Get smart with your money
Today’s top story: When it’s time to look for a new bank. Also in the news: Personal finance questions you need to answer, how to upgrade your financial life, and ten ways to have a financially happy marriage.
6 Signs It May Be Time to Switch Banks
Time for a new relationship?
8 Personal Finance Questions Most of Us Flunk
How did you do?
10 Steps to an Upgraded Financial Life
Give yourself a boost.
10 Ways to Have a Financially Happy Marriage
There are better things to argue about.
Today’s top story: The best additions to your financial toolbox. Also in the news: Safeguarding your digital assets, saving money on moving expenses, and what you should look for when choosing a new bank.
10 Best Personal-Finance Tools to Better Manage Your Money
Additions to your financial toolbox.
Safeguard Your Digital Assets — In Just 10 Minutes
Ten minutes you can’t afford not to spare.
Moving on a Tight Budget: 7 Ways to Save a Ton of Money
Moving expenses don’t have to break the bank.
7 Tips for Finding a New Bank
The most important things to look for.
Today’s top story: How high your credit score needs to be in order to refinance. Also in the news: Tips on getting out of debt from people who have paid off thousands, ways to save on monthly housing costs, and how to avoid the scariest credit card fees.
What credit score do I need to refinance?
Reaching the magic number.
How to Get Out of Debt: Lessons From People Who Paid Off $100,000
Learning from the masters.
4 Ways To Save On Monthly Housing Costs
Every little bit helps.
The 5 Scariest Credit Card Fees – And How to Avoid Them
Paying even an hour late could cost you big bucks.
8 Online Banks That Let You Skip the Fees, Enjoy the Interest
Thinking outside the branch.
Dear Liz: I think I’ve been scammed, but my credit union has decided I’m simply forgetful. I noticed a debit to my checking account that I did not recognize from a merchant I cannot identify. The merchant name appears on my statement as simply “Portland Portland OR.” My credit union can tell me only that it is a used-merchandise store or secondhand store. I questioned the charge by email and replaced my card. Then I got a letter from the credit union upholding the charge, saying that my card and PIN were present at the time of the transaction. I never did learn the merchant’s name. Can this merchant really not be identified? The $10.48 in dispute is unimportant compared with the complete opacity of the supposed purchase. No name, no address, only a day and time. Is this mystery the best the banking system can do?
Answer: Your credit union could identify the merchant by contacting the card network that processed the transaction, but has apparently decided it’s not worth the effort, said Odysseas Papadimitriou, chief executive of Evolution Finance, which operates the CardHub.com card comparison site. You can demand the credit union identify the merchant for you, but there’s reason to believe this transaction is legitimate, he said.
It’s not just because a personal identification number was used, however, since PINs certainly can be stolen. Hackers have compromised keypads at Michael’s stores and Barnes & Noble, among other retail chains, while Target said encrypted PIN data were stolen in its massive database breach.
But the use of a PIN combined with the small amount of the transaction indicates the culprit here likely is forgetfulness rather than an identity thief, Papadimitriou said. ID thieves are unlikely to make one small transaction and then wait, he said.
“They try to extract the max they can before they get shut down,” Papadimitriou said.
Still, your experience should make you think twice about using a debit card for a retail transaction. With debit card fraud, you may have to fight with your financial institution to get the money back, since the transaction comes directly out of your checking account. With credit cards, you don’t have to pay a disputed transaction until the card company investigates.
People remember where they were when they heard about big historical events, like the planes flying into the World Trade Center buildings. Finance geeks remember where they were in September 2008 when they heard that the Prime Reserve Fund had “broken the buck.” A money market fund’s share price had just dropped below $1 for the first time, and this was a huge deal. Money market funds were supposed to be safe–I almost said “safe as houses,” but given the subsequent real estate recession, maybe not. Anyway, it wasn’t hard to envision this news triggering a Depression-era run on the funds where individuals and institutions stored trillions of dollars of cash. The funds wouldn’t be able to meet all the demands for withdrawals and the banking system would grind to a halt. From there, the collapse of the whole financial system would no longer be a fantasy of end-of-the-world preppers. Of all the bad news that fall–and there was a ton–that’s the story that really made it clear how close we were to the brink.
We avoided the worst, but our close call should have put every financial regulator on his or her toes. Unfortunately, secret recordings made by a now-fired Fed attorney make it clear that watchdogs are instead cuddled in the arms of the financial institutions they’re supposed to regulate. This is a gigantic story, one that financial author Michael Lewis calls “The Ray Rice video for the financial sector.”
Listen to the This American Life podcast here, and read ProPublica’s story here. This is news you really need to know.
Today’s top story: Thousands of homeowners are missing out on lower mortgage payments. Also in the news: How safe are your deposits, how to save money while you remodel, and why free checking can be a misnomer.
800,000 Homeowners Are Missing Out on Lower Mortgage Payments
Are you one of them?
How Safe is Your ‘Safe Money’?
How banks are protecting your finances.
3 Ways to Reduce Your Remodeling Budget
DIY doesn’t have to mean $$$.
Checking account costs rise; only 28% are free, study finds
Free comes at a price.
10 Smart Money-Saving Tips for Time-Strapped People
Quick tips that’ll save you money.