Student loan repayment scams on the rise
BALTIMORE – Student loan borrowers have a few extra months before they make their payments again.
âWe conducted our own survey of over 33,000 people in November and found that 9 in 10 student loan borrowers were not financially secure enough to resume their payments,â said Cody Hounanian, executive director of the Student Debt Crisis Center.
The Student Debt Crisis Center supports the Biden administration’s decision to give borrowers an additional 90 days of late repayment until May 1. , or other lenders.
âThese have not been covered by any of the federal pandemic relief for student loan borrowers, so these people should contact their lender and see if the company itself is offering any kind of special relief during this. period, âHounanian said.
Scammers are also taking advantage of the confusion surrounding these program changes.
âThis message comes from the Ministry of Education, any student loan forgiveness will be immediately stopped. To qualify, you must apply within the next 24 hours or else you will not be able to reduce your student loan, âaccording to a voice message from the Federal Trade Commission.
The FTC has said this voicemail is a scam that targets borrowers unaware that the student loan hiatus has been extended.
And while the Student Debt Crisis Center supports the student debt elimination proposals, borrowers need to start thinking about how they will pay their loans, including signing up for repayment plans.
“These options can help lower your monthly payment based on your income, so for people particularly affected by the pandemic, who have lost their jobs, have faced reduced hours, there are programs that can help you right now. and throughout the year to come, âHounanian mentioned.
In addition to these changes, millions of people will see that their loan officer has changed, and more people may temporarily qualify for the public service loan forgiveness program, so it is important to ensure that all of your information with your lender is up to date. including email and address to receive all information and updates regarding your loan.