Government and private grant programs do a ton to help individuals every year. However, just as in every niche and industry, you have the "bad apples" to watch out for.

Watch out for these false claims that grant scams promise:

1. "Get free cash grants for any purpose"
2. "You decide how much you need"
3. "Get $25,000 guaranteed!"
4. "You have been automatically accepted for a free grant"

Read the testimonial of grant scam victims below to find out how the most popular grant scam operates.

Marcia of Dearborn, MI:
Apparently the Federal Government free grant money scam continues on. A couple weeks ago, I received a call on my cell phone from a woman that said she had free Federal government money for me in the amount of $5,000. I asked repeatedly how she obtained my cell phone number, as I had never applied for a grant, and specifically had never contacted her agency. She never did tell me how she got my cell phone number.

I asked this woman her name and if there was a call back phone number or website where I could check things out. I was told there wasn't a callback phone number, but I could check out their website on the internet.

A week later, I received a call from another lady with the same government grant information agency. When I asked her how she got my private cell phone number she sidestepped my question by saying "Don't you want this free money? I am authorized to get you this money, don't you want it?"

She said she wanted to verify my address and asked if I had a checking account. I said yes, I had a checking account, but I absolutely wasn't going to give any financial information to a stranger. She wanted to verify my checking account and I said "No Way! I am not about to give you any checking account or charge card information. I said the US government doesn't go around picking out people to dole out "free money" to and if I was eligible for a grant, I could find out about that for myself for free". She said "thank you" and hung up.

I am very guarded about giving out my cell phone number and I believe this group may have gotten my cell phone number from Surplus Alert, as that was the only place I had recently given out my number.

Damages: Thankfully, I did not suffer any financial hardship because I refused to give out any financial information.

Angela of Las Vegas, NV:
I received a call on my cell phone. The caller wanted to verify some information with me regarding a $6,000.00 grant I would receive in my checking account in 21-28 days. I was told I had to pay a processing fee $298.00. They already had my address!

When I refused to give them any information and she started to argue with me. I hung up.

Mark of West Seneca, NY:
I got a phone call telling me that I had free Government money coming! Well, of course, I said OK start sending it!

But first the person on the phone needed to "verify" some information. She wanted to know my mailing address and my SS# and to also verify my name. I delayed giving her the information so I could get ANY kind of information from her, but all she would give me was her name and an 800 number to call. I advised her to take my phone number off their list.

Damages: None, I can't believe people believe these scams! The old saying still applies...If it's too good to be true.....

Samuel of Grand Prairie TX:
This group has repeatedly called my apartment for solicitation. They are offering $10,000 grants, with only a $257.00 deposit. The person I spoke to had a heavy Indian accent but said his name was Michael. I didn't trust this. I then looked at their website. The website does not look legitimate to me.

Gena of Montgomery AL:
Dominic Lawson called to inform me that I was qualified for a government grant. Dominic had a very strong foreign accent. He informed me that he was with the Department of Government Grants and Information Services and gave me the 800 number and P.O. Box. He verified my name, address and telephone number then asked me for my date of birth, and the name of my bank at which they could verify that I had a checking account. I gave him the name of my bank.

Later on in our conversation, he said that in order to insure that the grant money was received by me and did not get into the wrong hands he would need my bank account number. I wouldn't give it to him. He tried to talk me into it so I gave him an incorrect account number just to see where this was going. After giving him the account number, he transferred me to an automated computer system so that I could get my seven digit verification number which would be my "legal proof" (for what I never could understand).

The automated voice told me that this conversation was being recorded, then the voice asked for all of my information again (name, address, etc . . .). I wouldn't give the information, and asked if I could handle it by mail instead. I was then transferred to Gloria Wilson, Dominic's supervisor. Gloria also had a very strong foreign accent. She stressed the importance of the "seven digit verification number for legal proof" and the "government regulations".

I asked if I could just drive down to St. Petersburg and handle it in person; I was informed that was against "government regulations". Gloria got frustrated with my questions and transferred me to Joe Carter. Joe had a foreign accent, but was much easier to understand. Joe started by trying to find out what my problem was with the situation. I stayed on the phone with these people, basically to see if I could get any information out of them. They just kept repeating themselves over and over again. When I asked Joe if he worked for the government, he said "I didn't say that." and became very defensive. I confronted him about what he was trying to do, and he proceeded to curse at me.

Billie Jo of Chiefland FL:
A man with an Indian accent called from the number 866-454-7858, he said he was calling from the American Grant Information Center with the Federal Government and that we were one of 14,000 recipients to receive guaranteed $5,000.00 up to $25,000.00 grants. He said the money never needs to be repaid and it was tax-free.

He wanted to know if we had a checking account. We told him no. He asked if anyone in our family had a checking account that we could used. We said yes, and gave him the account number. He said he needed to talk to the person whose name was on the account. We told him she was not here. He asked when she would be back. And we told him in 2 hours. He said he would call back. He then asked me my first name and I told him. Then he hung up.

I checked out scams online and learned that this was probably a scam. So, I had a list of questions ready to ask him when and if he called back. He did call back from 678-298-2212 and asked me if I was the person on the account and I said no. I then told him that the account number I gave him was an old account that wasn't any good; which was not true. Hoping he would throw it out.

He then asked for the correct account number. I asked him if this was going to cost us anything. He started all over again telling me how much we've been awarded. I interrupted him and asked him again how much? He said there would a one time, lifetime processing fee of $249.00. I proceeded to tell him that there should not be fee at all for processing grants. He got really mad and started yelling. He told me that there is no fee to file the grant, that the fee was for them to file the paper work for me. I said I wasn't interested.

Deborah of New London OH:
I was called to receive a $5,000 to $10,000 government grant. They were not affiliated with but were hired by the government to fill out applications for grants. The government has in excess of 3 trillion dollars in grants they need to use before the end of the year. I will never have to pay back the money. One-time fee for processing, $249.95. Has to be deducted from bank account to speed up the process.

Their accents were Indian. After I hung up I felt really scared so I began to make phone calls, checked Web sites only to find out this has been done in other states. I would like to see them caught!

I was able to cancel my checking account first thing. Had to reroute my direct deposits. I lost my confidence and will not trust people. I will probably change my phone number.

Anand of Westborough MA:
The caller identified himself that he's from the US Government Grants funds and the US government has randomly picked me for giving away grants anywhere between $5,000 - $25,000. I have undergone a mental trauma since I got that call. I am still not sure what he or that organization is going to do.

Lori of Midland TX:
This company by the name "AMERICAN GRANT INFORMATION GUIDE" called me and told me that there was $5,000 that they needed to send to me because I applied for a grant a couple of years ago and I was accepted. The reason I fell for this scam is because I had applied for a grant 3 years ago because I wanted to go to college and it was accepted and I haven't used it because I have just been working and I haven't made the time to go to college so I believed them.

They told me that before they sent me my money I had to pay a one-time fee of $249.00 and they would send me a kit and as soon as I received it I had to fill out a form stating what my money was going to be spent on but they told me the only thing you can't do is spend it on gambling and I said ok.

When I received the kit it only had names of companies I could get hold of to apply for a grant. So then I called the company back asking plenty of questions like what is this for, where is the form to fill out? Well I finally started to notice that this was a scam and I called them for an address to send the kit back and the man that answered said he couldn't give me an address and that he could not return my money until I applied for a grant and when I applied if and when I was denied three times then they would send me a form to fill out so that I could get my money back.

What also got me is that if they are a big company like they say they are every time I called James Douglas was the one to always pick up the phone and 99% of the time when you call a company more than once you hardly ever get the same person pick up the phone. I am $249.00 poorer and without no grant money or answers.

Audra of Chandler AZ:
I was called on the phone by Mr. William, who sounded of Asian decent. He said my husband had been selected to receive a grant from the U.S. government in the amount of $8,000, guaranteed, and possibly up to $25,000. This grant was free and would be a "bank to bank transaction", as he said. I would need to pay $257 for the transfer, which was refundable once the grant monies were transferred to my account on a future "debit date".

He wanted me to give him my bank information. I refused to give him any information on the phone and requested information by mail. He indicated they would send me a package after we proceeded with the process. I even spoke with a supervisor, also of Asian decent. I was uncomfortable with this arrangement and wanted to check it out myself for fear of a scam or identity theft. I asked him to call me back on Monday so I would have an opportunity to do some research.

I found your website and warning about this very scam in other parts of the U.S. Apparently, I have been the target of a scam. I just wanted you to know it is still an active scam.

Don't fall victim to bogus grant offers.

Smart people learn from their own mistakes, wise people learn from others mistakes. Don't make the same mistakes these people made. Get the real deal when it comes to grant information by purchasing our guide. We know not all our customers will find the specific grant, loan, and scholarship programs they are seeking. That is why we offer our guide with a no risk, no questions asked refund guarantee.