Unfortunately, in their scramble to pay for tuition, many students and their families are falling prey to scholarship scams. The Federal Trade Commission works to prevent fraudulent and unfair business practices, but sometimes the con artists find their victims before the FTC can stop them.

Beware of any lines such as:

• “The scholarship is guaranteed or your money back.”

• “You can’t get this information anywhere else.”

• “I just need your credit card or bank account number to hold this scholarship.”

• “We’ll do all the work.”

• “The scholarship will cost some money.”

• “You’ve been selected by a ‘national foundation’ to receive a scholarship” or “You’re a finalist” in a contest you never entered.

If you attend a seminar on financial aid or scholarships, follow these steps:

• Take your time. Don’t be rushed into paying at the seminar.

• Investigate the organization you’re considering paying for help.

• Be wary of “success stories” or testimonials of extraordinary success – the seminar operation may have paid “shills” to give glowing stories. Instead, ask for a list of at least three local families who’ve used the services in the last year. Ask each if they’re satisfied with the products and services received.

• Be cautious about purchasing from seminar representatives who are reluctant to answer questions or who give evasive answers to your questions.

• Ask how much money is charged for the service, the services that will be performed and the company’s refund policy. Get this information in writing. Keep in mind that you may never recoup the money you give to an unscrupulous operator, despite stated refund policies.