| Vouchers make it safer online
Online shopping holdouts can now buy virtual Visa vouchers to pay for internet purchases without the need for plastic cards or even a bank account. The move is expected to assuage fears of thousands of Australians who avoid shopping over the internet or telephone for fear of credit card fraud. Customers can buy "VCard" credit from retail stores in the same way they buy pre-paid mobile phone credit. The credit - up to $1000 per VCard - can then be used in place of a credit card anywhere in the world that accepts Visa. A once-off fee of $5.50 applies for each voucher and you can't spend more than the amount you put on. Market research firm Forrester, in a report released in April, found 7.2 million Australians were online shoppers. It forecast that figure would grow by an average of 22 per cent a year between now and 2010.
Overdraft Fees Catch Consumers Off Guard
Debit cards are very popular these days. But, many people are finding themselves stuck with huge overdraft fees from the cards. The banking industry calls the overdraft protection a "convenience". Using a debit card can be an easy way to pay. "I use my debit card for small purchases online and when I don't have cash," said Joseph Rizk, a college student and debit card user. But, if consumers are not careful that convenience can cost them. Rizk found that out the hard way. "I went to a fast food restaurant and made a small purchase and I overdrafted," he said. But he didn't know his bank gave him overdraft protection, so he kept using the card, thinking he had at least a little money in his account.
Big ticket: You'll spend more thinking about your bank account than about your wallet
It has long been assumed that consumers are good judges of affordability, but a new study reveals that how much you�re willing to spend is influenced by whether you think about a larger pool of resources (such as your bank account) or a smaller pool (the cash in your wallet). Through a series of four experiments, researchers found that this resource assessment also applies to food and time. Counting calories" You�re more likely to eat that slice of cake if you think about how many calories you have allotted for the week, rather than just for the day. �Whether a person can afford a particular unit of consumption depends not just on the price of consumption, but whether one can afford the purchase as well,� explain Carey K. Morewedge (Carnegie Mellon University), Leif Holtzman (Digitas, Boston), and Nicholas Epley (University of Chicago).
Big U.S. banks vary widely on protecting consumers from fraud
Bank of America Corp. took top honors for the second year in a row in a report ranking the largest U.S. banks on how well they protect their customers from fraud and identity theft.J.P. Morgan Chase, Washington Mutual Inc. and Wells Fargo Co. tied for second place, and Citibank came in third in the study published by Javelin Strategy & Research.The study looked at 25 banks that together hold 50 percent of U.S. checking account deposits and counted only banks that have a brick-and-mortar presence. The study measured banks’ policies for preventing, detecting and resolving fraud, focusing on measures that consumers experience, not internal bank security policies. .
$25,000 jackpot winner says she’s never won anything
SHELBY � A $7.50 meal turned out to be the richest food Candy Lawson ever ate. And the Shelby resident�s bank account is going to be $25,000 a year fatter for the remainder of her life after winning the grand prize in Schlotzsky�s Deli�s online contest. �I�ve never won anything, not even a cakewalk,� she told The Star in an interview. The price of the meal, which she purchased at the Scholtzsky�s in Gastonia, turned out to be the best investment she ever made and definitely one that will change her life. She�s already bought a new car. �I did get something nice � a new Nissan, transportation you can count on.� She has not quit her job as a sales representative for Sprint Nextel. Eventually, she does plan to move to Oregon with her boyfriend and son so they can all be with her extended family.
Bank of America Tops Large Banks in Combating Identity Fraud New Javelin Strategy & Research report shows top U.S. ...
Bank of America ranked the highest in identity fraud protection, detection and resolution, according to a Javelin Strategy & Research report released today. The study of the top 25 U.S. banks found that this year financial institutions showed strength in resolution practices, but vulnerability in prevention and detection. Javelin analysts recommend that banks provide more account monitoring tools to its customers and empower them to "watch and catch" identity fraud earlier. Bank of America earned 78 points out of a total possible score of 100. Tied in second place are JP Morgan Chase, Washington Mutual and Wells Fargo, each earning 70 points. Citibank ranked third with 69 points; BB&T and Wachovia earned the fourth and fifth highest scores. On the whole, 77 percent of the financial institutions met Javelin's recommended resolution criteria, but showed slower progress in detection and prevention measures.
Vouchers to beat fraud on internet
PEOPLE who are nervous about online shopping can now buy virtual vouchers to pay for internet purchases without the need for plastic cards or even a bank account. The move should assuage the fears of thousands of Australians who avoid shopping over the internet or telephone for fear of credit card fraud. Customers can buy VCard credit from retailers in the same way they buy prepaid mobile phones. The credit - up to $1000 per VCard - can then be used in place of a credit card anywhere that accepts Visa. A one-off fee of $5.50 applies for each voucher and the customer cannot spend more than the amount on it. The market research firm Forrester, in a report released in April, found that 7.2 million Australians were online shoppers. It forecast that that figure would grow by an average of 22 per cent a year until 2010.
Progress Bankends stock offer
Progress Bank, a locally owned and managed startup bank, raised $30 million in a stock offering that ended Friday. "The money will be used to capitalize the bank, and it will sit in an escrow account until final charter approval," said David Nast, president and CEO of Progress. Bank organizers are awaiting approval of a state banking charter from the Alabama Banking Department and the Federal Deposit Insurance Corp. "All shareholders came from the community, and we have a lot of pride in that," Nast said. "This was truly a community effort." Progress shares sold for $10 each. The minimum purchase was 1,000 shares, or $10,000; the maximum purchase was 150,000 shares, or $1.5 million. Bank organizers set a minimum fundraising goal of $27 million.
Sacramento woman sentenced to 2 years for bank fraud
U.S. Federal District Judge Frank Damrell Jr. on Monday sentenced a 27-year-old Sacramento woman to more than two years in prison for using the mail to commit bank fraud. Michelle T. Rodriguez pled guilty Sept. 24. Rodriguez and conspirators manufactured checks using the account numbers of other people, which she would get from people who stole mail. She also used fake identification to cash the fake checks. Law enforcement got a tip about Rodriguez from a Crime Alert Bulletin, which led officers to a motel in Sacramento earlier this year. Rodriguez and her alleged accomplice, Curtis Martinez, saw the officers as they approached the hotel and fled, leading to a high-speed chase on Sacramento city streets. When officers caught them, the car was found to have 25 manufactured checks with various names, as well as Social Security cards and other documents belonging to other people.
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