Fact #44 MoneyEnforcement

$119average payout to each borrower in a 2025 FTC distribution to scam victims

On 5 August 2025 the FTC sent $743,230 to 6,269 consumers harmed by a student-loan debt relief scam, about $119 each, nearly two years after the operators were banned in October 2023.

The FTC describes the upfront fees as ranging from hundreds to thousands of dollars. The realistic answer to whether victims get their money back is a fraction of it, years later, if the operation is caught at all.

Source: US Federal Trade Commission. Read more: student loan forgiveness · case file

Sources

  1. FTC Sends Money to Student Loan Borrowers Harmed by Debt Relief Scam. US Federal Trade Commission. Accessed 2026-09-06. Supports: The 5 August 2025 distribution of $743,230 to 6,269 consumers, the BCO and SLA Consulting defendants and the October 2023 ban.