1. Protecting your self against high fees, scams and outright fraud Presented by The Coalition for Debtor Education Chris Muy

2. Your money can DRAIN away fast

3. or it could leak away….

4. Stop the major drains first

5. The Coalition for Debtor Education www.debtoreducation.org Rent-a Centers Pay Day Loans Rapid Refunds Debt Consolidators Avoiding Scams and Money Traps

6. Rent to Own

11. Payday Loans

13. Payday Lending Short term loans made between paydays: 1. Provide copy of pay stub to the lender 2. Write a check dated after your next payday 3. Give your bank account number for direct charge to your account 4. Lender cashes check or debits your account

14. Payday Lending Example: Today, you write a check dated two weeks ahead for $256 You get $ 200 Interest and charges …………$56 = $28 per week or 14% per WEEK Interest on an annual basis: 728%!

15. Payday Lending Not enough money in account to cover bills Renew Loan for additional fee and interest NEXT PAYDAY

16. Refund Anticipation Loans

17. Rapid Refunds

18. The NEED to READ Fees Check Fee Account Processing Fee Finance Fee Technology Fee Refund Estimate Fee Tax prep Fee E-file Fee Bank Documents Fee Transmission Fee Service Bureau Fee PLUS finance charge on the loan

19. Your alternative!

20. The Coalition for Debtor Education www.debtoreducation.orgVITA Volunteer Income Tax Assistance) You may be able to get your taxes prepared for free From January until April 15, theres a free tax preparation service for eligible residents. To find nearest VITA site: Call 311, or Go to NYC.gov/tax prep, or Call 1-800-TAX-1040

21. BE CAREFUL Two words about foreclosure scams and debt consolidators

22. Check Cashers Check cashers can charge almost 2% of each check you cash.

24. Check Cashers Max. charge in NY = 1.95% Do the math: $100 = $ 1.95 $1000= $ 19.50 $2000= $ 39.00 If your monthly check is $2,000: $39.00 x 12 = $468.00 per year – almost equal to a weeks pay!

25. Avoiding SCAMS!

27. Stop the leaks

28. The NEED to READ!!! (again!) Read your bank statement every month Open all your mail Read your credit card agreement – and any additional inserts they send you Pay attention to the privacy statements you get in the mail

29. Protect your identity from thieves:Dont carry your Social Security or Medicare card with you Protect your identity from thieves:Dont carry your Social Security or Medicare card with you

30. Dont reveal your Social Security or Bank Account numbers Phishing

32. DO NOT CALL Registry 888-382-1222 or go to: donotcall.gov

33. Safeguard your personal information

34. SCHRED!!!

35. TMI!!! TMI!!!

36. ATM fees Add up!

37. Minimum BalanceMinimum Balance Minimum Balance READ your bank statement every month ASK what you have to do to get FREE Checking ASK if there is a minimum balance required for a free account

38. The Coalition for Debtor Education www.debtoreducation.org Its your choice! Bank cannot charge you for overdraft on a debit card unless you OPT-IN