Welcome to Consumers’ Notebook, where we feature news-you-can-use and other timely information to help you become a more informed consumer. Check back often to read the latest pieces in our Notebook.
Warning: Social Security Imposters Now Use Fake Badges to Fool Victims
The fraudsters who steal money and personal information over the phone keep finding new ways to deceive us. Now, these scam artists have added fake government ID badges to their bag of tricks.
Millions of Taxpayers Will Benefit From COVID Relief Legislation This Filing Season; IRS Postpones Filing Deadline to May 17
The IRS announced a new filing deadline of May 17. The decision comes as the IRS falls behind in processing this year’s returns and gives taxpayers breathing room as they try to figure out all the tax changes resulting from the stimulus bill passed by Congress at the end of December.
‘Do I Owe Taxes on My Stimulus Checks?’ Answers to Common 2020 Income Tax Questions
While there are no significant tax law changes to worry about this time around, there are some issues related to the pandemic that could trip you up—or save you money. We consulted with several tax professionals to answer some of the most common questions for filing 2020 returns.
IRS Delays Start of Tax Filing Season
Ready to file your tax return? The IRS isn’t ready for it and has delayed the start of the tax filing season until February 12. The agency says it needs more time to reprogram and test its computers based on the COVID Relief Act, which wasn’t signed into law until December 27.
Auto Insurance Companies Provide ‘Tiny’ Refunds While Making Windfall Pandemic Profits, Study Finds
The pandemic has been a financial boon for the auto insurance industry. Since the outbreak, Americans have been driving less—resulting in fewer wrecks, fewer claims, and bigger profits. Few companies are sharing their windfalls with loyal customers.
How to Avoid Sky-High Overdraft Fees on Your Checking Account
We all make mistakes, but overdrawing your checking account is going to cost you more than ever before. The average overdraft fee hit a record high this year, increasing to $33.47.
Why It’s Safer to Use a Credit Card, Not a Debit Card
Some people find using debit cards, rather than credit cards, help them stick to their budgets and avoid going into debt. But credit cards offer stronger consumer protections.
Holiday Shopping: The Pros & Cons of Traditional Layaway and New Buy Now, Pay Later Services
The holiday shopping season is underway and for people without savings or credit, or who have credit cards maxed out because of the pandemic, layaway or buy now, pay later plans may be the only way to buy everything on their gift-giving lists.
Why Did I Get a Small, Unexpected Payment From the IRS?
By law, the IRS owes interest on refunds that accrued between the original April 15th filing deadline and whenever the refund was actually paid.
Dealing with Debt Collectors: Know the Rules, Your Rights, and How to Spot a Scammer
If you get a call from someone claiming to be a debt collector, it’s not always easy to tell if the caller is a real debt collector or a scammer. That’s why it’s important to go slowly and know your rights.
Many Consumers Enrolled in COVID-19 Payment Modification Programs Find Their Credit Files Erroneously Tarnished
Many lenders let their customers make reduced payments or skip payments altogether, without damaging their credit histories. But, in many cases, companies haven’t held up their end of the deal.
The Well-Known Brands Criminals Most Often Spoof in Phishing Attacks
Phishing is one of the most popular techniques used by cyber criminals because it’s simple and effective. The typical phishing attack involves creating an email that appears to be from a reputable company or organization and encourages potential victims to click on a link.
Amid a Troubled Economy, Credit Cards Cut Credit Limits and Cancel Cards
As the unemployment rate continues to climb due to the coronavirus outbreak, the banks that issue credit cards are taking defensive action by closing accounts and reducing credit limits.
Scammers Cash-In on COVID-19: How to Protect Yourself
The coronavirus pandemic is a dream come true for con artists across the globe: Millions of people are afraid of getting sick and struggling to make ends meet, just as trillions of dollars in stimulus funds make their way into the economy.
Stimulus Payment Glitches: Why Millions of Taxpayers Will Get Their Payments Late
Millions of Americans who filed their tax returns via tax preparation services haven’t received their stimulus payments yet.
How to Create and Easily Store Secure Passwords
Password management software helps you create strong and unique passwords for all your online accounts.
Is Your Auto Insurer Offering Help During the Coronavirus Outbreak?
Most of the largest U.S. insurance companies have announced plans to give their auto policyholders some form of relief. Some insurers are offering a lot more help than others.
Banks Often Refuse to Help Victims of Zelle Scams
Use a payment platform provided by your bank or credit union, and you probably assume your financial institution will be there to help if there’s a problem. Don’t count on it. Customers tricked into sending money to scammers via Zelle are learning that lesson the hard way.
New Proposed Rule Would Require Airlines to Disclose the ‘True Cost’ of Tickets, Including Fees
The U.S. Department of Transportation is considering a rule that would make it easier for consumers to see the true cost of flying—airfare, plus any fees—when booking trips. The rule would help provide customers with the information they need to choose the best deals.
Fraud Alert: Scammers Use Hacked Facebook Accounts to Put a New Twist on an Old Scam
Con artists are using social media to breathe new life into an old government grant scam. Many victims report losing thousands of dollars.