Galler Law Is Here To Inform You About A Major Student Loan Scam
The attorneys at Galler Law would like to inform readers of a major student loan scam that is currently making the rounds in the U.S. It goes like this: scam artists charge unsuspecting student loan borrowers for student loan assistance services that the federal government offered for free. Five such scam artists were recently brought up on criminal charges in California.
Sadly, this is one of many student loan scams that prey on American borrowers. If you believe that you have been the victim of a student loan scam – or if you need other help with student loans – call Galler Law today. To help borrowers avoid student loan scams such as this, we have listed some red flags. If a scam artist tries to feed you any of these lines, hang up the phone and call a lawyer at Galler Law.
Limited Time Offers
One of the biggest red flags to look out for is the so-called “limited time offer.” This is a phrase for stores, not student loan companies. That is because student loan borrowers usually have time for repayment. Options like the inome-driven repayment plan, or student loan consolidation, allow borrowers to make manageable repayments over time. Anyone telling you to “act now” is probably trying to take advantage of you.
Upfront Fees
Another thing to be leery of is upfront fees. There are many shady companies out there that claim to offer student loan forgiveness for an upfront fee. We cannot stress this enough: you should never have to pay an upfront fee for student loan forgiveness services. In fact, charging an upfront fee (before services are rendered) for student loan forgiveness is illegal.
Another thing to keep in mind is that, despite the claims of scam artists around the country, no company can forgive your student loans. It is up to the government to forgive your loans. Fortunately, the federal government does offer certain student loan forgiveness programs for qualified borrowers. These programs include:
- Public Service Student Loan Forgiveness
- Teacher Loan Forgiveness
- Income-Driven Repayment Plans
If you think you may qualify for any of these student loan forgiveness plans, contact Galler Law today. Whatever you do, do not fall prey to “student loan forgiveness” companies.
Student Loan Negotiation
Just like no private company can forgive your student loans, no company can negotiate them either. Beware of any company that says they can negotiate your student loans down to a more affordable repayment amount.
While certain types of debt – including credit card debt – can be negotiated through third parties, student loan debt does not qualify. The federal government itself won’t negotiate your student loan debt, so you can be confident that a private company won’t. Unfortunately, there are many scam artists in the U.S. who make this exact claim, and many borrowers who fall for it.
Beware Of Companies That Claim To Be Affiliated With The Department Of Education
The last scam we want to highlight is companies who claim to be “affiliated” with the United States Department of Education. These companies (or individuals) claim to be able to save you money through their inside connections to the department. This has scam written all over it. You should avoid these scam artists, as well as companies that charge a fee for student loan consolidation. Consolidation is offered directly through the federal government and is completely free.
What To Do Instead Of Working With Scammers
Instead of falling prey to scammers’ tricks, we suggest taking advantage of the government programs that we mentioned above, including student loan refinancing, consolidation, forgiveness, and income-driven repayment plans. These are programs that the government has put in place to help borrowers who are struggling to make monthly payments.
Even if you have been making all your monthly payments on time, programs like consolidation and income-driven repayment can reduce the amount that you owe. Many borrowers are surprised at how much money they are able to save after beginning these programs.
Call An Attorney
Another thing that you can do is call a student loan debt attorney at Galler Law. We may not be able to negotiate your loan debt or forgive it completely, but there are several things that we can do to help borrowers who are struggling to make payments. For one, we can help you get out of default status. This alone is like having a huge weight lifted off your back.
We can also stop creditors and debt collectors from constantly harassing you. If you are being harassed by creditors or debt collectors, give us a call. We can also advise you on the best way to pay off your student loans in a timely manner that works for you. There are several other things that we may be able to do regarding your federal and/or private student loans. These include:
- Stopping wage garnishment
- Stopping seizure of income tax returns
- Erasing negative marks on your credit report
- Settling your student loans (for private loans)
Each of these options can be a lifesaver for those drowning in student loan debt. Give us a call if you want to stop student loans n debt from controlling your life.
We Can Help You Get Out Of Debt
One of the biggest reasons that borrowers struggle to repay student loans (and in turn fall prey to scammers) is that they have so many other debts to repay. Put simply: it is hard to stay current on your monthly student loan payments when you also have four credit cards to pay off. While we can’t help you settle or forgive your federal student loan debt, we can help you negotiate or forgive private debt.
Services like debt settlement, foreclosure defense, bankruptcy (Chapters 7 and 13), and tax resolution can help you take care of your mounting debt so that you can repay your student loans. If debt is a constant struggle for you, get in touch with us today.