Financial Aid Scams
02/18/2026
Financial Aid Scams
For students and families, preparing for college is an exciting process full of possibility. Unfortunately, it is also a time when scammers try to take advantage of families navigating the financial aid process. Here’s what you should know about financial aid scams – and how to avoid them.
The most common scam families should look out for is impersonation scams. Criminals will often impersonate government agencies, colleges, scholarship organizations, or financial aid advisors. Their goal is always the same: to steal money or personal information.
Common red flags include:
- Requests for upfront fees to apply for scholarships or financial aid
- Promises of “guaranteed” scholarships or grants
- Emails or texts claiming you have been selected for aid you didn’t apply for
- Requests for sensitive information like Social Security Numbers or banking details
- High-pressure tactics urging you to “act immediately”
Remember: Legitimate federal financial aid programs do not charge fees to apply. The Free Application for Federal Student Aid (FAFSA) is free.
How to Protect Yourself:
- Start with Official Sources. Use trusted websites like StudentAid.gov when applying for federal aid. Also, always contact your school’s financial aid office directly to ask questions.
- Be cautious with personal information. Never share your Social Security number, bank account information, or login credentials with anyone.
- Watch for copycats. Scammers often create spoof websites that resemble official government pages. Double-check the web address before entering any information. Hint: official U.S. government websites will end in “.gov” and will have a banner declaring them “An official website of the United States government.”
- Don’t pay for promises. If someone claims they can guarantee a certain level of aid or claims they have exclusive access to funds for a fee, that is a major red flag.
- Consult other people. If something feels off, pause and speak to trusted sources like a school counselor, parents, or teachers.
Unfortunately, there are many more financial aid related scams out there. Some of the most prevalent being debt relief scams, fake schools, and identity theft. If you would like to learn more about these types of scams and how to avoid them, visit here: https://studentaid.gov/resources/scams.
Education is a big investment in your future. We want to help you make sure that your money and personal information stay safe throughout the journey. If you need help planning for your child or yourself, give us a call at 1-800-582-2265.
Sources:
https://studentaid.gov/resources/scams