What's The Catch?: Student Loan Forgiveness Or...

May 31, 2017
Activities, Activity, Paying for College, Student Loans, Advertising, Current Events, Case Study

What if you were a student loan borrower struggling to make your monthly payment and saw this ad pop up on your computer screen one day:

Or maybe this one: 

When you called the customer service phone number, you hear assurances like…

  • “Let me enroll you in a student loan forgiveness program and we will get your monthly payment reduced and even get your loan forgiven.”
  • “We will get you pre-approved for Federal government programs that will forgive or eliminate your Federal Student loan.”

When the question of fees comes up, you get an email detailing the terms…

  • “There’s an initial fee ranging from $599 to $1,200 and a monthly fee of $49/month that we apply to your loan. Make these monthly payments for 3 years and your loan will be forgiven.”

What’s your decision: Do you sign up or look for other options?

After making your decision, learn more about this student loan forgiveness program here and here.


Like to solve mysteries like this, be sure to check out the NGPF Case Study: What’s the Catch? 



About the Author

Tim Ranzetta

Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.