Economy Archives - Wealth Building Tips

Protecting Seniors From Scams

Sherry Tingley — Thu, 09 Jan 2025 19:43:39 +0000

Seniors are often scammers favorite targets. Their financial stability and trusting nature make them vulnerable victims. According to the Federal Trade Commission (FTC), seniors lose an estimated $3 billion annually to scammers, with nearly 1 in 10 seniors in the United States falling victim to some form of financial fraud.

Seniors should be reminded to never share personal or financial information over the phone or online unless they are certain of the recipient’s identity. Installing call-blocking apps and filtering email spam can also help reduce exposure to potential scammers. Organizations such as the AARP and local community centers offer workshops and resources designed to educate seniors on recognizing and avoiding scams.Furthermore, reporting scams is crucial in combating this growing issue. Victims or their families should report incidents to the FTC or local law enforcement to help track fraudulent activities and prevent others from being targeted. By staying informed and vigilant, seniors and their loved ones can take proactive steps to protect their financial security and enjoy peace of mind.

As technology advances, phone and email scams have become increasingly sophisticated, targeting vulnerable populations such as seniors. The FTC reports that seniors lose an estimated $3 billion annually to scammers. Scammers are able to influence 1 in 10 seniors in the United States falling victim to some form of financial fraud. This alarming statistic underscores the importance of raising awareness and providing resources to protect older adults from such schemes.

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The Latest Data Breach in America: What Happened and What We Can Do About It

Sherry Tingley — Thu, 22 Aug 2024 01:25:56 +0000

In today’s increasingly digital world, data breaches have become an all-too-common occurrence. The most recent breach in America, which targeted a major financial institution, has once again brought the issue of cybersecurity to the forefront of national conversation. The breach, which compromised the personal and financial data of millions of Americans, serves as a stark reminder of the vulnerabilities that exist in our digital infrastructure.

What Happened?

The latest data breach involved the unauthorized access of sensitive information from a prominent U.S. financial institution. According to initial reports, cybercriminals exploited a vulnerability in the company’s online systems, allowing them to infiltrate databases that contained personal information such as names, Social Security numbers, credit card details, and bank account information. While the exact number of affected individuals is still being determined, early estimates suggest that millions of Americans may have had their data compromised.

The breach was detected when unusual activity was noticed on the institution’s servers, prompting an internal investigation. Unfortunately, by the time the breach was discovered, the attackers had already accessed and potentially exfiltrated large amounts of data. The incident has raised serious concerns about the state of cybersecurity, not just within this particular institution but across all sectors that handle sensitive data.

The Consequences

The consequences of a data breach of this magnitude are far-reaching. For the affected individuals, the immediate concern is the potential for identity theft and financial fraud. With access to personal information, cybercriminals can open fraudulent accounts, make unauthorized transactions, and even sell the data on the dark web, where it can be used by other criminals.

Beyond the individual level, data breaches can also undermine trust in institutions and the broader financial system. When consumers feel that their data is not secure, they may be less willing to engage in online transactions or share personal information, which can have a ripple effect on the economy.

Moreover, the cost of dealing with the aftermath of a data breach is substantial. Companies often face significant financial penalties, legal fees, and the costs associated with notifying affected individuals and providing credit monitoring services. There is also the potential for long-term damage to the company’s reputation, which can impact its bottom line for years to come.

What Can We Do About It?

While it may seem that individuals are powerless in the face of such large-scale cyberattacks, there are steps that we as citizens can take to protect ourselves and mitigate the impact of data breaches.

Monitor Your Accounts Regularly: Keep a close eye on your bank and credit card accounts for any suspicious activity. Set up alerts that notify you of transactions, and report any unauthorized charges immediately.
Use Strong, Unique Passwords: Ensure that your online accounts are protected by strong, unique passwords. Avoid using the same password across multiple sites, and consider using a password manager to keep track of your credentials.
Enable Two-Factor Authentication (2FA): Whenever possible, enable two-factor authentication on your accounts. 2FA adds an extra layer of security by requiring you to verify your identity through a secondary method, such as a text message or an authentication app.
Be Cautious with Personal Information: Be mindful of the information you share online, especially on social media. Cybercriminals often use publicly available information to answer security questions or craft phishing attacks.
Stay Informed: Keep up to date with the latest news on data breaches and cybersecurity. Knowing which companies have been compromised can help you take timely action to protect your data.
Freeze Your Credit: If you believe your information has been compromised, consider freezing your credit with the major credit bureaus. A credit freeze makes it more difficult for criminals to open new accounts in your name.
Advocate for Stronger Protections: While individual actions are important, it’s also crucial to push for stronger cybersecurity measures at the corporate and governmental levels. Support legislation that requires companies to implement better security practices and hold them accountable for protecting consumer data.
Use Identity Theft Protection Services: Consider enrolling in an identity theft protection service that monitors your personal information and alerts you to any potential threats.

Conclusion

The recent data breach in America is a sobering reminder of the vulnerabilities that exist in our digital world. While we cannot eliminate the risk of cyberattacks entirely, we can take steps to protect ourselves and mitigate the damage. By staying vigilant, using robust security practices, and advocating for stronger protections, we can play a role in safeguarding our personal information in an increasingly connected world.

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Hints For Your Job Search

Twila Van Leer — Mon, 30 Jul 2018 14:00:04 +0000

Keep rejections in perspective and remember that employers don’t always choose the most qualified candidate.

Although the United States is enjoying the lowest unemployment rate in years, there still are many people in job search mode, hoping either to find a job or upgrade.

Here are tips to help in the process:

Have a plan.

Write it down. You may have to revise as you go along, but start with a firm idea of what kind of work you want, how much you expect to earn, whether it fits long-term career objectives, how many and what hours do you want to work?

Treat Your Search Like a Job

Treat the search as if it were a full-time job in itself. If you lack the motivation to keep at it, enlist a friend to help keep you on track. Follow a consistent schedule and stay organized as you make queries. Get up early and be ready for business during regular business hours. Follow up on any leads immediately and make a to-do list every evening. Keep detailed notes on all your conversations with prospective employers. If you notice any trends, correct your approach. Be willing to consider additional training if it will get you into the field of choice.

Keep a Good Attitude

Don’t give up. Being passed over is part of the job hunt. Keep rejections in perspective and remember that employers don’t always choose the most qualified candidate. Learn from the “no’s” and move on. Don’t take failures in the job search personally. It may be the next employer you approach will be the right one.

Ask All Known Sources About Leads

Remember to draw on every possible “in” you have among family and friends. The majority of successful job hunts are the result of networking.

Be Mindful Of Your Health

Stay healthy. If you become so focused on the hunt for a job that you forget to take care of yourself, you can defeat your own purpose. Take a little time for recreation and/or exercise. It will help you to cope with the inevitable stress and emotion of looking for a job.

Use State & Local Job Services

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Robust Economy? Not For Everyone

Twila Van Leer — Thu, 28 Jun 2018 14:00:29 +0000

While the economy appears in print as encouraging, there are problems to address before the benefit can blanket all Americans

Unemployment is down. Spending is up. Inflation is manageable. Taxes are down. Demand for new homes is up. Household wealth is higher.

Why Are Americans Feeling Insecure About The Economy

So how come many Americans are not feeling secure, even though the last major recession is nine years in the past? Too many of them are falling into categories where high child care costs wipe out the advantages, or the expanding costs of travel wipe out any pay raises, or those pay raises have not materialized, or . . .

Some Are Using Savings To Live Month To Month

Analysts at Oxford Economics who studied American spending patterns found that those in the bottom 60 percent of earners were drawing from their savings to maintain a standard of living. Many are living paycheck-to-paycheck. Even those who have found jobs as the jobless rate dipped are not feeling financially secure.

Here’s how the current economy looks to these folks:

Even though inflation is not a current concern, the prices of some indispensible items is rising. Gasoline is up 24 percent since a year ago. That can eat away as much as a third of what people hoped to save.

Owning A Home Has Become Harder

Owning a home has become harder, not easier. Many areas of the country are seeing a dearth of listings in the affordable range. Prices are rising more than 6 percent annually overall and even higher in some areas, increases that effectually wipe out the 2.7 percent increase in most hourly wages. Thirty-year fixed-rate mortgages are growing costlier. Average interest rates have jumped too 4.62 percent, from 3.95 percent at the beginning of this year.

At the root of the problem is the decline of America’s middle class. Wealth is increasingly lop-sided, with the ultra-rich sector growing while those at the other end of the scale see little benefit from the great economy. The top 10 percent of the country controls 73 percent of the personal wealth. The gains are concentrated in the top 1 percent, which lays claim to 39 percent of the wealth.

Where the middle class once included some 40 percent of the overall population, the figure now is just 27 percent. In the lowest 40 percent, Americans have a negative net worth and few have cushions sufficient to offset an emergency. They can’t look to stocks, rental properties, capital gains or home equity to shore up the budget if needed. Hourly wages haven’t risen over the past year for most of them.

Times are particularly tough for people who lack an advanced educational degree. Those who ended their education with high school find themselves scrambling as most of the jobs go to college grads. Those minimally educated make up less then 1 percent of the job gains that have boosted the overall economy.

Student Debt Affects Home Buying

At the same time, it isn’t all rosy for those with a college degree. Ever-higher student debt has wiped out some of the advantage. Since 2004, total student debt has increased 540 percent to a startling total of $1.4 trillion. That doesn’t include graduate school debt. That debt is influencing the ability to buy homes. Realtors have reported home-buying delays of about seven years among those burdened with education debt. College graduates dealing with debt also tend to delay the start of families, another factor that impedes full economic health in the country.

Children are, in fact, very expensive. Nearly a third of families put out at least 20 percent of their income for child care. Some families go into debt to cover child care expenses. Average cost of care for one child is $10,486 a year and it can be as high as $20,209. Many women have dropped out of the job market to stay home with children rather than pay the high costs of outside care.

The percentage of American women in the workforce has dropped from 77 percent in 2000 to 74.8 percent now. A return to the higher figure would see some 1.4 million more women in the workplace.

So while the economy appears in print as encouraging, there are problems to address before the benefit can blanket all Americans.

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Take Dow Drops Seriously

Twila Van Leer — Tue, 13 Feb 2018 15:00:07 +0000

Market corrections are common, healthy occurrences that should be embraced as long-term opportunities

In recent weeks, the Down Jones Industrial Average, one of the indicators of how well the country’s investing is going, has dropped twice by more than 1,000 points in a single week.

What should you, as an investor, do? It’s natural to be nervous when it is possible more dips are in store. Mistakes in this kind of market could lead to even bigger mistakes in the future.

Take a lead from multi-millionaire Warren Buffett, whose holdings have declined in value by an 11-figure amount over the past week. He isn’t unhappy about it and sees it as the normal rise and fall of the market. He anticipates more attractive entry points to stock investments and a better chance to find a reasonably priced acquisition, a “more palatable stock price to consider implementing a buyback.”

If you aren’t as knowledgeable as Buffett, rely on past history. Market corrections are common, healthy occurrences that should be embraced as long-term opportunities.

Here are three approaches that will keep your investments safe while the market readjusts:

Use dollar-cost averaging. Many people do this routinely. You invest a fixed amount of money on a regular basis into shares of stock or a mutual fund. Your 401(k) contributions, for instance, are an automatic form of dollar-cost averaging. Making regular deposits to a mutual fund or brokerage account is another way to dollar-cost average. Under this scenario, when stock prices fall, your fixed dollar amount buys more shares. It automatically helps you take greater advantage of corrections by purchasing more shares than you could have before the price drop.

Invest some now and some later. During the recent bull market, many people grew their amounts of cash. Not being able to predict if the current down-trend will than lead to a full bear market, be wary of investing everything now. You may get it wrong. One solution is to invest only a portion of your available money now, depending on your risk tolerance. Consider investing a third now, another third six months from now and retain the rest until you see how the market is trending by then.

Give your savings a bump. Though its emotionally easier to put your money to work in the market, it may pay during the term of a down-time to increase savings while stock prices are weakening so that you can begin to invest again when the time is right.

Market downturns can allow you to forget the reason you’re investing in the first place – to have enough money to meet long-term goals such as retirement. Get past the panic and stay focused on the future. Things will change.

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Federal Reserve Notes Steady U.S. Economic Growth

Twila Van Leer — Fri, 28 Nov 2014 22:49:04 +0000

Federal Open Market Committee and the Governors of the Federal Reserve Board met on Oct. 28-29. Their next meeting will be in mid December.

Fed. Concerns: Market Unrest, Overseas Weakness

October meetings of the Federal Reserve dwelt on turbulent financial markets and overseas weaknesses, but these items failed to deter the fed from going ahead with plans to end landmark bond buying.

Recently released minutes from the meeting showed that the agency was concerned about fluctuations in U.S. stock prices and in economic wavering in Europe and Asia. Inflation, which has been held below 2 percent, could go even lower because of falling energy prices and strengthening of the dollar.

If the Europe and Asian economies continue to dip, it could have a dampening effect on U.S. growth, although the nation’s finances are deemed to be on solid footing and expected to keep improving.

When the fed announced in September that an increased interest rate would be delayed, Wall Street experienced a big rally. The October viewpoints seem to have had little effect on the market. It is now anticipated that the rate hike will take place next June, depending on how the data fall out between now and then.

Based on information coming out of the October meeting, most private economists are taking a mid-2015 rate increase as most likely.

The Fed has been gradually decreasing its bond-buying program since last December. It was a move aimed at keeping long-term interest rates low. Improved employment statistics has promoted a decline in the program, an indication that the Fed is less concerned with the labor market.

Most participants of the meeting agreed that economic activity continues to expand at a moderate pace.

They reported that the recent decline in energy prices will provide a nice boost to consumer spending in the near future. Lower-income households in particular will benefit. Low interest rates, rising consumer confidence and a decline in the levels of household debt to income ratio are part of what will make the coming months look brighter.

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