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Posted on 12/11/2025 10:33:09 AM PST by Libloather
FIRST ON FOX: The Department of Education thwarted more than $1 billion in student aid fraud under President Donald Trump's first year in office, including stopping suspected bots and "ghost students" from obtaining taxpayer-funded loans, Fox News Digital learned.
Officials say the savings come from new "enhanced fraud controls" the department implemented in June to combat fraudsters from working to obtain financial assistance loans from colleges.
College officials and cybersecurity experts in recent years have pointed to a new scam trend of "ghost students," which are fabricated or stolen identities created solely to enroll, trigger financial aid disbursements and then disappear. Ghost students are believed to be powered by AI bots or run by criminal networks using real Americans’ personal information.
Other scams have included the use of deceased individuals' identities in order to fraudulently obtain loans.
To crackdown on fraud, the Department of Education heightened its identification verification process for first-time applicants attempting to receive Federal Student Aid. The department said in June that the Biden administration "removed verification safeguards and diverted resources from fraud prevention toward its illegal loan forgiveness efforts" amid the COVID-19 pandemic, which compounded fraud schemes.
(Excerpt) Read more at foxnews.com ...
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A billion here and a billion there, after a while, when you catch and put a stop to the corrupt scamming (or at least a good deal of it), imagine how possible it would be to eliminate income taxes.
Biden handed over to Trump a picked-over carcass of a nation.
Oy’m not dead. Oy think Oy’ll go for a walk...
...and they want to twist the knife with state pension bailouts next dem administration (I’m shocked it didn’t occur under xiden, though they did siphon $90 billion for PBGC).
Omar. Pay your guaranteed student loans you grifting POS!
Jotato’s “forgiveness” of GSLs to buy votes was shameless pandering.
“ ... until people understand they can vote themselves money.” B. Franklin
Wanna bet all these “students” used foreign servers. Pakistan, India, China, Ukraine, Nigeria, Minnesota.
Just end ALL gubmint money for colleges.
Call Congress
US Capitol switchboard (202) 224-3121.
Call the White House
Comments: 202-456-1111
Switchboard: 202-456-1414
TTY/TTD Comments: 202-456-6213
Send a letter to the White House
Message: College officials and cybersecurity experts in point to a new tax dollar scam
<><>”ghost students,”
<><>these are fabricated or stolen identities created solely to enroll in a school,
<><>they falsify financial aid documents, pocket tax dollars, then disappear.
Ghost student scams are run by criminal networks who steal real Americans’ personal information. Others use deceased individuals’ id’s to fraudulently obtain loans of million of tax dollars.
Had one in my class. got special permission to enroll in half the course (lab) showed up twice and then disappeared after financial aid was issued. Got himself an F and barred from further classes for his trouble. SMH.
First there needs to be about $2,000 billion per year caught.
No wonder dems wanted to forgive these loans before anyone found out what was actually going on.
student scams are run by criminal networks who steal real Americans’ personal information.
The democrats web his huge nothing is safe in their reach.
Only a fool would trust them.
It really took off when Obama took office.
Obama and the Democrats intentionally enabled fraud in the system to provide a back door funding for reparations and to allow well connected Democrat operatives and cronies to grift off the taxpayer.
There are tons of fraudulent student loans to grafters, often under multiple false identities , and to non existent phantom students with fictitious identities who are place holders for fraudsters
This leaves millions of fraudulent loans in the $20,000-30,000 range on the books unpaid.
Much of the Democrats fanatical student loan forgiveness obsession (coincidentally targeting canceling delinquent loans in the fraudsters magic $20-30K range) are intended to erase these fraudulent loans and get them of the books so investigators cannot uncover the fraud
Many colleges are reaching out to find more students:
1. “dual enrolling” high school students in college courses, many on the HS campuses
2. providing classes in prisons
3. importing/admitting foreign students
4. dropping prerequisites
5. dishing out more and more financial aid (including the billions of dollars the article discusses for “ghost” fake phony “students”
6. more stuff....free groceries, free hot meals, free household supplies, free health care services, free psychological services, free transit passes, sometimes free Uber or Lyft passes, sometimes free parking, sometimes free camping like in campus parking lots or fields - with free bathroom and shower access, and more.
colleges vary in their diligence and success in weeding out ghost students before their financial aid is dispensed, given to them
sometimes one gets the impression that a college might really be trying to identify ghost students early to prevent giving out the money (to the scam artists that “enrolled” the ghosts to collect all the financial aid and free benefits)
sometimes one gets the impression that a college might not really be working very hard at identifying or filtering out ghost students — since they do list in the records as students... and... professors often need a minimum number of enrolled “students” to teach class(es) ... I knew one prof who signed up five of his dogs to boost his class’ student count enough so that he could teach it....and enrolled ghosts would accomplish the same objective
and so it goes
details of all this vary from college to college...
Back when banks ran the student loans this never would have happened.
Years back, people on probation in Michigan were getting student loans for college and would pay their fines and costs off. And not attend college. Grrrr.
HEEBUS!!!!!! IS EVERYONE CORRUPT???????
IS EVERYONE CORRUPT???????
Yes.
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