Despite its recent comedic portrayal in the media, identity theft can prove to be a very problematic and even life threatening situation. In this article, victims’ stories illustrate the multiple problems they face and the difficulties of remedying them. Learn the most common ways people put themselves at risk and the best identity theft prevention tips here. Read More
Average Joe seeks professional advice on retirement (as reported by Ron Lieber via nytimes.com)
Every day people are increasingly seeking out financial advisors to help them make smart, low-cost investments and to manage their Individual Retirement Account. Having a professional in charge of the retirement plans is seen to be a better alternative to having the individual handle them on his or her own as they are more likely to… Read More
Research shows 401(k) plans may be ineffective savings tool (reported by Steven Greenhouse via nytimes.com)
While the 401(k) plan has become a prominent feature for many employees, some argue that they remain inadequate as savings vehicles. A report published by The Center for Retirement Research at BostonCollege (found here) highlights a number of these concerns, concluding that the 401(k) may not be a sufficient means to save for retirement, especially… Read More
College students’ financial aid could see 8.2% reduction (as reported by AnnaMaria Andriotis via marketwatch.com)
College-bound students are looking anxiously towards forthcoming letters from universities for the Fall 2013 class. While cost is always a factor in a student’s decision, the question may have recently been complicated by the Federal government’s ongoing budget debate. The automatic spending cuts that were scheduled to enter into effect on January 1, 2013 contained… Read More
U.S. Justice Department sues S&P (as reported by various authors via bloomberg.com)
The Government’s lawsuit against McGraw-Hill’s S&P unit hinges on the argument the banks were unknowing investors and were duped by the rating that S&P placed on their credit products. The government is seeking $5bn and an admission of wrongdoing in connection with what it alleges as deliberately understating the risk of $2.8 trillion in residential… Read More
Individual investor sentiment improving (as reported by Justin Menza via cnbc.com)
Since 2008, the confidence of many investors has been shaken dramatically. The financial crisis, investment bank closures, algorithmic trading errors that swing the market violently, political uncertainty, and a grinding economic recovery have all taken a toll. That said, according to Fred Tomczyk, CEO of TD Ameritrade, individual investors are beginning to come back to… Read More
Is outsourcing losing its appeal? (as reported via cnnmoney.com)
Journalists are beginning to chronicle the return of a number of manufacturing and service jobs to the U.S. from abroad. Companies claim that a number of factors are making it cheaper to do more work locally, as opposed to sending it abroad where advantages in wages may be overcome by other costs. One take on… Read More
Student loan’s delinquency at multi-year high (as reported by Elizabeth Dexheimer via bloomberg.com)
Fair Isaac Corp., which created the FICO score that is used as a measure of consumer credit risk, announced today that the delinquency rate on student loans stands at a multi-year high. The delinquency rate rose to 15.0% between 2010 and 2012, as opposed to a rate of 12.4% between 2005 and 2007. This seems… Read More
“Villages” emerge as effective financial planning resource (as reported by Carla Fried via bloomberg.com)
Individuals around the country are creating new forms of social infrastructure to solve problems collectively that they could not solve as individuals. They are coming together in “Villages” to meet common needs at reasonable prices that members may not be able to manage alone such as transportation, financial planning and entertainment. Some also serve as… Read More
Payroll tax affecting consumers (as reported by Hadley Malcolm via usatoday.com)
In the month of January, employees may have noticed that their pay check became a bit smaller. One explanation for this change is the expiration of the Social Security payroll tax, which had been cut since 2010, but rose again at the end of 2012. A recent article offers some early notions of how this… Read More