Be Prepared
Be Informed
Be in Charge
Simple Strategies for
Managing Your Money
Inside
5 Things You Can Do to...
Make Sure You Are Financially Fit
Avoid Bad Deals and Scams
Insure All Your Deposits
Complain and Get Results
5 Top Reasons Consumers
Call or Write the FDIC
What You Can Learn from Their Questions and Concerns
F E D E R A L D E P O S I T I N S U R A N C E C O R P O R A T I O N
SPECIAL EDITION
Be Informed
Be in Charge
Simple Strategies for
Managing Your Money
Inside
5 Things You Can Do to...
Make Sure You Are Financially Fit
Avoid Bad Deals and Scams
Insure All Your Deposits
Complain and Get Results
5 Top Reasons Consumers
Call or Write the FDIC
What You Can Learn from Their Questions and Concerns
F E D E R A L D E P O S I T I N S U R A N C E C O R P O R A T I O N
SPECIAL EDITION
Winter 2006/2007FDIC Consumer News
You know it’s important to get regular
physical exams and take your car in for
oil changes and tune-ups. But what are
you doing to make sure your finances
are in good shape, too? The start of a
new year is a great time to give your
finances a checkup, but it’s never too
early or too late to make sure you’re
properly managing your money. Here’s
a checklist for conducting a simple yet
thorough financial self-examination.
1. Periodically review your
accounts. “Talk to a customer
service representative at your bank
to make sure you’re signed up for
the accounts and the features that
best fit your needs, especially if
your financial situation has changed
recently,” said Janet Kincaid, FDIC
Senior Consumer Affairs Officer. “For
example, if you tend to carry a balance
on your credit card, find out if you can
qualify for a card with a lower interest
rate. Or, ask if your bank offers special
deals if you maintain certain balances
or use additional services, such as
direct deposit of your paycheck.”
At the same time, compare your bank’s
products and services with those of
competitors. “Don’t be afraid to shop
around,” Kincaid said. “If nothing else,
you’ll want to know that the rates, fees
and services at your current bank are
at least comparable to what’s out there
in the marketplace for the services you
need and, most importantly, that the
services you are using still meet your
needs.”
2. Make sure you have — and
have read — the most recent
“disclosures” about your accounts.
These descriptions of your account
are like a contract with your financial
institution. Knowing the features, fees
and options as well as limitations —
before you open the account and later
as you conduct business — can prevent
misunderstandings and costly mistakes.
“We are continually encouraging
consumers to read the disclosures,”
Kincaid stressed. “Make sure you
know exactly what you are getting and
paying for and what you are not.”
For example, your credit card may
automatically include, at no extra
charge, extended warranties on
purchases and insurance for car
rentals. These kinds of features can
save you money — but only if you
know they exist. Similarly, your card
may offer bonus points toward
airline travel or products and services,
auto club memberships, and other
extras — some free of charge, some for
a fee. You need to read the disclosures
to understand the rules, restrictions
and potential costs, which may greatly
reduce the value of these offers.
3. Get a free copy of your credit
report. These reports, prepared by
companies called credit bureaus,
summarize your history of paying
debts and other bills. If you apply
for a loan, insurance or a job, or you
want to rent an apartment, chances
are your credit report will be reviewed
for information about your financial
reliability. But you should be reviewing
copies of your credit report, too.
One reason is to correct errors or
omissions, which could damage your
credit rating and, in the case of a
A Message to Readers
“Be prepared.” That motto isn’t
just for Scouts and it isn’t just for
kids. It’s solid advice for anyone,
especially busy people, trying to
manage their money in a world
full of opportunities... and
occasional hazards. FDIC
Consumer News wants to help
you be better prepared. In this
special guide, we offer a collection
of practical strategies you can use
to deal successfully with some of
the most important money matters
facing consumers today, including
how to:
• Make sure you are financially fit;
• Avoid bad deals and scams;
• Protect all your deposits with
FDIC insurance; and
• Complain effectively and get
results.
To keep things simple, we’ve
limited our to-do lists to five
suggestions, but if you need or
want more guidance, we’ve also
identified additional resources you
can turn to for help.
Our goal is to give you the
information and the confidence
you need to manage your money
and realize your dreams for a
better future. So keep reading and
learn how you can be prepared, be
informed and be in charge!
Make Sure You Are Financially Fit
A checklist for shaping up your personal balance sheet
Things You Can Do to...
Be Prepared, Be Inform e d , B e i n C h a r g e
loan or credit card application, cost
you hundreds of dollars each year
in interest or other charges. Also,
by monitoring your credit reports
you help guard against identity theft
because you can look for signs that a
fraudster has opened credit cards or
other accounts in your name.
Getting Started
You know it’s important to get regular
physical exams and take your car in for
oil changes and tune-ups. But what are
you doing to make sure your finances
are in good shape, too? The start of a
new year is a great time to give your
finances a checkup, but it’s never too
early or too late to make sure you’re
properly managing your money. Here’s
a checklist for conducting a simple yet
thorough financial self-examination.
1. Periodically review your
accounts. “Talk to a customer
service representative at your bank
to make sure you’re signed up for
the accounts and the features that
best fit your needs, especially if
your financial situation has changed
recently,” said Janet Kincaid, FDIC
Senior Consumer Affairs Officer. “For
example, if you tend to carry a balance
on your credit card, find out if you can
qualify for a card with a lower interest
rate. Or, ask if your bank offers special
deals if you maintain certain balances
or use additional services, such as
direct deposit of your paycheck.”
At the same time, compare your bank’s
products and services with those of
competitors. “Don’t be afraid to shop
around,” Kincaid said. “If nothing else,
you’ll want to know that the rates, fees
and services at your current bank are
at least comparable to what’s out there
in the marketplace for the services you
need and, most importantly, that the
services you are using still meet your
needs.”
2. Make sure you have — and
have read — the most recent
“disclosures” about your accounts.
These descriptions of your account
are like a contract with your financial
institution. Knowing the features, fees
and options as well as limitations —
before you open the account and later
as you conduct business — can prevent
misunderstandings and costly mistakes.
“We are continually encouraging
consumers to read the disclosures,”
Kincaid stressed. “Make sure you
know exactly what you are getting and
paying for and what you are not.”
For example, your credit card may
automatically include, at no extra
charge, extended warranties on
purchases and insurance for car
rentals. These kinds of features can
save you money — but only if you
know they exist. Similarly, your card
may offer bonus points toward
airline travel or products and services,
auto club memberships, and other
extras — some free of charge, some for
a fee. You need to read the disclosures
to understand the rules, restrictions
and potential costs, which may greatly
reduce the value of these offers.
3. Get a free copy of your credit
report. These reports, prepared by
companies called credit bureaus,
summarize your history of paying
debts and other bills. If you apply
for a loan, insurance or a job, or you
want to rent an apartment, chances
are your credit report will be reviewed
for information about your financial
reliability. But you should be reviewing
copies of your credit report, too.
One reason is to correct errors or
omissions, which could damage your
credit rating and, in the case of a
A Message to Readers
“Be prepared.” That motto isn’t
just for Scouts and it isn’t just for
kids. It’s solid advice for anyone,
especially busy people, trying to
manage their money in a world
full of opportunities... and
occasional hazards. FDIC
Consumer News wants to help
you be better prepared. In this
special guide, we offer a collection
of practical strategies you can use
to deal successfully with some of
the most important money matters
facing consumers today, including
how to:
• Make sure you are financially fit;
• Avoid bad deals and scams;
• Protect all your deposits with
FDIC insurance; and
• Complain effectively and get
results.
To keep things simple, we’ve
limited our to-do lists to five
suggestions, but if you need or
want more guidance, we’ve also
identified additional resources you
can turn to for help.
Our goal is to give you the
information and the confidence
you need to manage your money
and realize your dreams for a
better future. So keep reading and
learn how you can be prepared, be
informed and be in charge!
Make Sure You Are Financially Fit
A checklist for shaping up your personal balance sheet
Things You Can Do to...
Be Prepared, Be Inform e d , B e i n C h a r g e
loan or credit card application, cost
you hundreds of dollars each year
in interest or other charges. Also,
by monitoring your credit reports
you help guard against identity theft
because you can look for signs that a
fraudster has opened credit cards or
other accounts in your name.
Getting Started