Senior Citizens Remain Target of Scammers

BBB warns of common scams targeting seniors

AUSTIN, Texas -  Fraud targeting senior citizens continues to be a widespread concern reported by Better Business Bureau. In 2010, more than 2,700 seniors filed complaints with BBB, and so far in 2011 BBB has received more than 1,300 complaints.

A survey conducted by Investor Protection Trust in June 2010 estimated that 7.3 million older Americans — one out of every five citizens 65 and older — have been victims of financial scams.
“Fraud targeting senior citizens continues to be a growing concern,” said Carrie A. Hurt, president and CEO of BBB serving Central, Coastal, Southwest Texas and the Permian Basin. “Consumers need to keep the lines of communication open with their elders regarding finances and learn to recognize common scams targeting senior citizens.”

Common scams against seniors:

1. Grandparent scam — Victims receive a phone call from someone claiming to be a family member stranded far from home. The caller may use the name of a particular family member. They say they are being held in jail, need car repairs or other assistance and need money wired immediately. The scammers may lace the conversation with correct references to other family members, increasing credibility.
BBB tip: Remain calm and confirm the status of the individual by calling him or her directly or verifying the story with other family members before taking any further action.

2. Bereavement scam — Scammers will go through obituaries and use the information to prey on widows and widowers. They will try to sell the surviving spouse things he or she does not need, or say the deceased spouse had debt the surviving spouse must pay.
BBB tip: Offer help to elderly friends or family members if they have recently lost a loved one and are inexperienced in managing finances. If you are uncertain about owing a debt when collectors call, ask for written confirmation.

3. Foreign lotteries — Seniors receive a letter in the mail stating they won a lottery. The letter requests they deposit an enclosed check, then wire a portion of the deposited money back to the company to cover taxes or administrative fees. The check will initially clear, but the bank will eventually determine it is fake and remove all the money from the account. The victim is out any money wired back to the scammers.
BBB tip: Never wire money to someone you don’t know. You should never have to send money to receive any winnings from a lottery or sweepstakes. Additionally, participation in a foreign lottery is illegal.

4. Investment and work-at-home opportunities — Promises of easy money often target older adults because they may be looking to supplement their income. The pitch might come in the form of an investment opportunity that promises big returns, or as a way to make money at home for an upfront cost. However, what looks like a great opportunity for seniors is really just a great opportunity for scammers.

BBB tip: Always research work-at-home opportunities with your BBB. Beware of investment or money-making offers that seem too good to be true.

FTC Action Halts Tactics of Payday Lender Martin Webb aka Payday Financial, LLC of SD

FTC Action Halts Allegedly Illegal Tactics of Payday Lending Operation That Attempted to Garnish Consumers’ Paychecks

After the Federal Trade Commission filed an action in U.S. district court, a payday lender that allegedly attempted to illegally garnish consumers’ wages has agreed to stop the challenged conduct pending trial.

As part of its continuing crackdown on scams that target consumers in financial distress, the FTC complaint alleges that Payday Financial, LLC, doing business as Lakota Cash and Big Sky Cash, along with other defendants, illegally attempted to garnish consumers’ wages without obtaining a court order, to collect payments on payday loans. As a result, the defendants illegally revealed consumers’ supposed debts to their employers and deprived consumers of their right to dispute the debts or make payment arrangements, the FTC alleges.

According to the FTC, defendant Martin A. Webb operates Payday Financial, LLC, and several related businesses in Timber Lake, South Dakota. The defendants offer short-term, high-fee, unsecured payday loans of $300 to $2,525 to consumers throughout the country, advertising on television and through websites such as www.bigskycash.com and www.westernsky.com

The FTC complaint alleges that when a consumer does not pay back a payday loan on time, the defendants send documents to his or her employer that mimic those used by federal agencies collecting debts owed to the government in an attempt to garnish the consumer’s wages. Under federal law, the government can directly require employers to garnish wages for debts it is owed without a court order. But private creditors must obtain a court order before garnishing a debtor’s wages. The complaint charges the defendants with violating the FTC Act by:

· misrepresenting to employers that the defendants are legally authorized to garnish an employee’s wages, without first obtaining a court order;

· falsely representing to employers that the defendants have notified consumers about the pending garnishment and have given them an opportunity to dispute the debt; and

· unfairly disclosing the existence and the amounts of consumers’ supposed debts to employers and co-workers without the consumers’ knowledge or consent.

The complaint further alleges that the defendants have violated the FTC’s Credit Practices Rule by requiring consumers taking out payday loans to consent to have wages taken directly out of their paychecks in the event of a default, and have violated the Electronic Funds Transfer Act and Regulation E by requiring authorization for electronic payments from their bank account as a condition of obtaining payday loans.

The Commission vote authorizing the staff to file the complaint was 5-0. The FTC filed the complaint and a request for preliminary relief in the U.S. District Court for the District of South Dakota, Central Division on September 6, 2011. The complaint names as defendants Payday Financial, LLC, Great Sky Finance, LLC, Western Sky Financial, LLC, Red Stone Financial, LLC, Financial Solutions, LLC, Management Systems, LLC, 24-7 Cash Direct, LLC, Red River Ventures, LLC, High Country Ventures, LLC, and Martin Webb. On September 7, 2011, the parties agreed to a stipulated preliminary injunction to immediately halt the alleged unlawful conduct, and the court accepted and entered the stipulated preliminary injunction. The FTC would like to acknowledge the assistance of the South Dakota U.S. Attorney’s Office.

One-of-a-Kind Gifts: They're Only a Click Away

Purchasing a gift can be a stressful experience. Whether you're buying for a close friend or a mere acquaintance, the same questions arise. Will they like it? If the answer is yes, then it could be that they already own it! If you choose to go the safe route and buy a candle, a dessert item, or a gift certificate, then the gift may appear less personal than you intended. Thanks to a couple of great websites, the perfect gift, regardless of who you're buying for, may only be a click away.
www.findgift.com
This is an excellent website for buying one-of-a-kind gifts. For starters, gift selections are organized by specific occasions such as "anniversary" or "house warming". You may also search for gifts according to the sentiment you wish to express or the type of person you're shopping for. If you're still unsure what to buy, the website provides a monthly "Top 20 Gifts" list as well as something called a "Gift Wizard", which gives you one-on-one gift-buying advice.
Findgift.com doesn't actually stock the gifts it offers; rather it takes you directly to a specific online store that does. The website also offers other free services such as gift registries, email reminders for birthdays and anniversaries, as well as bookmarks which allow you to flag gifts you wish to purchase in the future.

Here's a unique gift idea that makes a perfect housewarming present. The item is a hand-drawn, pencil sketch of the person's home based upon a picture you send in. The sketch is drawn by a professional artist and costs under $50. Best of all, no one else is likely to think of it!
www.unusualthings.biz
This is another great gift-buying website which deals with, as you might guess, unusual things. The search feature on this site isn't as specific as the one on findgift.com, but it's helpful nonetheless. The best thing about this website is the quirky nature of its gifts.

One great example of this is the Rorshock Therapy Game. Based upon the famed Rorschach® psychological test, players are asked to interpret various inkblots. You can then use the accompanying handbook to determine what the interpretation says about each player's psyche. How's that for one-of-a-kind?

With prices ranging from $5-75 dollars, there are plenty of fun gifts to choose from on this site. Items ship within 3 days, and there are several shipping options available, depending upon where you live.

So the next time you're in need of a special gift, start with these two websites. And if all else fails, there's always gift certificates.

Brought to you by Capital Mortgage Solutions

Be a Smart Renter - Advice from the BBB

by Carol Odell

There is a good chance you or a family member is a renter – or will be.

Since the housing market bust, nearly 3 million households have become renters, with another 3 million expected by 2015, according to census data analyzed by Harvard’s Joint Center for House Studies and The Associated Press. Thirty-eight million now rent apartments or houses.

Be smart when renting.

If you are searching on the Internet for a place, be careful it’s not a scam. Home rental scams are extremely prevalent. The con artists take the pictures of a house/condo for sale off the Internet and put it on their website and advertise on venues such as Craigslist.

You can check on the real estate company with the Better Business Bureau. Then, call the company to verify the house or apartment is for rent. You can also check with your local assessor’s office to verify ownership. If you do not live where the rental is located and you still want to rent it, ask if you can place the deposit on a credit card. Your chance of getting credit for the deposit if there is fraud, is good if you file a written dispute in a timely manner. If you write a check to a con man, you can say good-bye to that money.

Before signing a lease, know the terms of the lease, such as are utilities included or paid separately. Do a walk-through if at all possible. Take pictures of the rental to be able to verify the conditions before moving in. Know the use and refunds of your security deposit. Have all agreements put in writing, such as what improvements will be made and when. Keep copies of all correspondence. Make sure they give you a copy of the lease. Sometimes the landlord/real estate agent will say they will mail a copy of the agreement to you, and it never comes.

If you have a pet, make sure you know that it is acceptable to have a dog or cat. Is it in writing?

Also, work to keep a good relationship with the landlord so that repairs will be made quickly. Remember that you have certain rights to a livable place such as heat, water, electricity and clean, safe surroundings.

Lastly, do you have adequate renters’ insurance? Too often people do not carry insurance needed to protect them from losses due to theft or disasters, such as a fire or tornado.

Bone Up On Karat Weights Before Selling Gold - BBB Has Consumer Tips To Help You Get Good Value

Erratic global markets have some worried investors turning to gold as a safe haven, driving the price to around $1,900 per ounce in commodities markets. With the price of gold at an all-time high, the BBB is advising consumers to do their homework before selling their gold.

Some consumers may be tempted to cash in by selling old jewelry, coins or scrap gold online,at a home “gold party,” or at local jewelry or coin shops. However, not just any dealer can be trusted.

The BBB already has received more than 500 complaints against gold, silver and platinum dealers this year. The number is well on its way to matching or exceeding the 581 total complaints in 2010.

“Consumers need to be on the lookout for less than reputable sellers,” Michelle L. Corey, BBB president and CEO. “Many of the complaints we receive stem from deceptive advertising or delivery issues, where the consumer ends up receiving far less than what they thought their gold was worth.”

The BBB has following these tips for those contemplating a gold transaction:

Find a trustworthy appraiser. If possible, go to someone locally whom you know and trust. Always check with the company’s BBB Business Review first at www.bbb.org. The BBB suggests obtaining two or three appraisals to compare prices, prior to any sale.

Don't expect to get the full price of gold traded in commodities markets. The ounce quote is for pure gold only. For instance, 14-karat gold is composed of just 58.5 per cent gold. Ask how much the company’s going rate is for each ounce of each karat you are sending. The lower the karat, the less the gold content.

Don’t allow the dealer to weigh jewelry of different karat values together. Some dealers will weigh all jewelry together and pay you for the lowest karat value. Separate your jewelry by karat value before attending a gold party.

Don’t let anyone steal your diamonds from gold pieces. Single gold stud earrings might be worth $5 or $10, yet diamonds in the earrings can be saved. Some are too small, and the labor to remove them might exceed their value, but engagement ring diamonds, for example, should be given a value separate from the gold.

Know the terms and conditions when sending items by mail. Make sure your items are insured when being shipped, so if they are lost you can recover the value. Obtain appraisals prior to mailing items, so if they are lost you have proof of their value. Check the company’s policy on reimbursement if they lose your product. Many limit their liability. Make a list of all items included in the package, keep a copy for yourself, and put a copy in the envelope. Take a picture of the items you are sending, including any identifying marks.

Ask about the company’s guarantee if you are not satisfied with the price offered. Can you get your product back if you return the check? Many companies melt down the items in 10–14 days. If you send the check back, send it “return receipt requested,” so you have proof when it arrived at the company.

More consumer tips and BBB Business Reviews are available atwww.bbb.org

BBB Advises How Consumers Can Take Steps To Thwart Copper Theft

Thieves Target Air Conditioners, Gutters, Water Pipes

Copper theft is a serious problem for homeowners and businesses, but there are things people can do to reduce their vulnerability to thieves, the BBB advises.

At a “copper summit” in March, St. Louis police estimated that copper worth $4.6 million had been removed from St. Louis homes and businesses since the beginning of 2010, based on reports of 3,485 burglaries and thefts. Authorities have sought to fight the trend by requiring scrap dealers to get the names and addresses of people selling scrap and to require that any amount over $500 be mailed to the recipient.

This summer, air conditioning units have been a popular target because of the amount of copper they may contain. Copper gutters, downspouts and water pipes often are stolen, too. The problem extends to St. Louis suburbs in Missouri and Illinois.

“Soaring commodity prices have made stealing and selling scrap profitable,” said Michelle L. Corey, BBB president and CEO. “No one can stop a determined thief, but there are things consumers and businesses can do to make their property less attractive to criminals.”

 The BBB offers the following tips to avoid being victimized:

• Secure items if possible. Keep items thieves could pilfer inside. For larger targets, like air conditioning units, keep the area fenced in and lock any gates.
• Make it difficult for thieves. Move dumpsters and ladders away from buildings to make it harder for thieves to reach rooftop refrigeration units. Clear brush around ground-level air conditioning equipment so others can spot people attempting to work around the unit or destroying it.
• Invest in security. Add continuous or motion-sensing outdoor lighting around air conditioning units. Businesses should try to have someone on site at night or install video cameras to watch for thieves.
• Start a neighborhood watch. Get to know your neighbors and ask them to help keep watch. Never assume the person working on the neighbor’s air conditioner or gutters is a repairman. Check with the neighbors, then call the police.
• Mark materials. If materials are stolen, the best chance of identifying them is to make them stand out from similar material that might come to a recycler legitimately. Marking items with bright paint or etching an identification number at various places can make the items more difficult to sell.

The Better Business Bureau has more consumer tips and BBB Business Reviews at www.bbb.org.

Lower Your Grocery Costs

A trusted app now has mobile grocery coupons, and a new site helps you save money by providing recipes that use ingredients you already have.
By Cameron Huddleston, Kiplinger.com


Coupon Sherpa, one of our favorite free iPhone and iPod Touch applications, has added grocery coupons to its line-up of mobile coupons for hundreds of retailers, restaurants and services. This is good news for those of us who like the idea of coupons but don't always have the foresight to find and print them before we head to the grocery store.

The app now has coupons for 28 grocery chains, including Kroger, Lowes Foods, Ralphs and Safeway. You can enter your zip code to locate participating stores near you and see what coupons are available in your area. Then you can check the coupons you want and save them directly to your store loyalty card (by entering the card number). The coupons will be applied automatically when you swipe your card at the checkout. It's that simple.

As with most grocery coupons, the ones available on the Coupon Sherpa app are primarily for brand-name, prepackaged items – such as cookies, snack foods and frozen meals. But I don't buy a lot of these items. That's why I've found another new Web site to be more beneficial for me. It's called Gojee.com, and it helps you find ways to use food items you already have so they don't go to waste (and you don't just throw away money).

The recently launched cooking site lets you enter ingredients you have then generates recipes that use those items and clearly lists other ingredients that are needed for the recipes. You can also list ingredients you're allergic to or don't like to narrow your search results.

Other sites, such as Allrecipes.com, offer similar ingredient-search options. But what I like about Gojee.com is that it's easy to navigate, isn't cluttered with ads and looks like a cookbook with page after page (that you can scroll through like a slide show) of large, mouth-watering images of each dish. All of the recipes are handpicked from the blogs and Web sites of food writers and screened for tastiness.

I've already saved some zucchini and eggplant from going bad in my fridge with the help of recipes from Gojee.com. Give it a try and let me know what you think of it (or the new Coupon Sherpa mobile grocery coupons).

Reprinted with permission. All Contents ©2011 The Kiplinger Washington Editors. www.kiplinger.com.

BBB Advises Homeowners to be on the Lookout for Fly-By-Night “Storm Chasers”

Arlington, VA – Your home and wallet may take a serious beating when a big storm like Hurricane Irene hits and Better Business Bureau is warning consumers to be wary of fly-by-night “storm chasers,” as well as fraudulent charities promising to provide relief.

Storm chasers and other door-to-door salespeople often peddle dubious deals that may cost homeowners thousands of dollars and create serious headaches. BBB recommends doing your research to avoid getting taken advantage of by untrustworthy home contractors.

For those who seek to aid in relief, BBB Wise Give Alliance urges donors to check trustworthy charities before making any donations. Not only do Americans need to be concerned about avoiding fraud, they also need to make sure their money goes to competent relief organizations that are equipped and experienced to handle the unique challenges of providing assistance.

“Not only do Americans need to be concerned about avoiding fraud, they need to know that their home contractors and charity relief efforts are legitimate and honorable,” said Stephen A. Cox, President and CEO of the Council of Better Business Bureaus. “It’s imperative to find a home contractor and charity that you can trust.”

When looking for a contractor you can trust and when seeking to aid to relief efforts, BBB recommends that homeowners and donors do the following:

Start Your Search with BBB. In addition to offering Business Reviews on tens of thousands of contractors—good and bad—across the US, you can also rely on BBB’s Accredited Business Locator to find trustworthy contractors in your area. BBB accreditation standards require that accredited businesses make a good faith effort to resolve disputes.
Find trustworthy charities when aiding to relief. BBB Wise Giving Alliance urges donors to make sure their donations will go to legitimate and reputable charities and relief efforts that have the capability to help those in need. Be cautious when relying on third-party recommendations such as bloggers or other Web sites, as they might not have fully researched the listed relief organizations. Interested donors should visit www.bbb.org/charity to research charities and relief organizations to verify that they are accredited by the BBB and meet the 20 Standards for Charity Accountability.

Recognize the red flags. Beware of any contractor who uses high pressure sales tactics or requires full payment upfront. Also avoid contractors who require you to get the necessary permits. When looking to make a donation, be cautious about online giving, especially in response to spam messages and emails that claim to link to a relief organization. In response to the previous natural disasters, there were concerns raised about many Web sites and new organizations that were created overnight allegedly to help victims.

Check the contractor carefully. Verify the business meets all state and local requirements including being licensed, insured and bonded. Also ask the business for references from recent jobs. Confirm whether or not the contractor will be subcontracting the job or relying on their own employees.

Beware of storm chasers. In the wake of a storm, fly-by-night repair businesses will solicit work, often door-to-door, in unmarked trucks. They might require advance payment and make big promises on which they won’t be able to deliver.

Seek at least three bids. Beware of low-ball estimates that may potentially balloon over time or foreshadow shoddy work to come.

Make sure everything is in writing. Make sure that the full scope of the work is explained in the contract including cleanup and disposal of waste. All verbal agreements need to be included in the written agreement. Pay close attention to the payment terms, estimated price of materials and labor and any warranties or guarantees.

For more advice on hiring home professionals and for finding a charity you can trust, visit us online at www.bbb.org/us/consumer-tips-home and BBB Wise Give Alliance at www.bbb.org/charity.

BBB Consumer Alert: Global Subscription Services Making Unauthorized Debits from Consumers’ Bank Accounts

Fast Facts:

• Global Subscription Services has automatically renewed consumers’ magazine subscriptions without permission and made unauthorized debits from consumers’ bank accounts
• BBB has received 28 complaints in four months from consumers all over the country
• Consumers report that they did not give their banking information to the company and don’t know how they obtained that information

August 31, 2011, Memphis, TN – The BBB of the Mid-South is warning consumers about a magazine subscription company operating with a Memphis address. Consumers have reported that Global Subscription Services mailed them notices stating that the company is automatically renewing their magazine subscriptions and debiting their bank accounts. Global Subscription Services has an F rating with the BBB.

Global Subscription Services lists its business address as 111 S Highland Street, #102, Memphis TN. However, the BBB has confirmed that address to be a rented mailbox at a UPS Store.

BBB complaints have been filed against Global Subscription Services by consumers from all over the country – from New York to California to Alaska. The BBB has received 28 complaints on the company since April. According to complainants, the renewal notice contains bank account information that the consumers say they didn’t provide. Some complaints allege that funds have already been debited from their accounts without their permission.

An Arlington TN man reported that Global Subscription Services processed an automated debit from his bank account without his permission. “I have never done business with this company, nor have I ever authorized or given them my banking information,” he told the BBB. “They stated that they processed an automated renewal on a magazine that I have not subscribed to in over 4 years.” When he contacted the magazine publisher directly he was told that they do not have a contract with Global Subscription Services and would not accept renewal requests from them.

A couple from Somerville TN also had unauthorized funds drafted from their bank account. “They illegally debited our bank account with $49.00 on 6/21/11 without any authorization from us to do so,” they told the BBB. “We had already mailed our check directly to the magazine for renewal.” They also contacted the magazine publisher directly and were advised that Global Subscription Services is not authorized to sell subscriptions for them.

According to a man from Olathe, KS, the company debited his account for $14.95 without his permission. He told the BBB, “The company alleges my personal authorization is on file. I have not granted them authorization. I have not lived at the address they show on the banking record for 5 years.”

And a Greenville SC woman asked, “I am also very curious how this company obtained my bank account information without my having given it to them.”

The Better Business Bureau contacted the company to find out how consumers were put into the automatic renewal program and how the company obtained banking information that consumers did not provide. In a response to the BBB, Global Subscription Services stated that some consumers were “inadvertently” enrolled in their automatic renewal program, but didn’t say how or why. They also did not address the question about how they obtained the banking information.

“This is a good example of why consumers need to scrutinize bills and account statements,” said Randy Hutchinson, BBB President. “Someone who isn’t paying close attention might think the statement is legitimate and pay it without question.”

The BBB of the Mid-South reminds consumers to be vigilant when paying bills and invoices.

• Check your bank and credit card statements. Make sure all the charges and drafts were authorized by you.
• Don’t wait for your bank or credit card statement to come in the mail. If you have electronic access, check them more frequently.
• Don’t automatically pay bills and invoices that arrive in your mailbox. Verify their legitimacy first.

For more information or to schedule an interview with a BBB spokesperson, contact Nancy Crawford at 901.757.8627 or 901.213.7809.

BBB Advice on Student Security – What Every College Student Should Know

As college students get settled on campus, fighting fraud may not be at the top of their list of priorities. College students are susceptible to identity theft, however, and Better Business Bureau recommends that they take seven simple steps to protect themselves on campus.

In 2010, 8.1 million Americans – or 3.5 percent of the population – became victims of identity theft, according to the 2011 Identity Fraud Survey conducted by Javelin Strategy & Research and sponsored by BBB. The average mean cost of identity theft is $631 and the average time to resolve identity fraud is 33 hours – valuable study time.

“Friendly fraud” accounts for 14 percent of all ID theft crimes. This means that new roommates and friends have just as much potential of being as dastardly as a foreign-based scam artist phishing on the Internet. And identity thieves – friend or foe – think nothing of dumpster diving (or rifling through unattended trash cans) for unshredded paperwork or even taking mail from unlocked mailboxes (or off a desk). They can even cruise social networking sites looking for some personal tidbit that can unlock a wealth of information elsewhere.

“In this day and age, you can’t always trust your peers,” said Stephen A. Cox, president and CEO of the Council of Better Business Bureaus. “It’s extremely important for students to be vigilant in monitoring bank and credit card statements to spot unauthorized activity. Sign up for security alerts on your accounts and have them sent to your mobile phone so you’ll know if any changes have been made to your account.”

BBB recommends that college-bound students take the following seven steps to fight identity theft on campus:

Send sensitive mail to your parents’ home or a post office box. School mailboxes are not always secure and often can be accessed easily in a dorm or apartment.

Important documents should be stored under lock and key. This includes your Social Security card, passport and bank and credit card statements. Shred credit card offers and any paper documents that have sensitive financial information rather than just tossing them out.

Never lend your credit or debit card to anyone. Just say no if your friend wants to borrow your card or asks you to co-sign for a loan or financing for items like a TV.

Make sure your computer has up-to-date antivirus and spyware software. Always install any updates and patches to your computer’s operating system or browser software, which help keep your computer safe from any new advances by identity thieves online.

Always check your credit or debit card statements closely for any suspicious activity. The sooner you identify any potential fraud, the less you’ll suffer in the long run.

Check out unfamiliar websites with the BBB. Look for the BBB Accredited Business seal along with other trust seals; click on the seals to confirm that they are legitimate.

Check your credit report at least once a year. You are entitled to one free report a year from each of the three reporting bureaus: TransUnion, Experian and Equifax. Look for any suspicious activity or inaccuracies. You can do this for free by visiting www.annualcreditreport.com.

BBB Advice for Making “Golden” Gold Transactions

Arlington, VA – As global markets are currently seeing rapid declines, worried investors are seeking safe havens for their funds. Many are looking to new investment plans to help their money grow. With the price of gold at an all time high of more than $1,700 per ounce, Better Business Bureau is advising consumers to do their homework before making tempting gold transactions.

Whether through an online venue, an at home “gold party,” or your local jeweler, many consumers are looking to sell their gold jewelry for some quick cash. However, not just any dealer can be trusted. In just this year alone, BBB has already received more than 500 complaints against gold, silver and platinum dealers, a number that is well on its way to reaching 2010’s 581 total complaints.

“Consumers need to be on the lookout for not so reputable sellers,” said Stephen A. Cox, president and CEO of the Council of Better Business Bureaus. “Many of the complaints we receive stem from false advertising and delivery issues where the consumer ends up being appraised far less than what they thought their gold was worth.”

BBB recommends following these tips to ensure a “golden” gold transaction:

Find a trustworthy appraiser. For an appraisal, if possible, go to someone locally whom you know and trust. Always check with BBB first at www.bbb.org. BBB suggests obtaining two or three appraisals to compare prices, prior to any sale.

The true price of gold may not be what you receive. If gold is worth $1,700 per ounce, you aren’t going to be paid $1,700 for every ounce of gold you have. Ask what you will be paid (if an online company, make sure you ask for specifics and give details on items you’ll be sending). Understand that the ounce quote is for pure gold only. For instance, 14-karat gold is composed of just 58.5 per cent gold. Ask how much the company’s going rate is for each ounce of each karat you are sending. The lower the karat, the less the gold content.

Don’t let jewelry of different karat value be weighed together. Some dealers will weigh all jewelry together and pay you for the lowest karat value. Separate your jewelry by karat value before attending a gold party.

Don’t let anyone steal your diamonds from gold pieces. Single gold stud earrings might be worth $5 or $10, yet diamonds in the earrings can be saved. Some are too small, and the labor to remove them might exceed their value, but engagement ring diamonds, for example, should be given a value separate from the gold.

Know the terms and conditions when sending items by post. Make sure your items are insured when being shipped, so if they are lost you can recover the value. Obtain appraisals prior to mailing items, so if they are lost you have proof of their value. Check the company’s policy as to what they will reimburse if they lose your product. Many limit their liability. Make a list of the items included in the package, keep a copy for yourself, and put a copy in the envelope. Take a picture of the items you are sending, including any identifying marks.

Ask about the company’s guarantee if you are not satisfied with the price offered. Can you get your product back, if you return the check? Many companies melt down the items in 10–14 days. If you send the check back, send it “return receipt requested,” so you have proof when it arrived at the company.

Boomerang Kids

Problem or opportunity? Picture yourself returning home from your last graduation party and settling in for a quiet evening with your spouse to begin the "empty nest" phase of your life. The kids are now gone. Or are they? A recent phenomena is hitting America as an unprecedented number of grown kids are returning to the nest. This trend is becoming so well known it has fostered the phrase the "boomerang generation". What Happened? With the advent of high unemployment and record levels of college and graduate school debt, adult kids are struggling to make it on their own. There are also discussions about a shift in parents' willingness to help out financially and emotionally more so than in prior generations. In the 1940s 18 year olds were fighting wars in Europe or the Pacific. In the 1960s and 1970s kids were being drafted and many were protesting. Today's world is different, but is it bordering on over-indulging our children. So what to do if you find yourself in a boomerang situation? Whether you are a parent or a "boomerang" child, here are suggestions that may turn an uncomfortable situation into a rewarding experience.
Understand the reason. Understanding why the request to move back home will help you set expectations for each other. Having trouble finding a job is one thing, breaking up with a boyfriend or girlfriend brings quite another. What are your child's motives for moving back? Saving money for a new home? Are they going through a recent divorce? Trying to pay off debt? Getting ready for graduate school? Or perhaps it is simply for emotional stability. Understand the potential problems and discuss them. Having a serious discussion before moving back in is important. As a child, you need to make sure being a boomerang child does not foster a lack of motivation or having you become more passive in a job search. As a parent, you need to be concerned you are not stifling your child's development as a person or as a professional in their desired career. Set expectations. Some discussion topics could include: Establishing a timeframe Sharing of household duties Understanding house rules. (curfew, guest policy, groceries etc.) Setting up an agreement; consider putting it in writing Discussing if rent should be charged. How much? Define space. The tolerance to accept a messy house when the kids were small is one thing. It's quite different having to pick up after a grown child. Clearly defining each other's space in the house and setting expectations on keeping things like bathrooms clean can help tremendously. Be careful with debt. Make sure you do not enable financial behavior that is acceptable as a small child, but enables an adult child to become more passive about developing financial skills necessary to live independently as an adult. Do not sacrifice your own financial future by paying your child's debt. Funding your retirement is usually more important than bailing a child out of their financial predicament. What will they do when you need money in old age because you spent it on them to reduce their debt? Turn lemons into lemonade. While there are many inherent problems with the concept of the boomerang generation, there are wonderful opportunities as well. A few examples include: Reconnecting with each other when both the child and parents are adults. With a roof over their head, the boomerang adult can use the opportunity to explore and develop marketability as an employee by taking an unpaid internship or volunteering to help others. Help your child save money for their future goals. Adults can get help maintaining their home as they age. Remember many cultures value the benefits of multi-generational living. The wisdom of experience is passed from one generation to the next and the healthy bond established between generations helps those of all ages. If managed properly the boomerang experience could bring its own rewards. Brought to you by Pinnacle Accounting