Participants: Cordell Thomas
Series Code: TITTB
Program Code: TITTB000009
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00:01 On Take It to the Bank,
00:02 you'll find ways to get out of debt... 00:09 solve your credit card problems, 00:14 how to make and stick with the budget, 00:19 simple ways to save... 00:24 buying or selling a home 00:27 and many more financial matters 00:29 on Take It to the Bank. 00:32 Hi, my name is Cordell Thomas, 00:33 and welcome to Take It to the Bank. 00:35 Today, we are gonna talk about our credit, 00:38 part two, consumer privacy, 00:40 and I have an interesting story, 00:42 I wanna talk to you about. 00:45 A young lady I read about 00:46 had an interesting interaction with a company, 00:48 an online company that was willing to give her 00:51 specific coupons for discounts on her groceries, 00:54 but they were asking her for specific information, 00:56 and she felt the requirement of giving them, 00:59 obliged to give them the information 01:01 they were asking about her, 01:02 and it became very, very, detailed in, 01:06 in the questions they asked. 01:08 For example, "Where do you live?" 01:10 Oh, that's general type of information 01:12 but they asked them, "How old are you?" 01:13 And then, of course, they're asking about her 01:15 ethnicity or background 01:16 whether she was a female or male, 01:19 those types of things. 01:20 And that went into more detail, 01:22 "What do you like to do in the evening? 01:23 Where do you like to go out and eat?" 01:25 They asked about how much she made on a yearly basis? 01:28 What magazines she liked to read? 01:31 Many different things about her personal life, 01:33 and she just typed the information in, 01:35 and she gave them the information because why? 01:38 The end result was getting the coupons. 01:43 Okay, so she sent the information in, 01:45 and she had problems actually getting the coupons. 01:47 I don't know if they actually in the story wrote about 01:50 that she actually got the coupons 01:51 but that was the intent. 01:53 But what was striking about the story 01:55 was the fact that her information, 01:58 once she was typing it in 02:00 there are many different issues, 02:01 you need to know about your own privacy 02:04 and the information that is out there about you. 02:07 The moment you hit the return key 02:09 or the go key or the submit key 02:11 that information is gone. 02:12 And with the technologies that we have 02:15 they go very, very quickly. 02:17 In fact there are companies out there 02:19 that the reason they're asking for this information 02:22 is that they'll take your information 02:25 and they're gonna sell it. 02:27 It's a money making venture. 02:28 I know working in the automotive industry, 02:30 I worked in the marketing department 02:32 and for sales 02:33 and we needed to know as much as we possibly could 02:36 about you as a consumer. 02:38 The more we know about you, 02:40 the better we're able to fine tune 02:42 and tailor-make our media, 02:44 our advertising directly towards you. 02:47 We know where you look when you go into a store, 02:50 so we put things right at eye level. 02:53 We put the things that are most expensive at eye level 02:56 because we gonna pay more 02:58 for that kind of advertising space. 03:00 But what happened after that was key 03:02 because she waited and out of the blue, 03:05 maybe 2 months later, 03:07 she got an explicit letter from somebody 03:11 that knew all these details about her. 03:15 She didn't realize that the small company 03:16 that was giving her the benefit of these coupons 03:19 was also a company that didn't have the headcount 03:22 in the company, in the organization 03:24 to process all of that data 03:26 and didn't realize that the company 03:28 forwarded information to a local prison 03:32 where prisoners were going through the data 03:35 and helping to get it processed. 03:39 The more you know, the more you realize. 03:42 What I recommend you do if you buy a computer 03:45 or if you buy a big ticket item. 03:47 I had an emergency situation and fortunately 03:51 we had budgeted for but an emergency 03:53 where the water heater broke down, 03:55 and we had to go and buy a new water heater. 03:59 In that water heater purchase there is a registration request 04:04 that they make of you, to go online 04:06 and to fill this information out 04:08 so that you have given the data they need 04:11 about not only of the water heater 04:14 that you've purchased 04:15 but also where you got it and what the serial number is 04:19 and that type of information. 04:22 I didn't. 04:24 The one thing you have to realize is most purchases 04:28 and most acquisitions those things 04:29 that you get from a store 04:31 are pretty much covered for a certain amount of time, 04:33 whether it be for 30 days 04:34 or if you got a year warranty on that specific item. 04:38 The warranty card or the registration card, 04:41 warranty card's a little bit more detail that they ask for, 04:44 registration is pretty much typical questions 04:47 that they ask for in reference the name, 04:49 address, phone number, email address, 04:53 serial number of the equipment you purchased, 04:55 the date you purchased it that type of thing. 04:58 Still it's information about you that's going out there 05:01 into an environment 05:03 that takes your information and sells it to somebody else. 05:08 Some instances, big business, established organizations 05:12 that are corporate 05:13 and are considered very successful. 05:16 They're okay and you read the fine details 05:18 of the registration information 05:20 and they'll tell you that 05:22 we promise that your information 05:24 is safe in our database and we don't resell it. 05:28 Okay, the safety issues another and I'll address that later on. 05:31 But the key is this, 05:33 when you understand that in an information age, 05:38 your data is never really safe. 05:40 Many of these major organizations 05:42 that promise to keep your information safe 05:44 cannot really do so. 05:45 And then, of course, 05:46 those that ask for all this detailed information 05:49 are using that information to resell it. 05:51 It's all a money making industry. 05:53 Nothing is really safe and the more you do 05:56 to protect your information the better you are. 05:58 Therefore, we wanna talk today about consumer privacy, 06:03 consumer privacy and what you need to do. 06:06 For example, what I would recommend 06:08 that you do in reference to the acquisition of a laptop, 06:11 for example, is take your receipt, 06:14 staple it to the registration card, 06:16 and put it in a file. 06:17 You don't need to share information. 06:19 If you do choose to share information 06:21 just share your name, 06:23 your phone number and the registration number 06:26 of what you have purchased, the serial number. 06:28 Don't give out too much. 06:31 It's not necessary, and in the case 06:33 that I used for this water heater, 06:35 I just stapled the receipt 06:38 to the registration card and filed it. 06:41 If something goes wrong within allotted time frame, 06:44 I have the receipt that tells me 06:46 I bought it at this time, 06:48 this is the serial number, 06:49 here's where I bought it from, 06:50 and it gives the date when it was purchased 06:52 so I know it's within the warranty timeframe, 06:55 and then I can go make the call 06:56 to address any specific problematic issues 06:59 that I may have with the water heater. 07:02 But guess what, I bought it for a while now, 07:04 it hasn't given me any of the problems, 07:06 and typically if you're going to see any kind of troubles 07:08 within a piece of equipment or product that you buy, 07:12 you're going to pretty much see it early on. 07:14 I have never been one 07:16 to jump in to the extended warranties 07:19 and pay another $149, 07:21 and we can provide you a whole new piece of equipment 07:25 and just swap in and out. 07:27 I don't do it because it's additional funds 07:29 that you have to pay out, umm, 07:30 and I don't think it's a real necessity, 07:32 but I'm not telling you how to do it, 07:33 I'm just making some suggestions 07:36 because it all has to do with your information. 07:42 For a moment I'd like to take you back 07:45 to a conversation we had earlier 07:47 in reference to the first part we talked about on credit. 07:51 I have a couple of quiz questions 07:53 I'd like to ask you, 07:55 and I think it's going to be pretty interesting 07:57 as we talk through this 07:59 because as we talk about credit 08:01 we're gonna move forward 08:02 and talk about this consumer privacy that's relevant. 08:09 How many days does a creditor have 08:11 to acknowledge your written complaints 08:13 about a billing error? 08:15 Your credit card, your information. 08:18 Is it 30 days? 08:19 Is it 60 days? 08:21 Is it 90 days? Is it 120 days? 08:23 How long does one have? 08:24 Well, the answer is actually, A, 30 days. 08:27 The creditor has 30 days 08:29 to acknowledge your complaint in writing 08:32 within 30 days of receiving it 08:34 unless the problem has already been resolved 08:37 the creditor must resolve 08:40 that dispute within at least 2 billing cycles 08:42 or at max 90 days. 08:45 Things you need to know, so if you have a concern, 08:47 you know who you need to get in touch with 08:49 and you know that they have a certain timeframe 08:52 to resolve the billing 08:53 and credit error on your report. 08:55 Question two, 08:57 negative financial information 08:59 excluding a bankruptcy 09:01 can stay on your credit report for, 09:03 A, two years, 09:05 B, five years, 09:08 C, 7 years 09:09 or D, 10 years. 09:12 The actual answer is, C, 7 years. 09:16 Accurate negative information 09:17 can stay on your report for 7 years. 09:19 Bankruptcies remain on your report 09:21 for approximately 10 years. 09:23 Now it's essential to know this 09:24 because as I mentioned accurate negative information 09:27 if it's not accurate 09:29 as we're getting into consumer privacy 09:31 and moving into another area 09:33 about ID theft and fraud things, 09:35 you need to do to protect yourself 09:37 and if you are caught 09:40 as a victim of consumer fraud, 09:42 you know exactly the three steps 09:43 you need to take immediately 09:46 to handle the issue 09:47 and we'll offer some statistics from that perspective. 09:50 Privacy that involves the rights 09:52 of an individual in relation to the information 09:55 about them circulating around in society, 09:58 it's called, "Information Privacy." 10:01 Why privacy is an important issue? 10:03 Now in the information age there are several reasons, 10:06 computer systems store large amounts of data, 10:09 a lot of information about us 10:12 and our consumer activities. 10:13 Working in the automotive environment, 10:16 and helping with market research 10:18 is a key understanding from my perspective of 10:21 how much information companies want to know about you. 10:24 They want to know as much as they can 10:26 to make the right decisions, 10:28 and how they approach you 10:30 for the acquisition of their products, 10:32 their services, their goods, 10:33 so there's a lot of data that's out there. 10:37 Public and private organizations 10:38 can share computer files, 10:41 for example, the IRS can access financial data 10:45 about you from your work 10:47 or from your bank, excuse me, from your bank. 10:50 Computer data can travel 10:52 and change hands in seconds, in milliseconds. 10:57 It's important to realize that 10:59 because of these factors accurate data is paramount, 11:05 accurate data about you in the systems 11:09 of these organizations is critical. 11:12 Why is information privacy such a sensitive issue? 11:16 Why is it? 11:17 Because information is a valuable resource, 11:23 it's valuable, people pay for it, 11:25 they need it, they want it 11:27 because they want you to be a consumer 11:29 and they need to know they can talk to you. 11:33 The access to information in our society today 11:36 may have many benefits to consumers, 11:39 but it also poses a potential threat 11:42 to all of our privacy and personal information. 11:46 Now the types of public information 11:48 I'm gonna read a few of these for an example purpose. 11:53 Types of public information 11:55 that's out there ready for anyone to get is like, 11:57 for example, we did a census back in 2010. 12:00 Demographic information U.S. Census 12:02 about where you live, your age, your ethnicity, 12:07 information about you as an individual, 12:10 telephone directories, telephone numbers, 12:13 birth, marriage and divorce records 12:16 are public information, 12:17 you know voter registration information is public. 12:21 Did you know campaign contributions 12:22 where you give your money, is also public information? 12:26 Driver's license 12:27 and vehicle registration information is public. 12:30 Did you know your licenses and permits, 12:32 so if you go hunting and fishing 12:35 your gun registration or your fishing license, 12:37 and whatever the case may be is public information? 12:41 And other that's really important 12:43 is legal information 12:45 such as judgments, bankruptcies, 12:49 real estate titles, real estate titles etcetera. 12:54 Private databases, 12:55 things that should not be available 12:59 and only available to those people 13:00 that are approved in using it are also out there about you. 13:06 Digitally, the part of your digital mark on the internet 13:11 and as a part of your physical files, 13:13 database files that are out there 13:15 in public records, 13:16 those include your employment information, 13:19 your employment information shows upon your credit report, 13:23 it can also show up in other areas. 13:26 Credit reports as I mentioned also tax information 13:29 such as IRS and tax boards 13:31 based on how you pay your taxes, 13:33 criminal records is supposed to be private information, 13:37 social service records, welfare, 13:39 Medicare those type of things should be private, 13:41 and then, of course, 13:43 school records and medical records. 13:47 What I'd like to do now is ask 13:49 our area expert on credit, Jessica, 13:52 a couple of questions 13:54 and ask her to respond accordingly. 13:56 The first question I have is what methods can we use 13:58 to protect ourselves from fraud and ID theft? 14:02 Jessica, what are your thoughts? 14:04 Unfortunately the thieves 14:06 have already stolen our personal information, 14:09 so to protect ourselves 14:11 what I tell our clients and employees 14:14 that we educate is to shred 14:18 what information you have that's on paper, 14:20 be very careful who you give your personal information to, 14:25 and there are multiple 14:27 different types of insurance policies out there 14:30 that people can purchase now 14:31 in order to help them with their fraud situations. 14:37 Interesting her response. 14:39 Your information is important, it's valuable, 14:43 people want it 14:44 and what she's telling us is that 14:46 it's no longer really safe. 14:48 ID thieves are out there, they're looking, 14:51 they're looking for someone that's not really aware of 14:54 what's happening in their lives or in their surroundings, 14:57 and they're stealing identities 14:58 and using them for their own specific purposes. 15:02 It's key that we look at how we protect our data, 15:05 and as I told you in the story before 15:07 that your information is what people want, 15:10 and they take that consumer information 15:12 and resell it and use it in many different forms. 15:14 In many, the majority of the situations, 15:17 its use for the right purposes 15:18 if you are a manufacturer in an organization. 15:22 But in a growing number of cases 15:25 people are losing their IDs 15:26 and it's creating a major, major concern with families, 15:32 and the lives that are put into disarray 15:34 by having to recoup and finding out 15:36 what's going on in reference to their lives, 15:39 and how many new credit cards are out there in their names, 15:42 and what's going on? 15:43 I'd like to go back to Jessica though for a moment 15:46 and ask her, well, 15:47 if people are already out there stealing our information, 15:50 what is it that we can do, Jessica, 15:53 to make our lives a little bit more safe? 15:55 Can you tell us? 15:57 In regards to their credit, 15:58 what we always recommend 16:00 is to check your free yearly credit reports 16:04 from the three different credit bureaus. 16:06 I tell our clients and the employees 16:09 that we educate to stagger it 16:11 so that you are requesting a report 16:14 once every four months. 16:15 You can also request reports on your children. 16:19 And when it comes back to you saying that 16:21 there is no information then that's good. 16:24 A red flag to watch for 16:26 because thieves are using 16:27 children's Social Security numbers 16:29 is if your child 16:31 starts getting pre-approved credit card applications 16:34 in the mail. 16:36 Thank you, Jessica. 16:38 You know, it's great to have an area expert. 16:41 Jessica is an ID theft and fraud expert 16:46 in the Los Angeles area, 16:47 and she's a valuable resource 16:49 for me and the organization 16:51 in reference to teaching young people 16:53 about financial issues, 16:54 and how important credit is to their financial futures. 16:59 It's interesting some of the things she said 17:00 because people are now targeting our young people, 17:04 our children's Social Security numbers 17:06 and using that to open up different accounts, 17:10 credit accounts all over the place. 17:12 They'd sometimes take the information 17:14 and sell it across the ocean 17:15 and it becomes a global market now 17:18 that is almost uncontrollable, 17:20 so there are things that we need to do 17:22 to hedge against the chance of your identity being stolen, 17:27 and even more so 17:28 to hedge against the chance of your child's 17:32 and your child's future being stolen. 17:34 I do know that, 17:36 I received a letter from a health insurance company 17:38 that held my son's health insurance, 17:41 and they sent a letter saying that we're sorry 17:44 but our database has been stolen 17:46 and your son's name and information 17:49 was a part of that database, 17:51 and we're telling you that 17:52 we're gonna provide you some free coverage 17:54 and protection over the next, 17:57 over the next two to three years 17:59 so that you can ensure that his identity is protected. 18:04 So now it's incumbent upon me as a father to double check, 18:09 to review his credit information to ensure 18:12 that he isn't having his 18:14 Social Security number out there 18:16 as a part of some body's credit card use. 18:20 It's important. 18:21 These are little things that I can share with you 18:23 so that we can hedge against problems in the future. 18:29 An added burden, yes, 18:30 but it's something we'll have to do as technology 18:34 and the use of this information as it grows. 18:38 Okay, so we know that we're not completely safe, 18:41 but we do know now of some methods we can take 18:44 to protect ourselves against those specific issues 18:47 in reference to ID 18:49 and your privacy as a consumer. 18:51 It's mandatory that we manage that process very well, 18:56 so I'm gonna share with you a couple of things 18:58 that you should do. 19:00 One is, one of the things 19:02 we all do is we go to a restaurant 19:04 and we pay for our meal via credit card, 19:08 and then these Steward or the, the receptionist 19:13 or whomever is handling the waiter, the waitress, 19:15 brings the receipt to us 19:17 and brings a little book that you open it up 19:21 and you look at receipt and you, 19:22 you ensure that everything's accurate, 19:25 and then as you finish that you take out your credit card, 19:27 you put it in a book, and you put it on a table 19:30 and somebody, we hope it's the right person, 19:32 comes picks it up and takes it to register 19:35 your payment for the meal. 19:39 That's one of the areas that you can lose your identity 19:41 because there are many individuals 19:44 that will pretty much pick it up, 19:46 look at the card and walk away 19:48 and then, of course, sometimes 19:51 ID theft happens from the businesses 19:55 that you frequent. 19:57 How do you know that, that person 19:59 is being honest in everything that he does? 20:03 One of the things we try to tell people to do 20:05 is don't leave it, make sure you watch it, 20:07 make sure you know who's taking it, 20:08 and make sure you, make sure, make sure 20:11 you're certain that the information 20:14 and the amount you paid is accurate. 20:16 Check your receipts. 20:17 Make sure you look at the bank statement. 20:20 Another point that can be used is 20:21 in reference to your wallets, 20:23 stolen wallets frequently lead to identity theft 20:26 so instead of carrying your wallet in your pocket 20:29 or having it in as an easy access to in your bag, 20:34 use travel pouches if you travel a lot. 20:36 You know a little travel pouch on your waist, 20:37 something that keeps it close to you 20:39 so it's not easily taken away from your body. 20:42 I know that I work with some people in different countries 20:46 and they tell you that, 20:47 "Yeah, it happens all the time and it's a part of, 20:50 of life that your wallet can be taken for you 20:53 at any point in time" 20:55 So you hedge against those things, 20:56 and protect yourself from having 20:58 that potential problem happen. 21:02 Consumer privacy also has to do with your checks. 21:05 If you leave home lock up your checks. 21:07 Yeah, it's the only thing. 21:08 If someone breaks into your home, 21:10 continue to lock it up. 21:12 Because checking account takeover is one major area 21:16 that's of concern 21:17 and it's one of the hardest areas 21:19 to prove that you are the person that's in control. 21:24 Technologies providing a whole new realm of things 21:27 in reference to your consumer privacy. 21:30 One of the things that's out there is organizations 21:33 that have the capacity to help you share your friends 21:36 and your networks all over. 21:38 And a lot of these get tweets all the time about 21:41 "Hey, I'm going to bed" 21:42 and "I'm actually waking up for breakfast" 21:44 and "I'm and doing these type of things." 21:46 Do you know that there are people out there in that, 21:48 in that environment that are just looking for individuals 21:51 that are providing too much detail about their lives? 21:54 They can find your address. They can find where you live. 21:57 They can actually find you, and if you tell a person that 22:01 "Oh, by the way, I'm going on a two-week excursion 22:03 and I won't be home for another couple of months," 22:05 and you're the person that provides 22:07 a lot of information 22:08 on this potentially this website 22:12 that provides the information to anyone that comes to it, 22:16 then you're in danger 22:17 of someone targeting your home for an invasion. 22:21 Things like this are key, protect your privacy, 22:24 protect it as you would you hold your wallet 22:28 or you protect your child. 22:29 It's, it's that type of environment 22:32 that we live in, 22:33 and you need to hedge against those things. 22:35 In another area we'll talk about ID theft part three 22:40 and we'll go into some of the issues you need to look at 22:43 when you get online, the online environment 22:46 and it's a key issue to be concerned about. 22:51 Camera phones, if you're a tourist did you know that 22:54 people are out there, 22:55 they are looking to capture images 22:59 of your private information. 23:02 It is key that you look at all different aspects 23:07 of what technology provides 23:09 because as you now are seeing a lot of youtube videos 23:11 that come up based on problems that people may have. 23:15 It's essential, it's essential 23:19 that you look carefully at how you use technology. 23:26 You know what's surprising to me is that 23:28 I traveled to Atlanta then I traveled to Tennessee, 23:31 took some pictures on my iPhone 23:33 and I went to another place 23:35 and took some other pictures on my camera phone 23:38 and understood the context that 23:41 as I pulled up those images it can actually map 23:44 where you have been, 23:45 you can be tracked 23:47 to the different locations you go, 23:49 there's a tracking mechanism on this. 23:51 So even though it's convenient for me 23:54 to put in an address 23:56 and it takes me where I wanted to go 23:58 it's also tracking where I have been 24:02 and it's placed in a database. 24:04 These are things to understand 24:06 when you look at your consumer information 24:08 and how you protect it. 24:09 At times now, I just shut off the location device on my phone 24:15 and make sure that people really don't need to know 24:18 where I'm at. 24:20 Hey, shut off your phone, shut off technology. 24:22 You don't need to have access to it 24/7, 24:24 it's something that may save energy at home, 24:26 can help you from a budgetary standpoint 24:29 and can help you better control 24:32 some of the information that gets accessed 24:34 by public organizations. 24:38 What's in a database profile? 24:40 Your address, your phone number, 24:43 your fax number, your Social Security number, 24:47 your credit card numbers, 24:49 your driver's license numbers, 24:51 your student loan history, your medical history, 24:55 your driving record, your worker's compensation 24:58 and your insertion and insurance records, 25:01 your tax records, 25:02 your political affiliations, your spending patterns, 25:07 your product preferences and your estimated incomes. 25:11 Now that's all there and it's intriguing 25:13 that you heard that I talked about your spending patterns. 25:18 Your bank knows more about your spending patterns 25:20 than you typically do, change that, 25:22 know more about what you spend than your bank knows. 25:25 Know more about it than any consumer agency will know, 25:28 it's essential that you know about yourself 25:31 and you protect that information 25:33 and you go back to the beginning 25:35 and understand that if I know more about myself 25:38 and I know more about my finances, 25:40 I can better control what other people know about me. 25:46 Alright, we're coming to a close. 25:50 I want to tell you that this issue of ID theft 25:54 is very, very important. 25:58 Many of us may get calls late in the evening 26:01 from marketing companies. 26:03 Did you know you can opt out? 26:05 If you want more information, look online, 26:08 do a search on opt out from marketing practices. 26:12 Did you know that if you receive mail 26:15 that you don't necessarily want from marketers, 26:18 you can opt out of that too by going online 26:22 or calling the 800 number. 26:24 These are your rights. 26:25 There are privacy acts that are available 26:28 and that the government has written on your behalf 26:31 but also understand that early in... 26:35 One of our presidents actually freed up 26:38 and deregulated the ability for the media 26:40 to get in touch with you, 26:41 which also freed up their ability 26:44 to gain access to information about you. 26:48 Information is valuable, control it. 26:52 Information is something that you need to know about 26:57 and you need to know as much about yourself as possible. 27:01 So, I'm gonna go back to the beginning and say 27:03 the most basic bit of information 27:06 you need to do is to assess where you're at right now. 27:09 If you already done the assessment 27:10 then it's good to make sure your budget 27:12 is in the right place. 27:14 I hope that you've created a budget. 27:15 If you haven't begin the process today, 27:17 know where your income is, know where your expenses are, 27:20 know where that where that margin is 27:23 so you know where you can save, where you can put your money 27:26 and what you can do from that standpoint. 27:28 It's incumbent upon you that if you plan 27:32 and prepare for the unexpected, 27:34 you can protect against the unexpected. 27:36 So have that emergency information, 27:39 have the emergency funding for whatever your needs can be, 27:42 have those things in place to protect yourself 27:45 and understand that if someone asked for information, 27:49 you don't have to give out any information 27:52 unless you want to, it's your information, 27:55 keep it to yourself. 27:57 Take that to the bank and say God bless. |
Revised 2017-01-19