Ghost Students Are Stealing Billions in College Aid
An empty classroom. (Getty Images/TW Farlow)
A little-known college scam is quietly racking up federal losses and creating headaches for everyday Americans, ABC News reports. In these cases, “ghost students” use stolen or fake identities to enroll at community colleges, collect federal grants and loans, and then disappear—leaving taxpayers responsible and victims with unexpected education debts. One victim, 58-year-old PhD holder Murat Mayor, says he and his high-school-senior son discovered last fall that aid accounts had been created in their names, including applications to multiple schools.
Jason Williams from the Education Department’s Office of Inspector General calls it “a huge issue,” amplified by the pandemic’s move to online learning and now further complicated by AI. His office has confirmed more than $350 million in fraud and has over 200 investigations underway, with some scams suspected to exceed $1 billion.
Community colleges with open enrollment are the most vulnerable. California officials report that nearly one in three 2024 applicants appeared to be fake. Schools are rushing to implement identity-verification software, but administrators describe a “rolling crisis” that can sometimes prevent legitimate students from enrolling.
For a full look at the scope of these scams and how colleges and investigators are trying to catch up, see the complete ABC News report.
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