All posts by Barbara Nevins Taylor

Consumer News, Immigrant News, Latest News, News

Deferred Action Approvals


 

 

 

 

 

 

 

 

 

 

 

 

Over a quarter-million people — 268,361 to be exact — were approved in the Deferred Action for Childhood Arrivals Program as of the end of March. These are the latest numbers available, according to the U.S. Citizenship and Immigration Services (USCIS).  Another 116,000 are under review. But it seems really strange that in total only only a little more than 488,000 have applied when an estimated 1.7 million are eligible.

And the number of applications appears to be going down. Fewer than 30,000 applied in March. In her recent post for ConsumerMojo.com, Charina Nadura examined 4 Reasons Why Dreamers Don’t Apply for Deferred Action.

But it’s still odd that more people aren’t coming forward now. If you are eligible, we encourage you to apply. Our video How to Apply for Deferred Action explains what you need to do.

NYDREAMer Loan Fund

Now there is a no interest loan available to help pay the application fee. Watch the video No Interest Loan for Deferred Action and get the details

 

Tells us about your experience. We want to hear from you.

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Money News, News, Scam News

IRS Phishing Scam

 

by Barbara Nevins Taylor

It’s the season for income tax refunds. And who doesn’t want to get something back?  But the email circulating now is not from the Internal Revenue Service (IRS).

 At a very quick glance, it looks like it might be real.

It has the glorious news that you’re due a refund. But don’t be fooled. Dianne Besunder, an IRS spokesperson, tells ConsumerMojo.com, “The IRS does not initiate contact with taxpayers by email to request personal or financial information.”

This a blatant phishing scam that apparently also victimized a domain holder. We traced the domain to a Colorado artist whose husband runs the site for her. He told us, “They have chosen my website for reasons unknown. I have no control over other people spoofing that address.”

Federal Trade Commission (FTC) attorney Steven Toporoff cautions against clicking on any link in a post that offers you money, or asks for personal information. “We advise people not to click on the link, but suggest you go to the official website for the government agency or company and follow the advice and instructions on that site.”

What happens if you click the link

Clicking the link may take you to a page that asks for your Social Security number and other personal information.  Do not give it out.  

The FTC’s Toporoff says, “You may be giving your information to identity thieves who will use it, or sell your information to others.  Or, it could be that they are installing some kind of malware or malicious software when you click on the link.”

Best advice If you get an IRS phishing email, the real IRS asks that you send the information to this address: phishing@irs.gov., so that the agency can investigate. The FTC also investigates and goes after scammers.

It would also like to see a copy of the email, or text: http://www.onguardonline.gov/phishing

Then delete the email. Tell us about your experience with phishing scams.

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Banking News, Money News, News

Spouses Get Credit Card Help


 

 

 

 

 

 

 

 

 

 

 

 

Spouses and partners will finally get credit for having access to their family’s income stream. The U.S. Census Bureau estimates that 16 million married Americans do not work outside the home, and anyone who is part of that statistic knows it’s hard, if not impossible, to get a credit card in their own name. Now stay-at-home spouses and partners can qualify for credit cards under the umbrella of the family breadwinner.  The Consumer Financial Protection Bureau (CFPB) first proposed this idea in the fall of 2012, and after reviewing it will put it into effect.  Credit card companies will have six months to comply.

How it works

A stay-at-home spouse who is over 21 can apply and  ask a credit card company to consider a spouse or partner’s credit and income. “Stay-at-home spouses or partners who have access to resources that allow them to make payments on a credit card can now get their own cards,” said CFPB Director Richard Cordray.

 

Have you had a hard time get a credit card? Tell us your story.

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Featured Stories, News

Don’t Spill the Salt

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by Barbara Nevins Taylor

While I was at an outdoor cafe eating breakfast, I overheard a dad talking to his daughter who was maybe four years old.  He said, “Don’t ever spill the salt.” She asked,  “Why?” He replied, “It’s very unlucky.”

Suddenly, I remembered swirling on a swivel seat in a diner, playing with the salt shaker, when I was about the same age. And I heard my mom’s voice say, “Sit still, and don’t play with the salt. It’ll spill and that’s unlucky.” It’s funny how these superstitions taught in childhood stay with us. I’m still careful not to spill the salt.

But the dad left something out.  If you spill the salt, you’re supposed to pick up a pinch and toss it over your left shoulder.  Then everything will be okay.

Tell us about the superstitions your parents passed on to you.

We want to post them here.

55 Plus News, All 55 Plus, Consumer News, Money News, News, Scam News

Warning to Veterans to Avoid Pension Ripoffs


They call it “pension poaching.” It’s a blatant manipulation of older veterans by a mini industry of unscrupulous lawyers, financial planners and insurance agents.  The Federal Trade Commission (FTC)  issued a warning to veterans who are over 65 and their families to avoid pension ripoffs.

Here’s how the scheme works:

Veterans 65+ who legitimately have limited resources may qualify for a supplemental pension benefit called the Enhanced Pension with Aid and Attendance.  And that’s a good thing.  But scammers use a loophole in the system and  offer to help people, including millionaires, hide their assets so they appear poor and qualify for the benefit.  They often meet and greet and make their pitch at free seminars at assisted living facilities, senior centers and other places in the community where older veterans gather.

Bad Advice

Their bad advice frequently suggests that a veteran set up a trust, or buy an annuity.  Those who sign-up pay fees of $200 to $10,000 and discover their money isn’t available for them to use when they need it.  In addition, they risk losing their eligibility for Medicaid benefits. It has happened.

The bottom line:  the FTC suggests that you take your time. Research what they offer and consider all your options, which include saying, “No,” and doing nothing.

GAO Investigation

Concern about abuse of the VA pension system led to an investigation by the General Accounting Office (GAO) in Washington. Undercover investigators posed as sons of older veterans, and their audio on the video takes you inside the scam.

 

 

Helpful Tips:All, Helpful Tips:Money, Helpful Tips:Scams

5 Tips to Block Robocalls


If you’re home is like mine, you get robocalls constantly throughout the day. We are on the Do Not Call Registry, but it doesn’t seem to matter. The robocallers get through, sort of.

My husband Nick Taylor is a writer and works at home. He doesn’t even bother to pick up the phone anymore when it rings, unless caller i.d. alerts him that it is someone he knows.

Do Not Call Registry

He reviews the calls at the end of the day, and returns any that he missed. That’s a pretty sure-fire strategy to avoid the robocallers.

In the meantime, the  Federal Trade Commission (FTC) produced this video and offers  5 tips to block robocalls.  It’s not clear that they do the trick 100 percent of the time, but it may be worth it to check them out.

  1. Ask your telephone company if it allows customers to block calls from multiple phone numbers. It may charge for this service. You might also want to check out the call-blocking services offered by other companies, including Voice over Internet Providers.
  2. Search online shopping sites for “call blocker.” There are number of blockers from different companies and it’s a good idea to read the reviews and see if one works for you.
  3. Put a “special information tone” that signals a non-working number at the beginning of your voicemail or answering machine message.
  4. If you have a smartphone, look for call-blocking apps.
  5. Use a “virtual phone line” with call screening options, forward that number to your actual phone, and only give out the virtual number. This option might work if you’re willing to change your phone number and are tech-savvy enough to set up call forwarding and screening.

 readmoreRobocall Alert

 

Helpful Tips: Credit, Helpful Tips:All, Helpful Tips:Money

Credit Score Help for Sandy Victims



If you’re a victim of Superstorm Sandy and you discovered that your credit score slipped because of  a late or missed payment due to the storm, you may get a break. In New York, Governor Andrew Cuomo wants credit scoring companies and credit bureaus to immediately stop lowering scores of Sandy victims.

Because of the chaos the storm created, many missed mortgage payments and others couldn’t make regular rent payments. In many cases their homes and apartments weren’t habitable and they were forced to pay rent to live elsewhere.  The financial burden of repairing homes and restoring storm-damaged business equipment also took its toll. Governor Cuomo said, “Hitting Sandy victims with an unfair black mark on their credit scores would add insult to injury for the thousands of New Yorkers fighting to rebuild and recover after this devastating storm.”

New York Superintendent of Financial Services Benjamin Lawsky sent letters to FICO,  TransUnion, Experian, Equifax, and the Consumer Data Industry Association (CDIA) and made the following demands.

1. Take immediate action to ensure credit scores are not lowered for Sandy victims.
2. Reset scores that were lowered.
3. Work with banks and other lenders to red flag any negative information that comes from disaster victims.
4. Meet with the Department of Financial Services to permanently change procedures to prevent credit scores from going down for disaster victims.

Lawsky said, “No Sandy victim should face a hit to their credit history simply because they caught a bad break from Mother Nature…”

What to do:

If you think your credit score was unfairly negatively affected and you need help, contact New York State Department of Financial Services at 1-800-339-1759

 


Tell us your story if you are struggling to recover and fighting to keep your good credit score.

 

Banking News, Money News, News

Payday Loans Are Debt Traps


 

 

 

 

 

 

 

 

Anyone who thinks that a payday loan is an answer to a consumer’s prayer will get a reality check from the new report by the Consumer Financial Protection Bureau (CFPB).  The bureau conducted a 12-month study of 15 million storefront payday loans and deposit advance loans and found that these loans are debt traps for many.

Consumers borrow to fill a quick cash need and often end up borrowing again and again. The CFPB says the structure of the loans contributes to trapping consumers in long-term debt.

Key findings include:

  • Lenders often don’t consider a borrower’s ability to repay, but take money from a paycheck. That leaves the borrower without money for things like groceries and may cause them to borrow again.
  • Payday loans typically must be repaid in full when the borrower’s next paycheck or other income is due. The report finds the median loan term to be just 14 days
  • There is not a fixed due date with a deposit advance. Instead, the bank will repay itself from the next qualifying electronic deposit into the borrower’s account. The report finds that deposit advance “episodes,” which may include multiple advances, have a median duration of 12 days.

High Costs:

  • Storefront payday loans generally range from $10-$20 per $100 borrowed. That means if you borow $350, you have to repay $400 in two weeks. A loan that goes unpaid for two weeks has an Annual Percentage Rate (APR) of 391 percent
  • Deposit advance loans generally cost about $10 per $100 borrowed.  On a 12-day loan the APR would be 304 percent.

Repeat Customers

Almost half  of payday loan borrowers take out more than 10 loans a year and they  frequently take new loans as soon as they pay off the old one.

Deposit advance customers often have  an outstanding balance at least 9 months of the year.  The CFPB says, “While these products are sometimes described as a way to avoid the high cost of overdraft fees, 65 percent of deposit advance users incur such fees. The heaviest deposit advance borrowers accrue the most overdraft fees.”

The CFPB did not examine the online world of payday lending and plans to do that next.

Are you a payday borrower?  Tell us your story.  We want to share it with others.
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Money News, News, Scam News

Game Over for Telemarketers

This was a case of telemarketers with liar-liar, pants-on-fire syndrome. A Federal District Court judge in Pennsylvania agreed with the Federal Trade Commission that a group of telemarketers using a web of corporate names lied and cheated consumers when they called to sell so-called discount health plans.
Federal Judge Juan R. Sánchez said, “All defendants have acted with reckless disregard for the financial interest and security of thousands of consumers.  They have demonstrated their continued ability, desire, and success in committing the same deceptive acts. The danger of recurrent violations is real.”
That’s why he banned five people and the companies they were affiliated with including NHS Systems, National Healthcare Solutions and National Health on Line from telemarketing, charging consumers’ bank accounts and making false and misleading statements.  He also ordered them to pay $6.9 million, which is the amount they took from consumers.
The scheme:
The FTC says, “During sales calls telemarketers led consumers to believe they were from, or affiliated with, U.S. government agencies, including the Social Security Administration, the Internal Revenue Service, and Medicare.  They promised consumers that they would receive substantial deposits into their bank accounts – in the form of grants, tax refunds, or tax rebates – if they first provided their account or credit card information.  In many instances, the callers told consumers that they had been unconditionally selected.”
Instead, consumers were charged $29.95 for health care information, $299.95 to enroll and $19.95 per month thereafter. They then found themselves in a phony “discount health care program” they never agreed to buy.
Have you had trouble with telemarketers?  Tell us your story.
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Consumer News, News, Work News

Fast Cash Loans and Campaign Contributions

 

 

 

 

 

 

 

 

 

 

 

 

by Barbara Nevins Taylor

A proposal moving through the New York State legislature would allow storefront check cashing businesses to make short-term loans for $300 to $2,000 for 90 to 180 days with an interest rate of 25 percent. A lineup of consumer advocates and the Bloomberg administration suggests the bill is a wolf in sheep’s clothing that will trap consumers in debt. New Yorkers for Responsible Lending says, “The annual percentage rate of the loans, given the list of fees set forth in the bill, would be as high as 204 percent.”

Stephen Altobelli, a spokesman for Financial Service Centers of New York, which represents 660 check cashing businesses, told ConsumerMojo.com, “Customers are looking for these kinds of loans and customers will know what the terms and conditions are.”  But financial disclosure records raise questions about legislators’ ties to the industry.

Campaign Contributions

Campaign contributions are the source of the questions. The Financial Service Centers of New York is a steady contributor to New York politicians and donated over $592,000 to New York State Democrats and Republicans between 2000 and 2012 .

Sponsors of the legislation to allow quick cash loans are standouts on the contribution list.  In 2011 and 2012 Bronx Democratic Senator Jeffrey Klein, a key sponsor, received $10,300 in 2012 and a total of $57,100 since 2002. In the Assembly, Manhattan Democrat Herman Denny Farrell, Jr. received $9,600 in 2012 and $36,600 between 2000 and 2012. Neither Farrell nor Klein responded to our requests for comments.

Here are a few key provisions of the legislation:

  • 25 percent interest
  • $25 application fee
  • Processing fee, if you have insufficient funds
  • $15 monthly maintenance fee
  • Consumers would be able to refinance once if they can not make the payments on the first loan.

 

 Tell us what you think about quick cash loans.

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Consumer News, Latest News, News, Work News

Unemployed Get Startup Boost

Some of us realize that this is the right time to start our own businesses.  And if you are unemployed and frustrated by a lack of opportunity, you might want to seriously think about putting a good idea to work for you.  A new New York State program aims to help those who receive unemployment benefits get into the start-up game.

The Self-Employement Assistance Program (SEAP) allows you to receive unemployment benefits and get entrepreneurial training while you work full-time to start your business. Governor Andrew Cuomo just expanded the program for those who are receiving Emergency Unemployment Compensation beyond the normal 26 weeks.

Governor Cuomo said, “The program is a win-win, giving the unemployed a better shot at reaching for the American Dream, while spurring the start of new small businesses in communities across the state.”

To enroll and participate this is what’s needed:

  •  You must have received at least 13 weeks of regular unemployment benefits or have 13 weeks of EUC remaining.
  •  You must develop a business strategy.
  •  Attend 20 hours of entrepreneurial training.
  •  You must  meet with a business counselor at least twice and work full-time on starting your business.

The program’s track record is pretty good. In 2012, 586 unemployment insurance claimants participated in the SEAP, of which an estimated 363 started their own businesses.

To find out more:

Entrepreneurs can learn more about the SEAP by calling the State Labor Department at (888) 4-NYSDOL (888-469-7365).

Consumer News, News, Work News

Kids’ Stolen Security Numbers

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

This change can’t come soon enough. The Social Security Administration (SSA) may make it easier to replace a child’s Social Security number if the child has been a victim of identity theft. No one is quite sure how their kid’s Social Security number gets stolen, but it is a significant problem. The Federal Trade Commission (FTC) says a 2012 study found that children in 2.5 percent of U.S. households had their identities stolen.

I’ve repeatedly done stories about the issue and it’s always frustrating for the parents. A Newark mom I interviewed discovered her eight-year-old’s Social Security number was stolen after she filed her income tax return. She was told someone else had already claimed him as a dependent. And then a tedious bureaucratic dance began as she tried to correct the error and get his Social Security number changed. She wanted to correct the record so that she could claim him as a dependent and she also worried about the long-term impact on his credit.  In addition to falsely claiming the boy as a dependent the scammer, or scammers opened credit cards in his name. They charged thousands of dollars and never paid the bills. They were never caught.

But the mom couldn’t get action from the Social Security Administration. It refused to change his Social Security number because the mom couldn’t prove “the child was harmed.”  Now under the new proposal a Social Security number of a child under 13 could be changed if the child is an identity theft victim.  The Federal Trade Commission wants the SSA to go further and raise the age to 17 and also make sure that parents and guardians are allowed to request the change for their children.  The FTC said recently, “Many children who are victims of identity theft before age 13 may not know they have been victimized until they are older and applying for credit or an apartment.”

In the meantime it’s a good idea to keep an eye out for potential problems.

Take Action In Advance

It’s best to take action in advance and keep an eye on your children’s credit reports.  You can get them for free three times a year at AnnualCreditReport.com. Do not pay anyone to pull a credit report.

Look for charges that don’t make sense and for a notation of credit cards that you never opened.

What To Do

If you discover your child’s Social Security number was stolen:

1. Contact the three national reporting bureaus: Experian, Equifax and TransUnion. Write letters to explain that the number was stolen and ask for a manual check of the report.

They may ask for:

  •      Your child’s birth certificate that lists the parents
  •      Your government-issued identification. This can be a driver’s license, military identification or some form that shows you are the parent.
  •      Your proof of address. This can be a utility bill, a credit card statement or other official piece of mail sent to your address.

2.  Ask the credit bureaus to remove all accounts, collections and inquiries about your child’s Social Security number. Keep copies of the letters and documents that you send.

2. Ask one of these companies to place a fraud alert on your child’s account. That company will contact the other two.

3. File a fraud report with the Federal Trade Commission (FTC), or call 877-438-4338.

Again, this is not easy to fix.  And that’s why it’s important to be proactive and check credit reports for fraud and errors.

Tell us your story

Tell us your story if you or your children have been victims of identity theft.

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Uncategorized

Caught

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Boston Police tweeted:

CAPTURED!!! The hunt is over. The search is done. The terror is over. And justice has won. Suspect in custody.

And then:

In our time of rejoicing, let us not forget the families of Martin Richard, Lingzi Lu, Krystle Campbell and Officer Sean Collier.

 

 

Money News, News, Scam News

Beware Boston Charity Scams

 

 

 

 

 

 

 

 

 

 

 

 

by Barbara Nevins Taylor

A recent tweet urged us to contribute to a charity for victims of the Boston bombings. While it certainly appealed to me and may be legitimate, it also made me stop and think. Who are these people and how did they put something together so quickly?  Those of us inclined to donate, should ask serious questions about the charities that are appealing to our sense of kindness, generosity and honor.

It’s a good idea to take a breath before you click through to donate.

The Federal Trade Commission (FTC) issued its second alert this week about Boston bombing charity scams.

The FTC says, “In general, urgent appeals for aid that you get in person, by phone, mail, e-mail, or on websites and social networking sites may not be on the up-and-up.”

Here are 6 tips for checking out the charity:

  1. Ask for the name of the charity if the telemarketer does not provide it promptly.
  2. Ask what percentage of your donation will support the cause described in the solicitation.
  3. Verify that the charity has authorized the solicitation.
  4. Do not provide any credit card or bank information until you have reviewed all information from the charity and made the decision to donate.
  5. Ask for a receipt showing the amount of the contribution and stating that it is tax deductible.
  6. Avoid cash gifts. For security and tax record purposes, it’s best to pay by check – made payable to the beneficiary, not the solicitor.

Contact the FTC

If you think a fraudster contacted you visit the FTC’s Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357).

Tell your story

We want your story.  If some scammer contacted you, tell ConsumerMojo.com. We want to share your story with the world.

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