Emotional spending is an effort to relieve stress by spending money on something you don’t need—and it’s common. According to a survey by NerdWallet.com, almost half of all Americans spend more than they can afford for emotional reasons. Whether you’re trying to console yourself after a breakup or just trying to avoid thinking about why your boss is giving you the silent treatment, shopping may seem like the best way to make yourself feel better, but the benefits are short-lived.

The problem is that emotional spending can make you feel worse than before. When you get your credit card bill, or when the excitement of your new purchase wears off, the bad feelings often come back with a vengeance. Making matters worse, this kind of self-medicating can quickly get out of hand and lead to unmanageable credit card debt.

If you feel guilty about past purchases, you are probably more likely to overspend in the future. Guilt, shame, and other negative emotions can lead people to make unwise or irresponsible purchases to cope with their feelings. People who feel guilty about spending money on themselves tend to spend more than those who don’t feel as bad about it.

There are better ways to deal with these emotions than spending your hard-earned cash on things you don’t need. For example, you’re feeling down because someone said something rude at work today and now want comfort food to make you feel better. Rather than giving in to that urge and buying an expensive meal, take a walk outside. Exercise releases endorphins that will calm your feelings of stress or sadness by lifting moods. Work on a hobby or do something else you enjoy that doesn’t involve spending money.

Pause and take a deep breath.

Stop, relax, and take long deep breaths before making a purchase. Pausing will allow you to reevaluate and let the emotions that encourage you to buy calm down. Going on a shopping spree for things you don’t need may not seem appealing once you pause and reconsider.

Try the 24-hour rule. If you’re tempted to buy something, put it on hold for a day or so. You often realize you don’t need the item and can move on with your life without feeling like you’ve missed out.

Face your problems directly.

It is important to remember why you spend money and your motivations. If you are spending money to avoid thinking about something else or to cope with emotions, it is better to face the problem directly. There are usually cheaper ways to deal with negative emotions. For example, if you feel alone and depressed, contact friends or family instead of buying things.

Avoid your triggers

Many emotional shoppers have triggers that cause them to spend. For example, you might overspend when you hang out with other friends who are emotional shoppers. Reducing the time you spend with those friends or suggesting other activities that don’t involve shopping may help reduce the money you spend.

If online shopping triggers you, you can do a few things to help curb your spending. First, delete your payment information from all the websites you use. This way, every time you want to buy something, you’ll have to go through the extra step of entering your credit card information and shipping address. Another option is to get an app on your phone or computer that blocks your access to certain websites for a set period.

Stay away from the mall if you don’t need to be there or turn off the TV if you’re flipping through channels and see an infomercial for something enticing. The more you are exposed to things that could tempt you to spend, the higher your chances of succumbing to those temptations.

Ask questions before making a purchase. Are you buying something because it’s on sale? Do you feel you deserve a reward for working hard at work or school? Do you think shopping will improve things because nothing else does? These are essential questions to ask about any purchase, as they’ll give insight into why you’re spending money and encourage healthier dialogue with yourself. In addition, being aware of your triggers, habits, and limits will help keep your wallet safe from unnecessary purchases.

The good news is you can regain control of emotional spending. By understanding your triggers and what you want from life, buying things will start to feel less important. It can be hard to break habits, but it is possible with patience and learning from each experience as they happen.

Struggling with debt due to emotional spending? BALANCE is a free financial education program that offers helpful resources to break the debt cycle and use your money for what’s most important to you.

It’s time for back-to-school shopping! With inflation continuing to rise, you may be worried about crossing everything off your child’s school supplies list without going over budget, but relief is coming soon with this year’s sales tax holiday.

Texas’ tax-free weekend begins Friday, August 5th, and ends on Sunday, August 7th. Taking advantage of the deals and sales tax exemption can help stretch your money. Before you start adding items to your cart, you’ll want to know what items qualify for tax-free status.

What items are tax-free?

Shoppers will have taxes waived on clothing, footwear, school supplies, and backpacks sold individually under $100.

Which items are NOT tax-free?

Unfortunately, not everything is tax-free. Items such as jewelry, purses, computers, software, textbooks, and athletic or computer bags do not qualify for tax-free savings.

Where can I shop?

Shoppers can buy items in stores or online. Doing your back-to-school shopping online can save you time but there are some things you’ll want to keep in mind in order to have the taxes waived.

Purchases made online Sunday, August 7th at 11 p.m. may be charged as taxable purchases if a merchant accepts the payment on August 8. We recommend completing your online shopping earlier to avoid missing the tax-free holiday window.

Shipping costs are part of the item’s total sale price so if you’re shopping online, make sure to keep this total under $100 to avoid sales tax.

Does a Tax-Free Weekend Save You Money?

You can expect to save about $8 for every $100 spent during tax-free weekends. While this may not seem like much, your savings could add up depending on how much supplies you’re expecting to buy.

Remember, just because it’s a tax-free weekend doesn’t mean you’ll automatically save money. Try searching for coupons and other sales to maximize your savings. For more information on qualifying items, refunds and more, visit the Texas Comptroller’s website.

No matter when you shop, the back-to-school season comes with a large price tag. Using your AFFCU Visa Debit or Credit Card at checkout could help you save money every time you swipe.

7 Ways to Fight Inflation

Of all the economic problems that arise, inflation is among the most destructive. When prices rise, every dollar earned is worth less, making it even more challenging to make ends meet.

Saving for the future can take a back seat during inflation and even after prices stabilize, putting families behind in their savings goals. To preserve wealth and buying power, a strategy is needed for survival, and here are valuable tips to use starting today:

Put an end to those nuisance fees once and for all

With every dollar worth less, no one can afford to waste them. So now is the time to get rid of those monthly bank service fees, ATM charges, and other costs that may be lingering.

 

Banish food waste

The only thing worse than spending more at the grocery store is watching those dollars disappear into the trash or down the garbage disposal. With inflation on the rise, it has never been more essential to banish food waste. Embrace those leftovers, freeze the excess, or share the bounty with those in need.

 

Stock up on shelf-stable staples

Even with prices on the rise, there are bargains to be had. When deals pop up, it is time to stock up. Filling the pantry with pasta boxes, jarred sauce, and canned vegetables will be good for future finances, so clear some space and start shopping.

 

Experiment with meatless meals

With the price of meat rising faster than other grocery store staples, now could be the time to embrace an inner vegetarian. Maybe a meatless Monday is a way to experiment. Of course, giving up meat entirely isn’t necessary, but eating meatless one or two days a week could make a big difference in the size of monthly grocery bills.

 

Put off major purchases

If you are contemplating a major purchase, ask if it is something you can live without. If so, putting it off until the worst of the inflation spike is over might result in considerable savings.

 

Seek out inflation friendly investments

If extra cash is available to save and invest, looking for products that benefit from inflation is smart. From government savings bonds that track the rate of inflation to stocks of companies with rising earnings, these smart money investments could be suitable for the short term and the long term. Consult a financial advisor for the best options.

 

Optimize your fuel economy

The price of gas has been especially problematic of late, and inflation at the pump is surely one of the most painful aspects of rising prices. Looking for ways to maximize fuel economy can have an outsized influence in this environment. Think about the way you drive as well as how many miles are traveled. Are there other, less expensive transportation options available?

 

Inflation is nothing new, and rising prices have arisen in decades past. When prices are rising, it is easy to despair, but it is important to realize that spending power can be retained. Solving the Federal Reserve dilemma or controlling the larger economy might not be an option, but the ability to make strategic changes to how you shop, drive, cook, and live your daily life still exists. The seven inflation-fighting tips listed above may help make the most of those shrinking dollars.

Don’t let inflation erode your savings. Your funds can earn more in a Money Market Account or Certificate Account from AFFCU. The money you place in these accounts earn a significantly higher interest rate than what is offered through a traditional Savings Account. So, your savings can keep up with rising inflation.

Using the equity in your home to pay off unsecured debt and/or make home improvements can be a hard financial decision. Low annual percentage rates, tax-deductible interest, and streamlining your monthly payment makes second mortgages extremely attractive. Meanwhile, using your home for collateral is a decision that should be weighed carefully.

Home Equity Loan or Home Equity Line of Credit (HELOC)

Second mortgages come in two basic forms: home equity loans and home equity lines of credit, or HELOC. They typically offer higher interest rates than primary mortgages because the lender assumes greater risk – in the event of foreclosure, the primary mortgage will be repaid before any seconds.

However, because the loan is still collateralized, interest rates for second mortgages are usually much lower than typical unsecured debt, like charge cards, credit cards, and consolidation loans.

The other major advantage of second mortgages is that at least some of the interest is, for borrowers who itemize, tax deductible. To receive the full tax benefit, the total debt on your home, including the home equity loan, cannot exceed the market value of the home. Check with your tax advisor for details and eligibility.

Is a second mortgage a good idea?

Before you decide which type of second mortgage is best for you, first determine if you really need one. If you have ongoing spending issues, using the equity in your home may not help and may, in fact, be detrimental. Ask yourself the following:

• Do you frequently use credit cards to pay for household bills?
• If you subtract your expenses from your income, is there a deficit?
• If you were to pay off your creditors by using the equity in your home, would there be a strong possibility of incurring more unsecured debt?

If you responded “yes” to any of the preceding questions, tapping out the equity in your home to pay off consumer debt may be a short-term solution that can put your home in jeopardy of foreclosure.

If you use the equity in your home to pay off your unsecured debts, then run up your credit cards again, you could find yourself in a very difficult situation: no home equity, high debt, and an inability to make payments on both your secured and unsecured financial commitments. Spending more than you make is never a good reason to use the equity in your home.

How do I get started?

If you have determined that using home equity is sensible, your next step is to understand the process of obtaining a second mortgage, and choose between a home equity loan and a home equity line of credit.

Factors to consider

One factor to consider when shopping for a second mortgage is closing costs, which can include loan points and application, origination, title search, appraisal, credit check, notary and legal fees.

Another decision is whether you want a fixed or variable interest rate. If you choose a variable rate loan, find out how much the interest rate can change over the life of the loan and if there is a cap that will prevent the rate from exceeding a certain amount.

APR

Shopping around for the lowest APR (Annual Percentage Rate) is integral to getting the most out of your loan. The APR for home equity loans and home equity lines are calculated differently, and side by side comparisons can be complicated. For traditional home equity loans, the APR includes points and other finance charges, while the APR for a home equity line is based solely on the periodic interest rate.

Other factors

Before you make any decision, contact as many lenders as possible and compare the APR, closing costs, loan terms, and monthly payments. Also inquire about balloon payments, prepayment penalties, punitive interest rates in the event of default, and inclusion of credit insurance.

When shopping for loans, do not rely on lenders and brokers who solicit you – ask fellow workers, neighbors, and family members for dependable leads, and research the Internet for immediately accessible quotes.

Home Equity Loans

With a home equity loan, you will receive the cash in a lump sum when you close the loan. The repayment term is usually a fixed period, typically from five to 20 years. Usually the payment schedule calls for equal payments that will pay off the entire loan within that time.

Most lenders allow you to borrow up to the amount of equity you have in your home – the estimated value of the house minus the amount you still owe. You are not required to borrow the full amount, but can instead borrow only what you need.

Interest rates are usually fixed rather than variable. You might consider a home equity loan rather than a home equity line of credit if you need a set amount for a specific purpose, such as an addition to your home, or to pay off your entire unsecured debt.

Home Equity Lines of Credit

A home equity line is a form of revolving credit. A specific amount of credit is set by taking a percentage of the appraised value of the home and subtracting the balance owed on the existing mortgage. Income, debts, other financial obligations, and credit history are also factors in determining the credit line. Once approved, you will be able to borrow up to that limit, in restricted increments. Some lenders will charge membership or maintenance and transaction fees every time you draw on the line.

Interest is usually variable rather than fixed. However, the repayment term is usually fixed and when the term ends, you may be faced with a balloon payment – the unpaid portion of your loan.

The advantage of a home equity line of credit is that you can take out relatively small sums periodically, and interest will only be charged when you deduct the money. The disadvantage is the temptation to charge indiscriminately.

Watch out for too-good-to-be-true offers

You may be tempted by offers that allow you to borrow up to 120% of your home’s equity. Be aware that any interest above the home’s equity limit is not tax deductible. Additionally, you won’t be able to sell your home until the lien is satisfied, which can negatively impact the marketability of your home.

Finally, if you suddenly change your mind, federal law gives you three days after signing a home equity loan contract to cancel the deal for any reason.

If you’d like to learn more about using the equity in your home to pay for an expense like repairs or even a remodel, visit our Home Equity Loan web page to learn more about our rates, features, and apply.

Things to consider when buying a boat

The long days of summer are here and that means more time to spend outdoors. If you’re thinking of buying your first boat – congratulations! It’s a big step toward helping you and your loved ones have fun away from the TV.

But there’s more to buying your “toy” than meets the eye. Here are a few tips to help you buy with confidence and avoid buyer’s remorse.

Browse Boat Options

Boats come in all different shapes and sizes. That’s why it is important to know what make and model matches the type of activities you’ll be doing and the types of waterways you’ll be frequenting. 

 

Set a Budget

Once you know the type of watercraft you’re interested in, you’ll need to find the boat that fits your budget. Determine how much money you’ll be putting as a down payment for the purchase. It’s also a good idea to get pre-approved for your boat loan before you start shopping, so you’ll know the dollar amount you’re approved for to make it easier to stay within your budget.

 

Prepare for Additional Costs

Any boat owner will likely warn you about the expenses related to owning and maintaining your watercraft. You’ll need to prepare your wallet for the extra items you’ll be spending your money on like hauling, storage, gas, maintenance, and registration fees.

 

Think About Insurance

While boat insurance isn’t required in all states, it may be an investment you want to pay for since it could cover damage caused by an accident on or off the water. Insurance for a boat is different from the coverage you have for your car and home. Take some time to do your research and compare your options from multiple providers. 

 

Remember, Safety First

We know you’re looking forward to having fun on the open water, but it’s important to prepare for emergencies. Make sure you have life jackets, and flotation devices for you and your occupants. Be aware of the weight limits of your boat so you don’t overload it. Keep an eye out for low water areas and submerged objects that could damage your boat. Check the weather before heading out.

 

Financing Your Boat

For Boats, Jet Skis, and other Watercraft, AFFCU can finance your next outdoor adventure!

Your financial health is just as important as your physical health. That’s why it is important to start practicing healthy financial habits now. Remember, it’s never too early or too late to start a good thing.

Consider adopting these three simple financial habits today for a brighter financial future tomorrow.

Evaluate Your Expenses

Budgeting is a key cornerstone to mastering your finances, but it can seem intimidating and time-consuming if you’ve never done it before.

To get started with a basic budget, you should list your monthly income. Then you’ll want to write all of your one-off and recurring monthly expenses. Lastly, you will compare the difference between your “bringing home” and what you’re spending. This part can be a huge eye-opener to people because it will show your estimated monthly savings or if you have overextended your means.

Like most things in our world, technology has also streamlined the budgeting process. There are a plethora of free budgeting apps and tools available on your favorite mobile device that can track and organize your spending habits, so all you have to do is review it and update your spending habits accordingly. Your financial institution may even have a budgeting tool within their digital banking platform.

Something that most people don’t realize is that a budget isn’t meant to limit your money and dampen your fun. Your budget is there to help you find more efficient ways to maximize the money you work hard for.

Set Up Financial Boundaries

Spending beyond your budget can put you in a bad spot financially. Some ways to curb overspending is to ask yourself “Do I need this? Can I do without this?” to see if these purchases are justifiable for your particular situation.Many financial experts also suggest following the “50-20-30 rule” as a guide on how you should use your monthly income.

• 50% of your monthly income should go towards necessities, including utilities, food, and rent or mortgage.
• 20% should be put to your savings and paying your debt, such as paying off loans or student debt.
• 30% of your money goes to personal purchases, such as your phone plan, internet/cable/streaming services, clothing, and personal care.

This financial recommendation provides you with a clear guide on how your income should be divided up to help make it easier to stick to this practice. 

Make yourself a priority

Paying yourself first by saving or setting money aside. This small action can help you be financially prepared for anything, good or bad, that comes your way. Some of the most common areas people save for are; retirement, emergencies, major life changes, and big purchases.

There are options available to you that can simplify and speed up this process. This way you won’t even see the money, so it keeps you from spending it and moves you closer to your savings goal faster.

Your employer may even offer direct deposit options that allow you to divide up portions of your paycheck that will get automatically put into different types of accounts each pay period. You can also schedule automatic transfers from your financial institution’s digital banking to a secondary savings account or even have your expenses rounded up to have the extra change put into another savings account.

Remember to regularly check-in and adjust your budget and savings goals to make sure these items fit your financial situation at that time in your life.

We know practicing healthy financial habits is easier said than done, but with a bit of time and self-discipline, it will become second nature to you. AFFCU offers Savings Accounts and Certificate Accounts to help keep you on your path to financial success. 

Need some more help getting started with budgeting and getting control of your finances? AFFCU has partnered with industry-leading BALANCE to provide you with free access to expertly-crafted financial education and resources to help with your fiscal matters. Learn more about BALANCE.

Should You Try the Money Envelope Budgeting System?

Creating and maintaining a budget is one of the best ways to stay on track with your finances. Budgeting allows you to save up for large purchases such as a down payment on a car or home, build an emergency savings fund or even pay off high-interest debt. 

But with inflation on the rise, it may be time to take a second look at your budget and make some adjustments. Cash Stuffing has gone viral on popular social media sites as people look for new ways to adjust their spending to accommodate increasing prices at the gas pump and store shelves. 

If your previous budget is no longer realistic or could use some adjusting, you may want to consider this retro method. We’ve put together some things to consider to help you decide if this tool is right for you and your money.

Cash stuffing has actually been around for years and is a rebranding of the money envelope system.

Cash stuffing, or money envelope budgeting, is when you withdraw cash on payday and divide it into dedicated envelopes, for different expenses and savings categories, like gas, groceries, utility bills, dining out, vacation, holiday shopping, etc. The money you store away in each envelope is the maximum you can spend. Some people use a small accordion file folder rather than envelopes, so their cash is all in one place and stored in something sturdier than a paper envelope,  but the choice is up to.

If there is any money leftover in an envelope by the time your next pay period comes around, you can leave the extra funds in that envelope for an extra boost or roll the money into another envelope that may be low.

Now that you have a better understanding of what this budgeting tool is, it’s important to highlight some of the pros and cons of Cash Stuffing.

Pros

• Your budget becomes more tangible
• You’re not charged overdraft fees if you overspend
• You’ll avoid credit card debt
• You’re less likely to make impulse purchases
• You’ll build better spending habits

Cons

• Your cash can be lost or stolen
• You won’t build credit when paying with cash
• Your purchases won’t earn rewards or cash back perks
• You may have a harder time reviewing your transaction history
• Your money won’t earn interest

Following the envelope budgeting method takes discipline, but it can be well worth it for certain people. It’s important to do what’s best for you, so if you prefer a digital approach there are plenty of helpful tools to help divvy up your money.  

Having multiple savings accounts is an updated version of the Cash Stuffing and Envelope System method that makes it easier to manage your money.

AFFCU members can open multiple Secondary Savings Accounts, each new savings account will be its own “envelope.” You’ll be able to name each Secondary Savings Account after the monthly expenses or goals you’re saving for like you would when stuffing an envelope.

Using Multiple Secondary Savings Accounts is as simple to understand and far more secure than paper envelopes filled with cash. You can easily set up automatic transfers to each savings account, earn dividends and move money between each account as needed. Best of all, all of the accounts can be managed within Online and Mobile Banking.

Need some more help getting started with budgeting and getting control of your finances? AFFCU has partnered with industry-leading BALANCE to provide you with free access to expertly-crafted financial education and resources to help with your fiscal matters. Learn more about BALANCE.

Gas is a big expense for many households and as prices continue to climb, we know the worry it causes not only drains your wallet but also your mental health. We’ve put together some tips and tricks for you to minimize your car’s fuel and maximize your savings.

• Slow down: Driving at high speeds and braking hard can increase your car’s fuel consumption. Try driving the speed limit or using cruise control to reduce drag.
• Check your tire pressure: Under and over-inflated tires will increase your vehicle’s engine power resulting in higher fuel consumption. Keep your tires at the recommended PSI per the specifications of your car’s make, model, and tire type for better fuel efficiency.
• Lighten your load: Avoid keeping heavy, unnecessary items in your vehicle. The extra weight you’re hauling around could reduce your miles per gallon, especially for smaller vehicles. Take some time out of your day to clean out your vehicle.
• Avoid Idling: Whether you’re waiting for your fast food order or waiting for your kiddo in the after-school pick up line if your engine is on, you’re burning fuel. Turning off your car while you wait is better for your wallet since you’re not wasting fuel and it’s better for the planet since there are fewer emissions that lead to pollution.
• Care for your Car: Make sure your vehicle is operating at peak performance so it’s not wasting fuel. Keep up with a regular maintenance schedule for fuel injector cleaner, oil, and filter changes, and tire rotations.
• Consider your payment options: You may be able to reap the benefits of paying for high-priced gas depending on your payment method. Each time you swipe your credit or debit card at the pump, you could get cash back bonuses or points through your financial institution’s rewards program. These benefits can add up and you can cash them in for prizes and gift cards.

If you decide to pay with cash at the gas station, you could be offered a discount since the business isn’t losing money from card processing fees, so in return, they pass these savings on to you. 

Join a wholesale club or loyalty program: Wholesale clubs such as Costco, Sam’s Club, or B.J.’s, sometimes offer gas for 30-40 cents cheaper than a regular gas station. You do have to pay an annual membership fee, but the savings at the pump and in the store could very well be worth the initial expense. Many supermarkets or chain gas stations offer loyalty programs that allow drivers to earn points with each visit. Once you’ve reached a specific point goal you’ll be rewarded a discount at the next fill-up. 

Use a mobile app: Apps like GasBuddy, Gas Guru, or Waze are free for both Apple and Android devices and make it easy to find gas stations in your area with the best fuel price. You can also earn money when you fill up with cashback apps like iBotta. Simply scan your receipt to earn points and redeem for cash or gift cards once you hit a specific dollar amount.

While fuel prices will always fluctuate with the economy, these tips are good to practice no matter the price at the pump. If you’re thinking of buying a more fuel-efficient vehicle, check out the features of an AFFCU Auto Loan.

As a senior in college, you’re probably preparing for your higher education journey to come to an end, but it’s important to make time to ensure you’re on the road to financial stability before you turn your tassel at your commencement ceremonies.

Create a budget

Even if you’re still searching for your first post grad job, building a realistic budget is a good starting point to building good financial habits. You can start with the basic 50/30/20 budget model and once you grasp the foundation, you can evolve your budget as you become more comfortable with crunching numbers.

Stay on top of student loans

Many college students will have some amount of debt from their student loans by the time graduation rolls around, but having this debt on your credit report isn’t the end of the world. Start getting familiar with paying your student loans by logging into your lenders payment portal, reviewing details about the minimum payment, automatic payments, interest rate, due dates and total amount owed. Understanding your repayment options can help make paying off your loans seem a little less daunting. If you’re struggling to find work or make your student loan payment, look into requesting a deferment or switch to an income-driven repayment plan from your lender. 

Practice healthy credit habits

Your credit score can have a positive or negative impact in your adult financial life. You’ll want to start establishing a good credit history so you will be credible to lenders when it is time to buy a new car, a home, or even rent an apartment. Regularly check your credit report for errors, pay your bills on time and keep your credit utilization below 30%. The combination of good credit-building practices and avoiding common pitfalls and missteps will help you build and keep good credit.

Build an emergency fund

As you move through life, you can expect to come across roadblocks that will cost you an arm and a leg. This is when an emergency savings fund can help you cover this unexpected expense without maxing out a credit card and protect you from high interest rate personal loans. If you’re wondering exactly how much to save, the general rule of thumb is to save enough to cover 3-6 months’ worth of living expenses.

Save for retirement

While you may only just be entering the workforce, it’s important to start saving for your golden years now by taking advantage of the benefits that come with full-time employment. Your employer may offer a 401(k) and even match a portion of the amount of money you put in, giving you free money toward your retirement. 

Don’t stress if you don’t have your financial life completely figured out right after college. As long as you actively work towards bettering your financial health and understand your spending, the more successful you will be.

At AFFCU, we love to see our members succeed and achieve their financial goals. From building a budget to saving for a home, we have the products and services to help you achieve your goals. Learn more about the perks of AFFCU Membership and apply today.

Steps to Take if You’re a Fraud Victim

Becoming a victim of fraud is terrifying and can happen to the most diligent and security savvy people as scammers continue to develop new ways of draining people’s hard-earned money out of their accounts. Protecting your financial security is our top priority, but we also want to arm you with the best methods and ways to respond if fraud happens to you.

 

Report the Fraud

Immediately report any fraud to various entities so they can investigate, assist you and protect others from falling prey to the same scam. Contact your financial institutions to dispute the charges and ask them to lock the account and issue a new debit card if necessary. Reach out to the three credit bureaus (Experian, Equifax, and Transunion) can add a temporary or long-term fraud alert on your file to prevent the opening of new lines of credit. You can also report the crime to local law enforcement and file a complaint to the Federal Trade Commission (FTC).

 

Review Your Accounts

Carefully look over your account statements and transactions to see exactly what was impacted. Keep note of any discrepancies and details that are part of the scam, such as the amount of money taken, how the transactions were processed, which accounts were compromised. Contact all financial companies associated with each of your accounts and cards impacted to let them know you’re a victim of fraud. 

 

Update Your Information

Make any necessary changes, such as resetting passwords and logins or closing accounts. Focus on any compromised accounts and accounts that are linked to your payment information, like your mobile banking app or online shopping sites.

Remember, anyone can become a victim of fraud, so remain calm and follow these steps. If you suspect you are a victim of identity theft or fraud or have questions on reporting suspicious activity on your accounts, give us a call immediately at 800.227.5328