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Scholarship Scams Coming Your Way? Social Media Can Save the Day!

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Every spring millions of families in the United States make decisions about college.  For new or returning students, college affordability is often a major consideration when making choices.  To assist with access to college, the Federal Student Aid Office offers “$150 billion in federal grants, loans, and work-study funds each year to more than 15 million students paying for college or career school.”   The Federal Student Aid office website describes it’s pride in sponsoring “millions of American minds pursuing their educational dreams.”

Unfortunately, as many people seek college as an opportunity for learning, career advancement, preparation for graduate school, or to complete a life-long or family dream, there are people who intend to take advantage of their hopes.  There are scammers who have implemented a whirlwind of deceptive activity for the purpose of bilking millions of dollars from students and families.  According to The Smart Guide To Financial Aid victims of scholarship scams lose more than $100 million annually.

  • Among the stories of deceptive scholarship scams is John Aguilera, a California college student who is working to support himself toward a degree in biology.  He was deceived and defrauded of over $700 by a scholarship scam as reported in December 2013;
  • In January of 2014, a phony Instagram account offered a faux scholarship from Oprah Winfrey.  Designed to mirror the Winfrey owned cable network OWN, this scam claimed that the first 50,000 followers were eligible for a $20,000 college scholarship; and
  • San Diego resident Lee Schneider described attempts by multiple phony scholarship scammers to gain access to his bank account in this News Channel 7 video from November 2013.

After learning of John’s Aguilera’s story as well as the other scam examples above, I wondered if social media had a place in educating students about Financial Aid and scholarships.  I was also curious to learn if social media forums could be used as resources to combat scams.  After conducting research to answer my questions, I found that resoundingly, the answer was “yes.”  Here are a few examples of how colleges, universities, and the federal government are utilizing social media messaging about real scholarship awards, timely deadlines and alerts, and other helpful financial aid information:

One of the important considerations for social media presence by Financial Aid Offices is the quality of the interaction.   It is unrealistic to believe that every student on each campus will connect to Financial Aid offices through social media. However, the effort to educate students and families beyond traditional avenues can provide a great safety net for those who are engaged through social media.   The current and future students who take advantage of social media to receive pertinent information can have a greater likelihood of avoiding scams because the information source is clear.  Financial Aid Offices who actively use social media are offering the opportunity to check facts and guarantee that accurate information is always available for students and families from a credible source.  Every dollar counts when making a decision about paying for college.  In the face of the unscrupulous scholarship scammer who hopes to have some of those dollars for themself, providing credible social media resources may be the Financial Aid tools that save the day.


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