The Federal Trade Commission has secured a temporary restraining order against a California-based operation accused of running a student loan debt relief scheme that targeted borrowers nationwide, including potentially those in Southern Maryland, by using deceptive cold calls and false promises of forgiveness.
The FTC filed its complaint against NERD Solutions Inc., also doing business as New Education Relief, ED REF Inc., also doing business as Edvantage Relief, and operators Natalie Rodriguez and Pablo Eduardo Ortiz. The U.S. District Court for the Central District of California entered the temporary restraining order on April 13, 2026, which includes an asset freeze and appointment of a temporary receiver.
According to the complaint, the defendants have operated the alleged scheme since at least February 2022. They allegedly made cold calls to consumers, including thousands on the National Do Not Call registry, while pretending to be affiliated with the U.S. Department of Education or the consumers’ actual loan servicers. The operators then used false claims of student loan forgiveness to persuade borrowers to pay illegal upfront monthly fees as high as $1,400.
The FTC alleges the defendants collected at least $8.8 million from consumers already carrying significant student loan debt. The complaint charges violations of the FTC Act, the Telemarketing Sales Rule, the Impersonation Rule, and the Gramm-Leach-Bliley Act.
Federal law generally prohibits companies from charging upfront fees for debt relief services before they deliver results. The FTC noted that legitimate student loan forgiveness programs exist through the Department of Education, but consumers should never pay advance fees to third parties promising quick relief that the government itself does not provide.
Southern Maryland residents with federal student loans, many of whom work in education, military support roles at Naval Air Station Patuxent River, or public service positions in St. Mary’s, Calvert and Charles counties, remain vulnerable to such schemes. Local borrowers often manage debt while balancing housing costs and family expenses in a region where the median household income sits below national averages in some segments.
The FTC emphasized that no legitimate debt relief company will guarantee forgiveness or require payment before delivering services. Official forgiveness options include Public Service Loan Forgiveness, income-driven repayment plans, and targeted discharges for borrowers with disabilities or closed schools. Consumers can check their eligibility directly through studentaid.gov at no cost.
The temporary restraining order halts the operation while the case proceeds. The Commission vote to authorize the complaint was 2-0. FTC staff credited the Ohio Office of the Attorney General for substantial assistance in the investigation.
This action arrives as student loan borrowers across the country continue navigating repayment after the end of pandemic-era pauses. In Maryland, thousands of residents still carry federal student debt, making clear information about legitimate resources especially important.
Southern Maryland consumers who believe they may have interacted with the defendants or similar operations can report details to the FTC at ReportFraud.ftc.gov. Those seeking legitimate help with student loans should contact their loan servicer directly or visit the Federal Student Aid website. Local assistance is also available through Maryland Higher Education Commission resources or community organizations in the tri-county area.
