Student loan debt is one of the fastest growing concerns for people across the country, including many here in Florida. The prospect of obtaining forgiveness for student loans can be enticing. This is why some people are being taken in by scammers promising student loan debt relief.
Unsuspecting consumers may receive a phone call or an email, or see a Facebook post, from a company that claims they can eliminate student loan debt. These sources say that this is possible through a new policy sponsored by the President of the United States or a new government program. The scammers claim that they can negotiate on behalf of the consumer with the student loan company. Other scams claim that they can get the loans consolidated in order to lower payments. Of course, a fee will be required for this service.
Unfortunately, there is no such program or policy. After receiving payment for this bogus service, the scammer then disappears with the consumer’s money. The fact is that student loan debts can only be forgiven under certain circumstances.
Student loans are not even ordinarily discharged in a bankruptcy. Furthermore, student loans can often be consolidated for free through a government program. There is no need to pay anyone.
It might not be possible to obtain student loan debt relief, but it might be possible to eliminate other debts in order for Florida residents to be able to make payments on their student loans. Even with income sensitive repayment programs and other delayed payment options, student loans can still be a challenge to pay. Filing for bankruptcy could provide the filer with a fresh financial start even if the student loans are not discharged.
Source: klfy.com, “Better Business Bureau warns of student loan forgiveness scams in Acadiana“, Feb. 1, 2016