How To Identify a Scholarship Scam

There are more than 175,000 victims of scholarship fraud in the U.S. today. A scam can disguise itself as a scholarship program because students trying to pay for college are usually vulnerable and excited about any opportunity they get. However, there are ways to help determine if organizations are offering you a real scholarship opportunity. The experts at CommunityForce have put this list of warning signs together that may indicate your scholarship is a scam:

Winning a scholarship you never applied for

If you receive any solicitation from a scholarship program that you never applied for, it should alert you. Scholarships are not won without applying, so be wary of free money that is offered to you with no effort. Doing nothing to get a scholarship would be a dream come true, but unfortunately, that is not how it works. Any legitimate program has an application process and when you have to do nothing to apply, this is a sign that it does not have any real offerings is a scam.

Payment asked for upfront

Scholarships will not ask for a payment to apply. Scammers will call these application fees, but any real scholarship program will not ask for them. Scholarship scams can ask for an entry fee anywhere from $2 to $5,000. However, scholarships are supposed to pay you, not the other way around. Any program that asks for money upfront is a scam and does not have any real opportunities. Seek out a reputable offer.

Personal information requested

Some agencies will tell you they need your credit card or bank information to “hold the scholarship for you.” However, your financial information may not be the only thing at risk in a scholarship scam. Some will ask for a driver’s license or Social Security number and this could result in you being the victim of identity theft.

Listings not found anywhere else

There are a number of websites that offer scholarship information for free. These websites have a sophisticated system that lets you search through a wide variety of available scholarships. If the program that contacted you has information or a posting that can only be found on its website, that should be a warning sign.

No contact information for scholarship officials

Every scholarship has people that run it. Their contact information should be easily found on their website. If the website has no email, phone number, or address for the officials, it is most likely a scam. Only contact services and organizations where you can easily find the people who are in charge of the scholarship.

Scholarship is time-sensitive

Everything you apply for will have a deadline and this is normal because of how schools organize their scholarship programs. The sign of a scam is when an organization contacts you and asks you to apply and the deadline is within the next few days. These fake scholarship programs may say something like grants are awarded on a “first-come, first-serve basis.” Everyone in school is trying to get a scholarship, so there is a massive number of applicants. It is unlikely that organizations will go out and seek applicants. If they send out something wanting you to apply for their scholarship at the last minute, it is likely not legitimate.

Paying for school is hard, and scholarships offer great assistance to students. When searching for scholarships, it is best to check the facts and make sure you are applying for one that has a reputable scholarship management system.

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