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Why & How to Plan Ahead for Health Care Expenses

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Health care is something that most Americans overlook when budgeting. Medical debt child with nursecan get out of control if you don’t have health insurance or you don’t plan ahead for unexpected health care expenses.

But how do you plan ahead for health care expenses?

Here are a few tips that can help you start the planning process:

  1. Research health insurance plans and medical costs. To plan ahead for your health care expenses, you will need to understand what type of health insurance plan you have and the medical costs that you may incur in the upcoming year.
    • Determine how much to save based on your deductible, co-payments/co-insurance and/or out-of-pocket maximums. You can contact your health insurance provider to find out the amount of your deductible.
    • Estimate how much to save based on any medical bills you received in the previous year.
    • Calculate how much to save based on any prescriptions you had to pay for in the previous year.
    • Attend workshops and seminars presented by your employer or health insurance organization to get a better understanding of how to get the most out of your health insurance plan (and spend the least amount of money out of your own pocket).

Everyone’s situation will be different. Use what you think will be best for you to determine how to save money on your health care costs.

  1. Start the planning and budgeting process. A best practice is to use a budgeting tool to outline all of your monthly expenses, including any estimated health care costs. A visual map of your financial plan will give you something to follow to ensure you are meeting your savings targets every month.
  2. Consider Opening a Health Savings Account (HSA) or Flexible Spending Account (FSA). These enable you to save for health care expenses in advance (on a pre-tax basis). Not only are the funds untaxed, they can also be used to cover the cost of co-payments, co-insurance, out-of-pocket maximums, and prescriptions.

The Bottom Line: You’ll Save Money in the Long Run

Ultimately, planning ahead for health care expenses is like planning ahead for retirement. With retirement, you plan ahead to cover all of your bills in the future. The same concept applies for health care expenses. The money you save will enable you to cover the costs of any medical expenses you incur in the future.

Courtesy of Accel Members Financial Counseling, Destinations Credit Union’s partner to provide its members free unlimited financial counseling.

Risking It When Investing

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Sometimes one partner is a risk taker and wants to invest in things that aren’t really iniStock_000034071002_Medium the other’s comfort zone. Some generally consider it better to invest where returns are higher, but that also means a higher risk! Is there some sort of middle ground?

It’s a good idea to think (and talk) this through. Many couples face the same question, and while the simplest solution might be to split your funds down the middle and invest as you each see fit, that’s not likely to bring peace or wealth into the relationship. In a marriage, for one thing, whether accounts are titled separately or jointly, they are considered marital assets (even 401Ks). And a healthy relationship depends on working jointly toward financial goals, not going it alone.

One of the most difficult issues for couples to resolve is how much risk they’re willing to take with their investments. According to Fidelity’s 2015 Couples Retirement Study, 47 percent of couples disagree about how much money they’ll need to maintain their lifestyle in their later years. Even more troubling, a Harris survey found that 33 percent of couples weren’t saving anything for their retirement years. And, of those who were, one in five said they were clueless about how much their partner was contributing to their accounts.

Some tips if you’re starting down the investment road together:

  • As in so many areas of a relationship, communication is key. Let your spouse or partner know you’re willing to research options together and come up with a plan. Erica Coogan, partner at Moss Adams Wealth Advisors in Seattle, recommends that each partner complete a risk assessment questionnaire and then compare answers. “It makes a subjective conversation a little more objective,” she says.
  • Remember that planning needs to cover both spouses, not just a breadwinner. Experts advise couples to be mindful of the “It’s my money because I worked for it” syndrome. Couples need to work together on a plan for investing (and spending) their money, no matter who earns it. Apart from any resentment, an uneven divide in the ownership of assets can make a mess of cash flow, estate planning and taxes.
  • Consider transparency. Wherever you stand on risk, consider selecting some investments that are, by nature, transparent. This includes individual stocks, bonds and exchange-traded funds. You can also reduce risk by diversifying your portfolio across asset classes. Ask a financial advisor at your credit union for help in untangling the strands of modern-day investing.
  • Think about your time horizon. Allowing an investment to compound leads to much better returns. So, if you’re the more risk-averse half of a couple, and you’ll need your money within 10 years, say with confidence to your partner: Slow down. Remember that it doesn’t make intuitive sense (but is nevertheless true) that your money doubles in seven years if you earn a compounded annual return of 10%. Don’t let a little fumbled math lead to a rash or risky decision.
  • Keep the goalposts in sight. Your mutual goals will determine how, and how much, the two of you should invest. For instance, when do you want to retire? Do you plan to pay for your kid’s college expenses? Purchase a home (or a second home)? Start a business?

Finances are one of the leading causes of separation. The more ownership and open communication a couple has over this potentially rocky topic, the less likely it is that they’ll panic when there’s a ripple in their plans or something happens in the markets.

Your Turn: Do you and your spouse or partner disagree about investments? Let us know how you’ve smoothed that potentially rocky road and headed for a secure sunset.

SOURCES:
https://blog.wealthfront.com/couples-investing-risk-assessmentwww.gofffinancial.com/investing-for-couples
http://money.usnews.com/investing/articles/2016-09-21/5-common-investment-mistakes-that-couples-make
http://www.bankrate.com/finance/investing/5-steps-effective-investing-as-couple.aspx#slide=2

Changes In The VantageScore System

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The VantageScore system is getting an overhaul. Many people wonder what kind ofa1522-credit2breport changes are being made and how will this affect the way their score is calculated.

The VantageScore, which dictates the way credit bureaus — Experian, TransUnion and Equifax — determine your credit score, is going through a shake-up this fall. The company is looking deeper into specific circumstances and what they say about your financial responsibility.

Having a favorable credit score comes into play when you need to qualify for financing on a new car, if you’re opening a new credit card, or you want to take out a loan. In each of these scenarios, your credit score is the most important deciding factor for your approval, and will also influence your terms and interest rates.

It’s important to note that the new system will not impact mortgage loans. This is because few mortgage lenders use VantageScore; most use FICO scores to verify eligibility.

The changes will affect the credit scores of many people, though, for better or for worse. It’s wise to learn all you can about these changes so you can make the necessary adjustments to your credit behavior.

Lucky for you, we’ve made it easy! We’ve broken the changes down into the three main areas they impact, and then we’ve simplified it by telling you what these changes mean for you.

Read on to learn all about it!

1.) Trended data and trajectories

What it means:

Under the modified system, VantageScore won’t just check if you’re meeting your minimum monthly payments; it will consider trended data, too. This means the company will analyze the trajectory of your debts on a month-to-month basis. They want to know the direction in which your finances are going. Are you gradually paying down debt, or are you scraping by with the minimum payments as your balance slowly grows?

What it means for you:

In the past, your score wasn’t affected by growing debt as long as you were making the minimum payments on your cards. Now, if you’re careful about making the monthly payment but your balance is increasing each month, your credit score will take a hit.

Conversely, if you’re working toward actually paying down your debt, your score will likely get a boost. If you don’t fall into this category, it’s time to get serious about doing away with your debt for good. Even small steps toward this goal will be recognized and rewarded.

2.) Large credit lines

What it means:

Having lots of available credit was once considered a mark of good credit. After all, if the companies deemed you responsible enough to merit all that credit, it’s gotta be a good thing, right? Well, not anymore.

With the new system in place, VantageScore will mark a borrower negatively for having excessively large credit card limits. The theory behind this rationale is simple: lots of open credit means the borrower can quickly rack up a huge bill.

What it means for you:

If you enjoy an excellent credit score, you likely have a large line of credit available and will be negatively impacted by this change unless you take action. This change also upends the old advice that the more credit cards you have open, the better. The rationalization behind that maxim was to build your available credit, and thus, improve your score. With the modified system, though, the opposite is true.

Let’s say Bob has $4,000 in credit card debt with a $40,000 limit across several cards. He’s only using 10% of his available credit. In the past, this would net him a higher credit score. Bill, on the other hand, has $1,500 in debt out of an $8,000 limit. In the past, this modest credit limit would lower his score.

With the new changes in place, the realities are shifting. Bob, who has a lot more available credit, will likely score lower than Bill, who only has $6,500 available to borrow.

Aside from those who enjoy prime credit scores and have several open cards, this change will also affect people who enjoy playing the credit card rewards-and-points game.

Whichever category you fall into, it’s best to use less than 30% of your available credit. Also, if you have a large credit line open across several cards, consider closing some of your cards to lower that number. Finally, if you’re thinking of opening a new card in the near future, ask for a smaller credit limit over a larger one.

3.) Medical debt, tax liens and civil judgments

What it means:

Medical debt, tax liens and civil judgments will no longer be factors at play when determining your credit score. These elements are being removed with the rationale that they often harm a credit score prematurely and are later proven erroneous. Civil judgments and tax liens are often inaccurate, and can significantly lower one’s score before the error is corrected. Similarly, medical debt can hurt credit scores before insurance can reimburse the borrower for the payments.

What it means for you:

If you’ve had any of the above dragging down your credit score, you have cause to celebrate. In fact, you might even see a jump of as much as 20 points to your score! On the flip side, if you have negative marks from things like delinquencies and debts that have gone to collection agencies, this new rule won’t help you much.

If you are looking for a way to track your credit score for free, take a look at WalletHub.*

*Please note: WalletHub gives you TransUnion and VantageScore credit scores.  Not all lenders use TransUnion, so your score when you apply for a loan may be different.

Your Turn: Do you think the new system encourages responsible use of credit? Why or why not? Share your thoughts with us in the comments!

SOURCES:
http://onemileatatime.boardingarea.com/2017/04/19/credit-score-changes-2017/  
http://www.cnbc.com/2017/04/19/major-changes-coming-to-how-your-credit-score-is-calculated.html   
https://amp-usatoday-com.cdn.ampproject.org/c/amp.usatoday.com/story/100653342/   
http://www.pressherald.com/2017/04/24/changes-coming-in-the-fall-to-how-major-credit-score-is-calculated/
https://www.thepennyhoarder.com/smart-money/changes-might-raise-your-credit-score/
https://www.nerdwallet.com/blog/finance/vantagescore-fico-score-the-difference/
https://thepointsguy.com/2017/04/changes-credit-score-calculations/ 

Private Mortgage Insurance – What You Need To Know

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Whether you’re a long-time home owner or you’ve just started shopping for your dream house, you’ve seen stacks of papers full of acronyms. Buried amid the dense undergrowth of legalese are three letters that could be costing you more than you think. Be on the lookout for PMI: Private Mortgage Insurance. 

PMI in a nutshell 

Close your eyes and imagine yourself as a venture capitalist, like those you may have seen on “Shark Tank.” An inventor comes to you and says they’ve got a killer new product. They need $300,000 now and they’ll repay it with 4% interest over the next 30 years. If they don’t, you can take the manufacturing equipment they’re going to buy with your loan, which is worth about $250,000.

This isn’t a great deal for you – the venture capitalist – since you’re putting the remaining $50,000 on the line, and that’s not considering the cost of selling their equipment! They’re not risking anything. The equipment was bought with your money. You need to know they’ve got something at stake, too. So, they put up $30,000 of their own money. This is a better deal, but you’ve still got more to lose than they do.

This is where an insurance company comes in and says that, for $3,000 a year, they’ll protect the loan. If the inventor fails to deliver, they’ll repay the balance of the loan at that point. Sounds great, but who’s going to pay it? If you do, that just raises the amount you’re going to lose on this deal. Instead, you make the inventor pay it.

That’s how PMI works. The home buyer, in this example, is the inventor, and the lender is the venture capitalist. To make the mortgage an attractive option for lenders where scenarios like this happen, the home buyer needs a way to ensure the lender will be made whole (paid back in full) if something goes wrong. Importantly, PMI is protection for the lender, not the borrower. If you fail to make your mortgage payments, you will still face foreclosure even if you’re paying for PMI. All that changes is the institution that issued your loan can recoup its losses. 

Who has to pay for it? 

Not all mortgages require PMI. In general, loans made where the principal total is 80% or less of the sale price of the home don’t require PMI. If you put 20% down, lenders see that as a sign that you’re a safe risk. You’ve got as much skin in the game as they do.

Home buyers with a down payment of less than 20% may have to pay for PMI. Typically, costs are between 0.5% and 1.0% of the total value of the loan, with riskier loans requiring higher PMI payments. Sometimes, lenders offer loans to these home buyers that exclude PMI, but in order to make the increased risk worthwhile, such loans come with a higher interest rate.

PMI premiums can be made one of two ways. You may notice a line item in your mortgage estimate or statement that identifies your monthly premium for PMI. In other cases, it may be included with the closing costs as a lump sum. Some loans require both a payment at closing and an additional monthly premium. 

When can I stop paying for PMI? 

The 20% rule is a helpful one here, too. Once you’ve paid down enough of the loan to have 20% equity in your home (meaning your loan amount is less than 80% of the home’s market value), most lenders will no longer require PMI. Every month, a portion of your mortgage payment goes to paying interest, and a portion goes to paying the principal. The second part is how you increase your equity. Think of it as gradually buying your home back from the lender. Of course, you can make extra payments beyond the mortgage payment to reduce the principal faster and increase the percentage of home that you own.

Even with a 20% stake in your house, you may have to pay for PMI a little longer. Policies are generally purchased for a year, and monthly payments are held in escrow to cover yearly premiums. You may have to continue paying the premium until the year in which you reach 20% equity ends. Also, if you happen to live in an area where home values have risen, investigate the ability to get a new appraisal if you are paying PMI. If your home has gone up in value enough to get you pas that 20% threshold, you may be able to request cancellation of the PMI on your loan.

While PMI may seem unfair, remember that without it, lenders would be less likely to issue mortgages in the first place. PMI helps borrowers qualify for loans on homes they might not otherwise have been able to purchase. That means it helps put you in a nicer house without saving more for the down payment.


SOURCES:
http://homeguides.sfgate.com/role-underwriter-mortgage-2051.html
http://www.consumerfinance.gov/askcfpb/122/what-is-private-mortgage-insurance.html
http://www.consumerfinance.gov/askcfpb/202/when-can-i-remove-private-mortgage-pmi-insurance-from-my-loan.html
http://www.bankrate.com/finance/mortgages/removing-private-mortgage-insurance.aspx

http://www.interest.com/mortgage/news/what-you-need-to-know-about-private-mortgage-insurance/

Your Credit Score: The (Other) Key To Your New Home

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Each potential home buyer dreams of the day they’ll finally get the symbol of independence, security and prosperity: the key to the front door of their new home. Before you get that one, though, there’s another key you need to craft. Your credit score, a numerical representation of your credit history as an indicator of your ability to pay your bills, will determine a lot about your housing situation, from how much house you can afford to the interest rates you’ll receive.
Your credit score is determined by three different credit monitoring agencies: TransUnion, Equifax and Experian. Each has its own method for determining which events are most important to your score, so your number may vary depending upon the agency. Paying debts off, making payments on time and using only a small percentage of your available credit make your score go up. Missing payments, opening many credit accounts or carrying a significant balance of debt from month-to-month will decrease your score.
Less important than the actual score is your score grouping. Lenders tend to lump borrowers into four categories: sub-prime, near-prime, prime and super-prime. Different lenders break these categories down at different score points, but the terminology and treatment are fairly universal. Super-prime lenders get the lowest rates, because they represent the lowest level of risk for the lender. Sub-prime and near-prime borrowers will have a lower cap for the size of the loan they can take and will generally pay a higher interest rate. If you’re working on raising a low credit score, a good target number is 640. This will generally put you in the prime group and ensure you don’t have to pay extra on your mortgage because of credit. If you’re building good credit, 740 is generally the lowest super-prime score, which will give you access to some of the best rates and terms available.
If you’re going house-hunting in the next year, there are three steps you can take right now to improve the terms of your mortgage. Check your credit score, take steps to raise it and manage your loan in other ways. Taking these three steps will put you on the fast track to affordable home ownership! 
Check your credit score 
You can check your credit report for free once a year at annualcreditreport.com. Note, though, that there may be a nominal fee to receive your actual score along with the report. There are many similar websites, but many of them will charge you. Annualcreditreport.comis the site created by the three credit companies to provide consumers with transparent access to their financial information.
If your score isn’t at the level you think it should be, there may be errors or inaccuracies that are dragging down your good name. Look for accounts you don’t recognize or balances that are not up-to-date. You may even catch an identity thief red-handed! The report comes with instructions for challenging any item. In most cases, you can leave a note for lenders in the file explaining the item under dispute. 
Boost your credit score! 
There are no simple tricks to bump your credit score in advance of a mortgage. You need to develop a 6- to 12-month plan to boost your credit score before getting your mortgage by making sound financial decisions. Demonstrate to lenders that you can use credit responsibly, and your score will increase.
One of the biggest drags on a credit score is percentage of utilized debt. If you’re carrying a balance on credit cards, this tells lenders that you may be using credit to pay for your day-to-day expenses, and that lending you more money would not be a smart move for them. Getting balances to zero should be goal number one!
Also, take care that you don’t make any major purchases using credit right before you attempt to qualify for a mortgage. Even if you’re expecting a major windfall, such as an overtime check or a tax refund, creditors don’t see that on your report. Hold off until you have the cash in hand before you splurge on a new TV or car!
If it’s a lack of credit history that’s hurting your score, many lenders offer “credit builder” loans. These involve borrowing a small amount of money and making regular installment payments on it. Parents can frequently take out these loans on behalf of children to help them build a stronger credit history. 
What else? 
If your credit score is low, and there’s nothing you can do about it, you may need to take other steps to get a better position on a loan. You might try boosting your down payment or shopping for less expensive houses, so you’re borrowing a smaller sum of money. A co-signer, another responsible party willing to take on the risk of the loan, can also improve your terms. If your debt is a serious problem, perhaps moving into a new house isn’t a good short-term priority. Focus instead on paying off debt and saving up for a down payment. This can keep you from getting stuck with a house payment you can’t afford before you’re ready for it.
Destinations Credit Union offers its members free, unlimited financial counseling through our partnership with Accel Financial Services.  Take advantage of this great resource to help boost your credit score. 
SOURCES:

http://www.investopedia.com/terms/p/prime-credit.asp

http://www.gobankingrates.com/personal-finance/7-ways-to-boost-your-credit-score-this-month/

http://hubpages.com/money/Tips-To-Increase-Your-Credit-Score

What To Do When The Rent Is Due – But You’re Coming Up Short

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“Yikes! I’ve got a rent payment due in a couple of days. Payday will come too late and I’m a few bucks short! What can I do?“
Everyone can relate to this experience or one that’s similar. An unexpected bill or a short paycheck puts you behind, and you spend the rest of the month playing catch up. Finally, a big, important bill comes up and you’re out of backup plans. That grim feeling of panic creeps up your spine. Your heart races.
This is a financial crisis!
The first step is to silence that panic. Take two or three deep breaths. Although it is a problem, it’s one you need to solve, not one to give up on. A practical plan is needed to come up with the money.
Rather than going through a list of things you can do, it might be easier to talk about places to look. Let’s go through a few locations you can go to try to find those few extra dollars. This task is going to be equal parts creativity and hard work, so roll up your sleeves and get your thinking cap on!
1.) Your job
You may be thinking that if your job paid more, you wouldn’t be in this mess. That may be true, but it doesn’t mean there aren’t a few ways you can get a couple extra bucks out of your place of employment. Much of this is going to depend upon the kind of employer you have, but some of these suggestions may be of some help.
Begin by asking for a few more hours in the next week. Explain your situation briefly to your employer to see if there are special projects coming up in the future that you could get a jump start on now. Most employers are carrying around long lists of projects to be done and they’re waiting for someone to have the free time to tackle them. This could be the opportunity you need to prove yourself for a promotion while helping to bail you out of your tough spot.
If this doesn’t work, you might look for other odd jobs you could do around your office. If the floors need sweeping or the bathrooms need cleaning, this could be a way to turn a few hours into a solution to your financial woes. Your boss knows you and your work ethic, so she may be more likely to trust you than a stranger from off the street.
Consider asking your employer for an advance on your next paycheck. If your current situation is the result of an emergency, explain that to your employer. This will certainly be cheaper than a payday or title loan. Your “collateral” for the loan is your good name with your employer, so do this sparingly. Too many requests for an advance could be a red flag, signaling to the employer that you’ve got serious problems on the home front. Remember that this is money you’re borrowing from yourself from next month, so if you’ve got no cushion next month, all you’ve done is bought yourself a small bit of time.
2) Your house and neighborhood
Now might be a good time to take stock of your furnishings and appliances. Are there any you’ve been planning to upgrade in the near future? If you can do without them in the interim, you could move up your plans a little bit and put them up for sale. If you do, be sure to do as much maintenance as you can beforehand. If it’s a piece of furniture, give it a quick rub with furniture polish to cover any scratches or dings before you photograph it. If you have the time and energy, sanding and re-staining furniture can make an old piece of wood look new and beautiful. This little upgrade can mean the difference between selling for $20 and $100!
If it’s appliances you’re considering upgrading, the smaller it is, the easier it’ll sell. If you can use an old phone for a few months until your contract upgrade comes up, putting a smartphone up for sale can net you a few hundred dollars. The same advice applies to electronics. Dust them, polish any dings in the case, and round up the original box if you can. Make it look as new as possible.
For items that don’t sell well, like CRT televisions, you’ll really need to flex your creative muscle. It won’t sell as a television, but the front might work as a mirror frame! Taking the guts out and converting it into a planter or terrarium can also turn something worthless into something that might net you a few dollars.
While you’re testing the market for your used goods, you might also keep an eye out for day labor positions. Is your neighbor planning on doing some serious landscaping this weekend? Offer your skill with a rake for a few hours. The new parents next door might want a night out; could you sit for them while they grab dinner and a show? Maybe a bachelor neighbor can’t cook toast. He might enjoy a home-cooked casserole that just needs to be thrown in the oven! These likely aren’t enough to make you rich, but they could get you out of a jam.
3) Destinations Credit Union
That’s right. Destinations Credit Union is here to help you through thick and thin. Many of the services offered at our branch location are meant to solve the very problems you’re facing. Before you give up or turn to a title loan or payday loan service, give us a call.
There are several options available to you, including many services that other lenders charge much, much more for. As a member of Destinations Credit Union, you can get better terms, better interest rates and more personal service than you can at any place you’ve seen advertising on TV. We also provide financial self-help services that can help you avoid these sticky spots in the future. Whether you need help drawing up a budget, setting up a savings account for an emergency fund, or dealing with out-of-control debt, Destinations Credit Union is here for you!
SOURCES: 
http://www.creditcards.com/credit-card-news/employee-salary-pay-advance-1273.php http://www.moneycrashers.com/craigslist-selling-tips/ http://money.usnews.com/money/personal-finance/articles/2013/11/14/5-ways-to-make-money-faster-than-fast 

How To Keep Your Guard Up Against The Newest Scams

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It seems like there’s a new data leak or identity theft trick to be worried about every week. If you’re not informed, you risk becoming a victim. Sitting back and waiting for news about scams to come to you may not be enough. In an ever-changing security climate, you need to stay on top of new threats in personal information security. 

Why the landscape changes so fast 

The bad news is that humans have become the weak link in the information chain. Breaking modern encryption algorithms takes high-powered supercomputers months, if not years. Information you intended to send online or over the phone being hijacked by nefarious people is a slim chance. The biggest danger is sending information to people you don’t intend to be the recipients.
That’s why scams crop up so quickly. Humans can be tricked in any number of ways. Scammers can appeal to fear, greed or sentimentality in different forms to trick information out of you. They can also rely on inattention to detail or carelessness. This is because humans have a number of built-in vulnerabilities.
Unlike a computer, you can’t just download the latest anti-virus software to your brain. You can, however, do the next best thing: stay current on evolving cybercrime situations. 
Websites to visit regularly 
The FTC regularly updates its website with phone, email and web-based scams. Its website,  https://www.consumer.ftc.gov/scam-alerts, features several articles a week. As one of the strongest consumer watchdog agencies, it investigates illegal or fraudulent business communications with zeal.  It publishes the results of these investigations in hopes that fewer people will be victims in the future.

You can also pitch in and be a good cyber citizen by reporting scams you see to the FTC. You can report it online using the FTC’s form at this website: https://www.ftccomplaintassistant.govor call their toll-free number at 1-877-FTC-HELP.   1-877-FTC-HELP It’s one way you can make sure scammers are stopped before they really get started. 

The Better Business Bureau (BBB) also maintains a list of scams from criminals posing as businesses here: http://www.bbb.org/council/news-events/lists/bbb-scam-alerts/.  The BBB is a helpful place to look if you’ve received an offer that seems too good to be true. For identity-theft specific scams, the Identity Theft Resource Center maintains a list of schemes to steal personal information. Their website is located at http://www.idtheftcenter.org/ID-Theft-Blog/Scams-Alerts/. 

Games to play 
Keeping up with the latest threats isn’t all work. There are also fun, interactive games you can play! The FTC’s weight loss challenge game tests your knowledge of common weight loss scams. It can be a fun way to start talking with kids about the dangers of online ads. You’ll find it here: https://www.consumer.ftc.gov/media/game-0026-weight-loss-challenge.
If you’re feeling advanced, you can check out Admongo at www.admongo.gov. This creative, sci-fi themed platform introduces the hidden dangers of advertisements. It can also make a great stepping stone into a conversation with kids about caution around advertisements. 
News to follow 
You’re not alone in the effort to protect yourself against fraud. The National Consumer League is a not-for-profit organization with over 100 years of history helping to protect consumers from scammers.It maintains a list of scams and monitors old ones. It also interacts with law enforcement where possible to try to bring scamming groups down.
One of the services the National Consumer League provides is an email list. It sends out alerts whenever a new threat to consumer well-being emerges. In addition to covering scams, it also monitors product recalls, food safety conditions and truth in advertising concerns. It’s a great resource in helping you make smart consumer choices in a market crowded with information. To join the mailing list, just visit their website: www.nclnet.org 
Remember, the computer age brought us wonderful improvements in our quality of life. We can seek entertainment, educate ourselves, and stay in touch with friends and family using a device that fits in your hand. With that greater connectivity comes the need for constant and careful scrutiny of the information that comes across our screens. In this struggle, too, knowing is half the battle.

SOURCES:
http://www.nclnet.org/
https://www.consumer.ftc.gov/media/game-0026-weight-loss-challenge

Brought to you by Destinations Credit Union

How To Get Your Spring Break On

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Spring break isn’t just for party-hearty college students anymore. These days, families are also taking a break from winter and jetting off to sun-drenched climates to frolic on warm beaches. 

Spring break for college students spans the first few weeks of March, while families are more inclined to take their spring vacation to coincide with the long Easter weekend, which runs from April 3-5 this year, orPassover, which is April 22-30 this year. The fact that college and public school holidays don’t overlap should ensure that PG-rated co-eds don’t intrude on a G-rated family vacation. 

Although toasting spring’s arrival goes back to Greek and Roman celebrations, its modern incarnation is blamed on a Colgate University swimming coach bringing his team to Fort Lauderdale, Florida for training back in 1934. 

Sensing a marketing opportunity, Fort Lauderdale organized an annual swim meet, and the rest is history. Buoyed by the 1961 movie “Where the Boys Are,” starring George Hamilton; and the 1983 “Spring Break” with Tom Cruise and Shelley Long, the annual ritual has exploded. The 1986 arrival of the annual “MTV Spring Break” hasn’t hurt either. 

South Florida is still the center of the college spring break universe. So, if you can find a cheap flight and some friends to share in the cost of a hotel room, grab your bathing suit and beach towel and you’re in. Beaches in Florida cities such as Fort Lauderdale and Daytona Beach quickly become oceans of tanned bodies once spring break hits, with crowds as large as 400,000 people. 

While large crowds are considered a plus for college spring break celebrants, they can lead to frustration and annoyance if you’re a family seeking relaxation while having a few young kids in tow. 

Orlando, home of Disney World and other resorts, is a surefire hit with both kids and budget-conscious parents. But spring break is also the second-busiest time of year, behind Christmas and New Year’s. Granted, you cansurvive long lines by arriving early and packing your own snacks. But if you go to Orlando for spring break, be prepared for company. 

One popular strategy for guaranteeing family fun without blowing the budget is vacationing in an all-inclusive resort. Familyvacationcritic.comhas a list of the top 50 all-inclusive resorts for families in the Dominican Republic, Mexico, the Cayman Islands and other exotic Caribbean locales. Rates during peak times start at about $300 per person for a five-day stay. Resorts typically feature pools, beaches, fun-filled activities, and meals-all in a safe family-friendly environment. 

Cruises are another popular option, offering activities and services for the whole family, including movies, swimming, waterslides, varied dining options and more. 

But spring break doesn’t have to be all about the beach, especially for families. Visiting a budget-friendly city with inexpensive airline flights can be both entertaining and an educational option for the entire family. 

Los Angeles was the Fiscal Times’ top family spring break destination due to the number of attractions and places to visit. In addition, airfare prices to the city generally don’t experience a spring break surge due to the high volume of flights. Five new hotels, a strong U.S. dollar and a nearby adventure park helped make Puerto Vallarta, Mexico, the second most popular spring break family destination. 

Las Vegas, Quebec City, Phoenix and New York are other great destination cities for family vacations. Norway also landed on the list due to competition among air carriers that has driven airfares below $200, and Spain was suggested because airfares to Barcelona are on par with flights to South Florida this time of year. 

For college students, eight of Kayak’s top 10 spring break destinations for 2015 are within the continental United States and four of those are in Florida. 

Home to the annual SXSW Festival, down-home rib joints, great Mexican food and walkable avenues lined with jumping live-music venues, Austin, Texas topped the list. It was followed by Fort Lauderdale, with its beaches, beachside bars, warm weather and manatees. 

Los Angeles was No. 3 on the list, with median airfare at just $352 in late April. Southern California is home to magnificent beaches such as Malibu, Santa Monica and Venice. In addition, plenty of culture can be found in downtown Los Angeles. But be advised that spring is the wet season, and a powerful El Nino is in the forecast this year, so your chances of rain falling on your spring break parade are fairly high. 

Miami, or SoBe for South Beach, has a lot going for it as a spring break destination. Its chic Art Deco hotels, fun atmosphere, packed beaches and club culture helped it reach No. 4 on Kayak’s 2015 list. But timing is everything. Median airfares reach a high of nearly $600 in early April, but fall to below $400 later in the month. Try to avoid the Winter Music Conference, scheduled for March 21-24 this year. South Beach hotel rooms will fill up and airfares soar during that time. 

Three other Florida beach towns also made Kayak’s top 10, including West Palm Beach (No. 5); Fort Myers (No. 6), and the family-friendly Tampa (No. 10). 

The two top spring break destinations outside the continental United States were Los Cabos, Mexico, with beaches, bars, and ocean activities; and San Juan, Puerto Rico, which boasts beaches and rainforests. 

Although the typical beach party spring break remains a popular rite of passage for many college students, some are craving alternatives. A group called Break Awayoffers active citizenship and leadership conferences for college students during spring break. Similarly,Projects Abroad promises an opportunity to make a difference by participating in volunteer projects such as rebuilding homes for the poor in Jamaica, protecting endangered turtles in Mexico  or providing educational support for underprivileged children in Costa Rica, Belize, or Fiji. 

One thing is certain: Whatever your preference for marking the arrival of spring, there’s something fun and affordable you can try, alone or as a family.

What Is The Cloud And Is It Safe?

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Why do we use the cloud?

There was a time we used to buy furniture to hold our media.  CD racks, DVD racks, photo albums and filing cabinets filled our living rooms, guest room closets and wherever else we could pile them. Even in our cars, we would install massive CD changers to keep our music flowing or carry enormous books of CDs so we could have our tunes while on the open road.  If you try to explain this to young people today, they’ll look at you like you just described preparing your covered wagon rather than a mid-2000s Honda Civic.  If you try to explain audio cassettes, they might just suspect you have a loose screw or two.
Today’s media and data is so small, it might as well not even exist. Using the Apple Music and Spotify libraries as a guideline, every song that’s ever been recorded and released would fit into flash storage drives the size of a 12-ounce can of Crystal Pepsi. Even as our data gets smaller, we make so much more of it that it can get out of hand – much like processor speed, the amount of information the world produces doubles every two years. Some of that information is pictures of kittens and makeup tutorials, but we also produce a lot of data that isn’t nearly that important.
In such a data-driven world, we trust more and more of our lives to the cloud, and often it seems like blind faith.  After all, what is the cloud? How much do you know about it? Are their laws governing the way people use it? Most importantly, have you taken enough steps to protect yourself when all of your information exists on what is, if we’re really honest about it, not much more than a metaphor for the shared hallucination that is modern life? 
Why should I start to care now? 
This week, iPhone users started noticing problems with Safari.  Initially attributed to an iOS update from earlier this month, it is now suspected to be a server-side problem stemming from Apple’s cloud-based syncing with its Safari web browser.  The issue doesn’t affect security, but it demonstrates a critical problem with cloud-based computing, something all of the major tech companies are pushing us toward. And it’s something where we have little control over our online security.
The cloud itself has insinuated itself in a variety of news stories in the last few years, from the theft of intimate photos belonging to Hollywood stars like Jennifer Lawrence to the operation for ending corruption in FIFA. Cloud storage is behind the surge in Amazon’s stock valuation, because they are the largest provider of cloud storage to businesses, including Netflix, the largest private user of bandwidth on the planet. The cloud is the basis for Google’s push into the laptop business via Chromebooks, and by extension, the efforts of a variety of organizations to get low-cost laptops in the hands of less-privileged kids.  It’s even changed Microsoft Office, probably the most ubiquitous piece of software in the world, by forcing Microsoft to create free versions of its Office suite and charge for excess storage of the files you create.
In other words, your investments, your data and the future of law enforcement may be intimately tied to cloud-based computing, and something as simple as a server-side bug can have an enormous ripple effect for millions of users. The issue won’t be going away any time soon, as more people use the web more often on mobile devices, which will eclipse 50% of personal Internet usage in the next few years. These devices rely on storage in the cloud to compensate for smaller on-device storage capabilities and a lack of long-term storage peripherals. 
What is the cloud? 
The cloud is a series of servers which store data that can be accessed by users whenever it’s needed.  This frees up hard drive space while protecting us from data loss due to hardware failure, including a stolen laptop or dropping your phone into the pasta you’re boiling on the stove. It’s not magical, and your information doesn’t live on the Internet in any particularly novel way. Instead of a home video being stored on your local storage, it is stored on someone else’s storage, far away. These server farms are enormous undertakings, and if you’re into mechanical processes and design, they’re also beautiful and fascinating. For example, check out these pictures of Google’s data centers: http://www.google.com/about/datacenters/
How much of my data is stored on the cloud? 
The amount of your information stored on the cloud varies from person-to-person, but if you’re reading this on a device that plugs into a wall at any point, you’ve got at least some data on the cloud.  If you own an iPhone, your device backs up your photos, videos and music to the cloud, in addition to storing periodic backups of your phone.  If you have a web-based email address, like one from Gmail, Yahoo! or AOL, your emails are backed up there as well.  Depending upon which apps you use, your health details, dating history or even your exact current location could be on the cloud as well, possibly being shared with third parties. 
Wait, who can see what? 
For the time being, the government can probably see more of your data than you think. Exact details are fuzzy, and you can make your own moral judgments on homeland security, domestic spying and Edward Snowden. However, if you think the government doesn’t want access, keep in mind that Apple is currently fighting both California and the United States federal government to keep a form of encryption on your data that it can’t break. Apple no longer wants to surrender data to the government, so it has blinded itself from seeing large swaths of your data. The government is less happy about this, because that data might point to potential threats to homeland security. Again, this article isn’t trying to make a moral or political claim. The point is that the government is a third party who wants the ability to look at your data, which represents another point of vulnerability to a malicious attack.
Outside of the government, a lot of the companies that maintain those expensive server farms pay for all of that technology by sharing some or all of your personal information with private businesses.  You should already know that, of course.  If a web service is free to you, then the company providing it makes its money some other way.  If they’re charging you, they still might make money by selling your data.
You’ll never know, because you accepted the terms without reading them. Don’t feel bad, though, we all do that. The iTunes end user license agreement (EULA) is over 20,000 words long, about four times as long as the Constitution of the United States. There are, however, some resources to help you.  For a shortened and simplified version of various EULAs, try tosdr.org, which is a donations-based organization that explains what you’re agreeing to and offers an add-on for your browser so it’s only a click away. 
Is my data safer when it’s in my control? 
That question is up for debate, but usually the answer is no. In most instances, end users are the most vulnerable point of attack for cyber scammers. However, when you have control of your data, you can work to make it safer. When you don’t, you’re trusting someone else with it. To put it another way, Apple Pay, Samsung Pay, and other tokenized payment plans are the safest way to make a purchase because they require your thumbprint, protects your data with single-use encryption that’s worthless to a third party, and doesn’t store your info in the cloud.  Doing your best to emulate those services is a good idea. 
So, what do I do to protect myself from the cloud? 
The easiest solution is to spend some time and some money. Find a single site to store your files, whether it’s with Google, Microsoft, Apple, or Dropbox. Read each of their EULAs and decide for yourself. Then pay them to get as much storage as you need, rather than spreading your files among various services in order to stay under the amount for free storage.
Next, go through and make a list of which sites and services have what information of yours. Determine your level of comfort. Delete what you can live without, move the rest to somewhere you feel safe. Clear out your email inbox whenever you can. Don’t archive private data, like medical records or financial statements, with your email provider. Instead, save them locally on storage you have at home or work, which you can disconnect from the Internet. A 2-terabyte solid state removable storage drive is less than $100 and offers you great protection.  As an added measure, back up your drive in a second location once a month, in case something happens to your house.
Finally, as you move forward, try to think critically about what you’re telling people. If someone can make money off your information, they’ll find a way to do so. The only way to protect your information and that of your family’s is by being vigilant. 
Sources: 
https://tosdr.org/  
http://www.slate.com/articles/technology/technology/2014/11/e
nd_user_license_agreements_does_it_matter_that_we_don_t_read_the_fine_print.html
http://genius.com/Apple-itunes-terms-of-service-annotated  
http://www.theguardian.com/media/pda/2010/aug/02/infographic-data-cloud
http://www.infostor.com/storage-management/worlds-data-doubling-every-two-years-.html

Winter Weekend Getaways On A Limited Budget

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We’d all love to get away for a fun weekend, but don’t want to dip into savings. There are many ways to escape the winter doldrums without breaking the bank. You don’t have to take an expensive ski trip or visit a tropical island paradise to receive the intended benefits-namely getting away for some rest and relaxation so you can return revitalized and ready to face winter again. Here are some tips and creative ideas for planning an inexpensive trip that won’t leave you in the red: 

Stay close to home 
Sometimes all you need is a slight change of scenery or break from the routine to feel refreshed and revitalized. Is there a cute bed and breakfast the next town over that you’ve been meaning to try? A nearby local attraction? If you’ll be driving instead of flying, you’ll have more money in your budget for lodging and dinner. If you can, reserve a room with a fireplace or spa, since there’s little that beats staring into a crackling fire with a glass of wine or relaxing in a bubbling hot tub. Find a bed and breakfast offering specials near you at bnbfinder.com. 
Avoid popular destinations 
Save yourself some time: Don’t even bother thinking about Maui or Cancun. Winter is also peak season for ski destinations such as Aspen, Park City and Jackson Hole. If you want to hit the slopes or bask on sun-drenched beaches at the most popular resorts this time of year, you’ll be paying top dollar. If your goal is a ski getaway, why not try out a resort that’s close to home? Or if your heart is set on a tropical beach, try out one of the up-and-coming areas where prices are still low. Chances are, you’ll have just as much fun. In addition to saving money, you’ll escape the crowds. 
Visit a national park 
National parksare one of America’s most treasured resources. Together, the U.S.’s 400 national parks draw 275 million visitors per year. Summer is peak season in most of them. A visit during winter would let you enjoy nature without crowds of tourists. If you’ve already been to the national parks in your area, try taking a road trip to one in the next state over. There’s a reason these areas have been preserved-they contain some of the most awe-inspiring scenery in the country. Many parks don’t charge admission, and those that do will usually offer three-day passes. You can often find interesting accommodations within the park boundaries, but better deals can usually be found at motels in surrounding towns. 
Do your Internet research 
The Internet is definitely your best friend for finding the best travel deals. Make it a point to bookmark budget travel pages and sign up for their email alerts. Receiving alerts on great deals can fill up your in-box, but you can always set up a special folder for travel planning. Alerts can save you hours of online research, and if you’re lucky, one will pop into your inbox at exactly the right time. Many travel websites, includingBudget Travel, theTravel Channel andKiplinger, have put together lists of the best sites for finding good travel deals. There are new websites popping up all the time to help find the best deals on airfare,car rentals,hotels,bus and traintravel and even all-inclusive packages. It’s just a matter of deciding which ones are your favorites. 
Use your air miles 
If you’ve been saving up frequent-flier miles through an airline rewards program, now might be the time to use them. Often, these programs have expiration dates, so if you don’t use them, you may lose them. And with airfare for your getaway taken care of, that only leaves food and lodging to worry about. 
Take advantage of coupons 
Tons of amazing travel deals can be found through online coupon sites such as Groupon, LivingSocial and Travelzoo. And besides saving you money, they can take you on an adventure. Many merchants who are offering deals through these sites are just getting established or are up-and-coming. They may not have a premier location or a big advertising budget, but since they’re seeking new business, they’ll most certainly appreciate it when you show up. Signing up for multiple online-coupon sites can easily overwhelm your email inbox. Luckily, there are now several aggregators, including DailyDibs, that can compile deals from online coupon sites and send you a daily report. 
Use Airbnb 
Although the hotel industry is not a fan of Airbnb, travelers certainly are. Not only can you save substantially on lodging, but you can stay in a place with all the comforts of home, including kitchens where you can save even more by cooking your own meals. The site offers 1.5 million listings in 34,000 cities and 190 countries, so it’s likely there are available accommodations in the vacation destination you’ve chosen. Reviews of hosts provide a measure of security. Choose wisely however: Airbnb properties range from rooms in someone’s home to short-term luxurious vacation rentals. The plus: most are in desirable neighborhoods and contain all the comforts of home. 
Take couch surfing to a new level 
You can’t get much cheaper than free! Operating on the same principles as Airbnb,couchsurfing.com lets you send out queries to people who might be interested in hosting you in their home for free. Popular among Millennials looking to travel and meet new friends, couchsurfing lets you experience a locale on a local level. Often your hosts will not only put you up for the night and feed you in the morning, but also take you sightseeing and introduce you to their friends. The idea is that if you’re part of this network, you’ll reciprocate by hosting travelers in your home sometime, too. 
Try house-swapping 
Know some friends in another city who may want to escape for a little while, too? Arrange for a house swap. With accommodations taken care of, all you’ll need to worry about is the cost of travel. If you’re flying, you should be able to find a good deal by using one of the plentiful cheap airfare finders. If you don’t have friends interested in switching abodes, you can look for places on sites such as HomeExchange.comand LoveHomeSwap.
Whatever you do, make it a fun vacation. Set a budget and reward yourself for sticking to it by planning your next getaway when you get back!