Anything that is in the news is fodder for scammers and when it comes to student loans for college expenses, it is something that is not just newsworthy, but also affects so many people making it a prime target for scammers.  The latest scam which has recently been reported initially in South Carolina involves the student loan borrower being told by the scammer that if the student makes a loan payment by check writing “ETF Only and/or “For the Discharge of Debt” on a check written with brightly colored ink the lender is Constitutionally bound to forgive the balance of the debt.  In order to get this secret information, the student loan borrower pays a fee.  The secret information is totally bogus and the fee is just lost money.

TIP

Different color inks on a check have nothing to do with the effectiveness of the check and the language suggested by the scammers will not in any way affect the balance of the loan owed.  If you are having difficulty with any loan, contact the lender to see if you can work out a repayment modification.  Anyone telling you that they can discharge your student loans for you is a scammer.