Credello: Student Loan Forgiveness Scams Are Rampant. Here's How to Spot Them

Nov 1, 2022

NEW YORK - November 1, 2022 - (Newswire.com)

Now that President Biden's student loan forgiveness option is available, many people are wondering if it's worth pursuing it, as working with bureaucracies like the federal government can seem like a headache.

Unfortunately, there are many scams out there trying to take advantage of people who are thinking about this option. Here's what you need to know and how to prevent yourself from getting scammed.

Why would scammers target student loans?

Unlike other student loan alternatives, education loans are one of the toughest debts to get rid of. They rarely qualify for outright forgiveness and cannot be written off with bankruptcy.

Consequently, many scammers see this as an opportunity to take advantage of desperate people. Now with student loan forgiveness available for a limited time, people looking to rip off well-intentioned but naive debt holders are at a critical level.

Common student loan scams

There are a few scams that you may run into when looking into student loan forgiveness. 

The most common is the "loan forgiveness scam." This is when someone tells you that you can get your entire student loan forgiven quickly, usually within a couple of months. However, this is almost never true. To get your loan forgiven, traditionally, you must go through a process that can take many years and require a lot of paperwork. 

President Biden's student loan forgiveness program removes these barriers for a limited time. Once his forgiveness program is over, getting your student loan debt absolved will go back to the complicated process it once was.

Another common scam is the "secret student loan forgiveness program." This is where someone will contact you and tell you that they work for a secret program that can immediately forgive your entire student loans.

How can I avoid being scammed?

Here are some tips to help you identify and avoid student loan forgiveness scams:

1. Refer to government websites for the most up-to-date information - Many scammers will offer information that is not officially sanctioned by the government and will direct you to sales pages set up just to take your money. Legitimate organizations like the Department of Education (DOE) will always have the most up-to-date information.

3. Avoid extraordinarily long and complicated contracts - Many scammers will try to get you to sign an agreement that is overly long and difficult to understand. Contracts like this often contain hidden terms that can lead to unexpected financial obligations later.

4. Be suspicious of anyone who offers a free trial, or money-back guarantee - These are common signs that a scammer is trying to take advantage of you.

5. Don't pay for advice - Many schemes involve paying a consultant or "debt advisor" in order to get started on the forgiveness process. Legitimate credit counseling services are often not-for-profit and can provide impartial advice that's low-cost or even free. Don't let anyone pressure you into making any payments before you know anything about the options available to you.

6. Be wary of offers that seem too good to be true - Many schemes promise student loan forgiveness in just a few short months or even weeks, but don't fall for promises that are too good to be true.

The bottom line

Although student loan forgiveness scams are rare, they are becoming more popular thanks to the federal student loan forgiveness program happening now. Being aware of the warning signs and taking preventative measures can help you avoid being scammed and get the relief you deserve.


Contact Information:
Keyonda Goosby
Public Relations Specialist
[email protected]
(201) 633-2125

Carolina d'Arbelles-Valle
[email protected]
+1 305 849 8443


Press Release Service by Newswire.com

Original Source: Credello: Student Loan Forgiveness Scams Are Rampant. Here's How to Spot Them

More News

article.head.headline
Feb 4, 2026
Quebec fisherman reels in 244-pound, record-breaking Atlantic halibut — for science

Alain Hamel caught the largest Atlantic halibut ever recorded in the Saguenay Fjord on Saturday. Working with the local Fjord Museum, the ice fishing was part of a scientific project aiming to gain more information about the species.

article.head.headline
Feb 4, 2026
Microsoft Develops Scanner to Detect Backdoors in Open-Weight Large Language Models

Microsoft on Wednesday said it built a lightweight scanner that it said can detect backdoors in open-weight large language models (LLMs) and improve the overall trust in artificial intelligence (AI) systems. The tech giant's AI Security team said the scanner leverages three observable signals that can be used to reliably flag the presence of backdoors while maintaining a low false positive

article.head.headline
Feb 4, 2026
Fungi turn shredded mattress foam into lightweight building insulation

Swinburne researchers have turned old, unwanted mattresses into safe and sustainable building insulation materials using fungi. The team grew a common fungus together with shredded mattress foam to create a new material that is solid and lightweight. Their research is published in the journal Scientific Reports.

article.head.headline
Feb 4, 2026
OpenClaw User Says AI Went Rogue, Highlighting Risks of Agents

Chris Boyd, a software engineer, began tinkering with a digital personal assistant called OpenClaw at the end of January, while he was snowed in at his North Carolina home. He used it to create a daily digest of relevant news stories and send them to his inbox every morning at 5:30 a.m.

article.head.headline
Feb 4, 2026
DEAD#VAX Malware Campaign Deploys AsyncRAT via IPFS-Hosted VHD Phishing Files

Threat hunters have disclosed details of a new, stealthy malware campaign dubbed DEAD#VAX that employs a mix of "disciplined tradecraft and clever abuse of legitimate system features" to bypass traditional detection mechanisms and deploy a remote access trojan (RAT) known as AsyncRAT. "The attack leverages IPFS-hosted VHD files, extreme script obfuscation, runtime decryption, and in-memory

article.head.headline
Feb 4, 2026
Sun releases strongest solar flare of 2026 — what does an X8.3 eruption mean?

Solar flares are sudden releases of energy from the Sun’s surface. Scientists categorise them based on strength, beginning with A, B and C, followed by M and finally X.

article.head.headline
Feb 4, 2026
The Questionable Science Behind the Odd-Looking Football Helmets

The N.F.L. claims Guardian Caps reduce the risk of concussions. The company that makes them says, “It has nothing to do with concussions.”

article.head.headline
Feb 4, 2026
Extending optical fiber's ultralow loss performance to photonic chips

Caltech scientists have developed a way to guide light on silicon wafers with low signal loss approaching that of optical fiber at visible wavelengths. This accomplishment paves the way for a new generation of ultra-coherent and efficient photonic integrated circuits (PICs), which will have a profound impact in a variety of on-chip applications, including precision measurements, such as optical clocks for timing and gyroscopes for rotation, as well as AI data-center communications and even quantum computing.

article.head.headline
Feb 4, 2026
Why reinforcement learning breaks at scale, and how a new method fixes it

From autonomous cars to video games, reinforcement learning (machine learning through interaction with environments) can have an important impact. That may feel especially true, for example, when you're a passenger late for dinner in an autonomous car that has learned the efficient way home. Work in Jr-Shin Li's lab develops mathematically rigorous and computationally efficient techniques to transform extremely complex reinforcement learning problems into a manageable domain.

article.head.headline
Feb 4, 2026
The science of homosexuality: Same-sex behaviour evolved in primates as a survival strategy, study claims

Experts at Imperial College London suggest homosexuality might help forge strong bonds that allow groups to stay together to survive harsh conditions.

article.head.headline
Feb 4, 2026
Chia seeds challenge warning: Latest social media trend is a massive choking hazard... and could cause indigestion

A quick scroll through TikTok reveals thousands of people taking on the 'chia seeds challenge' blissfully unaware that their lives could be at risk.

article.head.headline
Feb 4, 2026
Armageddon was RIGHT! Simulation confirms we really could nuke an asteroid if it was heading for Earth

Armageddon might not have a reputation as a scientifically accurate film. But scientists now say the Hollywood blockbuster got one thing right - we really could nuke an asteroid if it were heading for Earth.

article.head.headline
Feb 4, 2026
From trash to takeoff: Pilot plant produces 100 kg of sustainable aviation fuel per day from landfill gas

The aviation industry accounts for a significant share of global carbon emissions. In response, the international community is expanding mandatory use of Sustainable Aviation Fuel (SAF), which is produced from organic waste or biomass and is expected to significantly reduce greenhouse gas emissions compared to conventional fossil-based jet fuel. However, high production costs remain a major challenge, leading some airlines in Europe and Japan to pass SAF-related costs on to consumers.

article.head.headline
Feb 4, 2026
Conjoined twin 'influencers' who have gained more than 280,000 followers with their intimate stories about their shared body are revealed to be AI

Since joining Instagram just two months ago, Valeria and Camila have gained more than 288,000 followers on the social media platform.

article.head.headline
Feb 4, 2026
Trans athletes have NO advantage over women, controversial study claims

Transgender women possess no physical advantage over those who were born female, a controversial study claims.

article.head.headline
Feb 4, 2026
I studied 10 years of Instagram posts—here's how social media has changed

Instagram is one of Australia's most popular social media platforms. Almost two in three Aussies have an account.

article.head.headline
Feb 4, 2026
Exclusive-Amazon plans to use AI to speed up TV and film production

TECH-AI-AMAZON:Exclusive-Amazon plans to use AI to speed up TV and film production

article.head.headline
Feb 4, 2026
Texas Instruments to buy chip designer Silicon Labs in $7.5 bn deal

US chipmaker Texas Instruments has signed a deal to acquire chip designer Silicon Labs, both companies said Wednesday, in a transaction worth around $7.5 billion.

article.head.headline
Feb 4, 2026
From chatbots to replays: Alibaba rolls out AI suite for 2026 Winter Olympics

Alibaba Cloud, the cloud computing and artificial intelligence arm of Alibaba Group Holding, has unveiled a suite of AI-powered tools for the Milano Cortina Winter Games, marking the first time a large language model (LLM) will be embedded into the Olympics’ digital infrastructure. The partnership between Alibaba Cloud, Olympic Broadcasting Services and the International Olympic Committee (IOC) was announced on Wednesday. Alibaba’s Qwen model will power “Olympic AI Assistants”, a digital system...

article.head.headline
Feb 4, 2026
NASA bosses are grilled as the Artemis II moon mission is pushed back yet AGAIN following a failed dress rehearsal - 'how can you still be having the same problem three years later?'

NASA's bosses have been grilled after the Artemis II moon mission was pushed back yet again following a failed wet dress rehearsal.

article.head.headline
Feb 4, 2026
Q&A: Changing our society through AI smart air conditioning technology

Empirical research is being carried out for revolutionary air conditioning technology that will contribute to solving environmental issues. At the forefront of these endeavors is Nagahiro Tsuyoshi, project professor and director of the Center for Smarttech System Co-creation in the Carbon Neutral Promotion Headquarters.

article.head.headline
Feb 4, 2026
China-Linked Amaranth-Dragon Exploits WinRAR Flaw in Espionage Campaigns

Threat actors affiliated with China have been attributed to a fresh set of cyber espionage campaigns targeting government and law enforcement agencies across Southeast Asia throughout 2025. Check Point Research is tracking the previously undocumented activity cluster under the moniker Amaranth-Dragon, which it said shares links to the APT 41 ecosystem. Targeted countries include Cambodia,

article.head.headline
Feb 4, 2026
CFC-replacements brought in to help protect our ozone layer have unintentionally spread thousands of tonnes of toxic 'forever chemicals' around the world, study finds

Chemicals brought in to help protect the ozone layer have inadvertently spread huge quantities of toxic 'forever chemicals' around the globe, a new study reveals.

article.head.headline
Feb 4, 2026
Chilling theory about what NASA found on the moon 57 years ago as Artemis II mission faces new delay

After NASA postponed the launch of Artemis II, a decades old conspiracy has resurfaced, revealing what astronauts may find on the lunar surface.

article.head.headline
Feb 4, 2026
The yachting industry searches for alternatives to teak

Prized for its beauty, teak is in short supply, forcing the yacht industry to look for alternatives.

article.head.headline
Feb 4, 2026
The AI-Only Social Network Isn’t Plotting Against Us

There’s a corner of the internet where the bots gather without us. A social network named Moltbook, modeled on Reddit, is designed for AI “agents” to engage in discussions with one another. Some of the hot topics so far are purging humans, creating a language we can’t understand and, sigh, investing in crypto.

article.head.headline
Feb 4, 2026
China’s chip champion Moore Threads sees beyond silicon with push into AI coding

Moore Threads – one of China’s domestic artificial intelligence chip champions – has entered the intensifying race for AI coding tools with the launch of a new service built on its latest graphics processing unit (GPU). The Beijing-based company on Tuesday unveiled its “AI Coding Plan”, a vertically integrated development suite that runs on a fully domestic hardware-to-model stack, marking a strategic push beyond chipmaking into developer-facing software services. AI coding has emerged as a key...

article.head.headline
Feb 4, 2026
Moltbook Mania Explained

Is this the year the internet changes forever?

article.head.headline
Feb 4, 2026
Orchid Security Introduces Continuous Identity Observability for Enterprise Applications

An innovative approach to discovering, analyzing, and governing identity usage beyond traditional IAM controls. The Challenge: Identity Lives Outside the Identity Stack Identity and access management tools were built to govern users and directories. Modern enterprises run on applications. Over time, identity logic has moved into application code, APIs, service accounts, and custom authentication

article.head.headline
Feb 4, 2026
AI 'slop' is transforming social media - and a backlash is brewing

Social media has been flooded with fake, AI-generated images and videos. But will the majority of users actually care?

article.head.headline
Feb 4, 2026
Rare deep-sea discovery: 'School bus-size' phantom jellyfish spotted in Argentina

Rare deep-sea discovery: ‘School bus-size’ phantom jellyfish spotted in ArgentinaScientists in a rare deep-sea discovery have found “school bus-size” phantom jellyfish off the coast of Argentina during the expedition. Researchers from the Schmidt Ocean Institute have...


YOUR NEWS, OUR NETWORK.

Do you have Great News you want to tell the world?

Be it updates about your business or your community, you can make sure that it’s heard by submitting your story to our network reaching hundreds of news sites across 6 verticals.

Science Of The World

Science Of The World offers breaking in-depth news about the latest scientific discoveries and technologies in a user-friendly format.

NEWSLETTER