Tell-tale Signs of Financial Aid Scams
According to FinAid, a non-profit organization, hundreds of students lose over $100 million a year to financial aid scam artists. Scammers sometimes offer scholarship prizes, scholarship-search services, or offers for scholarships with special application or entry fees. Others promise loans following payment of up-front fees and then never deliver on them. Scammers may resemble actual lending or scholarship organizations, but most have common flaws if you know how to look for them.
Here are five red flags:
Suspcious addresses. If an organization offers scholarships, loans, or grant services with a post office box or residential return address, be very afraid. Research the company carefully to determine if there is a company address and verifiable telephone number (call directory assistance).
Loan-application charges. Legitimate financial institutions typically deduct application and processing fees at the time of disbursement of funds.
Claims offering unclaimed loans or scholarships. Loans, grants, and scholarships are always matched with individuals based on need and educational expenses. Be wary of any company that promises to round up unused funds for you. Fee-based matching services are usually scams. It's a telltale sign when a service wants to collect "origination fees".
Guarantees. Don't buy into claims that they'll get you a scholarship or refund your money. Read the small print on any contract before sending money to anyone. If they need your credit card to "hold your scholarship", run and hide. Legitimate organizations do not charge fees for processing scholarship applications.
"You've been selected to win a scholarship..." No, you haven't. You've been targeted by scammers. To receive a scholarship, you'll need to complete a number of assessments and submit a completed application. Scholarships do not come looking for you.
Baker College is proud to be the largest independent college in Michigan with the most focused approach to education and training available. With one of the highest graduate employment rates in the country, our mission is to help our students find meaningful employment.
- Elementary Mathematics - Additional Endorsement - Certificate
- Business Intelligence - MBA (Master's)
- Information Technology and Security - Bachelor More...
- Veterinary Assistant
- Certified Dog Trainer Instructor Course
- Grooming Instruction
About The University of Texas at Arlington
- M.Ed. In Curriculum and Instruction - Mathematics Education
- Master of Science in Nursing - Pediatric Acute Care Nurse Practitioner
- M.Ed. In Curriculum and Instruction - Science Education More...
- AA - Healthcare Information Technology
- Diploma - Massage
- AA - Paralegal Studies More...
About University of North Carolina Wilmington
To meet today’s high demand for nursing professionals UNCW is offering an accredited Bachelor of Science in Nursing program completely online.
- MSN Nurse Educator
- RN to BSN
Work toward your graduate degree with New England College Online.
- Master of Science in Accounting - Forensic Accounting
- MS in Management/Project Management
- Master of Science in Accounting More...
As home sales increase, you can be ready to launch a new career. Allied’s real estate programs provide the perfect way to start a professional career - one with unlimited opportunity! Put yourself at the forefront of the real estate field as a salesperson, broker or appraiser.
- California Real Estate License
- Virginia Real Estate License
- Nevada Real Estate License More...
You’ve expressed interest in Blue Cliff College before, now we have online programs to better fit your busy lifestyle. Enroll now!
- Health Information/Medical Billing & Coding