BACKGROUND FOR YOUR INFORMATION:

Many legitimate companies advertise that they can get students access to lists of scholarships in exchange for an advance fee that ranges from $10 to $400. Others charge an advance fee to compare a student's profile with a database of scholarship opportunities and provide a list of awards for which the student may qualify. They don't guarantee or promise scholarships or grants.

Some scholarship search services do misrepresent their services, guaranteeing that they can obtain scholarships on behalf of students or actually award scholarships to students for an advance fee. In these cases, consumers receive only a list of scholarships or grants for which they can apply. Usually, all consumers receive the same list, regardless of their qualifications. The search companies that offer a "money back guarantee" usually require students to apply for each scholarship or grant they have listed and then offer proof that they've been denied by each one.

Other fraudulent companies provide nothing for the student's advance fee -- not even a list of sources. Still others tell students they've been selected as "finalists" for awards that require fees first. These scams usually ask for the student's checking account to "confirm eligibility for an award," and then debit the account for large fees.