Don’t Trust These Companies With Your Student Debt

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Don’t Trust These Companies With Your Student Debt

Borrowers, beware of student loan scams. This Watch List names companies that charge for fraudulent or questionable debt relief services.

Use Our New Tool to Protect Yourself

To help consumers avoid costly mistakes, our reporters and researchers have mined public records of hundreds of companies profiting from student loans. NerdWallet Student Loan Watch List is the nation’s first of companies whose conduct, legal sanctions or ownership give borrowers reason to be wary. For more on our approach, see Who Gets Listed.

Beware of these companies

Want to see what others are saying about student loan companies or tell other borrowers about your experience? Go to comments here.

Feds Point Fingers As ‘Debt Relief’ Companies Prey On Student Loan Borrowers

Fraudulent “debt relief” companies are preying on the most vulnerable of the 44 million people with student loans, as federal officials dispute who’s to blame and what to do, a NerdWallet investigation has found.

States Play Whac-A-Mole With Student Loan Relief Scams

As federal agencies lag in enforcement of fraudulent student loan relief companies, businesses banned by some states continue operating elsewhere.

Company Insider Struggles With Student Loan Debtors’ Misery

Bob Greenberg, a call center manager for a multimillion-dollar student debt relief operation in Florida, struggles with his conscience as the company’s tactics unfold.

Distressed Borrowers Say Student Debt Help Was Anything But

Three borrowers who deal with debt relief companies say being scammed hurt more than being short of money.

Caring Counselor Offers Real Help in Student Debt Crisis

Certified student loan counselors like Taunya Kennedy are islands of trustworthy advice in a sea of of deception filled with companies that claim to provide assistance — for a steep price.

Cheated by Student Loan ‘Debt Relief’ Firm? What to Do

Here are six steps to take to end contact with such companies and get the student loan help you need.

Watch

NerdWallet partnered with Fusion TV to learn about one woman’s experience with a student “debt relief” company. Selina Leonard shares her story in this clip of Fusion’s “Debt Trap” documentary.

Listen

Hear Leonard share more of her story on NerdWallet’s MoneyFix podcast.

They try to take advantage of desperation.
Janna Champagne, student loan borrower

By the numbers

Frauds Multiply As Student Loan Debt Surpasses Auto and Credit Card Borrowing

Fraudulent debt relief companies capitalize on growing student loan debt in the U.S. The scammers’ targets: struggling borrowers among more than 44 million people shouldering nearly $1.4 trillion in outstanding student loans.

Source: Federal Reserve Bank of New York Consumer Credit Panel/Equifax

One In Six Student Loan Holders Falls Seriously Behind and Becomes Target

Debt relief companies have an expanding pool of desperate borrowers to choose from. More than 7 million borrowers had fallen seriously behind on payments in 2015. Another 20 million remained current but were failing to reduce their balances.

Source: Federal Reserve Bank of New York Consumer Credit Panel/Equifax

These steps can ease debt woes

You don’t have to pay for student loan help. Learn how to avoid scams and manage your student loans on your own for free through the U.S. Department of Education.

How to spot a student loan scam

Learn the red flags to look for.

How to get federal student loan forgiveness

Four programs could cancel or lower balances.

Survey: Student loan debt relief companies cash in on confusion

Borrowers who pay for student loan help spend $613 on average.

A guide to student loan consolidation

Federal consolidation won’t lower your rate, but it may be necessary.

Find the best repayment plan for you

You can choose from eight plans to pay your federal student loans.

Something about this, it just tears at my heart.
U.S. Rep Elijah Cummings, D-Md

Protect Yourself in 60 Seconds

You can avoid nearly all scams with three simple, quick steps.

Step 1

Look at the offer from the company. It if contains any of these five elements, beware. Seek alternatives as outlined in stories higher on this page.

Warning signs:

You have to pay upfront or monthly fees to get help
The company promises immediate loan forgiveness
A salesperson pressures you to sign up
You’re asked to share sensitive personal information
The company advertises on social media or shows up in search engine ads

Step 2

Look for the name of the company on our Watch List below. (Warning: Many newer companies do not appear because authorities have not yet taken action against them.)

Step 3

Read comments at the bottom of this page from borrowers describing their experience with companies.

Watch List

A B C D E F G H IJKL M NOPQR S T UVQXYZ

1File.org

A1 DocPrep Inc.

Academic Debt Alliance

Action Administrative Services

Advantage Student Loan Consolidation

Advantage Student Loans

Affordable Life Plans

Aiding Student Relief

Allied Doc Prep

AlphaOne Student

Amazing Marketing

American Financial Benefits Center

American Student Aid

American Student Loan Consolidators

American Student Loan Forgiveness & Debt Relief

AmeriTech Financial

ASF Assistance

Benchmark Processing Inc.

Bright Futures Financial Corp.

Broadsword Student Advantage

College Education Services

College Financial Advisory

Consolifi Inc.

Consumer Assistance Project

Consumer Financial Resources

Consumer Protection Counsel, P.A

Debt Relief Pros Inc.

Direct Student Aid

DFL International

Docs Done For You Inc.

Document Aid Relief

Document Service Center

Done With Loans

Equitable Acceptance Corporation

Federal Student Aid Relief

Federal Student Loan Alliance

Federal Student Loan Relief

FedLoan Help Center

Financial Education Benefits Center

Financial Education Referral Center

Financial Help Services Inc.

First American Student Aid

First American Tax

First American Tax Defense

Freedom Student and Tax Defense

Global Doc Prep, Inc.

Global Financial Support Inc.

Good EBusiness

Grads1st

GreenStudent

Help Assist Me Default Resolution Services

Higher Level Processing

Horizon Debt Group

Interactiv Education

Lexington Doc Prep

Liberty Tax and Student Loan Defense

Life Cycle Student Loan Relief

Merrill & Hart

Miller Student Loan Consulting

My Education Solutions

Nation Wide Consumer Debt Relief Inc.

National Secure Processing

National Student Aid Care

National Student Aid Center

National Student Loan Help

National Student Loan Rescue

National Student Loan Solutions

National Student Loans

National Student Servicing

Nationwide Student Aid

Nationwide Student Loan

Navloan

Performance Debt Relief

Performance Settlement

Performance SLC LLC

Post Grad Aid

Private School Loans Relief

Progress Advocates Group

Project Uplift Students

Reliant Account Management

Rubik Payment Solutions

Select Document Preparation Inc.

Select Student Loan

Select Student Loan Help

Simple Student Loan Solutions

Strategic Debt Solutions

Strategic Doc Prep Solutions

Strategic Student Solutions

Student Advocates

Student Aid Center Inc.

Student Aid Institute Inc.

Student Consulting Group Inc.

Student Debt Center

Student Debt Doctor

Student Debt Relief

Student Debt Relief Center

Student Debt Relief Group

Student Debt Relief LLC

Student Debt Resolutions Inc.

Student Debt Solutions

Student Financial Help Center

Student Financial Resource Center

Student Legal Services

Student Loan Advisors Group

Student Loan Aid

Student Loan Assistance Center

Student Loan Assistance Center (Florida)

Student Loan Association

Student Loan Care

Student Loan Consultants of America

Student Loan Counsel

Student Loan Educators

Student Loan Exchange

Student Loan Forgiveness Agency

Student Loan Forgiveness Center

Student Loan Group

Student Loan Help Direct

Student Loan Managers

Student Loan Pro

Student Loan Processing.US

Student Loan Reduction Services

Student Loan Relief

Student Loan Relief Advisors

Student Loan Relief Center

Student Loan Relief of Texas Inc.

Student Loan Repairman Inc.

Student Loan Resolve

Student Loan Service

Student Loan Service Managers

Student Loan Services

Student Loan Servicing Center

Student Loan Solutions

Student Loan Support

Student Loans Processing Corp.

Student Reform Associates

Student Relief Center

Student Zoom LLC

StudentLoan911.org

Sunshine Document Preparation Inc.

Title 4 Services

The Center for Student Debt Reform

The Student Loan Help Center

The Student Loan Project

The Student Loan Relief Department

The Student Loan Resolution Center

U.S. Student Loan Services Inc.

United Advisors Group

United Student Loan Division

United Student Loan Solutions

University of One

US Direct Student Loan Services

US Financial Freedom Center

US Student Loan Center

Your Student Loan Relief Organization

Reporters: Richard Read, Teddy Nykiel and Alex Richards
Editors: Drex Heikes and Alex Richards
Copy editors: Erica Harrington, Carolyn Kimball, Jim McNett and Kenley Young
Researchers: Djamila Salem Fitzgerald, Jeremy Borden, Amanda Waldroupe, Beth Slovic and Nona Yates

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