Every Fall, college students and recent high-school graduates head off to school. With books, classes, tuition, socializing, and schedules on their mind, it can be tough to spot scams designed to steal their identity and money. Let’s look at some of those scams and what the Federal Bureau of Investigation (FBI) says students can do to protect themselves.
- Student Loan Scams: Student loan debt relief scams are on the rise. Criminals will either promise to help students eliminate student loans and/or drastically reduce the amount needed pay every month in exchange for a fee. Not only will the scammers take a student’s money and not provide any services, but they’ll also sell the credit card details and private information they collect. Want to reduce the amount you pay on your student loans? Contact your lender. They may have options that can help. If you come across a student loan scam, report it to the Federal Trade Commission and your original loan servicer.
- Fake Listing Scams: Students are always looking for apartments, used books, tutors, and more. Fake listing scams prey on that need by offering places to live as well as services or products at very low prices. However, that apartment, textbook, and more are likely fake. Once a student makes a full or partial payment, the crook vanishes and the money is gone. To avoid this scam, don’t pay for anything you cannot see or touch. Always visit an apartment in person before agreeing to anything. And read the leasing contract carefully. Ensure the names on the contract match up with the agency in charge of the apartment.
- Social Media Scams: Everyone is on social media nowadays. That includes criminals. Scammers patrol college student posts looking for information about where they live, what classes they take, and where they go with friends. They then show up and try to befriend students and eventually ask for money. Avoiding this scam means limiting what you share online.
- Credit Card Scams: Less-than-honest credit card companies target new and ongoing college students every year. The hope is that those students will rack-up a lot of debt, carry a monthly balance, and continue to pay on those purchases for years. Protect yourself by finding the right credit card for your needs, limiting when you use it, and paying the balance every month.
- Scholarship/Grant Scams: Criminals will call or email promising to help students get scholarships and grants in exchange for a fee. Don’t fall for it. The FAFSA (Free Application for Federal Student Aid) application is free and can get you in touch with the money you need for college.
- Blackmail Scams: This disturbing con involves blackmailing college students with photos or videos incriminating them in some way. The criminals then promise to delete the images or videos in exchange for money. The problem is those criminals cannot be trusted. Instead of sending money, report the blackmail to your college police and other local law enforcement.
- Fake Employment Offers: The perfect college job is hard to find. And criminals know it. If you’re asked to pay a fee when applying for that ideal job, hang up or leave. This is a scam designed to steal your money and personal information.
Boost Your Financial Wellness
More Financial Wellness Matters blogs on topics ranging from financial self-care to protecting your financial health are coming soon. Twice a month, we’ll dig a bit deeper into the relationship between financial health and overall well-being, shedding light on the behaviors and beliefs that drive money relationships. With simple tips and proven insights, we hope to enhance your financial well-being and help you live a healthier, happier life.