Illinois Attorney General Takes On Student Loan Scammers

Published 07/14 2014 06:18PM

Updated 07/14 2014 06:28PM

EAST PEORIA - Illinois Attorney General Lisa Madigan is taking on two companies she claims are victimizing people with student loan debt.

Today she announced she filed lawsuits in Cook and Champaign counties against First American Tax Defense and Broadsword Student Advantage.

She alleges the companies have charged up-front fees for phony services or for services that are already free.

They have been promising student loan forgiveness or lower payments.

“I understand that even the representatives that are making these false promises are probably having challenges too, have responsibilities, but still not morally right to offer false promises and false hope to people that are the most vulnerable at this time,” said Madigan.

Madigan says her office has received dozens of complaints and believes there are likely many more people affected.

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