Can I pay off my loans using a Federal Reserve account?
No. If you have seen an online article, video, or email that says you can pay off your debt using a “secret” government or Federal Reserve “trust” account tied to your Social Security number, it is a scam.
Attempting to pay off a loan using this method may appear to work, but the Federal Reserve will reject the payment shortly thereafter, meaning any temporary credit given for the payment will be reversed, and the balance will remain on the loan or credit card account (and in some cases may incur late fees or other penalties).
Fraudsters sometimes pose as “financial advisors” and offer to help you access this “free money”—when they are actually attempting to gather your personal financial information, and may even request monetary compensation for their “services.”
If you have given someone your personal or financial information, or granted them access to your online banking account, please call us immediately at 1 (800) 479-7928 so we can help protect your accounts.
Remember: if it sounds too good to be true, it probably is.