[causality0]

This is so strange. When I was enrolled in college my financial aid was sent directly to the college, I couldn't steal it even if I wanted to.

[BirAdam]

If you get a Pell grant or other “non-traditional” financial aid packages, there’s a bit for associated costs. It’s not huge money, but if you do this scheme across many schools…

[ourmandave]

The scammers enroll and even submit AI generated homework for 3 weeks until the excess aid funds are distributed to they're fake checking accounts.

I'm sure they apply for the maximum amount which are supposed to be used on school related expenses, etc.

[themaninthedark]

How do we have fake bank accounts with KYC?

It should be easy to follow the money.

[astura]

Financial aid is sent directly to the college. However, if you have a positive balance in your account (financial aid, grants, scholarships, or loans more than tuition and fees) you can request the bursar deposit that balance into your bank account. This is how I paid for living expenses in the years I lived off campus.

[gedy]

It does afaik so I'm confused what the monetary scam is. Community College in California is cheap or free for most students so I feel like something is being left out of the explanation.

[redczar]

Student loans are usually for more than tuition and books. Part of the loan money is for living expenses.

[gedy]

If someone is able to first scam state and financial aid for a non existent student that seems more first issue to fix than at the point there's a bot/scammer in CC classes submitting AI homework.

[redczar]

You asked what the monetary scam was. I answered that. Don’t understand your response above.

[gedy]

I'm commenting on the gist of the article, not disagreeing with you.