By getting your kids more involved with understanding money, many of us could not only reduce expenses but also help our children learn a life lesson. Here are some ways you can involve your kids. Coach your kids on the concept of budgeting. You might take a couple of dollar bills out of your wallet …
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By getting your kids more involved with understanding money, many of us could not only reduce expenses but also help our children learn a life lesson. Here are some ways you can involve your kids.
Tax season is right around the corner, and it may be helpful to have a plan for the funds you expect to receive from the IRS. You may be tempted to spend the cash right away and treat yourself, but there are so many great things you could do with the sum that you won’t regret it later. Here are some responsible ways to use your tax refund:
1. Create an emergency fund
Many Americans don’t have an adequate savings account accessible in case of a sudden financial need. A lack of savings leaves you vulnerable to a job loss, medical emergency or major repair and can force you to seek out short-term loans at high interest rates or carry credit card balances for an extended period. Using your refund to start or augment an emergency fund could leave you breathing easier should one of those events arise.
2. Send it to savings
The IRS allows you to split up your refund in up to three accounts via direct deposit. That’s a perfect opportunity to stash some funds in a savings account that’s inconvenient for you to access, assuring that the money stays out of sight and out of mind until you really need it.
3. Pay off debt
If you are carrying a balance with a high-interest rate, consider using your tax refund to pay that off. It doesn’t make much financial sense to put the IRS check for $3,000 in a fund yielding low interest. Once you’ve paid off those high-interest rate loans, you can start putting more money into a savings account every month.
4. Fund your retirement
What better way to sock money away for retirement than by using funds that aren’t a part of your paycheck anyway? You can use the funds to open a Roth or traditional IRA. You’ll probably be grateful that you had the foresight to save for retirement rather than spend it on something you’d have long since forgotten about.
7. Make home improvements
If you live in an older home, spending some of that refund around the house can lower energy bills. Replacing old windows can improve the efficiency in the winter and in the summer by reducing your electric bill. Old appliances can be replaced by models that use less energy. If your kitchen or bathroom is out of date a remodeling project can improve the functionality of your house now and also make it more attractive when you decide to sell.
You know that mobile banking with Compass is a convenient way to access your account wherever you might be. While mobile banking with us is also safe and secure, there are some simple rules you can follow to ensure that your private information stays that way:
Keep your phone password protected.
To learn more about mobile banking, click here.
We have provided some information and tips on how you can protect yourself from phony emails and phishing scams. In this article, we will be focusing on the latest scam published by the FBI’s Internet Crime Complaint Center (IC3), Tech Support Scams. Based on a Public Service Announcement published in July, this particular scam is on the rise. IC3’s 2022 Internet Crime Report shows this type of scandal had a 27% increase over 2021 and totaled in over $1B in losses.
How do you know if you’re being targeted:
The scammers will initiate contact with their victim through a phone call, text message, email, or popup window posing to be support from a company. They hook their victims by telling them they are eligible for a refund and that they need to gain access to their computer so they can guide them through the transfer. They will urge their victim to log into their bank account, and then take over control. During this process they will intentionally transfer more money than what was said to be refunded and play on their victims’ emotions by telling them they could lose their job if they do not receive the funds back. They will instruct their victim to send the money via cash disclosed in a magazine or to a pharmacy or retail business which will accept packages like this.
How do you protect yourself against the threat, below are some tips provided from IC3:
What do you do if you’ve fallen victim, or suspect you’ve been targeted:
If you suspect you have been a victim of this attack, you should report this activity to the FBI Internet Complaint Center at www.ic3.gov. You will need to include as much information as possible, and this should include.
The source of this information was gathered from the FBI’s IC3 website and can be reviewed in more detail at https://www.ic3.gov/Media/Y2023/PSA230718.
Compass Community Credit Union is dedicated to protecting our members and the safety of your information. If you have any questions or concerns, please call us at 707-443-8662.
1. Waiting to lock in a price for your heating needs
For those who use propane or wood to heat their home, prices usually climb during the winter season. It’s risky to put it off so stock up now before you run low. Price hikes could eat into your budget at a higher rate than you had planned, causing unnecessary financial strain.
2. Paying for fall fix-ups with a high-cost credit card
If improvements are on the horizon, plan ahead. Instead of diving for your credit card to pay for those improvements, talk to us about obtaining a home equity line of credit. There’s no cost to keep an unused line available. When you do use it, the rate is typically lower than other ways to borrow, and interest can be tax-deductible (check with your tax professional).
3. Neglecting to max out your 401(k)
If your retirement savings plan has an employer match, check with your HR manager to see if you’ll qualify for the maximum in matching funds by year-end. If your employer does not offer a plan, you might consider a Traditional or Roth IRA from us. Call 707-443-8662 to learn more.
4. Postponing winter preparations
Let’s say you know you’ll need new tires or some extra cash for holiday gifts. If you plan now, you might be able to come up with the money. Start now by stashing $80 or $100 in your savings account every two weeks. Instead of going out to eat, prepare a meal at home and use the money you would have spent to fund your savings account. Another option is to apply for our low-rate credit card. It can be used in addition to your savings and might give you a handy way to track holiday spending.
As we know, winter will arrive before we know it. Fall is a great time to make plans—and we’re ready to help.
April is National Youth Month, designed to encourage kids to develop healthy saving habits by making saving fun and exciting. This year’s theme is:
Compass is committed to helping teach and encourage kids to develop good financial habits. For the month of April, we are providing an incentive to encourage our younger members to save. Click here to learn more.
We have recently seen an increase in scams and would like to provide you with some tips on how to identify them and what to watch for.
Prize Pitch (Lottery) Scams
The classic prize pitch scam involves victims receiving notification by mail, phone, or e-mail indicating they have won a prize (monetary or other valued items).
However, in order to collect the prize the victim is required to pay various fees or taxes in advance. Victims either never hear from the organization again or receive further requests for money.
Tips:
Watch out for Charity Scams
Fraud artists hope to profit from people’s generosity. Consider the following precautions to make sure your donations benefit the people and organizations you want to assist:
• Be wary of appeals that tug at your heart, especially pleas involving current events.
• Ask for written information about the charity, including name, address and telephone number. A legitimate charity or fund-raiser will give you information about the charity’s mission, how your donation will be used and proof that your contribution is tax deductible.
• Ask the solicitor for the registered charitable tax number of the charity. Question any discrepancies.
• Check out the charity’s financial information. For many organizations, this information can be found online or call them.
• Watch out for similar-sounding names. Some phony charities use names that closely resemble those of respected, legitimate organizations. If you notice a small difference from the name of the charity you intend to deal with, call the organization to check it out.
• Be skeptical if someone thanks you for a pledge you don’t remember making. If you have any doubts about whether you’ve made a pledge or previously contributed, check your records. Be on the alert for invoices claiming you’ve made a pledge. Some unscrupulous solicitors use this approach to get your money.
• Refuse high-pressure appeals. Legitimate fund-raisers won’t push you to give on the spot.
• Be wary of charities offering to send a courier or overnight delivery service to collect your donation immediately.
• Be wary of guaranteed sweepstakes winnings in exchange for a contribution. According to law, you never have to donate anything to be eligible to win.
• Avoid cash gifts. Cash can be lost or stolen. For security and tax record purposes, it’s best to pay by check.
Advance Fee Fraud
Classified advertisements for loan opportunities do not guarantee the legitimacy of a company. Some companies claim they can guarantee you a loan even if you have a bad credit history or no credit rating at all. They usually request an up-front fee of several hundred dollars. If you send your money to these companies, it is unlikely you will get your promised loan and your advance payment will be at risk.
Advance fee loans operating for a criminal purpose generate millions of dollars annually in the U.S. Persons with poor credit ratings are usually the key targets and once the ‘loan processors’ receive your money, they usually disappear.
If you have doubts about the organization, contact the Better Business Bureau for further information.
Most important, do not give out your personal or account information unless you are absolutely sure you know who you are dealing with. If you have any questions or concerns, please call us at 707-443-8662.
April is National Youth Month, designed to encourage kids to develop healthy saving habits by making saving fun and exciting. This year’s theme is:
As a parent, you instill good values and financial guidance in your children. Compass is committed to help teach and encourage kids to develop good financial habits. We are providing an incentive to help our younger members see the importance of putting money aside. Click here to learn more.
Fraudsters use circumstances like this to prey on innocent people. To protect yourself from scams, use caution and watch for these types of threats.
1. Financial Imposter Scam
Fraudsters create SMS/Text Messages that look like they came from your financial institution, prompting you to take action immediately. Once you respond, they follow up with a call pretending they are from the security department. They use some of your information found on social media or the internet to coax you into providing your username, password and 2FA code. This information allows them to access your online banking. Compass will never ask for your password or 2FA code and you should never give this information out.
2. Phishing Emails
Be wary of emails requesting personal information. Scammers send bogus emails that look like they come from a company you recognize. They include the company’s branding and logo so you think it’s legit. These scams are designed to trick you into providing your username and password. Do not click on any links in the email. Contact the company directly through their website by typing the web address yourself. You can also call the phone number that you have on file or the number listed on their website.
3. Spoofed (Fake) Websites
Crooks like to create fake websites that look genuine. They can be very impressive to deceive you in thinking it’s real. Then, they try and trick you into providing your debit/credit card number or your username and password. The best thing to do is go directly to the website by typing the web address yourself rather than from the link. Look at the website address and make sure it matches the site you’re trying to access. Tip: Scammers usually misspell or add an extra letter to the website address. An example is Amazon becoming “Amazone” or “Amazne.”
4. Reusing Usernames and Passwords
Protect yourself by using different usernames and passwords for every account. Passphrases consisting of simpler words or constructs are better than short passwords with special characters. A password is a short character set of mixed digits. A passphrase is a long string of text that makes up a phrase or sentence. Example: mydogRocky#1
For additional information and to learn more about other security tips, visit Compassccu.org/securitytips. If you think you have been a victim of fraud, please contact us at 707-443-8662.
One thing you don’t want to waste – your time. With mobile banking, you can access your accounts anytime, anywhere. It’s safe, secure and super easy to use.
Deposit checks without visiting a branch. All you need to do is sign, snap a picture of both sides of the check, and submit the check through the Compass mobile app. It’s that easy!
Tagging transactions allows you to locate your purchases quickly and organize.
With the Low Balance Alert, you can receive notifications when your balance goes above or below a pre-selected threshold or for large transactions.
Mobile banking helps you spend time doing what matters most to you. Ready to get started? Just download the Compass Community Credit Union app and follow the prompts. For more information, visit https://compassccu.org/personal-banking/mobile-banking/
In short, a credit union is a cooperative financial institution where people work together to make everyone’s lives better. Everyone who has an account here is a member. And every member is an owner.
Rather than making profits to send to far-off shareholders, Compass CCU reinvests in our credit union. Which means we reinvest in YOU. That’s why we say that, at Compass Community Credit Union, we guide you to better banking.