PRESS RELEASE
Federal Deposit Insurance Corporation Each Depositor insured to at least $250,000
December 17, 2015
Media Contact:
Name Jay Rosenstein
Phone 202-898-7303
Email jrosenstein@fdic.gov
Congress created the Federal Deposit Insurance Corporation in 1933 to restore public confidence in the nation's
banking system. It promotes the safety and soundness of these institutions by identifying, monitoring and addressing
risks to which they are exposed. The FDIC receives no federal tax dollars — insured financial institutions fund its
operations.
FDIC press releases and other information are available on the Internet at www.fdic.gov, by subscription electronically
(go to www.fdic.gov/about/subscriptions/index.html) and may also be obtained through the FDIC's Public Information
Center (877-275-3342 or 703-562-2200). PR-99-2015
FDIC Consumer Newsletter Features Shopping Tips for Loans and Credit Cards
Other Topics Include Banking Strategies for Small Businesses
FOR IMMEDIATE RELEASE
Many people searching for a new loan or credit card may not be in the best position to
get the right product for their needs and at the lowest possible cost. The latest FDIC
Consumer News features tips on how to be better informed and better prepared before
applying for credit while avoiding costly mistakes. The Fall 2015 edition also features
simple banking strategies for small business owners, plus answers to questions from
consumers about deposit insurance. Here is an overview of what is in this issue.
How to Get Your Best Deal on a Loan or Credit Card? Plan Ahead: Many people
think that getting approved for credit or receiving an attractive interest rate is like a
game of chance. But the reality is that taking certain steps before submitting an
application can help consumers qualify for the best possible terms. Reviewing credit
reports for errors, making sure bills are paid on time, and researching lending products
are a few of the simple strategies in the newsletter.
Beware of Thieves Who Target Loan and Credit Card Shoppers: FDIC Consumer
News is warning individuals in the market for new credit to watch out for con artists,
especially when dealing with promotions on the Internet or over the phone. The
newsletter presents common warning signs of fraudulent offers, including demands for
upfront fees (which also may be illegal, depending on the circumstances) or requests for
personal information that can be used to commit identity theft.
More to Know About the New Disclosures for Mortgage Loans: Applicants for
residential mortgage loans will see a new look in the disclosures because of a rule
issued by the Consumer Financial Protection Bureau that took effect October 3, 2015.
Federal Deposit Insurance Corporation Each Depositor insured to at least $250,000
December 17, 2015
Media Contact:
Name Jay Rosenstein
Phone 202-898-7303
Email jrosenstein@fdic.gov
Congress created the Federal Deposit Insurance Corporation in 1933 to restore public confidence in the nation's
banking system. It promotes the safety and soundness of these institutions by identifying, monitoring and addressing
risks to which they are exposed. The FDIC receives no federal tax dollars — insured financial institutions fund its
operations.
FDIC press releases and other information are available on the Internet at www.fdic.gov, by subscription electronically
(go to www.fdic.gov/about/subscriptions/index.html) and may also be obtained through the FDIC's Public Information
Center (877-275-3342 or 703-562-2200). PR-99-2015
FDIC Consumer Newsletter Features Shopping Tips for Loans and Credit Cards
Other Topics Include Banking Strategies for Small Businesses
FOR IMMEDIATE RELEASE
Many people searching for a new loan or credit card may not be in the best position to
get the right product for their needs and at the lowest possible cost. The latest FDIC
Consumer News features tips on how to be better informed and better prepared before
applying for credit while avoiding costly mistakes. The Fall 2015 edition also features
simple banking strategies for small business owners, plus answers to questions from
consumers about deposit insurance. Here is an overview of what is in this issue.
How to Get Your Best Deal on a Loan or Credit Card? Plan Ahead: Many people
think that getting approved for credit or receiving an attractive interest rate is like a
game of chance. But the reality is that taking certain steps before submitting an
application can help consumers qualify for the best possible terms. Reviewing credit
reports for errors, making sure bills are paid on time, and researching lending products
are a few of the simple strategies in the newsletter.
Beware of Thieves Who Target Loan and Credit Card Shoppers: FDIC Consumer
News is warning individuals in the market for new credit to watch out for con artists,
especially when dealing with promotions on the Internet or over the phone. The
newsletter presents common warning signs of fraudulent offers, including demands for
upfront fees (which also may be illegal, depending on the circumstances) or requests for
personal information that can be used to commit identity theft.
More to Know About the New Disclosures for Mortgage Loans: Applicants for
residential mortgage loans will see a new look in the disclosures because of a rule
issued by the Consumer Financial Protection Bureau that took effect October 3, 2015.
FDIC Consumer News offers an overview of the two new forms — a "Loan
Estimate" explaining the costs and terms of the proposed loan in one form instead of the
two previously required, and a "Closing Disclosure" summarizing the key terms of the
final loan contract in one document in place of two.
"Add-ons" Sold With Credit — Do Your Research Before You Buy: Lenders who
approve consumers for a loan or credit card often cross-sell related products or
services, such as credit monitoring or identity theft protection. While add-on products
may benefit some consumers, there may be significant costs or limitations. Also, there
have been cases of consumers being billed incorrectly or not provided what was
promised. The newsletter suggests things to know or do before committing to an add-on
product.
Banking Tips for Small Businesses — A Checklist for Entrepreneurs: The newsletter
offers a collection of simple strategies to help business owners get the most from their
banking relationships and avoid frauds or scams. Examples include: Consider local
resources available through the U.S. Small Business Administration (SBA). Connect
with small business specialists at banks who can help identify useful financial services
and may be able to offer helpful referrals. And, shop around for debit and credit card
processing services because the costs vary. Small business owners and employees
also can benefit from an FDIC/SBA financial education curriculum that has been
updated and expanded.
More Answers to Consumer Questions About Deposit Insurance: FDIC staff
answer more than 70,000 questions each year from depositors and bankers who ask
about the deposit insurance rules to ensure that accounts are correctly structured and
that money is fully insured. The latest issue provides answers to questions regarding
banking online and purchasing FDIC-insured certificates of deposits (CDs) from brokers
or brokerage firms instead of directly from banks.
The goal of FDIC Consumer News is to deliver timely, reliable and innovative tips and
information about financial matters, free of charge. The Fall 2015 edition can be read or
printed at www.fdic.gov/consumers/consumer/news/cnfall15. Check back there for
coming versions of this issue for e-readers and portable audio (MP3) players. To find
current and past issues, visit www.fdic.gov/consumernews, or request paper copies by
contacting the FDIC's Public Information Center in writing at 3501 North Fairfax Drive,
Room E-1002, Arlington, VA 22226, by e-mailing publicinfo@fdic.gov, or toll-free at 1-
877-275-3342.To receive an e-mail about each new issue of the quarterly FDIC
Consumer News with links to stories, go to
www.fdic.gov/about/subscriptions/index.html.
The FDIC encourages financial institutions, government agencies, consumer
organizations, educators, the media, and anyone else to help make the tips and
information in FDIC Consumer News widely available. The publication may be reprinted
in whole or in part without permission. Please credit FDIC Consumer News.
Organizations also may link to or mention the FDIC Web site.
Estimate" explaining the costs and terms of the proposed loan in one form instead of the
two previously required, and a "Closing Disclosure" summarizing the key terms of the
final loan contract in one document in place of two.
"Add-ons" Sold With Credit — Do Your Research Before You Buy: Lenders who
approve consumers for a loan or credit card often cross-sell related products or
services, such as credit monitoring or identity theft protection. While add-on products
may benefit some consumers, there may be significant costs or limitations. Also, there
have been cases of consumers being billed incorrectly or not provided what was
promised. The newsletter suggests things to know or do before committing to an add-on
product.
Banking Tips for Small Businesses — A Checklist for Entrepreneurs: The newsletter
offers a collection of simple strategies to help business owners get the most from their
banking relationships and avoid frauds or scams. Examples include: Consider local
resources available through the U.S. Small Business Administration (SBA). Connect
with small business specialists at banks who can help identify useful financial services
and may be able to offer helpful referrals. And, shop around for debit and credit card
processing services because the costs vary. Small business owners and employees
also can benefit from an FDIC/SBA financial education curriculum that has been
updated and expanded.
More Answers to Consumer Questions About Deposit Insurance: FDIC staff
answer more than 70,000 questions each year from depositors and bankers who ask
about the deposit insurance rules to ensure that accounts are correctly structured and
that money is fully insured. The latest issue provides answers to questions regarding
banking online and purchasing FDIC-insured certificates of deposits (CDs) from brokers
or brokerage firms instead of directly from banks.
The goal of FDIC Consumer News is to deliver timely, reliable and innovative tips and
information about financial matters, free of charge. The Fall 2015 edition can be read or
printed at www.fdic.gov/consumers/consumer/news/cnfall15. Check back there for
coming versions of this issue for e-readers and portable audio (MP3) players. To find
current and past issues, visit www.fdic.gov/consumernews, or request paper copies by
contacting the FDIC's Public Information Center in writing at 3501 North Fairfax Drive,
Room E-1002, Arlington, VA 22226, by e-mailing publicinfo@fdic.gov, or toll-free at 1-
877-275-3342.To receive an e-mail about each new issue of the quarterly FDIC
Consumer News with links to stories, go to
www.fdic.gov/about/subscriptions/index.html.
The FDIC encourages financial institutions, government agencies, consumer
organizations, educators, the media, and anyone else to help make the tips and
information in FDIC Consumer News widely available. The publication may be reprinted
in whole or in part without permission. Please credit FDIC Consumer News.
Organizations also may link to or mention the FDIC Web site.