College students and graduates already have enough to worry about, but the growing student debt crisis has attracted a different type of scam.

As grads work to free themselves of their student loan debts, false heroes come along and claim they can save the day, only to make the situation even worse.

There are now several types of scams targeting college students and graduates. Student loan debt now affects over 42 million Americans and the total balance of American student loan debt is over $1.5 trillion. Both the Better Business Bureau (BBB) and the Federal Trade Commission (FTC) are warning the public against scams involving student loan forgiveness.

Unfortunately, there are several ways in which a student loan scam can be initiated, but the red flags are all the same. One scam involves an email, phone call, advertisement, or social media message claiming that a company can consolidate your student loans and save you money in the future. In this particular scam, they simply ask for an upfront fee before disappearing from the face of the earth. These companies conduct this same scam with simple variations, and they will often make many promises which they won’t keep. These promises of saving you money and consolidating your loans in exchange for a minimal fee are often too good to be true, and should be treated as such.

Here are several things you can do to avoid being scammed:

1. Check the BBB and/or FTC for the company’s business profile at bbb.org/ScamTracker
2. Read the FTC’s literature on these scams at ftc.gov/StudentLoans
3. Remember that only scammers would promise “fast” loan forgiveness
4. Apply for loan deferments, forbearance, repayment and forgiveness or discharge programs through the U.S. Department of Education. This service doesn’t require a third party.
5. Never pay a fee upfront
6. Don’t give anyone power of attorney

If you know of a student loan scam, you can report it to the BBB and/or FTC.