Now What?

The federal government is in a state that can best be described as chaos.

So is it time to panic? No. We will return to some sort of routine, although a different routine.

The government has three branches so no single branch can do anything too crazy or too quick. Things will eventually calm down.

The biggest danger right now is a quick, dramatic and not very smart overhaul of health care. Any "reform" of Medicare though will likely come later. This "reform" could be something good or something horrible.

Stay tuned.

Your Cyber Life

Unless you live in a cabin in the wilderness and trade pelts for food you have no real privacy.

Data mining companies, websites, sales organizations and financial institutions exist in a web of information exchanges that creates comprehensive databases on everything you do.

Some of this is harmless, if you search the Internet for fishing tackle you will soon enough be targeted with pop-up ads for fishing tackle.

Some of this is less benign, the old fashioned credit bureau is not the new fangled data mining shop and there is a massive dossier on everything you do.

But you do not do anything suspicious or criminal, so why care?

Correcting errors is a nightmare, as is identity theft. And as we well know, none of these data bases are hack proof.

Like it or not, you have a cyber life. In the future, how do we protect ourselves?

Phony Check Scams

You sell something via the Internet to someone in another state  for $150.

You are surprised to receive a cashier's check for $1500.

You email the buyer and ask what to do.

“Sorry, my mistake. Put the check in your bank account and send me a money order for $1350.”

A week later your bank calls and tells you the cashier's check was phony, and you owe the bank $1500 right now.

Oops.

Never cash a check that is seriously different than the amount due.

Never spend the money from an out-of-state check until it has sat in your bank account for a while.

Never assume a cashier's check from out-of-state or overseas is legitimate, unless you present it to that same bank in your local area. Take your time.

Seller beware.

Elderly Woman Held Hostage - In a Foreign Hospital

An elderly Indiana woman was held hostage in a Mexican hospital which did not recognize her Medicare and Medicare supplement insurance. She was attending her granddaughter's wedding in Cancun.

The woman needed emergency cardiac surgery, and the family had to come up with $55,000 before she could have surgery. Then the hospital demanded another $50,000 or so before discharge. Eventually the family, with help from a Congressman, bought her freedom with another $20,000 and is still being billed for the large balance.

The for-profit hospital group is known to the Mexican government for predatory business and billing practices.

Lessons learned?

First, U.S. insurance may be useless in foreign countries. Considering buying travel health insurance, but remember that travel insurance might not solve the problem either.

Second, be careful where you travel. Tell your granddaughter to have her wedding in good old U.S.A.!

Congratulations on Winning a Cruise!

Congratulations – you have been selected to win a cruise! We are Acme Pollsters!

Really?

This could be a hoax to enlist you in a survey.

Or this could be a hoax to get your credit card information.

Or there could be a real cruise but the add-ons (air fare, taxes, etc.) are massive.

Best solution – hang up the phone. Hang up the phone. Immediately.

More Phone Scams

We can put you in jail if you don't pay your _______________.

So what could fill in the blank?

Taxes
Parking tickets
Library fines
Special assessment fees
Special bank charges

All of these are fictional, but telephone scam artists will try to convince you that without prompt payment you could be subject to aggressive collection action or even put in jail.

Hang up the phone.

Better yet, if you do not know who is calling let the call go to voice mail. Never answer the phone if you do not know who is calling. Protect your castle!

Persistent Phone Scams

Pay us now or else!

There are a variety of collections scams always in play, almost all driven via telephone.

The script goes something like this:

I am calling from [agency] and you have failed to pay your [debt of some kind]. If you do not pay this by 5:00pm today there will be serious consequences. The courts have given us the power [to have you arrested] or [seize your bank account] or [put a lien on your house].

Since you already know you do not owe this debt, the next step is to hang up the phone.

These callers target the elderly and unsophisticated and want to spook victims into wiring funds or giving them a prepaid card number the same day.

Hang up the phone!

Remember our advice – never answer the phone if you do not recognize the number. That is why you have voice mail.