what type of lawyer practices student loan fraud

What does a student loan lawyer do?

A student loan lawyer is an attorney who specializes in helping borrowers navigate problems with their student debt, like disputing loans from a fraudulent school or negotiating debts that have been sent to collections.

What is considered fraudulent behavior on the part of lenders?

This can be considered fraudulent behavior on the lender’s part if the bank conceals or misstates the term of the loan. On the other side, lenders should know how loan applicants can try to fraud them to get a better loan. Some reasons people do this is to get approved for more money or obtain loans with lower interest rates.

Are student loan debt collectors doing something illegal?

Both cases involve dubious and illegal practices by student loan debt collectors that worked for huge lenders. Continued investigations likely will expose additional illegal practices. In addition, the federal government reportedly has expanded its privatized collection program.

Do I need a lawyer for student loan forgiveness?

For many things, such as changing your repayment plan or applying for student loan forgiveness programs, you can fill out the paperwork or online form yourself. However, there are scenarios where it can be very beneficial to pay a lawyer for help with your student loans. For example, what if your lender is suing you because you defaults?

How do I dispute a student loan fraud?

Please contact the FSA Ombudsman's Office at 1-877-557-2575 (TDD - 1-800-848-0983) or https://studentaid.ed.gov/repay-loans/disputes/prepare/contact-ombudsman. The FSA Ombudsman's Office is a neutral, informal, and confidential resource to help resolve disputes about your Federal student loans.

What can you do if you get scammed by student loans?

Contact your bank or credit card company to stop all payments to the company that is scamming you. Submit a complaint to us. File a complaint with the Federal Trade Commission (FTC). File a complaint with the Consumer Financial Protection Bureau (CFPB).

Can I sue my student loan company?

If your complaint is about a collection agency for federal student loans, you can file a complaint with the U.S. Department of Education's Default Resolution Group at 1-800-621-3115, who will direct you to the Special Assistance Unit for resolution of the problem.

Who should you contact if you have trouble paying student loans?

The myeddebt.ed.gov website helps student loan borrowers, who are in default, to arrange debt payments. There are multiple ways to contact the Default Resolution Group, or you may call 1-800-621-3115. For more information on defaulted student loans, see Understanding Delinquency and Default.

How can I get student loan forgiveness from Covid?

No, there is no coronavirus-related loan forgiveness for federal student loans. The Department of Education and your loan servicer should be your trusted sources of information about official loan forgiveness options. You never have to pay for help with your federal student aid.

Is American Student Loan Advocates legitimate?

Is American Student Loan Advocates legit? You never need to pay for student loan help you can get for free. American Student Loan Advocates is not a nonprofit organization: It collects a fee for document preparation assistance, enrollment in an income-driven repayment plan and federal loan consolidation.

Is there a class action lawsuit against student loans?

A major settlement was announced on Thursday to resolve a long-standing lawsuit joined by 39 state attorneys general against Navient, one of the nation's largest student loan companies.

Can you go to jail over student loans?

You won't go to jail for defaulting on your student loans. But you may go to jail if your lender sues you and you ignore a judge's orders. If you know you can't make your payments, contact your lender or a nonprofit credit counselor because there are numerous options and programs that might offer some relief.

Do student loans go away after 7 years?

Do student loans go away after 7 years? Student loans don't go away after seven years. There is no program for loan forgiveness or cancellation after seven years. But if you recently checked your credit report and are wondering, "why did my student loans disappear?" The answer is that you have defaulted student loans.

How can I get out of paying student loans?

Options to Get Out of Repaying Student Loans LegallyLoan Forgiveness Programs. ... Income-Driven Repayment Plans. ... Disability Discharge. ... Temporary Relief: Deferment or Forbearance. ... Student Loan Refinancing. ... Filing for Bankruptcy: A Last Resort.

What happens if you Cannot pay back student loans?

Unfortunately, there can be many negative consequences of failing to make your student loan payments, including wage garnishment, a drop in your credit score or a suspension of your professional license.

Can someone take out a student loan in my name?

If someone steals your sensitive information, they could use your identity to borrow a student loan in your name. Fortunately, there are steps you can take to protect your credit if you're the victim of student loan identity theft.

Why is student loan fraud bad?

Student loan fraud hurts every college student who relies on financial aid to attend college. When students or colleges manipulate the financial aid system for their own personal gain, precious government funds go to dishonest people instead of hard-working students who legitimately need the money to attend a college or university.

What is the most common type of student loan?

Some of the most common types of student loans include Stafford loans and GradPlus loans. This money is distributed to students by the Department of Education under the Higher Education Act.

What is the CFPB suing?

The CFPB and three states have sued Navient, the largest servicer for student loans , for alleged illegal activity which cost borrowers millions. According to a New York Times article, Illinois Attorney General Lisa Madigan said that the misdeeds could affect every customer and that damages could be billions of dollars.

What is the phone number to contact a debt collector?

If a debt collector has been hounding you, to speak with a representative directly and immediately call 844-685-9200 for a free, no-obligation case evaluation. Our attorneys have experience in assisting those with student loans, fighting debt collectors, and standing up for consumers. If a debt buyer has violated the Fair Debt Collection Practices ...

What is the FDCPA?

The FDCPA specifically forbids these collection activities: The use of conduct which is likely to harass, oppress, or abuse a consumer regarding the collection of a debt. The use or threat of use of violence or other criminal means to harm the physical person, reputation, or property of any person.

What is loan fraud?

Loan fraud occurs when an individual falsifies their application for a loan. This can happen in situations involving personal or business loans. For example, if the borrower lies on their loan application, this will cause the bank or other lending institution to suffer monetary loss and setbacks in their business operations.

What to do if you are a victim of loan fraud?

A lawyer can look through your records and help formulate your defense. If you are a victim of loan fraud, you will need to cooperate with the criminal investigation. You can also consult with a business lawyer to determine if you can get money damages as a result of the loan fraud.

What are some examples of mortgage fraud?

Some common examples of mortgage fraud include exaggerating income, claiming you are employed when you do not have a job, and trying to avoid higher interest rates by claiming you will occupy the property when the intention is to buy it as an investment property.

What happens if you give a false application?

Providing a false application could cause the buyer to suffer financial setbacks and miss out on opportunities to purchase other real estate. It is important to know what constitutes loan fraud and what rights you have if you experience loan fraud.

What is predatory lending?

Predatory lending is when a financial institution offers a high interest rate loan to someone in exchange for valuable collateral, like the deed to the property.

Can a loan fraud victim be charged with a crime?

As such, victims of loan fraud can press criminal charges. They may also have a civil case to get an award of money damages. A likely cause of action would be breach of contract or misrepresentation. A paper trail will be necessary to prove the fraud.

Can mortgage loan fraud occur on both ends?

As noted above, mortgage loan fraud can occur on both ends – initiation by the borrower or the bank. Other intervening parties involved in the transaction could also engage in fraud, like brokers or the real estate agencies. As such, there are many different stages of the home buying process where fraud could exist.

The Consequences of Filing a Fraudulent Student Loan or Grant Application

Twenty U.S. Code Section 1097 lays out the criminal offences and consequences of knowingly making false claims to the federal government. If you make a false statement, forge a document, or fail to pay refunds, you face imprisonment for not more than 5 years, a fine not exceeding $20,000, or both.

Types of Fraud in Student Loans and Grant Applications

In recent years, whistle-blowers are calling out fraud in student loans.

How To Choose a Lawyer for a Fraud Case

If you’re hiring a lawyer for student loans, ensure you hire a qualified attorney:

Final Thoughts

Filing fraudulent claims for a student loan can be a serious offence – whether you knowingly committed fraud or if fraud was committed in your name.

Circumstances When a Student Loan Lawyer May Help

There are some common scenarios where hiring a student loan debt lawyer may be a good idea, such as when:

How to Find a Student Loan Lawyer

Because student loan issues can be complex and ever-changing, it’s important to find a lawyer who specializes in them. Here are some resources that can help.

How to Vet a Student Loan Lawyer

Most lawyers will offer a phone or video consultation for free. During this time, ask how many people they’ve helped with your specific issue. Get a feel for how experienced and comfortable they seem with your problem. Also consider how comfortable you are with the attorney. For example, can they answer all your questions in terms you understand?

Get to Work

Once you choose a student loan lawyer, assemble the related documents before your first official meeting. These may include monthly loan statements, proof of payments, letters from the lender, copies of online communication, previous tax returns and more.

What to do when overwhelmed by student loan?

If you're feeling overwhelmed by a student loan issue and want some guidance to make sense of it all. A good rule of thumb to follow is asking yourself whether you can do it yourself, or do you feel you need an advocate to work on your behalf to resolve the issue.

What is Avvo for lawyers?

Avvo also provides a record of client reviews and peer endorsements, which can be helpful in selecting an attorney. Once you find an attorney you might want to work with, cross-reference the attorney with your state bar association to see if that attorney has any record of public discipline.

When hiring for any professional service that has to do with your finances, do you want to be clear about what's

When hiring for any professional service that has to do with your finances, you want to be clear about what's expected, what the payment is, and follow up to ensure everything is done correctly. If you do pay for help, do your research to avoid student loan scams.

Can a lawyer help with student loan debt?

According to Adam Minsky, a lawyer will typically help with the following when it comes to student loan debt:​.

Is student loan debt hard?

Dealing with a difficult student loan situation can be tough. It's not only financially draining, but it can be extremely hard emotionally. If you find yourself wanting professional help for your student loan debt, make sure you consider whether a lawyer is the right choice.

Do I need a lawyer for student loans?

The fact is, most issues with your student loan debt doesn't require the services of a lawyer. For many things, such as changing your repayment plan or applying for student loan forgiveness programs, you can fill out the paperwork or online form yourself. However, there are scenarios where it can be very beneficial to pay a lawyer ...

How to file for bankruptcy for student loans?

To get a student loan discharge in bankruptcy you have to do two things: 1 File a bankruptcy case and 2 File an adversary (lawsuit) to discharge your student debt

How to get a student loan discharged in bankruptcy?

To get a student loan discharge in bankruptcy you have to do two things: File a bankruptcy case and. File an adversary (lawsuit) to discharge your student debt. You have to file the bankruptcy case first. You can file the adversary before your case ends. You can also file it after your case ends.

What happens to student loans in bankruptcy?

For the most part, whether you file a chapter 7 bankruptcy or chapter 13 bankruptcy, pretty much the same thing happens to your student loan debt: your student loan payments are suspended. your loans are placed in a bankruptcy deferment/forbearance and.

What is the main case in bankruptcy?

The main case is the bankruptcy you filed. The case within that case is the adversary proceeding. The adversary proceeding is simply a lawsuit. In that lawsuit, you'll ask your bankruptcy judge to discharge your student loan debt because it’s causing you and your dependents an undue hardship. Typically, your bankruptcy lawyer will tell you ...

Why is it so hard to get a student loan discharged?

It's difficult to get a bankruptcy discharge of student loan debt because of changes made to the Bankruptcy Code. Before 1980, student loan debt was dischargeable without having to prove undue hardship. Your financial situation didn't matter.

Is it hard to discharge student loans?

Many bankruptcy attorneys will tell you that discharging student loans is something that can't be done. It's just too hard. But here's the thing. Hard doesn' t mean impossible. It just means hard. Also, sometimes filing an adversary proceeding to discharge student loan debt isn't about getting an actual discharge.

Can bankruptcy help with student loans?

Bankruptcy can help with both federal student loans and private student loans. For instance, if you have high student loan payments on your private loans, a chapter 13 bankruptcy can give you a lower payment for the next 3 to 5 years. Or if you’re facing a student loan wage garnishment, a bankruptcy filing will stop that from happening.

How much can you forgive a teacher's student loan?

If you teach science or math in high school, you can get up to $17,500 forgiven.

What is the best loan forgiveness program?

The main loan forgiveness program that gets the most notoriety is public service loan forgiveness. Public service loan forgiveness is not defined as a program you enroll in; rather, it is a redemption plan in which you redeem the forgiveness once you have reached the required 120 qualifying payment months. There is no limit on how much student loan debt can be forgiven. Public Service Loan Forgiveness has three requirements to make the payments “qualifying”: 1 The right kind of employer 2 The right kind of loan 3 Actively paying

How long does it take for a student loan to be forgiven?

Depending upon the type of federal student loan repayment plan you are in, your loans may be forgiven after 20 or 25 years of qualifying payments. If you are unsure of whether your loan qualifies for income-driven repayment forgiveness or are unsure of the type of income-driven repayment plan you’re in, our student loan forgiveness lawyer can ...

How many years do you have to teach to get a teacher loan forgiveness?

The requirement for teacher loan forgiveness is teaching for 5 consecutive years in a qualifying school district. Generally, most rural and urban school districts and some suburban school districts will be qualifying school districts. However, a good rule of thumb is to ask the principal of any school if the school district will qualify.

How many months do you have to pay for a public service loan?

For public service loan forgiveness, when you get through your 120 qualifying payment months, you submit the necessary paperwork and you are granted forgiveness. If you paid months 121 and 122, you would receive those payments back upon acceptance of your forgiveness.

Is student loan forgiveness taxable?

Unfortunately, unlike the public service forgiveness, income-driven repayment forgiveness is potentially taxable. We say potentially because there are exceptions to the rule. If this is a concern for you, our student loan forgiveness lawyer along with our tax lawyers can advise you on ways to address this.

Can student loans be forgiven?

There is no limit on how much student loan debt can be forgiven. Public Service Loan Forgiveness has three requirements to make the payments “qualifying”: The right kind of employer. The right kind of loan. Actively paying.