How to Report a Scholarship Scam (FTC, State AG, and Your School)

To report a scholarship scam, you file with three places: the Federal Trade Commission at ReportFraud.ftc.gov, your state attorney general’s consumer protection office, and your own college or high school. Each one does something different, all three are free, and none of them require a lawyer, a police report, or proof that you lost money. You can do the whole thing from your phone in about twenty minutes.

Most students never file anything. They feel embarrassed, or they assume nothing will happen, so the scammer keeps running the same pitch on the next person. That’s the real cost of staying quiet. When you report a scholarship scam, your complaint drops into databases that federal and state investigators actually search for patterns — the FTC’s Consumer Sentinel Network, which received fraud reports from 2.6 million consumers in 2024, according to the FTC.

This guide walks through exactly who to contact, what information to gather first, what happens after you hit submit, and what to do differently if you already paid money or handed over your Social Security number. It also covers the parts people get wrong — including the very common belief that you have to lose money before anyone will take your report seriously.

Before You Report a Scholarship Scam: Gather Your Evidence

Spend ten minutes collecting proof before you file anything. Once a scam site goes dark, the evidence goes with it. Screenshot everything on your phone right now, even if you’re not sure you’ll follow through.

Here’s what to save:

• The exact web address, email address, and phone number used to contact you
• Screenshots of the offer, the messages, and any “guarantee” language
• The business or organization name, plus any person’s name they gave you
• Dates of every contact, in order
• Payment details: amount, method (card, Zelle, gift card, crypto), and confirmation numbers
• Anything personal you sent — SSN, FSA ID, bank account, driver’s license photo

The FTC’s consumer guidance flags specific phrases that signal a scam: a scholarship that’s “guaranteed or your money back,” a claim that you can’t find this information anywhere else, a request for your credit card or bank account number “to hold” an award, or an application fee. If you saw those, quote them in your complaint.

Step 1: Report a Scholarship Scam to the FTC

The FTC is the main federal intake point. Go to ReportFraud.ftc.gov and file a free report — no account needed. You’ll describe what happened, name the business, and list what you lost, if anything.

The FTC does not resolve individual complaints or get your money back. What it does is feed your report into the Consumer Sentinel Network, a database shared with federal, state, and local law enforcement. Enforcement comes from patterns, not single filings. The FTC has run scholarship-fraud enforcement under a long-standing initiative called Project ScholarScam, which the agency says produced federal court orders barring future misrepresentations against 11 companies and 30 individuals.

There’s also a federal law behind this. Under the College Scholarship Fraud Prevention Act of 2000, the U.S. Sentencing Commission raised the offense level for financial aid misrepresentations effective November 1, 2001, and the FTC, DOJ, and Department of Education must report scholarship fraud incidents to Congress annually. When you report a scholarship scam, you’re feeding that pipeline.

Step 2: Report a Scholarship Scam to Your State Attorney General

Your state attorney general’s consumer protection division handles complaints under state consumer protection law, and state AGs often move faster on local operators than federal agencies do. Several, including Washington State’s AG office, publish scholarship-scam guidance specifically.

Filing procedures, deadlines, and what the office can do for you vary by state — some mediate directly with the business, some only log the complaint. Don’t assume a figure or timeline you read about one state applies to yours. Find your office at naag.org or search “[your state] attorney general consumer complaint,” and read that office’s own instructions.

File with the AG of your own state and, if different, the state where the company claims to be based. There’s no penalty for filing in both.

Step 3: Report a Scholarship Scam to Your School

This is the step students skip, and it’s often the most useful one. Your financial aid office tracks scams circulating on your campus and can warn other students within days — far faster than any agency.

Tell them if the scam impersonated your school, referenced your actual aid package, or asked for your FSA ID. That last one matters: your FSA ID is your legal signature on federal aid documents, and a compromised one can be used to alter your FAFSA. Aid procedures, holds, and verification steps vary by school, so ask your own financial aid office what they need from you.

If federal student aid money is involved, you can also contact the Department of Education Office of Inspector General hotline at 1-800-MIS-USED (1-800-647-8733), or file online through the OIG hotline site.

Where to Report a Scholarship Scam: Quick Comparison

If You Already Paid or Shared Personal Information

Move on the money first. Call your bank or card issuer immediately and ask them to reverse the charge — recovery odds are best with credit and debit cards, poor with gift cards, wire transfers, and crypto. Then report a scholarship scam to the FTC as usual.

If you handed over your Social Security number, FSA ID, or bank details, go to IdentityTheft.gov. The FTC generates a free personalized recovery plan there. You can place a free one-year fraud alert by contacting any one of the three credit bureaus, and under the federal law effective September 21, 2018, credit freezes and unfreezes are free nationwide.

Change your FSA ID password at studentaid.gov and turn on two-factor authentication. If it was an online or emailed pitch, also file at ic3.gov, the FBI’s Internet Crime Complaint Center.

What Most People Get Wrong About Reporting

“I didn’t lose money, so there’s nothing to report.” Wrong. The FTC accepts reports of attempted fraud. A near-miss report from you may be the data point that connects a pattern.

“The FTC will get my money back.” It generally won’t, at least not directly. Refunds happen only when an enforcement action produces a settlement fund, years later. Your bank is the faster route.

“One report covers everything.” The FTC, your AG, and your school don’t automatically share your complaint in a way that triggers action at each. File separately.

“I’ll get in trouble.” You won’t. Being targeted isn’t a violation of anything, and reporting doesn’t affect your aid eligibility.

“It has to be a big scam to matter.” A $9 “processing fee” charged to 40,000 students is a large operation. Report the small ones too.

Frequently Asked Questions

How long does it take to report a scholarship scam?

The FTC form usually takes about 10 to 15 minutes if you’ve gathered screenshots first. State AG forms are similar. Telling your financial aid office can be a single email.

Will I hear back after I file?

Usually not from the FTC — it doesn’t resolve individual complaints and won’t update you on investigations. Some state AG offices do respond or mediate, but that varies by state, so check your office’s published policy.

Can I report anonymously?

The ED OIG hotline accepts anonymous tips. The FTC asks for contact information, though you control how much you share. Anonymous reports are generally less useful to investigators because nobody can follow up.

What if the scammer used a real scholarship organization’s name?

Say that clearly in your report and name the legitimate organization as the one being impersonated, not as the wrongdoer. Then contact the real organization directly — most want to know their name is being abused so they can post a warning.

Find Money Where You Live

Scholarship and grant programs change from state to state, and many of the biggest awards come from your own state’s aid programs. Pick your state to see the scholarships that apply where you live.

See Scholarships in All 50 States →

Sources & How to Verify

The facts on this page are drawn from official government and primary sources. Rules, figures, and program details change, so always confirm the current details with the official agency, your school’s financial aid office, or the program’s own published rules.

• Federal Student Aid: studentaid.gov — the official source for FAFSA, grants, work-study, and aid rules
• FTC Consumer Advice: consumer.ftc.gov — scholarship and financial aid scam guidance
• IRS: irs.gov — how scholarships and fellowships are treated for taxes
• Bureau of Labor Statistics: bls.gov/ooh — official wage and job-outlook data for every career
• Your school’s financial aid office: aid rules vary by school — for your specific situation, their answer is the one that counts

Content last reviewed August 2026. If you notice outdated information, please contact us.

Related Guides

• Scholarships by State (50-State Guide)
• More in This Category
• Scholarship Scam Checks
• College Survival Guide
• All Scholarship Resources
• Browse All Scholarships

Informational only — not legal, tax, financial, or academic advice. Spot Scholarships is an independent educational resource. Financial aid rules, scholarship terms, school policies, and licensing requirements vary by school, program, and state and change over time, so always verify the current details with your school’s financial aid office, the official agency, or the program’s published rules before acting. Nothing on this page guarantees admission, aid, or an award.