DeKALB – A new student loan scam seeks to take advantage of student loan borrowers.

The Illinois Department of Financial and Professional Regulation, Division of Banking and the Illinois Attorney General issued a warning to inform students of student loan scams. 

The scammers contact students and offer lower payments or loan forgiveness, according to the statement. 

“The current landscape for loan repayment is especially confusing due to pending legal challenges to federal relief programs, and scammers may try to exploit that uncertainty,” said Illinois Attorney General Kwame Raoul. 

Student loan borrowers should be on the lookout of scams that mention promises of immediate loan forgiveness or cancellation, requests to sign a power of attorney form, high-pressure sales tactics attempting to force you into acting immediately, requests for your federal student aid username and account and statements claiming relationships with government agencies. 

“Borrowers should get their information from the Department of Education or their student loan servicer, so they do not put themselves at risk of potential scams,” Raoul said. “I will continue to advocate in support of students and will work to hold institutions that defraud students accountable.”

Borrowers who are contacted by these scams should call the Illinois Attorney General’s Student Loan Helpline at 1-800-455-2456 for assistance.

“You do not need to pay for student loan assistance,” said IDFPR Secretary Mario Treto Jr. ”Borrowers should contact their loan servicer or the U.S. Department of Education to get the help you need.” 

Borrowers who feel they have been the victim of a scam can file a complaint with the Illinois Attorney General’s Office by visiting the office’s website.