debt. Only fraudsters promise quick forgiveness of loans. Scammers often claim to be affiliated with the government. Never pay a fee up front for help. Never share sensitive information, such as your FSA ID.
- Find a reliable source. Consumers can request loan deferral, forbearance, reimbursement or remission, or release programs directly through the US Department of Education or their loan manager at no charge, and these do not require of third parties.
To learn about federal student loan repayment options, visit StudentAid.gov. Student loans can only be canceled under specific circumstances, so contact your lender directly to see if any options are available to you.
If it sounds too good to be true, it probably is. A company that claims it can quickly write off student debt isn’t being honest.
About BBB: BBB serving Central Virginia serves Richmond, the Tri-Cities, Charlottesville and Fredericksburg, as well as 42 surrounding counties from Fauquier to Mecklenburg and Northumberland to Amherst. The non-profit organization was established in 1954 to promote responsible, honest and ethical business practices and to promote customer confidence through self-regulation of business. BBB’s core services include business profiles, dispute resolution, truthful advertising, scam warnings, consumer and business education, and charity review.