How to Dispute A Credit Report Error

Quick-what’s your credit score?

As a financially responsible individual, you should be checking your credit on a regular basis. You can do this by signing up for free credit monitoring on a reputable website like CreditKarma.com, requesting your annual complimentary credit report from AnnualCreditReport.com and reviewing your monthly credit card statements.

If all goes well, your report will hold no surprises and your score will be in excellent shape, or steadily increasing. Sometimes, though, you may find an error in your report. It might be a sharp decline in your score when you know you haven’t changed your spending or bill-paying habits, a large transaction you’re sure you’ve never made or an unfamiliar line of credit. While it can be disconcerting to find a mistake in your credit report, the good news is you can contest errors like these and fix your score.

Mistakes you may find on your credit report

Woman looking at bill with a concerned look on her face

Credit report errors are quite common. In fact, 26% of participants in a study by the Federal Trade Commission found at least one error on their credit reports that brought down their score. A lower score can mean getting hit with higher interest rates on loans, and can prove to be an obstacle when applying for a new line of credit or a large loan.

Most of these errors can be traced back to clerical mistakes, though some are caused by a lack of action on your part, or by criminal activity.

Credit report errors include the following:

  • You’re mistakenly identified as someone with a name similar to yours.
  • A credit account was never included in your report, weakening your perceived credit worthiness.
  • Your loan or credit card payments were applied to the wrong account.
  • A legitimate credit account or debt has been reported and recorded multiple times.
  • Your name is still linked to your ex-partner’s accounts and debts.

Identity thieves have used your name and credit file to open accounts and take out loans you knew nothing about – and it’s unlikely they have been making payments on those loans.

To avoid credit report errors, make sure to use your legal name on every line of credit you open, to remove your name from any accounts you are no longer associated with and to have all of your creditors report your open accounts to the major credit bureaus. As mentioned above, it is also crucial that you monitor your score to find mistakes as quickly as possible.

3 steps to disputing an error

If you’ve spotted an error on your credit report, don’t panic. Follow these three steps to dispute the error and fix your credit:

Step 1: File a dispute with each of the major credit bureaus.

You’ll need to inform all three major credit bureaus, Equifax, TransUnion and Experian, about the error. All three bureaus allow you to file disputes online.

In your written dispute, you’ll need to clearly identify each disputed item in your report, explain why you are disputing these items and ask that the errors be deleted or corrected. Include your full contact information, as well as copies of any documents that support your claim. You can also include a copy of your credit report, highlighting the items you are disputing.

To file your dispute online, follow these links for each of the three major credit bureaus: Equifax, TransUnion, Experian.

You can also file your disputes by mail to Equifax and TransUnion; Experian currently accepts online disputes only. If filing by mail, it’s best to send your letter via certified mail with a requested return receipt. It’s also a good idea to keep a copy of your correspondence for your own records.

Mail your Equifax dispute to the following address:

Equifax Information Services LLC
P.O. Box 740256
Atlanta, GA 30348

Mail your TransUnion dispute to the following address:

TransUnion LLC
Consumer Dispute Center
P.O. Box 2000
Chester, PA 19016

Step 2: Contact the creditor

After you’ve contacted each bureau, you can also reach out to the creditor that’s linked to the error in your report. This step isn’t necessary, but it may speed up the correction process.

Most creditors will provide a link or an address for disputes. When filing your dispute, follow the guidelines above and include all relevant information and documentation. Be sure to let the creditor know you’ve also contacted the credit bureaus, as they’ll want to include this information and a copy of your dispute if they report their findings to the bureaus. You can also ask to be copied on all correspondences between the creditor and the bureaus.

Step 3: Follow up in 30 days

Expect to be contacted by the bureaus and the creditor within 30 days after filing your disputes. If all goes well, your dispute will be accepted, and your credit will be restored. In many states, you are eligible to receive a complimentary credit report following a registered dispute.

If one of the credit bureaus or a creditor refuses to accept your dispute or does not resolve the error in your favor, you can ask the bureau or creditor to include a copy of your dispute in your file and in all future credit reports. This way, a lender or creditor will be made aware of the alleged error when reviewing your credit. You may be charged a small fee for this service, but it is generally worth the price. If you feel the error is too significant to ignore, consider hiring a lawyer to help you contest the report and fix your credit.

Disputing an error on your credit report is fairly simple. Always monitor your score and be vigilant about correcting errors. The payoff can affect your financial wellness for years to come.

Speak with a 705 Financial Representative about Getting Your Credit Where You Want It To Be in 2020!

All You Need to Know about Savings Certificates

Watch your money grow! Share certificates are a great low risk investment option. See how much you could earn on your money. Learn more!

Are Savings Certificates Right for You?

If the lump under your mattress is getting uncomfortably big and you’re looking for a safer, more lucrative place to park your savings, look no further than Section 705. As an institution that’s completely devoted to your financial wellness, we offer several secure options for savings, including: Share Certificates, Traditional IRAs, Lucky Lagniappe Savings, Christmas Club, Vacation Club, Super Green, Youth Savings, and Regular Savings Accounts.

Another excellent option we offer our members to help their savings grow is our savings certificates. They are sometimes also known as share certificates, and referred to by banks as CDs. These unique accounts offer the best of both worlds when it comes to your savings. First, you’ll be giving your money a greater chance at growth than it would have in a typical savings account. Secondly, you are not subjecting your savings to the inherent risks and potential for loss that accompanies investing in the stock market.

Let’s take a closer look at the way this fantastic savings product works and why it might be the perfect choice for you.

What is a Certificate?

A savings certificate is a federally insured savings account with a fixed dividend rate and a fixed date of maturity. The dividend rates of these accounts tend to be higher than those on savings accounts and some money market accounts. Generally, there is no monthly fee to keep the certificate open.

However, unlike a savings account, your money will be tied up in a certificate. A typical certificate will not allow you to add any money to the certificate after you’ve made your initial deposit. You also won’t be able to withdraw your funds before the maturity date without paying a penalty.

Terms and conditions of Certificates

As a member of Section 705, you can open up a certificate today. However, there are some basic requirements that must be met before you can do so, including a minimum opening balance and a commitment to keep your money in the account for a set amount of time.

The minimum amount of funds you’ll need to deposit to open a certificate will vary widely from one financial institution to the next and also depends upon the term you choose. Some institutions will accept an initial deposit as low as $50 for a certificate. Others, such as a “jumbo” certificate, will demand an opening balance of $100,000. In general, the more money you invest in a certificate, the higher rate of interest it will earn. At Section 705, you can open a certificate with as little as $100 at an Annual Percentage Yield (APY) of .25%.

Certificate term lengths also vary greatly among financial institutions, with most offering a choice of certificates that run from three months to five years. Typically, certificates with longer maturity terms will earn a higher rate. Here at Section 705, we offer our members certificates that can be opened for just 3 months or as long as 4 years. Our dividend rates start at .25 for short-term certificates and go up to 2.75 for our long-term options. To hear more about our certificate terms and rates, speak to a Section 705 representative today. Click for the dividends and disclosures on our share certificates.

Is a savings certificate for everyone?

While keeping your savings in a certificate can be an excellent option for your money, it is not for everyone. Before you go this route, ask yourself these important questions:

  • Do I have an emergency fund set aside to help me get through unexpected events or circumstances?
  • Do I anticipate needing to access these funds during the life of the certificate?

Remember: Your money will be tied up in the certificate and you will not be able to access it without paying a penalty. A certificate works best for people who have money set aside for a rainy day and are fairly certain they will not need to access the funds in the certificate until its maturity date.

Why keep your money in a certificate?

Here are some of the most popular reasons people choose to open a certificate:

  1. Low risk. While nearly every investment carries some sort of risk, your money is always safe in a certificate. With each Section 705 certificate insured by the National Credit Union Administration up to $250,000, you can rest easy, knowing your money is completely secure.
  2. Higher dividend rates. Certificates offer all the security of savings accounts with higher yields. It’s more for your money, just for choosing to invest it in a certificate.
  3. Locked-in rates. There’s no stressing over fluctuating national interest rates with a certificate. The APY is set when you open the account and is locked in until its maturity date. Instead of playing guessing games, you can determine exactly how much interest your money will earn over the life of the certificate the day you open it.

If a certificate sounds like the perfect choice for you, stop by Section 705 today to learn more. We’re committed to giving your money its best chance at growth.

Sources:

https://www.nerdwallet.com/blog/banking/cd-certificate-of-deposit/
https://www.thebalance.com/cd-basics-how-cds-work-315245
https://www.businessinsider.com/5-things-no-one-knows-about-cds-2012-10

8 Ways to Beat the Holiday Stress

Ho Ho Holiday Specials Make the holidays jolly and bright with our Holiday Auto and RV Loan Special, Holiday Helper Loan, or Skip-A-Pay! Learn more.

‘Tis the season to be merry-except sometimes, it’s not.

While the entertainment industry would have us think the holidays are always full of good cheer, lots of laughs and warm feelings, the reality can, unfortunately, be otherwise.

Sometimes, all that frenzied consumerism, party-hopping and crazy schedules can bring out the worst in the people we love. Other times, a challenging life situation, such as a recent divorce, death in the family or financial struggles, are painfully magnified when everyone around you seems to be in such wonderfully high spirits.

No one wants to be the Grinch on Christmas. So, if you tend to feel stressed or down when the holidays roll around, here are eight tips to help you turn that frown into a genuine smile.

1. Watch the buck

Nothing kills the holiday cheer like a mountain of debt. Stick to a budget when doing your holiday shopping and only spend what you can actually afford. Be extra careful not to overspend as the holidays draw near, and you’re experiencing pressure to finish your shopping in time. If you find yourself running low on funds, consider arranging a gift exchange, like a Secret Santa, or giving some homemade presents this year.

2. Give back

The holidays can sometimes leave us feeling down because of all that emphasis on the perfect gifts. Opening up a present is always a thrill, but giving to others creates lasting joy. In fact, according to the American Psychological Association, one of the best ways to reduce stress is to give back to your community.
Beat the stress this season by sharing holiday cheer with those who are less fortunate. There are so many ways to spread joy! You can bring some toys to the children’s ward at the local hospital to brighten up a sick child’s holiday. Use your time off from work to volunteer at a soup kitchen. Dress up your family in their ugliest Christmas sweaters and holiday hats before visiting the closest nursing home to put a smile on the residents’ faces.

When you give, you always give most to yourself.

3. Stick to a schedule

Part of the holiday experience is enjoying late nights and/or early mornings. Sometimes, though, all that lazing around and lack of quality sleep can make stress levels soar. There’s no need to be a stickler for your regular routine on the holidays, but it’s a good idea to keep some sort of schedule. Make sure you’re getting enough shut-eye, and if a physical workout is part of your daily routine, don’t neglect it over the holidays. You’ll always feel better when you’re taking care of your body. And, if you’re mindful about your habits, you may not even have those extra pounds to work off in January!

4. Party smart

Cheers! Can I pour you another glass of … soda?

If you like to party, you can end up getting sick over the holidays. All that heavy drinking and loading up on refined carbs can really do your body in. Do yourself a favor this year and watch what you imbibe. Enjoy a glass or two of your favorite alcoholic beverage, but try to keep the drinking to a minimum. Similarly, it’s OK to break your diet over Christmas, but it’s best not to go overboard. You don’t need to feel bloated and sick to enjoy the holidays. Keep the stress out by treating your body well.

5. Delegate

Are you hosting a crowd this Christmas? Guests can be great fun, but all the extra work can bring your stress levels through the roof. Here’s the good news: You don’t have to do it all! There’s nothing wrong and there’s everything right with asking for help. Don’t feel bad about having your guests and family members pitch in with cooking and cleaning. They’ll feel better, too, when they’re sharing the workload. Plus, everything is easier when there are more hands on deck.

6. Take some “me” time

Whether you’re a closet introvert or you just need some time alone each day, the nonstop partying and a house full of guests can get to you after a while. It’s always a good idea to take care of yourself, and in the chaos of the holidays this need is often neglected. Consider running out to get yourself a manicure, taking a solitary half-hour walk or just locking yourself in your room after a long and loud day to savor the peace and quiet. You’re not being an antisocial snob if you need your “me” time; you’re just being human.

7. Give up the guilt

If you tend to overanalyze every interaction you have with family and friends, you can really beat yourself up over the holidays questioning everything you’ve said. Try to relax and to let go this season. So long as you’re reasonably pleasant and agreeable, you can give yourself a break.

8. Lower your expectations

A common cause for holiday stress is unrealistic expectations. It’s best not to build huge castles in the air by keeping your expectations to a minimum. There will probably be some minor, or even major, stressors this holiday, and not everything will turn out exactly as planned. All of that is OK. If you don’t expect perfection, you won’t be struggling with mountains of disappointment this holiday.

Beat the blues and put the cheer back into the holidays this year!

Here’s wishing you a Merry Christmas from all of us here at Section 705.

Sources: 

https://www.psychologytoday.com/us/blog/life-without-anxiety/201212/10-tips-surviving-the-holidays
https://www.symptomfind.com/health/holiday-stress-management/
https://www.huffpost.com/entry/holiday-stress-tips_b_790222
https://www.apa.org/helpcenter/parents-holiday

Can I Trust Credit Karma?

Q: I’m trying to increase my credit score ahead of applying for a large loan, so I’m considering signing up for Credit Karma to track my score. How accurate are the credit scores it shares? Is there anything I need to be aware of before signing up for this service?

A: Credit Karma is a legitimate company; however, for a variety of reasons, its scores may vary greatly from the number your lender will share with you when it checks your credit.

We have answers to all your questions about Credit Karma.

What is Credit Karma?

Credit Karma LogoCredit Karma is an online credit service that operates under the principle that everyone is entitled to a free and honest credit score. To that end, the site allows you to check your credit whenever you’d like without paying any fees-a privilege that can cost you about $20 a month from its competitors. You’ll need to sign up for the service and share some sensitive information, like your Social Security number and your financial goals, but you won’t be asked for any credit card numbers or account information.

Scores are updated once a week, and the company only performs a “soft inquiry” on your credit to get the necessary information.This means your score is never impacted by it checking your credit on your behalf. Credit Karma also offers lots of credit advice, customizable loan calculators and reviews on financial products of all kinds.

Credit Karma earns its profit through targeted ads. As you learn your way around the site and start to frequent it more often, you’ll see ads that are geared toward your specific financial situation. For example, if your credit is excellent and you’re looking for a home loan, you’ll probably find loads of ads from mortgage companies. While this may seem like a breach of privacy, it’s no different than the way much larger online platforms you likely use, including Google and Facebook, earn a profit.

How does Credit Karma calculate my score?

The online credit company uses information from two of the three major credit reporting agencies, TransUnion and Equifax, to give you a VantageScore 3.0. While this type of credit score is gaining popularity among lenders, you may not recognize it-and for good reason. The FICO scoring model is by far the most widely used credit score among financial institutions and lenders across the country, with 90% of lenders using this score to net potential borrowers.

The atypical scoring model used by Credit Karma, coupled with the absence of information from Experian, the third of the three major credit reporting agencies, tends to make Credit Karma scores differ from scores pulled by other companies and financial institutions. The credit service is usually within range and a good indicator of your overall credit wellness. You can also get a report with a thin credit history through this model, which is super-helpful for those seeking to build their credit from nothing.

How do other lenders calculate my score?

Most financial institutions use a FICO scoring model to measure consumers’ credit scores. As mentioned, this number will likely be lower than the score you see on Credit Karma, but will fall within the same general range.

It’s also important to note that, each time you apply for a specific kind of loan with an individualized lender, it will likely also use its own customized formula. For example, if you were applying for a mortgage with a home loan company, it would probably use a score that is specifically developed for mortgage loans. Similarly, if you were to apply for a car loan from an auto lender, it will use its own score designed to predict the likelihood of you defaulting on an auto loan. This can result in an even lower credit score from these lenders.

Is there any other way to get my credit score?

If you’re looking for a more relevant credit score, you have several options. You can ask a potential lender to pull your credit, though this might cost you both in fees and in a knock to your credit for the hard inquiry. You can order your free credit report with information from all three credit bureaus once a year, at AnnualCreditReport.com. Lastly, for more frequent monitoring, you can sign up for access to your FICO score and 3-bureau credit report on Experian.com, where packages start at $19.99 a month. There are other similar services out there, but most are not legitimate or are grossly overpriced.

How does Section 705 decide if I’m eligible for a loan?

We use the FICO model to calculate your credit score when you apply for a large loan. While this number will likely differ from your Credit Karma score, it gives us a broader picture of your credit as it includes information pulled from all three credit bureaus. We’ll also review your full financial history and trajectory to determine if you are eligible for the loan.

Here at Section 705, our goal is to help you achieve and maintain financial wellness. Consequently, we are far more likely to approve a loan for one of our members than a random lender who doesn’t know the first thing about you or your financial history.

If you’re trying to increase your credit score before applying for a large loan, we can help! Stop by Section 705 today to speak to a financial counselor about steps you can take to improve your credit.

If you’re ready to take out that loan, make Section 705 your first stop! Our stress-free application process, low interest rates and reasonable terms make us the best choice for your next large loan. We’ll help turn your dream home or car into a reality.

Sources:

https://www.investopedia.com/articles/personal-finance/103015/are-credit-karma-scores-real-and-accurate.asp
https://www.moneyunder30.com/credit-karma
https://www.creditkarma.com/question/credit-karma-score-is-way-higher-than-experian-score-why-is-that/
https://www.thebalance.com/why-the-lender-s-credit-score-may-differ-from-yours-960525

9 Steps to Buying Your First Car

Your First Car Do’s and Don’ts 

Congrats—you’re ready to purchase your first real car! The process can be daunting, but 705 FCU will walk you through it. Follow our guidelines for a stress-free ride.

  1. Determine if you really need a carCouple shaking hands after buying a vehicle

OK, you weren’t expecting this, but it’s important to take a step back to review your actual transportation needs. Lots of college towns have a great bus system in place, which can save you loads on car costs. If you have a car-owning good friend you’ll be riding into town with each weekend, it may not pay for you to have your own set of wheels. Also, if your campus has everything you need within walking distance, it can be cheaper to rent a car when you need it instead of buying one now.

  1. Know your budget

If you’ve determined that a car purchase is necessary at this point in your life, don’t start hunting for your dream car until you’ve worked out a realistic budget. Take a hard look at your other monthly expenses to see how much you can spare for a new set of wheels. Don’t forget to include some cash for auto insurance, gas and maintenance.

  1. Create a tentative wish list

This is your first car, so it doesn’t need to have all the bells and whistles it does in your dreams. Sit down and make a list of all the “must haves” and “wants” you’re looking for in a vehicle. Determine how much each feature would cost you in a car and decide which are really important.

  1. Obtain financing

If you’ve been saving up cash for your first car all through high school, you’re set! Otherwise, visit [credit union] to learn about your auto loan options and to get your pre-approval.

  1. Research your options

You’re ready to start looking for a vehicle that will satisfy your needs and wants. You can research ratings and user reviews on sites like Cars.com and create another list that contains your top three choices of car makes and models.

  1. Look up listings

Start scavenging for listings of your car choices online and in your neighborhood. Once you’ve found several that might work, research their histories on Carfax.com and then contact the seller to set up a test drive.

  1. Take it for a spin

If a car checks out and everything looks good, you’re going to want to take it for a test drive. Pay attention to details like legroom, acceleration, brake functionality and more while you drive.

  1. Have it inspected

If you’re purchasing a used vehicle, it’s best to have it inspected by a mechanic before signing on the deal.

  1. Make it official

If your car has passed the test drive and inspection, you’re ready to make it official! Be sure to read all documents before signing and obtain insurance before your first joyride.

Enjoy your new set of wheels and drive safely!

Want help with the car buying process? 705 FCU has 2 certified financial counselors and a loan department that can help you find the car of your dreams and finance it!

 

SOURCES:

https://www.carbuyingtips.com/first-time-buyer.htm 

https://www.edmunds.com/car-buying/10-steps-to-buying-a-used-car.html

https://www.carbuyingtips.com/used.htm

 

10 HACKS YOU NEED TO KNOW BEFORE HITTING THE MALL

Holiday Shopping Hacks

family shopping for holiday gifts in a mallQ: When the holiday season rolls around, I practically take up residence at the mall. There’s so much shopping I need to do and the mall is the best place to pick up most of my gifts. And yet, the experience causes so many headaches—and it’s expensive! Is there a way to spend less at the mall and to make the entire experience more pleasant?

A: You’re not the only one who feels like skipping out on their mortgage this month and paying rent at the mall instead. In the weeks leading up to the holidays, the crowds at the mall can be as dense as the foot traffic on a street in Manhattan.

There’s more than just the thick crowds you have to battle at the mall, though. There’s also heavy manipulation by retailers priming you to overspend. Kit Yarrow, PhD and professor of psychology and marketing at Golden Gate University, says the red and green décor that covers the malls this time of year urges us to splurge. Red energizes us and green is perceived as an optimistic, lucky and wealthy color. Both colors will push us into going over budget.

The crowds and the endless spending can take a toll on anyone. No worries, though; we’ve got 10 incredible mall shopping hacks to make your trip a little easier on you and a bit lighter on your budget!

  1. Map out a route

The less time you spend at the mall, the better off your budget will be. Before spending yet another afternoon roaming aimlessly until you find what you’re looking for, jot down a short list of your intended purchases before heading out and then create a route of the stores you’ll hit to look for them. Most malls offer a printable map on their websites to make this task a little easier.

Have your route pre-planned and do your budget a favor. As a bonus, you might even make it home headache-free!

  1. Turn it up

Plug into your favorite playlist while scouring your favorite stores for fantastic finds. You’ll be calmer and less stressed—and a lot less likely to overspend.

  1. Cash only

If you can’t seem to stick to a budget at the mall, leave the plastic at home and only bring along the amount of cash you plan on spending. It’s hard to feel the hole a swipe makes in your pocket, but slipping the cashier a pile of bills actually feels like you’re spending money—and you’ll spend less of it. You’ll also be forced to stick to your budget no matter how tempted you are to overspend.

If you dare, consider only bringing newer, high-denomination bills, like 50s and 100s. You’ll think three times before breaking up those crisp, large bills.

  1. Find the hidden cashier

Skip the endless lines in the bigger stores this holiday season by seeking out the cashiers set up in out-of-the-way spots of the store. You might find these quieter checkout lines near the lingerie department, in a far-off corner or near the fitting rooms. Zip in and out of the store in minutes!

  1. Box it

When a cashier offers to box your purchases for you, say yes! It might mean a bit more time for you at the checkout, but you’ll get a head start on all that gift wrapping and save money on wrapping paper, too. Ask for a box even if your purchase isn’t a gift and then use it to wrap another gift item when you get home.

  1. Shop late in the day

Skip the crazy crowds by shopping right before closing. The malls usually see the fewest shoppers during the late evening hours, so you’ll be able to shop quickly without jostling your way through the crowds.

Also, many stores stay open an extra hour after the mall closes in the weeks leading up to the holidays. Hit the mall first, and then shop the extended hours at the department stores to get a whole lot done in one stress-free trip.

  1. Shop in heels

Leave your comfortable flats at home! A Brigham Young University study found that shoppers spent a lot less money when their minds were focused on staying balanced. If you don’t like teetering through the mall, you can hit the shops after a yoga class or after riding an escalator for a similar effect.

  1. Don’t become fast friends with the checkout clerks

According to Forbes, shoppers tend to overspend when they feel a kinship with the cashier. Be cordial and be polite, but don’t get too chummy with the checkout clerks this season.

  1. Carry a snapshot of your financial goal

What’s your financial dream? An Alaskan cruise? A luxury car? Print out a photo of your dream and stick it into your wallet. Pull it out whenever you’re tempted to bust your budget on a purchase and it will help you keep your mind on your goal.

  1. Suck on a mint

Did you know that stores use scents to manipulate shoppers into spending more? Suck on a mint or chew a piece of mint-flavored gum to help you block out the store’s smells and stick to your budget.

Don’t get stressed or go broke at the mall this season! Follow our hacks for a budget-friendly and stress-free shopping trip.

For more savings tips, connect with us on Facebook, Instagram, Twitter, and YouTube!

SOURCES:

https://www.seventeen.com/fashion/style-advice/tips/a37264/money-saving-shopping-hacks-that-will-you-money-at-mall-stores/
http://ourfinancialpath.com/spend-less/
https://www.rd.com/advice/saving-money/psychology-tricks-spend-less-shopping/
http://www.coupons.com/thegoodstuff/shop-smart-12-mall-shopping-hacks-you-should-know/

CREDIT CARD FRAUD IN 5S

Financial Self Defense against Credit Card Fraud

An image of someone typing in credit card information into the computerWhodunnit? When we’re talking about credit card fraud, everyone’s pointing fingers at everyone else. Consumers tend to blame the credit card issuer, but the vulnerability usually lies with the point-of-sale terminal.

Tampering with a credit card reader takes just a few minutes and can be done with an inexpensive device that’s available on Amazon. There are lots of other ways your information can be skimmed, too. However, none of that points to a security deficiency with your credit union or credit card company.

Thankfully, there are steps you can take to prevent and recognize credit card fraud before it happens. Read on for all you need to know about credit card fraud.  

5 ways your card can be frauded 

  1. It’s physically lifted from your wallet.
  2. A restaurant or bar server skims it while it’s in their possession.
  3. A terminal you use is compromised.
  4. An online breach puts your information on the black market.
  5. Your computer has been hacked. 

5 signs a terminal’s been compromised 

  1.    The security seal has been voided. When the pump is safe to use, the label has a red, blue or black background. A breached seal shows the words “Void Open” in white.
  2.    The card reader is too big for the machine.
  3.    The pin pad looks newer than the rest of the machine.
  4.    The pin pad looks raised.
  5.    The credit card reader is not secured in place. It should fit tightly and not be easily rattled. 

5 times you’re at high risk for credit card fraud 

  1. You lost your card.
  2. You’ve patronized a business in an area that’s unfamiliar to you.
  3. A company you use has been breached.
  4. You shared your information online with an unverifiable contact.
  5. You downloaded something from an unrecognizable source. 

5 ways to protect yourself against credit card fraud 

  1. Check all card readers for signs of tampering before paying.
  2. Never share your credit card information online unless you’re absolutely sure the website is authentic and the company is trustworthy.
  3. Check your monthly credit card statements for suspicious activity and review your credit reports on a frequent basis.
  4. Use cash when patronizing a business in an unfamiliar area.
  5. Don’t download attachments from unknown sources. 

5 steps to take if your credit card’s been frauded 

  1. Lock the compromised account.
  2. Place a fraud alert on your credit reports.
  3. Consider a credit freeze.
  4. Alert the FTC.
  5. Open new accounts. 

At 705 Federal Credit Union, we’ve always got your back! Call, click, or stop by today to ask about steps you can take to protect your information from getting hacked. 

SOURCES:

https://www.thebalance.com/how-credit-card-skimming-works-960773

https://www.thebalance.com/more-at-risk-of-credit-card-fraud-960780

https://www.makeuseof.com/tag/credit-card-fraud-works-stay-safe/

http://gizmodo.com/home-depot-was-hit-by-the-same-hack-as-target-1631865043

6 Times A Bargain Is Not A Bargain

SaleIn the words of writer Franklin Jones, “A bargain is something you don’t need at a price you can’t resist.” And we couldn’t agree more. 

With the biggest spending season of the year looming ahead, it’s time to brush up on your shopping smarts. Don’t get caught springing for something you can’t afford! This year, give yourself the gift of an intact budget and a credit card balance that doesn’t haunt you for months or years to come. 

Here’s when that steal of a deal you can’t wait to show off to your friends is not such a bargain after all. 

  1. When you don’t need it 

The price might be right. But, if the heavily marked-down item is one you don’t need, you’re not getting a bargain at all. You’re just blowing money you could be using to put into savings or purchase stuff you actually do need. 

Those flashy signs and hyped-up ads are enough to blind the most discerning shopper, so think carefully before plunking down your money on sale items. If an item is marked down 75%, ask yourself: Would I ever buy this item at full price? Would I buy it if the price was slashed just 30%?

  1. When it’s a faulty product

Sometimes, it doesn’t pay to be cheap. If an item is retailing at a ridiculously low price, inspect it carefully. Hold it up to this checklist to determine its quality and durability:

  •   Where was it manufactured? If the product bears a designer label, but also has a “Made in China” tag stuck on it, you’re likely looking at a cheap knockoff that isn’t such a bargain after all.
  • Are there any noticeable defects or missing parts? 
  • Does the item appear to be worn out? You don’t want to be buying someone else’s heavily used returns.
  • Is the material cheaply made? Some clothing will start attracting lint and will sport unsightly “pimples” while still in the store. Unless they’re giving it away free, such poorly made clothing is hardly worth the price.
  1. When it’s going to go bad before you can use it 

Costco, we’re looking at you! Sure, that gigantic package of peanuts that looks like it can feed a herd of elephants is insanely cheap, but who are you kidding here? We both know there’s no way your family can eat it before they start going bad. And there’s no money saved when half of an item gets chucked into the trash. 

Before buying in bulk to snag a great deal, be sure the food won’t go rancid or get stale before you can eat it. 

  1. When the “sale price” is the highest the item’s ever been sold for at this location 

Retailers often use underhanded strategies to attract consumers. One of these tactics is featuring an item’s price as a “sale price” when, in reality, the store has never sold it for more than the tagged amount. 

Sometimes, the store operators will be basing their sale price on an inflated Manufacturer’s Suggested Retail Price (MSRP). But if the MSRP was artificially inflated from the start, you’re not really getting a bargain, are you? 

Other times, the item will come with a pre-marked-down MSRP. The manufacturer’s label might read: “Original price: $49.99. Our price: $39.99.” Of course, the item was never sold at $49.99 and the retailer is just playing games with you. If an item is really marked down, you’ll see a new price tag slapped on top of the manufacturer’s label with the newer, lower price. 

  1. When you need to mail in a rebate to get the discount 

Rebates are a retailer’s best friend. Most of us are just too lazy or forgetful to mail them in. So, we instead end up paying the full price with the retailer getting the last laugh. For instance, in one TiVo subscription promotion that included a mail-in rebate deal, a whopping $5,000,000 was never claimed.

If you’re the super-responsible type who doesn’t know the meaning of procrastination, enjoy those rebate deals. But, for the rest of us mere mortals, it only pays to pick up a rebate item with an instant at-the-register rebate. Otherwise, consider the item as being marked at its regular price.

  1. When it’s part of a liquidation sale 

Avoid liquidation sales like crime-ridden neighborhoods. While shoppers sometimes snag great deals at these sales, liquidation events are ripe with rip-offs. Retailers post signs claiming “Everything Must Go!” – but that’s where the honesty ends. The “Rock Bottom Prices” they advertise are often as high as the original MSRP – or even higher. The store owners are depending on shoppers to assume that all items are bargain-priced just because they’re at a liquidation sale. Don’t let them pull the wool over your eyes! Stay away from liquidation sales or proceed with extreme caution.

Sometimes a bargain is just that. But too often, what we think is an incredible deal is just another item we don’t need with a perfectly ordinary price. 

Want More Financial Tips and Tricks? Connect with Us on Facebook or Instagram!

SOURCES:

https://www.fnbn.com/3199-2/
https://www.google.com/amp/s/www.forbes.com/sites/robertwood/2012/03/03/beware-sometimes-bargain-sales-are-no-bargain/amp/
https://www.consumerreports.org/shopping/why-a-sale-isnt-always-a-sale/
https://www.google.com/amp/s/lifehacker.com/5695886/how-to-figure-out-when-a-sale-isnt-really-a-sale/amp
https://www.705fcu.com/borrow/loan-products/

7 Questions To Ask Yourself Before Making A Large Purchase

Considering a Large Purchase? Make a Plan!

You’re convinced: You really want that Coach handbag. Or maybe you just know that gigantic entertainment center will transform your weekends. So you swipe your card and the dream item becomes yours. You’re thrilled! 

That is, until a few weeks later when the credit card bill comes, and buyer’s remorse hits. You can’t help wondering: Was it really worth the price? 

Don’t get sucked in again! Before you say “yes” to a large purchase, ask yourself these 7 questions: 

1. Do I have cash to pay for this item? 

woman coming out of a store after purchase a television

This question will help you determine if you can really afford the purchase. You need to have liquid funds that can cover the cost of your item. Putting it on credit means you’ll be hiking up the price once interest is tacked on, and you’ll be reminded of a possibly regrettable purchase for a long time to come. 

2. Is this the best price? 

 

When making a large purchase, it’s important to comparison-shop by checking several online listings and some brick-and-mortar shops as well. Visit coupon sites like CouponCabin.com for automatic savings. Also find out the best season for buying this particular item and wait for a sale if it makes sense to do so. Finally, consider purchasing a previously owned item for less.  

3. How many hours of work will you need to do in order to pay for this purchase? 

 

Calculate the total number of hours you’ll need to work to pay for this “must-have” item. Is it really worth the price? 

4. How else can I spend this money? 

Think about the money you’re about to spend on this single item. What else can that money buy? A few weeks’ worth of groceries? A year’s worth of monthly dinners out? Take some time to think of other ways you can spend this money before making a final decision. 

5. Have you splurged recently? 

 

If you can afford it, there’s nothing wrong with an occasional pricey indulgence. But, when luxury purchases become a habit, it can spell disaster for your finances. If you picked up a designer handbag just last week, you may be best off waiting a bit before buying the one that’s caught your eye today. 

6. How often will I use this item? 

Yes, it seems essential today, but looking ahead, how often do you think you’ll really use this item? If you can see yourself only using this purchase a few times a year, you may want to re-think your decision. 

7. How much will this money be worth if I put it into savings? 

You have the funds for this purchase, but how much would that money earn if you saved it? Check out this investment calculator to get that magic number. The results might leave you pleasantly surprised. 

Here at 705 FCU, we have several long-term savings accounts that can help your money grow. Give us a call or stop by, and we’ll help you choose one that’s perfect for you! 

SOURCES:

https://www.frugalrules.com/questions-to-ask-before-a-large-purchase/ 
https://www.makingsenseofcents.com/2016/08/what-to-do-before-a-large-purchase.html 
https://www.thebalance.com/before-you-make-large-purchases-2385817 
https://www.google.com/amp/s/amp.businessinsider.com/sc/things-to-consider-before-major-purchase-2016-10 

KICK OFF A SAFE AND HEALTHY SUMMER

girl eating watermelonMemorial Day is the traditional start of summer in the U.S., and for many of us that means time spent outdoors, swimming, picnics and travel. Here are some tips to help keep your family healthy, happy and far from the ER this summer.

Not Looking Forward To Swimsuit Season?

If you’re wanting to lose weight, according to Lisa Lillien of the Hungry Girl website, don’t go overboard with crash diets. Instead, “make a few healthy tweaks to your eating habits.” Spend some weekend time prepping proteins and veggies, for instance. Then, when you want a freshly cooked meal, just throw the ingredients in a pan.
 
And have smart snacks around: jerky, protein bars, packs of nuts, fresh fruit. Eating more often might seem counter intuitive, but it can save us from making poor decisions at mealtime.
And on the topic of food: At picnics, make sure salads with mayonnaise stay in the shade. If they’re brought directly from refrigerator to table, help yourself. But don’t let them sit more than 15 minutes in the hot sun or you’re courting problems.

Water Inside

Hydration is always important, but with hotter weather, it’s even more important. Drinking lots of water is great for overall body function, and it keeps you from feeling unnecessarily hungry. Eight 8-ounce glasses of plain water every day will maintain moisture balance, but if you’re a big fan of caffeine, you should triple that amount.
 
Bonus: staying hydrated gives your skin a healthy glow.

Water Outside

We all remember being told “You’ll drown if you go into the water right after eating.” That’s too strong, but Sue Leahy, president of the American Safety and Health Institute, says that when we’re digesting food, “There’s less blood flow in your body and this takes away from strength. So if you really had to use your strength for undertow, you might have a problem.” Best bet is to wait half an hour after you eat, just like mom said.
 
Children pose different problems. The National Safety Council says more than one in five drowning victims are 14 or under. Be sure to find age-appropriate swim lessons for your child, and don’t rely on lifeguards; never leave your child unattended.

Be Good to Your Skin

No one wants to look like a peeling tomato, but it’s not about appearances: just one blistering sunburn doubles your risk of melanoma. And it isn’t enough to just apply sunscreen – you have to apply the right kind (SPF 15 or higher) and frequently (every two hours). Studies show that most people don’t apply nearly as much protection as they should. That means a teaspoon for the face, and for the body, about enough to fill a shot glass.
 
If you forgot your sunscreen, or didn’t use enough, apply cooling botanicals generously, preferably at the first sight of a pink glow. The damage is done, but this will reduce peeling and inflammation.

Be Good To Your Eyes

At work or at play, when outdoors, wear sunglasses that block at least 99% of ultraviolet A and B. Sunglasses can help prevent cataracts, as well as wrinkles.

Watch For Heat Stroke

This is a big problem for outdoor workers who can’t take a break, and for older people who are in apartments with no air conditioning. But it can happen to anyone.
“The first sign is cramping in the legs,” says Sue Leahy. “Cool off and drink fluids until it goes away. Cramping – especially in the leg – is a sign the body is losing salt and electrolytes, and you should heed it.”

Get Debugged

Bugs love summer, too – all that exposed flesh. But they can transmit Lyme disease, West Nile, Zika and other illnesses. The American Academy of Pediatrics and the Centers for Disease Control and Prevention recommend using insect repellants containing DEET (10% to 30%), except on children younger than 2 months.

Move It But Don’t Lose It

The summer months are mobile ones, and not just in SRVs and station wagons. If your child travels by bicycle, skateboard or scooter, he or she needs to wear a helmet that meets CPSC safety standards. So do you, since children learn best by observing adults. Set the example. Never let children ride near moving traffic.
Children who are too young to have a driver’s license shouldn’t be allowed on riding lawnmowers or off-road vehicles. Children are involved in about 30 percent of all ATV-related deaths and ER injuries.

Fireworks

The Fourth of July is one of the biggest events of the summer, but emergency rooms brace for the upsurge in injuries every year. Fireworks can cause severe burns, blindness, scars or worse. Even sparklers, which you might think are safe, can reach temperatures over 1000 degrees. And they can start fires. The National Safety Council says that in a recent year, fireworks caused an estimated 15,500 reported fires, including 1,100 structure fires. Families should attend community fireworks displays run by professionals rather than using fireworks at home.

Need a little help to make this the best summer ever? Learn more about our Vacation Loan Special!

 
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