A key component of college preparation is financial aid. While no scholarship or grant opportunities should be overlooked, college financing does have its share of scammers. According to the Federal Trade Commission (FTC), you should look for the following signs of scam in scholarship offers:
Annually, the FTC and the U.S. Departments of Education and Justice report to Congress on scholarship scams. You can read the latest report. The FTC also maintains a webpage of current scam information, including defendants in complaints.
The best way to prevent fraud is to have up-to-date information. If you happen to encounter a fraudulent offer, file an online complaint with the FTC.