Scammers are already crafting ways to cash in on President Joe Biden’s student loan forgiveness plan, according to the Better Business Bureau.
The nonprofit says it has already received reports from people who have been targeted with impostor loan forgiveness calls and emails.
The scam often begins with a call or voicemail from someone claiming to represent a new student loan forgiveness program, BBB said. The scammer then insists that you need to complete an online application to see if you qualify. The form asks for personal information, such as bank account details.
In other variations, scammers insist you need to pay an upfront fee or even redirect current student loan payments to them, according to BBB.
The group offered some advice on how to avoid getting scammed when it comes to student loan forgiveness:
- When in doubt, contact the government directly. If you get a message that seems legitimate, but you aren’t sure, stop communicating with the person who contacted you, BBB said. Then, verify their claims by contacting the government agency they represent.
- Never pay. Government agencies will never ask for a fee to benefit from a free program. Scammers might tell you you’ll get relief faster or gain access to additional benefits if you pay, but that’s all part of the con, according to BBB.
- Think twice about unsolicited calls, emails or texts. Government agencies won’t reach out to you unless you ask to be contacted. Out-of-the-blue communications are a red flag,…
