The sound of student debt reduction sounds good to the 42-million Americans paying off their education. Unfortunately, it appears scammers have been making false promises to people paying off their loans.
But now, a nationwide crackdown is to tracking down those scammers.
The Federal Trade Commission and multiple law enforcement agencies are working together to stop scammers from stealing money from people paying off student loans.
The initiative, operation "game of Loans" will look into cases that include illegal upfront fees, falsely helping in reducing or forgiving student loan debt burdens and pretending to be affiliated with the government or loan servicers.
Student Debt Relief Schemes and Holiday Scams... know the red flags. Watch @Jennymartineztv on @kgun9 with BBB tips tonight at 5. pic.twitter.com/YErhbP0RMZ
— TucsonBBB (@tucsonbbb) October 16, 2017
Susann Miller with the Better Business Bureau in Tucson says you should always verify the source and company.
BBB encourages the 42 million Americans with student loans:
- If you start falling behind, contact the loan servicer. They have programs to help by reducing your payments.
- Advance fees are a red flag. Credit repairs and debt relief companies can only collect their fee after they perform the services promised.
If you would like to know if you qualify for debt relief or how you can repay debt, click here.
