How to protect yourself against scammers who take advantage of federal student debt forgiveness

LANSING, Mich. – Michigan Attorney General Dana Nessel is sounding the alarm about potential scammers targeting people after blanket student loan debt relief was announced.

President Joe Biden’s student loan forgiveness program aims to provide up to $10,000 in student debt cancellation for millions of Americans. According to state officials, up to 50% of Michigan residents with federal student debt will have their loans reduced in half or forgiven entirely through student loan forgiveness.

The decision is expected to benefit up to 1.4 million Michigan residents who have federal student loans. According to state officials, 30% of residents with federal loans, roughly 420,000 people, owe less than $10,000 and this would forgive them all of their debt.

About 50% of Michiganders with federal student debt, roughly 700,000 people, owe less than $20,000, and their debt would be cut in half or fully forgiven. Nearly 700,000 more Michiganders will receive significant loan relief.


Read: Comprehensive Student Loan Forgiveness Coverage

Follow these tips to avoid being scammed

For information about your federal student debt, go directly to the Federal student aid website or the website of your loan servicer.

Do not do provide your personal or financial information in response to unsolicited emails, phone calls, or text messages, even if they claim to be from the government or say they will help you get debt relief.

Do not do pay someone for help in getting relief.

Do not do rush. Scammers try to get you to act fast, give you a deadline, or find other ways to increase the pressure. Scammers may say you could lose qualification for payment plans, loan consolidation, or loan forgiveness programs if you don’t sign up right away. Take your time and contact your loan servicer directly.


Do not do give away your FSA ID. Some scammers may claim that they need your FSA ID to help you. Don’t share it with anyone. Fraudsters could use it to break into your account and steal your identity.

Do you need to report a scam?

If you know of a scam and want to report it, you can contact the Attorney General’s Consumer Protection team by filing a complaint online or by calling 877-765-8388.

“The debt forgiveness opportunity is also an opportunity for fraudsters to try to access your personal and financial information,” Nessel said. “It is important to remember that the federal government will not proactively email or text you to take advantage of this program. Residents should trust legitimate sources of information and not fall for messages that create a sense of urgency or demand financial information.”

Here’s how to contact and identify your administrator

Here’s how to find out who your loan servicer is:


  • Call the Federal Student Aid Information Center (FSAIC) at 1-800-433-3243.

List of loan servicers with links and phone numbers:

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