Don\’t Be Fooled By Phony Scholarship Offers

If you're a college student in need of financial aid, it may be important for you to be aware of scammers offering false scholarships. With the economy still recovering from recession, scholarship competition is very fierce, and scammers all over the world are taking advantage of the present situation. Due to this, the U.S. Department of Education is doing its part to protect students from fraud. Here are our own tips for students who wish to avoid getting scammed by a bogus scholarship.

Be wary of so-called "guaranteed" scholarships. That's because scholarships are never guaranteed. There are forms of financial aid given to certain types of students, but these are always offered by the college itself, and never by a third party. You might regret your decision if you listen to anyone who says that you have been guaranteed a scholarship. It is the scholarship boards and committees who make the decisions, and not any bogus provider who can guarantee payment of your tuition.

Keep your bank account number and credit card information private. If you give out this information, or if someone gets it, this could lead to illegal cash advances from your bank account or unauthorized charges to your credit card. You'll know it's a real scholarship provider if they write you a check, and not ask for any sensitive financial details. Any sensible person knows that credit card and bank info is confidential, and would not ask it from a student in exchange for a scholarship.

An application fee or sign-up fee for a seminar should be considered fishy. After all, scholarships are supposed to be free, right? Be careful and don't spend a single dime on a seminar promising you the secrets to earning a scholarship at the university of your choice - most of these don't work anyway.

Paying back a college scholarship is outright fraud. Believe it or not, there are scammers offering scholarships who would ask you to pay them back once you're done with your studies. If you want a legitimate scholarship, utilize all available - and honest - resources.

Scholarships don't grow on trees - if you didn't apply for one, there's no way you'd win one. There are a lot of fraudulent emails going around - spam emails - or links announcing that you have just won a scholarship. You wouldn't get a scholarship, but you'll probably "win" a nasty virus or infect your computer with spyware. You can be anyone you want to be on the Internet, and phishers, or online identity thieves, can easily pose as a national organization to scam naive internet surfers into clicking their links and sacrificing their personal information through spyware.

We advise you, the student, to use your best judgment, as most scholarship providers are legitimate - but there are always people out there looking to take advantage of you.

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