SCAM AWARENESSStudent loan forgiveness scams
Student loan forgiveness scams target borrowers who are hoping for lower payments or debt relief. A company promises to get your loans forgiven or reduced, often using official-sounding names. They charge fees for help that is free from your loan servicer, and some steal your login to take over your account.
How this scam works
You get a call, text, email, or letter saying you qualify for a new forgiveness program or that time is running out. The message may use words like "federal" or "Department of Education" and include a seal or logo. They offer to handle all the paperwork for you in exchange for an upfront fee or a monthly charge.
They often ask for your StudentAid.gov username and password, or your Social Security number. With that access, they can change your contact details so you stop getting messages from your real servicer. Some keep collecting monthly payments that never reach your loans, so you fall behind while thinking you are on track for forgiveness.
What it can look like
EXAMPLE · NOT A REAL MESSAGE"Final notice: Your student loans qualify for 100% forgiveness under a new federal program. Enrollment closes Friday. Call [number] or visit [link] to secure your spot. A one-time $699 document fee is required to process your application."
Warning signs
- They charge upfront or monthly fees for federal loan forgiveness or repayment plans.
- They ask for your StudentAid.gov username and password.
- They promise immediate or guaranteed loan forgiveness.
- They pressure you with a deadline to act right away.
- They tell you to stop paying your servicer and pay them instead.
- They use government seals or names but are not your servicer.
How to protect yourself
- Know that federal student loan forgiveness and repayment programs are always free to apply for.
- Contact your loan servicer directly, using the information on StudentAid.gov.
- Never share your StudentAid.gov username and password with anyone.
- Keep making payments to your servicer until you get official word of a change.
- Check that any website is StudentAid.gov or your servicer's real site before logging in.
- Ignore messages that say you must act today to keep forgiveness.
If you already responded
- Log in to StudentAid.gov and change your password right away.
- Contact your loan servicer to check for unauthorized changes and revoke any power of attorney you signed.
- Call your bank or card company to stop future payments to the company.
- If you shared your Social Security number, visit IdentityTheft.gov for next steps.
- Report the company to the FTC, the CFPB, and Federal Student Aid.
Get step-by-step recovery help →
Where to report it
Common questions
Do I have to pay to apply for student loan forgiveness?
No. Federal student loan forgiveness and repayment programs are free to apply for. Your loan servicer will help you at no cost. Companies that charge fees are often doing paperwork you can do yourself in a few minutes on StudentAid.gov or with your servicer, and some of them are outright scams.
Will the Department of Education ask for my StudentAid.gov password?
No. The Department of Education and its partners say they will never ask for your password. Anyone who asks for it, whether by phone, text, or email, could use it to change your account details or contact information. Keep your login private and turn on extra security where available.
How do I know who my real loan servicer is?
Log in to your account on StudentAid.gov by typing the address yourself. Your dashboard lists your federal loans and the servicer for each one. Contact your servicer using the details shown there, not a phone number or link from a message you received.