Great Lakes Student Loans Scams?
Today we have picked the most important topic that will change your view of my great lakes company (mygreatlakes.org)We have been researching and talking with their existing users if it’s a scam or legit.
So, let’s get started…
Great Lakes Higher Education Corporation based in the USA having Headquarters in Madison, Wisconsin is a non-profit Organization. Read More – The Great Lakes Loans
Great Lakes Student Loans Scams
It helps the student’s loan borrowers to manage their repayment. They provide service federal loan for millions of the students. It is working with 6000 schools and 1000 lenders. It is becoming one the largest student loan service for federal student loans.
In case you have the student loan, probably you must have at least heard of Great Lakes Student loans. If Great Lakes is an existing your federal student loan servicer, learning more about this organization can save your valuable time and funds too.
Facts about Great Lakes Student Loans
1. Working in this field for more than 40 years.
2. They provide Auto-debit interest rate reduction
3. They provide useful articles on managing loans and repayment options.
4. Provides only services federal loans.
What are the Student Loan Scams?
There are $1.3 trillion in student loan debt. The billions of the dollars being loaned to the students annually. There is no point of doubt that there are scammers trying to get your money, by offering services that they don’t have any real idea about.
The CFPB (Consumer Finance Protection Bureau) has even issued several warnings about what to inquire when you need help with your student loan. In this article, we cover some common scams that are prevailing and students must be aware of whenever they are looking for a student loan.
Before we start into various types of student loan scams, it is vital that we talk about getting a help for your student’s loan debt.
These days many companies are promoting that they can help you with your loans. You must have seen ads on social media like Facebook, Twitter, Google etc. sometimes you get emails on your account for this type of help. These companies promise you things that help with your student loan debt, they might invite you to sign up or call.
Before taking any action with it is important to note that you don’t have to pay someone to get help with your Federal student loan. You will not get help, but it is up to you to decide to do it yourself or hire a professional company to handle it for you. The reasons for these company are given below.
1. The enrollment in repayment programs is available free of cost to Federal student loan borrower and can be done for free at StudentsLoans.gov.
2. The debt relief companies don’t have any power to negotiate with your student loan creditor to bargain for a better deal.
3. The amount of payment, qualifiers, a requirement under IBR, PAYE etc. are set by Federal Law.
On the other hand, it doesn’t mean that paying to someone for help is a scam. While these programs are free of cost, signing up may be confusing for some people. They might need some help in their case. For example, some people do their taxes themselves, and some others hire a C.A. to get the help. The same case applies to the student’s debt help.
Do it yourself, or you can hire someone to get help. Paying to someone to help you, make sure that you are not going to be cheated off and the company must be reputable.
What are the common signs which help you to avoid student loan debt relief scams?
(Great Lakes Student Loans Scams)
Best Interest Rate and Loan Terms
The company that offers you they can get you best interest rate and terms for your loan. To get this benefit you need to pay a small amount of fee. This fee ranges between 1-5% of your loan amount. In some cases, the fee is flat rate up front as suggested by the company.
If you get an offer like this, don’t strike, there are no options in which you have to pay money to get the money. A valid student’s loans, got from private lenders, don’t require any fee to up front. If there is any fee that must be deducted from the disbursement cheque both be included in the repayment amount and spread over the repayment period.
There are two common fees that are payable with the loan and again it will never up front. The student’s loan charges 1% default fee but charges no origination fees. The private loans charge a 1% default fee but charge no origination fee. However, this fee is usually negotiable and varies from lender to lender.
After finishing your graduation, it’s good to consolidate your student loan. It is another popular area filled with scams. To consolidate the student loan scam in which company charges an amount as consolidation fee. In fact, it does nothing, the common names of this fee are a processing fee, consolidation fee or administrative fee.
If you have a federal student loan, no fee will be charged for debt consolidation. Do it yourself for without any fee at StudentLoans.gov
In case you have a private student loan, there are a large number of lenders who will refinance your private loan and a federal loan. Refinancing is different from consolidation in that it refers to simply combining all your loans into a single loan. In this, you actually take a separate loan from a new lender who finishes all your existing loans. Credible is a comparison tool which helps you to fill out one form and see custom-made offers from various lenders.
Law Firm Student Loan
A Law firm claims to settle your student loan debt. This scam has a lot of variations, but typically a borrower is referred to a law firm i.e. Student aid company. This company promises the borrower that this law firm can settle your debt for a lesser amount that you owe.
In some cases, the law firm asks you to make full payment of your debt in the law firm’s account. They even give the option pay the amount how much you can and they’ll negotiate a settlement with your lender.
The law firm doesn’t pay any amount while negotiating with your lender. As a result of it, you go into default on your student’s loan. Your credit score is trashed, you have to make a large amount of the payment to that law firm. This process also doesn’t have any guarantee to settle your loan as well as it takes years to settle this loan.
Debt Removal Scam
The student debt is must to be repaid, it cannot be eliminated in any case. The exceptions to the rule are death, permanent disability, school closure, falsification of documents or identity theft. It’s a 100% scam whenever you promise by a company to get your student’s debt is eliminated.
However, there are many students loan forgiveness programs like if your college closed or facing lawsuits, you can defense for repayment of the loan. In case you are paying a company for help, ask them specifically what they doing for you.
What are the Students loan relief scams? (Great Lakes Student Loans Scams)
These are also known as students loan relief red flags. They are based on talking to the clients for several years, we took some points given below.
1. Any organization that claims to have relations with the Department of Education. It is a third party company and doesn’t have any connection with DOE.
2. A company that ensures you to set payment or forgiveness. Actually, no company can promise forgiveness or guarantee an income-based repayment. Because both factors will change as per your income.
3. Any opportunity of immediate loan cancellation or forgiveness.
4. A promise like a buyer will buy the loan and settle it for a set amount.
Great Lakes Student Loans Scams