The usual modus operandi, once legal action has been taken, is to simply change the name of the company, relocate to another place of business, and continue in the same manner. This obviously makes it exceedingly difficult for federal agencies to stop them. Therefore, the best way to avoid being scammed is by being informed and educated on the subject of scholarship fraud. There are a few signs one should look for when dealing with potential money assistance agencies. The scholarship is guaranteed or your money back.
Nothing is guaranteed, including scholarships.
Get refund policies in writing, before you pay anything. You won't find this info anywhere else. Check your school or library before you pay someone to do it for you. Chances are you'll be able to find what info you need for less money, or free. Never give out these numbers over the phone unless you're positive of the company's validity and integrity.