FTC Catches Student Loan Scammers as Payments Resume

Friday, August 25th, 2023 -- 11:01 AM

(Raymond Neupert, WRN) Student loan payments will be starting again soon after years of pauses due to the pandemic.

Student loan payments will be starting again soon after years of pauses due to the pandemic. Nathan Nash from the Federal Trade Commission says you need to be on the look out for scammers who will try to make a quick buck by saying they'll handle payments for you. "We really encourage people, you know, with student loans and any government programs, you can go to the government website and look to see what your options are."

Nash says if it’s too good to be true, it usually is. "Often these scams happen where someone poses as a representative of the utility company or of a government agency where someone asks for an immediate payment or to share personal information, kind of banking on the trust that that company or that government agency usually has."

The scammers said they would lower or eliminate students’ loan payments and convinced students to stop communicating with their federal loan servicers. If you need to know more about your loans, log on to Look Forward W I dot Gov to get help from state agencies.

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