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Don’t pay for loan forgiveness

Are you a former student of DeDry University – or any other college – who’s heard from a company that’s promising to get your loans forgiven after you pay them a fee?

Here is an important piece of advice: do NOT do it. It is not a good idea to pay an up-front for the promise of debt relief. Once you pay, you might not get anything in return. You might even be paying something that you can do yourself for free.

The FTC has been hearing about pitches like these after recently filing a complaint in federal court against DeVry, one of the largest educational companies in the U.S., for misrepresenting the prospects of their graduates to get well-paid jobs in their fields.

So what are your options if you think you might be a candidate for loan forgiveness or are looking for other help with your student loans?

  • If you’ve got federal loans, go the Department of Education’s to find out more about applying for forgiveness and cancellations, or other programs like income-driven repayment plans. Information about one kind of loan forgiveness known as borrower defense discharge is available. Applying for any of these programs are free of charge.
  • If you’ve got private loans, try contacting your loan services directly to see what options you might have.