Increase in student loan forgiveness scams, Oregon authorities warn

SALEM Ore. (KPTV) – Authorities are warning of a wave of scams capitalizing on recent changes to federal student loan programs and flooding borrowers with fraudulent offers, according to the Department of Consumer and Business Services. Oregon Thursday.

The ODCB has warned borrowers to ignore phone calls, emails, social media posts and other unsolicited messages from people claiming they can help get student loans forgiven faster or with loan refinancing assistance.

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“Do not accept these unexpected offers without first verifying whether the offer is legitimate,” state authorities said. “There’s a good chance it’s a scam.”

Scammers often say things like “pre-register for any loan forgiveness” or “you need to apply within the next 24 hours”. However, there is no fee to register for student loan forgiveness, said TK Keen, administrator of Oregon’s Division of Financial Regulation.

“Everyone will have the same opportunities and there’s no way to queue up and get a loan cancellation faster,” Keen said.

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There is no demand yet for President Biden’s relief package, said Lane Thompson, student loans ombudsman.

“People can be alerted once the program is live by visiting the U.S. Department of Education website and checking the box labeled ‘New Updates from Federal Student Loan Borrower NEWII,'” said Thompson. “Every time the Department of Education announces changes to the student loan program, the scammers come out of the woodwork. The advice remains the same: if it sounds too good to be true, it probably is. »

Borrowers should also verify the URL of any website — any page that isn’t a “.gov” website won’t be an official federal government site, Thompson said.

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