Going to college with no loans is the best practice, if you can manage it.

Red Alert Politics reports.

Is the Dept. of Ed. scamming student loan borrowers? Basically

Debt relief companies have been using robocalls to drum up business from student-loan borrowers, but the practice resides in a legal gray area.

Some experts label the practice a scam because borrowers who took federal student loans can manage or reduce their debt through free government programs, whereas some debt relief companies charge a fee, according to MarketWatch.

The offer sounds like an attractive deal, but it can cost student borrowers thousands of dollars in fees and services by the end of it, even when legitimate. The Department of Education takes it seriously enough to issue warnings about the offers, saying that borrowers should “never pay for help” with student loans.

Ironically, the federal government has caused the robocall problem.

Despite opposition from some senators, the recent spending bill in Congress exempted the Department of Education from a ban on automated phone calls to contact student borrowers to collect on their debt.

The Department of Education warns students of resorting to debt relief companies as they use similar tactics.

The reasoning behind it is that the department wants to improve collection rates, which helps students avoid default, and helps the federal government boost revenue.

What is generally illegal for private companies to do, the Department of Education uses to benefit itself, but also, allegedly, students.

The Consumer Financial Protection Bureau warns against the use of debt settlement services, calling them risky and warning that they could push consumers into deeper debt.