Read Ross Anderson book Security Eng., it deals a lot with these types of issues. In short, banks try not do anything about as long they do not have to pay for

Read Ross Anderson book Security Eng., it deals a lot with these types of issues. In short, banks try not do anything about as long they do not have to pay for it. I suspect the issue is similar here with the multi stakeholder problem here. The college needs as many paying students as possible, the workload of the staff should be as low as possible, the office giving out loans wants to have a low workload... All in all good scammers will serve all these needs and happily take the money in the process.