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Student Loan Relief Scams: Understanding & Avoiding Them

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Over 44 million people in the US are tied to student loans, making way in the budget each month for some payments that are so burdensome they may have difficulty paying for the essentials—sometimes even making life so hard that they are forced into filing for bankruptcy. And while those burdened with student loans that may reach into the hundreds of thousands may often be under fire for taking on more than they could handle, the original dilemma is whether to reach for an education that may be on a superior level.

The Student Loan Burden May Lead to Stress & Desperation

The common goal of so many students is to learn as much as possible, expand the mind, and then graduate with the tools needed to succeed in life and earn a reasonable income. This may happen, but the debt owed to student loan servicers may still be so overwhelming that the borrower’s initial plan begins to falter, leaving them stunted in terms of passing the normal adult life milestones or opening businesses. Data shows that many borrowers later may be left feeling both unhappy and stressed. Life and maintaining finances becomes further difficult for students who were not able to graduate—comprising a surprisingly large population of borrowers who leave school due to a variety of different reasons, while still obligated to student loan servicers.

Scammers Prey On Those In Dire Need of Relief

Unfortunately, the optimism that once led rising students to seek student loans later sours into distress and sometimes even a desperate need for relief. And as so many are seeking obvious relief, far too many scammers come out of the woodwork just ready to take money in exchange for assistance that never arrives—or was free to begin with. If you are at the point where you are worried about default and the repercussions afterward, consult with a skilled student loan debt attorney from a firm like Fitzgerald & Campbell, APLC as soon as possible. With expert legal help, you can examine all your options and get back on solid financial footing.

Be Wary of Requests for Up-Front Fees

The Consumer Finance Protection Bureau (CFPB) is aware of the many dishonest companies and individuals out there who under the guise of helping you would instead take more money from you and in some cases leave you in worse financial condition than you were before. They encourage consumers to be educated about debt relief and debt relief scammers before handing over any money. Beware of those who ask for fees up front in exchange for rather vague assistance, and especially if they hope to negotiate on your part with loan servicers. Also, be wary of companies who want to consolidate your loans for you with numerous up-front fees. Most importantly though, run the other direction if you are met with dubious claims for eliminating your student loans altogether—or requests for you to give your monthly loan payments to another entity who will then work on settling your debt for you at a discounted rate.

Speak with an attorney from Fitzgerald & Campbell, APLC as soon as possible to examine your options. Our attorneys have decades of experience in serving clients as they navigate through challenging financial situations, to include student loan issues, bankruptcy, and other debt management processes. We are here to help! Click here to schedule a free 30-minute consultation, call us at (844) 431-3851, or email us at info@debtorprotectors.com.

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