LITTLE STONE– The federal government recently announced plans to forgive up to $20,000 in federal student loans per borrower and extend the pause on federal student loan repayments through the end of the year. In addition, the federal government announced significant changes to the Public Service Loan Relief (PSLF) and income-contingent repayment plans. With these major changes, Arkansas Attorney General Leslie Rutledge is warning consumers that these new policies will likely lead to an increase in the number of scammers perpetrating student loan scams.

“Swindlers and con artists will take advantage of the latest news to invade the wallets of hard-working Arkansans,” Attorney General Leslie Rutledge said. “Be careful of those who claim they can help you with your loans, especially when they ask for money or your personal information to do so.”

If an unknown person asks for your personal information, including your Federal Student Aid ID (FSA ID), do not respond. Neither your loan officer nor the Department of Education (DOE) will ask you for your personal information by phone or email.

  1. Never prepay for help with your student loan.
  2. Be patient. The DOE will need time to implement the new programs and provide relief to borrowers. No company can help you speed up the process. You can subscribe to DOE updates here.
  3. Contact your loan officer directly with any questions. Your loan officer can help you access eligible programs, such as debt relief or repayment options. Be sure to ask if you qualify for PSLF or income-contingent reimbursement.
  4. Remember: anyone promising instant debt relief or urging you to work with them is a scammer.

For more information about the Arkansas Attorney General’s Office, call (800) 482-8982, email [email protected] or visit ArkansasAG.gov.

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