The back-to-school season has brought a new challenge for colleges across the US, particularly in community colleges. A phenomenon known as "ghost students" is wreaking havoc on campuses, where fake students use artificial intelligence to flood registration systems, steal financial aid, and occupy seats meant for real students. The scam has become a significant concern, with the Department of Education estimating that $90 million was disbursed to ineligible students, including $30 million that went to stolen identities of deceased individuals.
The scope of the problem is alarming, with approximately 26% of applications to California's community college system being fraudulent, affecting 75 colleges and 1.2 million applications. Outside of California, the rate of fraudulent applications is around 8-15%, with about one in five applications being a "ghost student". Colleges in Arizona, Indiana, Oregon, New Jersey, and Michigan are working to defend their institutions from AI-powered fraud rings.
The impact of ghost students on colleges and students is significant. Real students are being locked out of classes they need to graduate due to ghost students occupying seats. Professors are assigning homework, only to find that ghost students are completing assignments using AI, sometimes submitting identical work. The scam is not only causing financial losses but also affecting the quality of education and student experience.
To combat ghost students, some colleges are implementing new identity verification steps, such as manual application reviews and additional security measures. Others are considering introducing nominal fees to add friction to the application process and deter scammers. The Department of Education has launched a national program to root out identity theft at colleges and requires new identity verification steps for the Fall 2025 start of the school year.
As the situation continues to unfold, it is clear that colleges need to take proactive measures to prevent and detect ghost students. By implementing robust security measures and verifying the identities of applicants, colleges can reduce the risk of financial losses and ensure that real students have access to the education they deserve. The fight against ghost students is ongoing, and colleges must stay vigilant to protect their institutions and students.