April 1, 2022

Is Student Loan Forgiveness a Hoax?

Forgiveness

Student loan forgiveness is an attractive prospect for people with student loans. It is especially appealing to individuals who are currently struggling with financial difficulties during this pandemic.

In response to the challenging economic situation of the nation, the U.S. government has forgiven the loan balance of borrowers from certain schools. It has also temporarily paused some loan payment requirements while the pandemic is ongoing.

However, scammers have taken advantage of the growing interest in loan forgiveness, posing as government agencies and similar organizations. Now, borrowers like you are probably wondering: “Is student loan forgiveness a hoax?”

In this article, you’ll learn how to identify and utilize legitimate student loan forgiveness options to improve your financial situation.

Is Student Loan Forgiveness a Hoax?

Student loan forgiveness that is offered by the U.S. government to eligible borrowers is definitely not a hoax.

However, while loan forgiveness is real, it is true that scammers may take advantage of its existence to deceive people. To be realistic, not all debtors are familiar with the details of student loan policies.

CNBC explains that swindlers take advantage of this. A scammer may contact borrowers and pretend to be a staff member of the U.S. Department of Education or other  agency. Your security may be compromised if you unknowingly share your sensitive personal information with these impostors.

In case you receive a call, email, or letter regarding loan forgiveness, verify first that the person you are communicating with is a staff member of a real government agency before you provide your social security number, federal student aid ID, or bank account details. When in doubt, contact the government office directly to confirm the validity of the message or phone call.

Is Student Loan Forgiveness Real?

You may be curious to find out: “Does student loan forgiveness really work?” The answer is a resounding yes.

The U.S. government does offer real loan forgiveness to qualified individuals. A forgiveness program can free borrowers from the responsibility of paying back all or a portion of their loans.

The official Federal Student Aid website notes the legitimate student loan forgiveness options that you can apply for:

  • Public Service Loan Forgiveness (PSLF): You may be eligible for PSLF if you are a full-time worker employed by a U.S. federal, state, local, or tribal government agency or a non-profit organization. PSLF is available for nurses, firefighters, and other public servants.
  • Teacher Loan Forgiveness: You may be qualified for Teacher Loan Forgiveness in case you have been a full-time teacher for five complete and consecutive academic years in a low-income elementary school, secondary school, or educational service agency.
  • Income Driven Repayment (IDR) Loan Forgiveness: While not an official program borrower’s who make the required number of payments under an income-driven repayment plan may also be eligible to have the remaining loan balance at the end of their repayment term forgiven.

Avoid Hoaxes by Applying for Legitimate Student Loan Forgiveness Programs

Don’t let the proliferation of student loan forgiveness scam calls discourage you from experiencing debt relief through verified forgiveness programs. Just make sure to communicate directly with government agencies or your loan servicer to explore your forgiveness options.

Use Chipper for Lower Payments

Chipper can help you find a student loan repayment plan that actually fits into your budget. You simply fill out your information and link your student loan account for us to generate your options in seconds. We help the average student loan borrower save over $300 a month off their student loan monthly payment. Lowering your monthly payment plan can game changing for your personal finance and can be done in minutes! Sign up for Chipper today to get on track with your student loans.

Use Chipper for The Best Path to Forgiveness

Finding your path to student loan forgiveness is easier than ever before. Chipper helps members find better Income-Driven Repayment (IDR) plans every day. Once enrolled in an eligible repayment plan, we can help you explore your forgiveness options and understand your path towards forgiveness. Sign up with Chipper today and get on track with your student loans.

Use Chipper for Round-Ups

Paying off your student loans doesn’t have to be a long and painful journey. Round-Ups are a way to directly pay off your loans with your everyday spending! By tracking your linked spending account(s), we will calculate the rounded up amount from each transaction in a week (IE spending $4.28 would add $0.72 to the weekly amount). We then initiate a payment towards your student loan for the weekly amount. Get chipping away on your student loans with Chipper today.

Use Chipper for Public Service Loan Forgiveness (PSLF)

The Public Service Loan Forgiveness (PSLF) program was created to provide relief to borrowers aiding the public sector. Unfortunately, 30% of applicants are denied due to incorrect paperwork. We can help! Chipper was created to solve this issue by assisting borrowers in understanding their options as well as allowing forgiveness eligible users enroll into the best forgiveness program available. Sign up for Chipper today to see your student loan forgiveness options and get the forgiveness you deserve.

Use Chipper for Teacher Loan Forgiveness (TLF)

The Teacher Loan Forgiveness (TLF) program was created to enable teachers working in Title 1 schools to receive student loan forgiveness of up to $17,500 (depending on their teaching subject). Chipper has helped teachers from all over the country qualify for TLF program and can help you get the forgiveness you deserve today. Find out if you qualify for forgiveness in minutes with our employer search tool.

See How Much You Can Save with Round-Ups

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