GREENSBORO, N.C. — Scammers are already on the prowl looking to dupe borrowers eager for debt relief after President Biden announced the government will cancel up chunks of student loan debt for millions of Americans.
Lechelle Yates is the Director of Communications for the Better Business Bureau of Central and Northwest North Carolina. She said with any new government initiative, scammers try to take advantage of any confusion that might be out there.
“What we expect to see is sound-alike agencies or look-alike websites that will mirror government agencies or government websites where they will try to take advantage and try to gather personal information,” Yates said. “So, social security numbers, emails, passwords, those kinds of things."
Yates said there are several red flags to look out for. She recommends borrowers stay wary of random phone calls and text messages claiming to be from the government.
“In most cases, the government is not going to be contacting you in this way unless you've already given them permission,” Yates said. “One thing to remember is you never have to pay money for a free government program. Scammers will try to take advantage of you and say that you can get additional services or faster services if you pay a fee. That is never true."