The Better Business Bureau of Middle Tennessee and Southern Kentucky is warning consumers to be aware of news scams targeting those who may be eligible for student loan forgiveness.
U.S. President Joe Biden announced the forgiveness plan last month, which the White House said could see some level of loan forgiveness for approximately 43 million borrowers with an estimated 20 million borrowers expected to see their entire loan balance eliminated.
"The student loan forgiveness program is new and unfamiliar, which means many borrowers may be confused about the process," BBB of Middle Tennessee and Southern Kentucky President and CEO Robyn Householder said in a news release.
In keeping with my campaign promise, my Administration is announcing a plan to give working and middle class families breathing room as they prepare to resume federal student loan payments in January 2023.I'll have more details this afternoon. pic.twitter.com/kuZNqoMe4I— President Biden (@POTUS) August 24, 2022
"Con artists, like clockwork, will be present to take advantage. We encourage recipients of loan forgiveness to take time and do some research. Avoid making quick decisions and unsolicited offers to assist. Both will always lead to regret."
BBB is offering the following tips to help consumers avoid becoming scam victims.
Learn the terms of your specific student loan and the relief program.
BBB asks that anyone who comes across a scam report it here.