Student loan 'forgiveness' scam
Callers promise loan forgiveness or special repayment programs for an upfront fee, or phish for your FSA ID — which lets them take over your federal student aid account.
The operations surge around every real policy change — forgiveness programs, payment restarts — because genuine confusion makes 'enrollment deadlines' plausible. The FSA ID phish is the sharpest edge: with it, a scammer can change your servicer contact details and intercept your aid. Everything the callers sell — consolidation, income-driven plans, forgiveness applications — is free through StudentAid.gov and your servicer; charging fees for it is the tell, and paying 'processing' by card only adds a second loss.
How to recognize it
- Upfront fees for 'enrollment' in forgiveness programs
- Requests for your FSA ID username and password
- Claims of affiliation with the Department of Education
What to do
- Federal loan programs never charge enrollment fees
- Never share your FSA ID — the Department of Education won't ask for it
- Manage federal loans only at StudentAid.gov
Where to report
Sources
FAQ
What should I do first if I suspect a student loan 'forgiveness' scam call?
Hang up without pressing anything or confirming any details. Federal loan programs never charge enrollment fees. Then report it through the channels listed below.
I already gave the caller money or information — now what?
Act on the money first: contact your bank or card issuer immediately, and if you paid by gift card, call the card company to try freezing the balance. Then file a report at ReportFraud.ftc.gov and, if identity data leaked, follow the recovery plan at IdentityTheft.gov.
Does the number that called me identify the scammer?
Usually not — the display is routinely spoofed. Report the number anyway: combined with time and content, it still helps investigators map calling campaigns.