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Scholarship Scams:The Re-cycling of Scholarship Scam Warnings. An article discussing the origins of Scholarship Scam warnings, and how members of NASFAA profit.
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Scholarship Scams: The Re-cycling of Scams of Scholarship Scam Warnings

Scholarship Scams: The Re-cycling of Scams of Scholarship Scam Warnings. A professional article discussing the origins of Scholarship Scam warnings, and how members of NASFAA profit from false scholarship scam warnings. One of the most persistent, enduring, and most pervasive scams that has been circulated and re-cycled by the main stream media newspapers, including, but not limited to Fox news affiliates, and local Better Bureau Business chapters. The common denominator in these scam scholarship scams warnings is the false attribution to the Better Business Bureau, and the Federal Trade Commission. The Better Business Bureau never makes any effort to correct these false attributions because it wants to appear as an authority on the subject.


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Origins of Scholarship Scams Warnings

Contrary to belief, the Better Business Bureau is not an authority on the subject of scholarships, grants, or financial-aid, and is certainly not qualiifed to address any such issue. We conducted an investigation into the Better Business Bureaau chapters charging money for memberships, favorable ratings, etc., in the 1990s. A local California Better Business Bureau chapter was subsequently investigated by the Orange County Register newspaper.

Let us break it down for you in simple terms. First, however, we need to document the offical source of these Scholarship Scams Warning messages. We also need to know how these false Scholarship Scam warning messages originated. To get a real understanding, consumers also should know the implied vs. the actual purpose of Scholarship Scams Warning messages, and how scam scholarship scams messages intefere with legitimate scholarship scam warning messages.

Newspapers, and media channels like U.S.A. Today,U.S. News and World Report, Fox News, Bloomberg News, wants to keep the public in the dark about the source and author of these widely circulated but eerily similar, if not identical, Scholarship Scam warnings. The same U.S. media companies that purport to warn the general public about so-called scholarship scams are the same ones that are in the hip pocket of Mark Kantrowitz. Kantrowitz controls, dominates, and dictates that these U.S. media companies refer to him as a Financial-Aid Expert, and that they re-publish his scholarship scam warning messages. Although some readers will do their own research and determine that Kantrowitz is Jewish, we are careful not to imply his association with the U.S. media is Jewish driven. Instead, it is his association with NASFAA.

How NASFAA Members Benefit from False Scholarship Scam Messages.

As explained below, Mark Kantrowitz was a vital key player for NASFAA, and is members of the student loan industry. Also, the College Board has been instrumental in promoting members of NASFAA, re-distributing gimmick copy-cat scholarship scam warning authored by Kantrowitz, while the same time hustling its severely flawed, and useless SAT tests to college and university members of NASFAA. Oh boy. We could get really deep with this article. Too bad that U.S. consumers are so easily misled by what the main-stream media prints. In the 1990s, Mark Kantrowitz played a vital role in working as a confidential government informant for the FTC, the F.B.I., and the U.S. Postal Service while at the same time being sponsored by a U.S. tax-exempt organization (NASFAA).

Shall we talk about U.S. media complicity in government corruption?; if Eric Snowden is a criminal then what term do we apply to Mark Kantrowitz or NASFAA?

Eventually, the N.Y. Attorney General started sniffing around and found a bounty of incriminating evidence. He was wondering the same thing this Publisher first published in the 1990s. NASFAA quickly terminating its public relationship with Kantrowotz, and several years later the N.Y. Attorney General laid out a case that parallels information first published by our NAAS-NEWS partners and documented here again.

Members of NASFAA and their promoters benefit from false Scholarship Scam messges because such messages re-directs attention away from worthless SAT exams, student loan fraud, and high-tuition fees that members of NASFAA pass on to students and parents.

Mark Kantrowitz pretty much summed it up really well: Never pay more than a postage stamp for a scholarship. What he didn't say was how he was benefitting from his relationship to NASFAA and his relationship to his FTC friends:

  1. Be prepared to pay thousands of dollars in expenses to finance the student loan member companies that I promote for NASFAA;
  2. Be prepared for me to sell your personal information to NASFAA member schools that I collect when you use my Fastweb, or Finaid.org websites;
  3. Be prepared for me to use my government label of Financial-Aid Expert to sell my books, get free media publicty, and to network with NASFAA colleges and universities at your expense;
  4. Be prepared to for me to use my Scholarship scams messages as a means to target any competitors, and to censor those competitors from being included in my fastweb, finaid.org databases, and for me to decide who and what scholarship sponsors I want you to use;
  5. Be prepared to for me to use my Scholarship Scams messages as a means to steer you towwards products and financial-aid options that I personally benefit from, or that will help NASFAA;
  6. I remind you: Never pay more than a postage stamp for a scholarship application, but always sign up for at least $20,000 in student loan debt from a NASFAA student loan provider; and, always be prepared for our little 3% tuition hikes every year when you attend the NASFAA schools that I recommmend. Thanks for you money, and thx for being a dumb American or a dumb American educator that cant't figure out public facts.

The same main-stream media publications that missed the student loan scandal that engulfed NASFAA are the same ones still partnering with the one and only Financial-Aid Expert in the entire U.S.A.

Role of Self-Promoters in Scholarship Scams

Self-promoters, members of NASFAA, generally stick to the same Scholarship Scam warning thread. They are careful not to mention or discuss actual issues relevant to the classroom, or discuss the defects of the SAT test, the CBS Reports accues fastweb as a failure scholarship search engine. Scholarship Scam messages by self-promoters are great attention-grabbing topics that help re-direct attention to scholarship search companies connected to NASFAA: fastweb,finaid, scholarships.com.

A self-promoter fashions his/her opinions to serve an intended audience. Scam Scholarship Scam Warning messages were fashioned to steer students away from legitimate scholarship sponsors and towards student loan sharks associated with NASFAA.

How NASFAA Helped Craft Scholarship Scams Warnings

In the 1990s, NASFAA was and continues to be a major contractor with the U.S. Department of Education. Being a government contractor, NASFAA benefitted from its relationwhip with the U.S. Department of Education. Student Loan companies stood to gain from over-priced student loans the same way that Fannie Mae, and morgtage insurers stood to benefit from risky mortgages. Knowing that students could be fleeced with student loans steered to NASFAA members, NASFAA needed a figure to promote the student loan services of its members. Enter the U.S. Departmnent of Education, and a clever self-promoter.

Although it was a certified I.R.S. tax exempt organization, NASFAA agreed to sponsor the newly created for-profit FinAid business in 1996 or thereabouts. Keep in mind that over 80% of U.S. Colleges, and universities are members of NASFAA, and that the new FinAid business was less than 6 months old. With the backing of the U.S. Department of Education, and the FTC, the self-promoter was soon christened as a Financial-Aid Expert before he had even one year of business experience.

False Attribution of Scholarship Scams Messages to the Better Business Bureau

The Scam Scholarship Scam Warning messages are generally preceded by this false attribution: The BBB identified the following as possible red flags.

In fact, the true source of these scholarship scam warning messages is the same self-promoter that has been falsely labeled by the main-stream media as a Financial-Aid Expert. The scam is to use the Better Business Bureau as a source of attribute of these scholarship scam warnings because the general public is more apt to accept the argument. Motivated by attention and profit, the Better Business Bureau gladly accepts this false attribute while knowing no BBB chapter authored these scholarship scam warning messages without first knowing about the scholarship scam warnings authored by the self-promoter sponsored by NASFAA.

Table of Scam Scholarship Scams Messages and False Affiliation with the Better Business Bureau
  • "The scholarship is guaranteed or your money back." In reality no one can guarantee that they will get you a grant or scholarship. The refund guarantees that are offered usually have so many conditions or strings attached that it is almost impossible for consumers to get their money back.
  • "You cannot get this information anywhere else." Actually, scholarship information is widely available in books, from libraries and financial aid offices and on the Internet, if you are willing to search for it.
  • "We will do all the work.” Only parents and students can really determine and provide the financial information needed to complete the forms.
  • "You have been selected by a national foundation to receive a scholarship." If you have not entered a competition sponsored by the foundation, this claim is highly unlikely.
  • "May I have your credit card or bank account number to hold this scholarship?" This is never a requirement for a legitimate scholarship offer.
  • "The scholarship will cost some money." Legitimate scholarship offers never require payment of any kind:
Scholarship Scams: Scholarship Scam Warnings Originated in the 1990s, and still in Use

Rebuttal to Scholarship Scams Perpetrated by U.S. media

Although none of these false scholarship scam warning signs applies to our NAAS Awards, it is important to expose the true origin of these false scholarship scams messages, as well as to highlight the fact that the BBB DID NOT author these scholarship scams messages. Also, certain portions of the Scholarship Scams messages are absurd.

The main-stream media is worse than Edward Snowden in the sense that it does not acknowledge the source of certain facts. As the Edward Snowden case has painfully illustrated, any source of information coming from a government informant, or an agency recommended by a government agency, or an agency that requires a fee in exchange for a seal of integrity, cannot be trusted. Better Business Bureau chapters are nothing more than fee-charging entities that sell memberships and dubious seals in exchange for a hype of integrity. Our experience with BBB member companies is that they are over-priced, arrogant, provide an inferior service, and are poorly rated by even the main-stream media. The toilet paper seal of the BBB is simply that, an opinion of which toilet paper to use.

BBB is not a Scholarship or Financial-aid authority

National Academy of American Scholars has never joined a Better Business Bureau chapter in over 25 years, has refused membership invitations by the BBB, and we have a clear record of investigating, disrepecting, disavowing, and refusing to legitimize any aspect of the Better Business Bureau chapter unless tax records are provided verifying its compliance with tax laws that govern 501(c)(3) organization; 99% of BBB chapters we have requested tax data from has refused our requests. Our integrity is not for sale. Companies that display BBB seals are companies that sell their integrity in exchange for a membership fee.

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