5 Reasons You Should Work for as Long as You Live

5 Reasons You Should Work for as Long as You Live

These benefits might make you think twice about retirement.

Alex Valdes • November 3, 2021

While countless workers dream of retirement, millions more have decided to work full time or part time after age 65: In fact, the U.S. Bureau of Labor Statistics predicts that by 2024, there will be about 13 million working Americans age 65 and older.  Working longer might be your best option. Here are several reasons why.

1. Increase financial security

If you’re worried about outliving your savings, working longer is the answer. It can let you:

Wait to collect Social Security. Delaying claiming your benefits until age 70 earns you payments that are much larger than if you had started claiming at or before your full retirement age.

Keep adding to your retirement savings.

Leave your nest egg untouched longer. This means having more money to use later and giving your savings more time to grow and compound.

A couple of years ago, MarketWatch cited these findings from the National Bureau of Economic Research:

“The longer you work, the longer you can add to your retirement savings, the more time they have to grow, and the less you will need when you eventually retire. Throw in the boost to Social Security as well, and ‘delaying retirement by one year is roughly 3.5 times as impactful as saving an additional 1% of wages for 30 years,’ calculated financial researchers recently.”

2. Stay sharp

A job gives you projects to complete, tasks to perform, deadlines to meet and co-workers to team up with.

If all that vanishes in retirement, you may risk losing some mental acuity. One researcher found that people reduced their risk of dementia by 3.2% for each additional year they worked.

Another researcher found that folks who didn’t fully retire and kept working — whether through self-employment, part-time work or a temporary job — enjoyed better mental and physical well-being than those who retired completely.

3. Live longer

To Read More Go to Original Article Here

https://www.moneytalksnews.com/slideshows/why-you-should-work-for-as-long-as-you-live/

Europe Has Precious Few of These “Golden” Opportunities Left

Europe Has Precious Few of These “Golden” Opportunities Left

Notes From the Field By Simon Black/James Hickman

Located in Mediterranean Sea about halfway between Greece and Turkey is the island of Crete... which has attracted human civilization for more than 100,000 years.

Today roughly 600,000 people call the island home. But millions of tourists also visit the popular vacation spot each year. It’s known for it’s beaches, wine, and olive groves.

And at the moment, real estate is fairly reasonably priced.

It’s certainly not rock bottom cheap, but for such a popular destination, home prices could hardly be called expensive.

For example, a modest two bedroom stone villa next to a manicured olive grove with gorgeous views of the sea is listed for around €275,000, or USD $300,000.

image

A place like this on Airbnb could easily fetch $125 to $150 per night and would be fully booked for much of the year.

Now, I’m not here to encourage anyone to buy investment property in Greece. Personally I think there are much better investments right now. But buying property in Greece does have something special going for it that most traditional investments don’t have:

You can become a Greek, i.e. European resident, if you buy property.

Having residency in a foreign country is a completely sensible thing to do. It means that, in almost every case imaginable, you’ll have another place to go if you ever need it.

There are a number of places in the world that allow you to buy property in exchange for legal residency; often these programs are called “Golden Visas.”

But you would only want to go down that path if you actually enjoy spending time in the country.

And for some people, Greece is paradise. The weather, culture, ruins, history, food, etc. appeal to plenty of people who want to spend time or even retire there.

Portugal was the first of several countries in Europe to launch a Golden Visa back in 2012.

But as usual, the deal was too good to last. Swarms of foreigners came in, property prices went through the roof, and locals complained that housing was unaffordable.

So last year, the government of Portugal made their Golden Visa program much, much less attractive, and for the most part, property purchases no longer qualify.

Greece is the best game in town right now as far as European Golden Visa programs are concerned. 98% of the country’s territory, including hundreds of its idyllic islands, remains eligible for a Golden Visa in exchange for a property purchase of just €250,000.

But last year, the government raised the minimum investment threshold to €500,000 in the country’s most sought-after regions, including parts of Athens, Thessaloniki, and the islands of Mykonos and Santorini.

And we wouldn’t be surprised if they restricted the program further— after all, that is what tends to happen to these programs. So if you like the program, it’s better act soon.

Again, buying property under a Golden Visa program doesn’t make sense if you don’t enjoy spending time in the country.

But when it’s possible to get residency (which is a solid step in your Plan B) while generating positive cashflow from your rental income when you’re not using the place, that’s a pretty good deal.

Of course, Greece isn’t the only place in the world you can do this.

Panama still offers residency in exchange for a roughly $300,000 property investment— an amount which still goes a long way in Panama.

Panama’s program has also changed over time, so it also probably won’t last forever.

Then there are places like Mexico where you don’t even have to purchase a property to obtain legal residency; you just need to prove that your income or savings meets a modest threshold.

If someone asked where is the easiest place to gain residency in the Western Hemisphere, I think Mexico ticks that box. Almost anyone qualifies, and it is easy to maintain.

The larger point is that these aren’t radical steps. But they do give you another option.

And in a world full of Inspired Idiots, with so much looming risk and uncertainty, having additional options just makes sense.

But great options don’t last.

We go through periods where one residency may be easy and simple to obtain, and over time those rules change and become more difficult and cumbersome.

So when you find something that works for you, take action and make it happen.

To your freedom,  James Hickman  Co-Founder, Schiff Sovereign LLC

https://www.schiffsovereign.com/trends/europe-has-precious-few-of-these-golden-opportunities-left-150301/

5 Financial Tips That Will Help You Make It to the Upper Class

5 Financial Tips That Will Help You Make It to the Upper Class

Heather Taylor   Mon, Mar 18, 2024

If you are in the middle class and attempting to make the leap into the upper class, what steps can you take to realistically reach your financial goals?

Making the following choices can help you reach your goal of being a member of the upper class.

Change Your Money Mindset

Progressing through each level of financial freedom, starting at self-sufficiency and ending with abundant wealth, requires making a shift in your money mindset.

In an interview with Grow (CNBC + Acorns), self-made millionaire Grant Sabatier said money should not be viewed as something you use to buy things. Reaching financial goals, including joining the upper class, requires making good choices with your money. Practicing good saving and investing habits allows your money to work for you.

Moreover, changes in your money mindset should be positive. Danielle Miura, founder of Spark Financials, said if you don’t develop the right mindset, you may drive in the right direction, but never get anywhere.

“If you want to move up the ladder, you have to know what you want and know how to get there,” said Miura. “When we are solution-oriented, we see the benefits of a problem rather than see it as a negative thing. This positive mindset will less likely derail you from your mission when events happen without your control.”

Change Your Financial Habits

As you begin to shift your money mindset and determine better choices to make with your money, you may need to change any financial habits which no longer suit your needs.

Scott Eichler, investment advisor and founder of Standing Oak Advisors, said a common financial habit keeping individuals in the middle class is consistently spending beyond their means. Those seeking to progress to the upper class need to save, invest and keep a low financial overhead.

“The first step to escape the middle class isn’t to invest smartly, it is to invest at all,” said Eichler. “The difference between the wealthy and the middle class is that the wealthy have learned to live below their means. This allows their means to grow and allows them to amass wealth.”

Take On Good Debt

There are two forms of debt: good debt and bad debt. Bad debt includes credit cards, medical loans and payday loans. This debt can be a drag on your finances and make you financially vulnerable.

To Read More Go to Original Article Here:

https://finance.yahoo.com/news/5-tips-help-move-middle-150018508.html

4 Money Behaviors You Need To Change Now To Build Your Wealth

I Became a Millionaire by 30: 4 Money Behaviors You Need To Change Now To Build Your Wealth

Adam Palasciano   Mon, Mar 18, 2024

Amid what seems like out-of-control inflation, becoming a millionaire seems like a dream. However, as of 2024, there are about 22 million millionaires in the U.S., according to Millennial Money. It’s even possible to become a millionaire in your 20s.

CNBC spoke with Vivian Tu, a former Wall Street trader-turned expert, educator, podcast host, and founder of the financial equity phenomenon Your Rich BFF. Amazingly, she made her first million by age 27

Tu grew up in an immigrant household that focused on frugality. Then, she started her career on Wall Street and realized the wealthy focus less on saving and more on earning and finding ways to grow their wealth.

4 Tips To Build Your Wealth

Here are four tips Tu suggested to help you become a millionaire yourself:

Focus on the Long Term: Becoming wealthy means developing patience when it comes to growing your wealth. Investing your money and holding it for many years before selling your assets typically results in much more growth. For example, if you sock away thousands of dollars per year in your retirement account, not touching it until at least age 59 and half will mean significant wealth later on.

Stop Trying To Impress Others: Instead of spending money on designer clothes, luxury vacations or a fancy apartment, wealthy people invest in assets that pay them back. Investing to earn passive income is the true way to build long-term wealth and have financial freedom.

To Read More Please Go to Original Article Here:

https://finance.yahoo.com/news/became-millionaire-30-4-money-190456885.html

All Eyes on the Federal Reserve - What to know this week

All Eyes on the Federal Reserve: What to know this week

Josh Schafer·Reporter  Sun, March 17, 2024

The major US stock indexes have backed off record highs ahead of the Federal Reserve's all-important March meeting.

On Wednesday, that tension will finally be resolved.

The US central bank is set to release its latest monetary policy decision and updated economic projections at 2:00 p.m. ET on Wednesday afternoon, with investors looking for an answer to one key question: Does the Fed still think it will cut rates three times in 2024?

Recent data showing inflation hasn't dropped as fast as expected has pushed out market forecasts for Fed rate cuts this year to three from six. The question, then, is whether a few months of stubborn inflation data will be enough to prompt a further tweak from the Fed.

What the Fed rate decision means for bank accounts, CDs, loans, and credit cards

Hal Bundrick  Updated Thu, Feb 1, 2024

Fed watchers are still holding their breath for an interest rate cut.

After inflation peaked at 9.1% in June 2022, the Federal Reserve worked to tame consumer prices with a series of 11 interest rate hikes over the ensuing months, and inflation stood at 3.4% in December 2023.

With a target of 2%, the Fed's decision on Jan. 31, 2024, to pause rate hikes for the fourth month in a row shows the central bank believes it's winning the fight against inflation — but remains watchful.

So, interest rates are still elevated, and any hope of the Fed lowering rates remains just that. Hope.

How Monetary Policy Works

The Fed controls one interest rate: the federal funds rate, which is the short-term rate banks use to borrow from each other. The latest action keeps the target range for the federal funds rate at 5.25-5.50%. Fed interest rate decisions filter through the financial world, impacting virtually every facet of borrowing costs and saving rates.

Interest rate management is monetary medicine the Fed uses to:

Slow the economy by raising interest rates in an effort to tame rising costs (high inflation) as measured by the consumer price index.

Help mount a recovery when we're at the opposite end of an economic cycle by lowering interest rates as an injection of liquidity into the financial system.

Allow past moves to take root while the Fed considers future actions by holding rates steady.

What the Fed says is ahead for interest rates

In a statement on Jan. 31, the Federal Open Market Committee said it "does not expect it will be appropriate to reduce the target [interest rate] range until it has gained greater confidence that inflation is moving sustainably toward 2%."

However, the FOMC didn't hint as to when that "confidence" would be achieved.

Here’s How The Fed’s Current Interest Rate Stance Could Trickle Down To Your Loans And Accounts.

To Read More Go to the Article Here:

https://finance.yahoo.com/personal-finance/what-the-fed-rate-decision-means-for-bank-accounts-cds-loans-and-credit-cards-223702963.html

Uranium Hasn’t Been This Critical Since The Days Of Oppenheimer

Uranium Hasn’t Been This Critical Since The Days Of Oppenheimer

Notes From the Field By Simon Black – James Hickman 3-12-24

If you saw Christopher Nolan’s blockbuster Oppenheimer, you might remember the scene in which Dr. Oppenheimer travels to Chicago to meet with physicist Enrico Fermi, who had just achieved the world’s first ever self-sustaining nuclear chain reaction.

This really happened-- it was December 2, 1942, and Enrico Fermi’s experiment was a massive scientific breakthrough.  Fermi and his team proved that a fission reaction could be controlled… and therefore the vast amount of energy inside of an atom’s nucleus could be harnessed for other purposes.

Obviously, the US government was singularly focused on turning that immense nuclear energy into the biggest bomb the world had ever seen. But Fermi’s discovery also paved the way for nuclear power.

Proponents envisioned a world powered by nuclear energy where the cost of electricity would be practically free… and the benefits to mankind incalculable.

It all came down to efficiency; the amount of nuclear power that could be generated from a single rock of uranium was equivalent to thousands of tons of coal in a conventional power plant.

The cost of electricity would plummet. And that cheap energy would mean that consumers would pay far less for utilities, saving plenty of money that could be put to other uses.

Cheap energy also means that the production costs of just about everything would fall; cars, houses, food, etc. all become cheaper.

Cheap energy also helps countries develop more rapidly and increase economic growth, resulting in greater national prosperity and more tax revenue for the government.

The promise of nuclear energy was extraordinary-- it was a win/win/win. So naturally when other nations began to develop the technology on their own, it set off an arms race to stockpile as much uranium as possible-- mostly to ensure that no one else could make weapons.

The United States government bought up entire warehouses full of it and made an exclusive deal with the Belgian Congo (which had the world’s largest uranium reserves), simply to make sure that other countries couldn’t get their hands on any nuclear fuel.

Then, over the years, the US government slowly sold down its uranium inventory, little by little.

Mining companies also added new supply to the uranium market, ensuring there was plenty of uranium to meet growing demand.

But then a series of infamous accidents took place-- Chernobyl, Three Mile Island, etc. The public freaked out, and the entire nuclear power industry nearly vanished.

Now, an objective analysis shows that, any way you slice it, far more people have died from accidents related to coal, oil, natural gas, and other forms of electricity production than have ever died from nuclear power accidents.

In fact, more people have died from accidents related to wind power than have died from nuclear.

But nuclear power still suffered a terrible blow to its reputation, and it remained that way for a very, very long time.

Power companies scrapped their plans for new nuclear power plants, and the demand for uranium collapsed, prompting many mining companies to shut down their operations.

The existing nuclear power plants that remained in business, however, continued buying uranium from the government… so those stockpiles from the 1950s continued to dwindle.

And that takes us to today: nuclear is finally making a comeback.

Unfortunately, most of the West (as usual) is missing the boat; the vast majority of new reactors will be in China, India, and other rapidly growing nations who understand that no other energy technology offers the same advantages as nuclear.

Western politicians are still stuck in their idiotic, Dark Age beliefs that wind and solar are the way to go. But these are both completely inefficient and extremely expensive technologies.

The amount of energy it takes to produce solar panels relative to the electricity that solar panels actually generate is a laughable pittance; this is known as ‘Energy Return on Energy Invested’, or EROEI… and with nuclear power, it’s off the charts.

Plus, nuclear power also has one of the lowest levels of CO2 emissions of any energy source.

 (It’s also worth noting that emerging nuclear reactor technology promises to slash costs even further and increase safety.)

This means that nuclear has the potential to provide massive economic AND environmental benefits. Virtually no other technology has that capability… which is why it’s only a matter of time before the world ‘rediscovers’ nuclear.

Again, it’s already happening in Asia. In fact, it’s possible to literally count all the planned / in-progress nuclear power plants that will be coming on line in the next few years, and then estimate the annual uranium demand.

One of the best researchers in this field, by far, is my colleague Adam Rozencwajg, who has spoken at a few of our Total Access events; Adam has gone through the trouble to count up all the new reactors and their projected uranium needs, and the answer is very clear:

Bottom line, uranium demand is set to skyrocket. Yet supply isn’t going anywhere, not for a while.

It takes many years to get a new uranium mine up and running-- sometimes even longer than it takes to build a new nuclear power plant.

So, you can see how there’s likely going to be a massive imbalance in uranium supply and demand.

I first started talking about uranium in September of 2022 when spot prices hovered around $40 per pound.

Today, uranium trades for more than $90 per pound. But I think it could go much, much higher from here.

In fact, global uranium demand already exceeds new mining production. In the past, whenever this happened, there were always vast government stockpiles to keep the power plants supplied.

But now the government stockpiles have dwindled. So, we could easily see a major uranium shortage… and prices go through the roof.

To your freedom,  James Hickman  Co-Founder, Schiff Sovereign LLC

https://www.schiffsovereign.com/trends/uranium-hasnt-been-this-critical-since-the-days-of-oppenheimer-150247/

How Much Should You Keep in Different Banks and Investment Accounts?

How Much Should You Keep in Different Banks and Investment Accounts?

Americans’ 4 Favorite Wealth ‘Hiding Places’

Karen Doyle   Sun, Mar 10, 2024, GoBankingRates

Once you’ve amassed some savings, you’ll want to decide where to keep it. Deciding how much to keep in what type of account is a good problem to have, certainly, but there are some things you should keep in mind. Here’s what to know about how much money you should keep in different places.

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Cash in the Bank

Most Americans have at least one bank account, typically a checking or savings account. Some people have different bank accounts for different purposes — a checking account for monthly bills, a savings account for long-term savings for big expenses and maybe even a money market account for medium-term purchases.

Bank accounts should make it easier for you to save and spend your money, so make sure the number and type of accounts works for the way you manage your money. Keep in mind, however, that there is a limit to the amount of money you should keep in any given bank.

Deposits in banks in the U.S. are insured by the Federal Deposit Insurance Corporation, or FDIC. The FDIC was created in 1933 in response to the bank runs of the Great Depression. Many banks went out of business during the Depression, and many consumers lost their entire life savings. The government formed the FDIC to protect consumers from losing everything if their bank failed.

Today, the FDIC insures deposits up to $250,000 per person, per account type, per bank. Account types include individual accounts, joint accounts, some retirement accounts, trust accounts, and more.

This means that if a married couple, for example, each has their own checking account, plus they have a joint savings account, they would be insured for up to $750,000. Each of their three accounts would be insured for $250,000. IRAs and some self-directed retirement plans fall under a different ownership category, so that same married couple could be insured for up to $250,000 for each of their retirement accounts as well.

IF you have more than $250,000 in cash in a given account type, it’s time to move some of that money to a different bank. You can have as much money in the bank as you want, but anything over $250,000 in a single account type at a single bank won’t be insured.

Deposits at Credit Unions are similarly insured by the National Credit Union Insurance Association, or NCUA.

To Read More Go to Original Article Here:

https://finance.yahoo.com/news/americans-4-favorite-wealth-hiding-120032065.html

5 Things You Should Discuss During Your First Meeting With a Financial Advisor

5 Things You Should Discuss During Your First Meeting With a Financial Advisor

Gabrielle Olya  

A financial advisor can be an excellent resource to help you make a plan for your money both now and in the future. But if you’re new to this world, you might not know how to make the most of your time during an initial meeting. In today’s “Financially Savvy Female” column, we’re chatting with Jane Voorhees, CFP, director of financial planning at ALINE Wealth, about how to prepare for a first meeting with a financial advisor and what topics you should be discussing.

What To Do Before Your Meeting

Before an initial meeting with a financial advisor, do some research into who they are and how they work.  “Go to the advisor’s website and read through it,” Voorhees said.

She recommends looking for the answers to the following questions:

What are the advisor’s credentials (education, professional designations and licenses)?

What is the overall wealth management philosophy that is coming through or being portrayed?

Does the advisor have a team and if so, what role does each team member play?

Does the advisor work as a registered investment advisor (RIA) or do they work under the umbrella of a brokerage firm?

“Understand that RIAs operate under a higher fiduciary standard than broker-dealer firms,” Voorhees said.

What To Bring to an Initial Meeting

Once you’ve done some basic research to ensure you feel confident about the advisor you are meeting with, it’s time to set up the meeting. To make the most of this first meeting, come prepared with the proper financial documents.

“Bring investment and bank account statements, insurance policies, statements/details on debts you owe, your most recent tax return and a budget (if you have one),” Voorhees said.

What To Discuss During Your First Meeting With an Advisor

The first meeting is the time to make sure that you and your advisor would work well together, and that they are someone you are comfortable working with. Voorhees recommends asking about the following topics.

To Read More Go To Original Article Here:

https://news.yahoo.com/5-things-discuss-during-first-130017129.html

6 Smart Hiding Spots for Your Emergency Cash

6 Smart Hiding Spots for Your Emergency Cash

Life savings ready to to be buried in the back yard.

Those who keep extra money, like an emergency fund, in their homes may be curious about some of the best spaces to store it. Since traditional savings vehicles like high-yield savings accounts are not applicable in this situation, those in possession of excess funds need to get creative with where they keep this money.

Consider stashing your emergency cash into some of these clever spots.

Fake Personal Items

This is a helpful tip for those traveling overseas as well as those seeking hacks for keeping their money safe at home. Consider fake personal items, like the following, to discreetly store any emergency funds:

A hairbrush. Use a round hairbrush with a hollowed-out middle and store cash inside the brush.

Empty lip balm tubes. Do you need to tuck a tiny bit of cash somewhere safe? Store it inside an empty lip balm tube. Try a sunscreen lotion tube or an empty shaving can if you need a larger container for your savings. Always make sure the tubes are cleaned out before use!

Feminine napkins. Carefully open a sanitary napkin and hide folded money inside it. Then, fold it all back up and re-stick the sticker in place. These items are seldom, if ever, suspected for hiding excessive amounts of cash.

Remember, though: When storing emergency cash in fake personal items, keep the items tucked away in places you won’t forget.

The Bathroom

When it comes to hiding emergency cash, there are a number of hidden spaces inside your bathroom where the money can be easily stashed.

One of the most common is the toilet’s water tank. Seal your emergency cash into a jar or another watertight container to ensure it doesn’t get wet and store it carefully inside. A toilet’s water tank also makes for a great place to store other valuable items beyond emergency cash, like jewelry or stock certificates. (Again, we can’t stress enough the importance of storing these items into watertight containers.)

Where else in the bathroom can you hide emergency cash? Have you tried using your toilet spring bar? The spring bar is what holds your toilet paper roll in place. Carefully take it apart, roll up extra money, put it inside and reassemble into place.

Fake Electrical Outlets

It’s becoming much more popular for homeowners to construct fake infrastructure in their homes where you can hide emergency cash inside.

To Read More Go to the Original Article Here:

https://www.gobankingrates.com/money/financial-planning/hidden-places-to-stash-your-emergency-cash/

The Day I Put $50,000 in a Shoe Box and Handed It to a Stranger

The Day I Put $50,000 in a Shoe Box and Handed It to a Stranger

I never thought I was the kind of person to fall for a scam.

By Charlotte Cowles

On a Tuesday evening this past October, I put $50,000 in cash in a shoe box, taped it shut as instructed, and carried it to the sidewalk in front of my apartment, my phone clasped to my ear. “Don’t let anyone hurt me,” I told the man on the line, feeling pathetic.

“You won’t be hurt,” he answered. “Just keep doing exactly as I say.”

Three minutes later, a white Mercedes SUV pulled up to the curb. “The back window will open,” said the man on the phone. “Do not look at the driver or talk to him. Put the box through the window, say ‘thank you,’ and go back inside.”

The man on the phone knew my home address, my Social Security number, the names of my family members, and that my 2-year-old son was playing in our living room. He told me my home was being watched, my laptop had been hacked, and we were in imminent danger. “I can help you, but only if you cooperate,” he said. His first orders: I could not tell anyone about our conversation, not even my spouse, or talk to the police or a lawyer.

Now I know this was all a scam — a cruel and violating one but painfully obvious in retrospect. Here’s what I can’t figure out: Why didn’t I just hang up and call 911? Why didn’t I text my husband, or my brother (a lawyer), or my best friend (also a lawyer), or my parents, or one of the many other people who would have helped me? Why did I hand over all that money — the contents of my savings account, strictly for emergencies — without a bigger fight?

When I’ve told people this story, most of them say the same thing: You don’t seem like the type of person this would happen to. What they mean is that I’m not senile, or hysterical, or a rube. But these stereotypes are actually false. Younger adults — Gen Z, millennials, and Gen X — are 34 percent more likely to report losing money to fraud compared with those over 60, according to a recent report from the Federal Trade Commission. Another study found that well-educated people or those with good jobs were just as vulnerable to scams as everyone else.

Still, how could I have been such easy prey? Scam victims tend to be single, lonely, and economically insecure with low financial literacy. I am none of those things. I’m closer to the opposite. I’m a journalist who had a weekly column in the “Business” section of the New York Times. I’ve written a personal-finance column for this magazine for the past seven years. I interview money experts all the time and take their advice seriously. I’m married and talk to my friends, family, and colleagues every day.

And while this is harder to quantify — how do I even put it? — I’m not someone who loses her head. My mother-in-law has described me as even-keeled; my own mom has called me “maddeningly rational.” I am listed as an emergency contact for several friends — and their kids. I vote, floss, cook, and exercise. In other words, I’m not a person who panics under pressure and falls for a conspiracy involving drug smuggling, money laundering, and CIA officers at my door. Until, suddenly, I was.

That morning — it was October 31 — I dressed my toddler in a pizza costume for Halloween and kissed him good-bye before school. I wrote some work emails. At about 12:30 p.m., my phone buzzed. The caller ID said it was Amazon. I answered. A polite woman with a vague accent told me she was calling from Amazon customer service to check some unusual activity on my account. The call was being recorded for quality assurance. Had I recently spent $8,000 on MacBooks and iPads?

I had not. I checked my Amazon account. My order history showed diapers and groceries, no iPads. The woman, who said her name was Krista, told me the purchases had been made under my business account. “I don’t have a business account,” I said. “Hmm,” she said. “Our system shows that you have two.”

Krista and I concurred that I was the victim of identity theft, and she said she would flag the fraudulent accounts and freeze their activity. She provided me with a case-ID number for future reference and recommended that I check my credit cards. I did, and everything looked normal. I thanked her for her help.

Then Krista explained that Amazon had been having a lot of problems with identity theft and false accounts lately. It had become so pervasive that the company was working with a liaison at the Federal Trade Commission and was referring defrauded customers to him. Could she connect me?

“Um, sure?” I said.

Krista transferred the call to a man who identified himself as Calvin Mitchell. He said he was an investigator with the FTC, gave me his badge number, and had me write down his direct phone line in case I needed to contact him again. He also told me our call was being recorded. He asked me to verify the spelling of my name. Then he read me the last four digits of my Social Security number, my home address, and my date of birth to confirm that they were correct. The fact that he had my Social Security number threw me. I was getting nervous.

To Read More Go to the Original Article Here:

https://www.thecut.com/article/amazon-scam-call-ftc-arrest-warrants.html?utm_source=apexmoney&utm_medium=dailynewsletter&utm_campaign=how-to-be-rich

I Lost $11,300 to Identity Fraud

I lost $11,300 to identity fraud.

What I learned: Usual safeguards don’t work.

Janna Herron·Senior Columnist  Sat, Mar 2, 2024,

"Looks like someone is trying to take more than $10,000 from us."

That's the message my husband typed to me on a Monday morning in October. By the time I wrote back, he was on the phone with our bank. The weekend before, someone walked into a bank branch, pretended to be one of us, and took thousands of dollars from our checking account.

We joined the tens of millions of Americans who each year are victims of identity fraud, where criminals steal a bank or credit card number and use the personal information to achieve illegal financial gain.

We were lucky in so many ways, most notably that our bank reimbursed our losses within 36 hours.

What we learned is this: The many steps we take to safeguard our personal data don’t always work.

Experts suggest creating strong passwords with extra layers of authentication, changing them often, and not using the same one on multiple accounts.

Having text alerts on your credit and debit cards for all transactions can also thwart illegal activity in real time, as can email alerts when someone tries to change an email or address associated with your account.

You should do all these — and we did — but they wouldn't have prevented the fraud we experienced. Our data was already out there for the picking.

Hacks that expose the personal financial information of Americans soared to a record high of 3,205 in 2023, according to the nonprofit Identity Theft Resource Center. That total includes breaches of companies across many industries such as healthcare, utilities, financial services, and transportation.

A well-known example of this was the massive Equifax data breach in 2017 that affected 147 million Americans — including us. That motivated us to freeze our credit reports at Equifax, Experian, and TransUnion.

“At this point, all of our information is out on the dark web," Suzanne Sando, senior analyst for fraud and security at Javelin Strategy & Research, told me. "It's now just a matter of when is it going to be used against me."

'Huge time suck'Here’s what else we learned: Knowing how to respond to one of these frauds after they happen is also crucial — and time consuming.

Because of my past reporting on this subject, I knew we needed to act quickly. We checked our other accounts — bank, credit, and retirement — for any suspicious activity. There was none. We then met up at our local bank branch to shut down the old account, establish another, and identify which upcoming transactions to allow to go through.

It took more than two hours, and we weren’t close to done.  "Fixing a run-in with identity fraud, it's a huge time suck," Sando said, "and people don't necessarily have the time to do it."

My husband fortunately was able to take the day off and spent the afternoon undoing automatic transactions from the old account and rerouting them to the new one. I also took off the day from work and headed to our local police precinct to file a report to provide to other financial institutions if the fraud followed us elsewhere.

Our local precinct took our report immediately. That’s not often the case for identity theft, according to Identity Theft Resource Center CEO Eva Velasquez, because it’s so hard to solve these cases.

Several factors worked in our favor, she said. In New York, the total amount stolen — which ended up being $11,300 — made the crime a Class D felony, which includes thefts of more than $3,000 but less than $50,000.

The bank also gave me copies of the withdrawal slips, which became critical evidence. The criminal made the withdrawals under my maiden name, albeit misspelled on each slip. It’s a name that hadn't appeared on my checking account for well over a decade.

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