Parents, Be Alert: Scammers are Targeting Students – Here’s What You Need to Know
As parents, you work hard to give your child the best education possible, but scammers are out there, trying to take advantage of your efforts. Recently, the Federal Trade Commission (FTC) issued a warning about scammers pretending to be from your child’s school’s financial aid or bursar’s office. These calls can be stressful, especially when they claim you haven’t paid a bill or threaten to drop your child’s classes unless you send money right away. It’s scary, but knowing what to look for can help protect you and your family.
How These Scams Work
Scammers may claim that your child’s financial aid fell through and demand immediate payment before classes can start. Sometimes, they’ll even threaten to withhold transcripts until the “debt” is paid. These tactics can feel urgent, but remember—schools don’t operate this way. Always take a breath and verify with the school directly before taking any action.
Other Scams That Target Students
The scams don’t stop there. Some fraudsters offer fake scholarships, grants, or financial aid, asking for personal details or upfront fees. They may say they need your bank account info to deposit funds, but instead, they’re after your money or identity.
Student loans are another common area for scammers. They might promise to wipe out your child’s loans or offer too-good-to-be-true repayment deals. Again, these offers are often just tricks to get personal info or charge hefty fees for services that don’t exist.
Textbook and Event Scams
Even buying textbooks or going to events isn’t safe from scammers. Fake websites will advertise great deals on expensive books, but after you pay, the books never arrive. Similarly, scammers selling concert or sports tickets might ask for “proof” of your child’s student status by requesting a picture of their ID, along with money for tickets that don’t exist. Now they’ve got your cash and your child’s personal info.
Housing Scams and Roommate Frauds
For students renting off-campus, housing scams are a growing issue. Scammers might pose as landlords or property managers, convincing students to pay a deposit on a place that isn’t available. Some even pretend to be roommates offering to pay rent upfront, but they send a fake check and ask your child to wire back the difference. By the time the check bounces, the scammer—and your child’s money—are long gone.
How to Spot the Scams
It’s natural to think, “I’d never fall for that!” But scammers are getting more sophisticated every day. Here are a few red flags to watch for:
- Pressure to Act Now: Scammers create a sense of urgency. A real school or business won’t demand payment immediately over the phone. Take your time to verify details before you send any money.
- Requests for Unusual Payments: Be cautious if someone asks for payment via gift cards, wire transfers, or payment apps like Venmo or Zelle—these methods are hard to trace.
- Typos and Off Names: Watch out for emails with poor grammar or fake-sounding names like “Sallie May” instead of “Sallie Mae.” Small changes in spelling or grammar are a common scam tactic.
- Too Good to Be True: Whether it’s cheap rent, a huge scholarship, or student loan forgiveness, if it sounds too good to be true, it probably is.
Personal Story: My Brush with a Rental Scam
I nearly fell for one myself. I saw a great rental listing online, complete with pictures, in an area I knew. But the price seemed way too low, and after digging a bit deeper, I found out the property was owner-occupied. The scammer had no connection to the home but was trying to collect rent anyway. What saved me was trusting my gut—something just didn’t add up.
Steps You Can Take to Stay Safe
- Verify Calls: If someone calls claiming they’re from the school or a lender, don’t feel pressured. Hang up and call the school’s financial aid office directly to confirm. Don’t trust caller ID—scammers can fake phone numbers to look legitimate.
- Check Balances Online: Most schools provide online student portals where you can view tuition bills and balances. Always double-check there before sending any payments.
- Don’t Click Unsolicited Links: Be cautious with unexpected emails or texts, especially those asking for personal info. Instead, go to the official website or contact the organization directly.
- Use Two-Factor Authentication: Adding this extra layer of security to accounts can make it harder for scammers to get in, even if they have your login info.
- Act Fast if You’ve Been Scammed: If you think you’ve been scammed, quickly change your passwords and notify your bank. You can also freeze your credit for free with the three major credit agencies.
Report Fraud
If you or your child gets a suspicious call, text, or email, report it right away. Not only can you help protect others, but reporting it could also help recover lost money. Head to ReportFraud.ftc.gov to make a report, or contact your local law enforcement.
In A Nutshell . . .
Scammers prey on urgency and fear—take a breath, verify, and trust your gut to protect what matters most.