{"id":25527,"date":"2022-04-18T13:16:39","date_gmt":"2022-04-18T21:16:39","guid":{"rendered":"https:\/\/www.spokeo.com\/compass\/?p=25527"},"modified":"2022-04-18T13:16:40","modified_gmt":"2022-04-18T21:16:40","slug":"watch-out-for-student-loan-scam-calls","status":"publish","type":"post","link":"https:\/\/www.spokeo.com\/compass\/watch-out-for-student-loan-scam-calls\/","title":{"rendered":"How to Recognize Student-Loan Scam Calls"},"content":{"rendered":"\n

It\u2019s possible to make a good life for yourself without a college degree, but it certainly helps.  Back in 2015, the Social Security Administration<\/a> calculated that a bachelor\u2019s degree added hundreds of thousands to your lifetime earning potential, and a graduate degree added over a million. <\/p>\n\n\n\n

Education isn\u2019t a quick ticket to Easy Street, of course.  Even for those who eventually do very well indeed, those early years after college \u2014 when you\u2019re paying off your loans but still only making entry-level money \u2014 can be stressful.  That\u2019s why you\u2019re likely to receive a student-loan scam call one day: scammers want to leverage your stress for their own advantage. <\/p>\n\n\n\n

Why Do I Keep Getting Calls About Student Loans? <\/h2>\n\n\n\n

Supposedly a reporter once asked the Old West bandit Frank James (Jesse\u2019s brother) why he robbed banks.  His reply?  \u201cThat\u2019s where the money is.\u201d <\/p>\n\n\n\n

Make no mistake, there\u2019s a lot of money tied up in student loans.  In 2020, according to the Federal Reserve<\/a>, student loans totaled just over $1.7 trillion: for comparison purposes, car loans checked in at about $1.2 trillion.  That\u2019s staggering, when you think about it.  In car-loving America, student debt is almost 50% higher than car-loan debt. <\/p>\n\n\n\n

If you\u2019ve been receiving repeated phone calls about your student-loan debt, this is why.  You\u2019re part of a trillion-dollar sector of the economy, and that means plenty of entrepreneurially minded people want to help you manage your debt.  Some of them are legitimate, but many will be criminals and scammers. <\/p>\n\n\n\n

A Scam, or Not a Scam? <\/h2>\n\n\n\n

Before we look at the differences between legitimate assistance and outright scams, let\u2019s deal with the elephant in the room: there is absolutely nothing any of these callers can do for you that you can\u2019t do for yourself for free, or with assistance from the government<\/a> (also free).  So why would you pay someone to do things for you that you can do for yourself? <\/p>\n\n\n\n

There are actually a few reasons.  You might simply lack the time, expertise or physical and mental energy to tackle the project.  You might be worried about making a costly mistake, and consider it worthwhile to delegate to a professional who knows the ins and outs of the student-debt system.  That\u2019s essentially the same niche tax preparers occupy, and it\u2019s perfectly valid.  You get something of value \u2014 expertise, peace of mind, convenience, perhaps even long-term savings \u2014 in exchange for the money you pay out. <\/p>\n\n\n\n

Of course, in some cases you may not see any added value.  Your \u201cdebt counselor\u201d might just fill out the forms and take your money, without bringing anything to the table.  That\u2019s still technically legitimate, though not good value for you as the consumer.  Others are outright scammers, pillaging your personal information and your bank accounts for their own gain and offering little or nothing in return.  <\/p>\n\n\n\n

Student-Loan Scam Calls<\/h2>\n\n\n\n

For as long as your student loan is on the books with one or another lender, you can expect to be approached frequently by debt-relief companies \u2014 some legitimate, some shady, some downright fictitious.  They know you\u2019re probably stressed over your debt, and they\u2019ll offer to help ease that burden.  The services they offer may include: <\/p>\n\n\n\n