8 Steps to Protect Yourself From Identity Theft

According to the Federal Trade Commission, identity theft has topped its list of consumer complaints every year, for the last 15 years. Identity theft occurs when a criminal obtains and misuses someone’s personal information without permission, typically for economic gain. For many victims, it can result in drained bank accounts, poor credit, and a damaged reputation.

To better protect your identity try these simple 8 steps:

Don’t share your secrets. Don’t provide your Social Security number or account information to anyone who contacts you online or over the phone. Protect your PINs and passwords and do not share them with anyone. When creating your passwords, use a combination of letters and numbers and change them periodically. Do not reveal sensitive or personal information on social networking sites.
Shred sensitive papers. Shred receipts, banks statements and unused credit card offers before throwing them away.
Keep an eye out for missing mail. Fraudsters look for monthly bank or credit card statements or other mail containing your financial information. Consider getting your bank statements online to reduce the likelihood of paper statements being stolen. If you bank with us, you can enroll for that free service at our website. Also, try to avoid mailing your bills from your own mailbox with the flag up.
Use online banking to protect yourself. Monitor your financial accounts regularly for fraudulent transactions.
Monitor your credit report. Order a free copy of your credit report every four months from one of the three credit reporting agencies at annualcreditreport.com.
Protect your computer. Make sure the virus protection software on your computer is active and up to date. When conducting business online, make sure your browser’s padlock or key icon is active. Also look for an “s” after the “http” to be sure the website is secure.
Protect your mobile device. Use the passcode lock on your smartphone and other devices. This will make it more difficult for thieves to access your information if your device is lost or stolen. Before you donate, sell or trade your mobile device, be sure to wipe it using specialized software or using the manufacturer’s recommended technique. Some software allows you to wipe your device remotely if it is lost or stolen. Use caution when downloading apps, as they may contain malware and avoid opening links and attachments – especially for senders you don’t know.
Report any suspected fraud to your bank immediately.

When it comes to protecting your identity, prevention is the very best cure.

What can I do to Keep my Business Safe?

This is an excellent question (so glad I asked it).

We have seen instances of businesses getting compromised via emails that contain viruses. When you open an corrupt attachment the hackers can monitor your email traffic and even send instructions to your bank that look legitimate. So many businesses are being hit with this type of fraud that it is an epidemic.

If your business gets hacked you risk loss of customers, loss of revenue, and even the loss of the business – a high percentage of hacked businesses end up closing their doors to the cost of recovering from a hack. Protecting a business can be challenging because in many cases more than one person has access to the business’s computers and conducts business with the bank.

We have recently contracted with a company called InteproIQ to offer a comprehensive cyber security solution to our business customers. This solution includes guides to help you establish the appropriate policies and procedures along with employee training all at a reasonable cost. For more information visit our website at: Biddeford Savings & InteProlQ – Written Information Security Program.

Be careful out there!

Summer, We Hardly Knew Ye

Well, where did it go? It seems like we just finally got rid of the last of the snow yesterday and here we are; time for school and football. The good news is that it was a very nice summer. In my case it was filled with visits to and from family and friends. Those visits remind me of what really matters in life – the people we hold dear. We also spent some time outside, enjoying all that is wonderful about Maine and New England.

This is a special part of the world – from our beaches to our mountains – which offers so many opportunities for us to get out and enjoy nature. I hope you and your family have had an enjoyable and relaxing summer. The return to school marks the transition away from Summer – I know several people who have just delivered freshman to college, talk about a transition! Our children are past that age now but I hold dear the memories of dropping them off at school. It was their turn to spread their wings and begin adult life. I think they were more prepared than we were!

Now we turn our attention to Fall – which is actually my favorite New England season. The days are already growing shorter and hopefully this humidity and heat will soon leave us for the cooler and drier air of Fall. That also means Old Man Winter is drawing closer. I guess I have survived enough Maine and New England Winters now to know I will get through this one, too. But let’s not wish Fall away, let’s embrace and enjoy this wonderful season.

How to Protect Yourself When Going Mobile

I have to say, the smartphones of today are amazing. To have that much information in your pocket is a wonder to an old dog like me. Makes me wonder how we ever got along without them.

That said, it is important to safeguard your mobile device to reduce the risk of identity theft. Here are a few steps you can take to improve your chances against the hackers –

Use the passcode lock on all of your mobile devices – a simple but effective step that makes it much more difficult for hackers to get to your data, so long as the passcode isn’t 1234 or something equally obvious.
Log out completely when you finish a mobile session involving your finances – whether it is with your bank, insurance company, or other service provider.
Keep your operating software up to date by downloading updates as they are available – they often contain protection against the newest viruses.
Beware of shoulder surfers – that person behind you at the airport who is stealing your passcodes.
Exercise caution when using public Wi-Fi networks – they are the easiest to hack so use your mobile network when conducting financial transactions.
Only download apps or programs from known sources.
Keep your bank informed if you change phone numbers or if your phone is lost or stolen.

These relatively simple steps will reduce the risk of being hacked and having your identity stolen.

Three Simple Steps to Frustrate Cyber Thieves & Keep your Identity Secure

By following these straightforward and sensible steps you greatly improve your chances against the cyber thieves.

Make your passwords complicated. I know, you are saying that’s fine but I have to be able to remember them. Here is a trick I was taught by our IT person a few years ago. Take a routine phrase and armor it by using some non-alpha-numeric characters. For example, 254 Main St (the address of our main office) becomes two54M@In$T – relatively easy to remember but very hard to hack.
Keep track of your accounts by reviewing statements and checking in online periodically. It is so easy to look at your accounts via the web or on mobile devices, just to be sure unexpected or unauthorized transactions are not showing up. By spending a few minutes at a time you enhance your peace of mind.
Stay alert when on the internet. Your bank will never ask you for your password, ATM PIN, or personal information. If you are asked for this type of information leave that site, discard any email asking for it, and contact your bank.

A few simple precautions will go a long way towards safeguarding your identity when you are online.

Graduated, Working, Deep in Debt

Today many young people come out of school with significant amounts of student debt. In fact, 70% of the class of 2015 left school with student loans averaging $35,000 per student. Ouch! To repay that amount of debt will require a monthly payment of $354 for 10 years. That will make it difficult for those young working folks to buy a car, a house, even to take a vacation.

Interestingly, the Google search for “paying student loans” only returned 666,000 hits. But those sites provide good information – start at www.studentloans.gov.

The first step is to be sure you understand the terms of the loans you owe.
Don’t ignore your loans – they won’t go away and if they become delinquent it will negatively affect your credit and make it even more difficult to qualify for a car loan, a credit card, or a mortgage.
If you can, make extra payments to reduce the loans faster – you will pay less interest this way as well.

Some graduates end up with loans having different interest rates. A good approach is to repay the ones with the highest rates first – a simple but effective strategy. The key is to be an informed consumer – it will pay big dividends.

Have you Saved Enough for your High School Junior to go to College?

Has this thought crossed your mind: “My child is going into his high school junior year – what can we do now about paying for college?”

Well, this is a challenging spot to be in – as a great many families have found out for themselves.

You cannot turn back the clock but there are still a few things you can do to manage the pain of paying for college. A big factor is where your child goes to school. Elite Private Colleges routinely cost over $60,000 per year these days. However, State Universities are relative bargains – costing a third to a half of that amount. Before you ignore the elite schools, know that many of them provide generous scholarship support.

For more information in this regard talk to the Counselors at your child’s high school. My Google search of “paying for college” returned 383 million hits so there is plenty of information available online. A good place to start is www.consumerfinance.gov. There are also a few simple measures that one can take to help control costs;

live at home,
attend community college for the first 2 years,
work part-time.

Any of these options will help control the cost of post-high school education.

For the New Parents Out There

Congratulations on the birth of your child.

Have you started saving for college, yet? Well, you had better get started soon! Here are some resources to help:

First step is the Harold Alfond College Challenge grant. Each child born in Maine is eligible for a $500 grant to establish a college fund. Go to www.500forbaby.org for the details. While you are there check out the wealth of information available on topics from finances to education, to health.
Maine also makes available a tax-advantaged saving plan called the Next Gen Plan – their website can be found at www.nextgenplan.com. The Next Gen Plan makes the hardest part of the process easy – the hardest part is to get in the habit of saving every paycheck, from the child’s birth until they head off to college, community college, or trade school.

Those are not the only resources, either. A Google search of “saving for college” returned 209 million hits. That should keep you busy until your child heads off to school! Good luck.

The Key to Saving for Retirement

If you have a plan you are twice as likely to actually save for retirement.

I hope I have convinced you that it is wise to save for retirement – and to begin now and keep saving faithfully until you do retire. Fewer than half of Americans have done the math to determine what level of income they will need in retirement while over half have less than $25,000 set aside for retirement.

With the average time in retirement at 20 years it is clear that $25,000 won’t get you very far. Once you start paying attention to retirement planning you will find a number of online resources to assist you.

Here are just a few government sites:

Other options are Motley Fool, Yahoo Finance, Fidelity, Charles Schwab and the list goes on.

All of these sites can help you plan for retirement. At ssa.gov you can also get a good estimate of what your expected Social Security income will be. This is an important component of your retirement income but it is highly unlikely that you would want to live on just Social Security.

Once you have a plan, be sure to revisit it twice a year – check in to see if you are making the desired progress towards your goals and to see if your investment choices are still good ones. If you create a good plan, stick with it, and review it periodically, you will give yourself the best possible retirement.

Good luck!

Why You Can’t Afford Not To Contribute

“I can’t afford to contribute to my employer-sponsored retirement plan”.

In reality, you can’t afford not to contribute, although 30% of employees forego their opportunity to get matching contributions. Many employers offer attractive matching donations to employees contributing to their own retirement funds. In a typical scenario you might contribute 4% of your salary to the plan and your employer will match that contribution – either dollar for dollar or at a 50% rate. Either way you earn a 50-100% return immediately. Even if all you do is leave the money in a savings account, you are well ahead of the game. Your employer may also be able to give you access to planning and investment advice, it is worth asking.

If your employer does not offer a plan you can still set money aside via an Individual Retirement Account (IRA). Your contribution may be tax-deductible and the earnings in the account won’t be taxed until you retire – two potential tax savings opportunities. As mentioned in my last post – the key is to begin saving and to set money aside from every paycheck.

If funds are tight and you don’t think you can “afford” to save, take another look at where you are spending your money. How often do you go out to lunch or dinner? Do you really need those new clothes, that new car, a weekend trip? There are almost always opportunities to reduce your spending without turning into a no-fun-having hermit. If you find a way to begin saving and keep saving, your retirement years will be more enjoyable – so go for it.