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Did You Know?
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- High-yield savings accounts (HYSAs) are a great way to grow savings while keeping the money accessible. They are low-risk and provide a steady return on the cash balance.
They typically offer interest rates significantly higher than traditional savings accounts, often exceeding 4% annual percentage yield (APY) in the current market.
Higher interest rates, liquidity, and FDIC Insurance are some options that are often considered for HYSAs.
- Higher Interest Rates: HYSAs provide better returns compared to standard savings accounts, making them ideal for short-term savings or emergency funds.
- Liquidity: Customers can access their money anytime without penalties, unlike certificates of deposit (CDs).
- FDIC Insurance: All deposits are insured up to $250,000, ensuring safety.
- Banks typically invest heavily in government bonds, and hold many public bonds (on average 9% of their assets), particularly in less financially‐developed countries.
Rising interest rates have caused the price of such bonds to fall, feeding investor concerns that other banks might also be vulnerable.
- Federal rules require banks to reimburse customers for payments made without their authorization (e.g., hackers), but not when customers themselves make the transfer.
If the bank won't refund the money, customers can ask the Consumer Financial Protection Bureau (CFPB) for help; most banks respond within 15 days.
- Taxpayers don’t face an interest penalty for underpayment of the balance due is
under $1,000 after their credits and other tax account information is factored in. The IRS will not charge taxpayers an underpayment penalty if:
- They pay at least 90% of the tax they owe for the current year, or
- They owe less than $1,000 in tax after subtracting withholdings and credits, or
- They paid 100% of the tax they owed for the previous tax year.
- The IRS announced the federal income tax brackets for tax year 2024 rates and corresponding annual income amounts:
- 37% for incomes over $609,350 ($731,200 for married couples filing jointly)
- 35% for incomes over $243,725 ($487,450 for married couples filing jointly)
- 32% for incomes over $191,950 ($383,900 for married couples filing jointly)
- 24% for incomes over $100,525 ($201,050 for married couples filing jointly)
- 22% for incomes over $47,150 ($94,300 for married couples filing jointly)
- 12% for incomes over $11,600 ($23,200 for married couples filing jointly)
- 10% for incomes of $11,600 or less ($23,200 for married couples filing jointly)
- The IRS reminds people to remain alert to aggressive and threatening phone calls by criminals impersonating IRS agents.
These con artists claim to be IRS employees, but are not. They use fake names and bogus IRS identification badge numbers and try sound convincing when they call. They may know a lot
about their targets, and they usually alter the caller ID to make it look like the IRS is calling. The victims are told they owe money to the IRS and must pay it promptly through a preloaded debit card or wire transfer. If the victim refuses to cooperate,
they are often threatened with arrest. In many cases, the con artists becomes hostile and insulting. Alternately, victims may be told they have a refund due to try to trick them into sharing private information. If the phone isn’t answered, the phone scammers often leave an “urgent” call-back request.
The IRS doesn't do business like that.
- The IRS and its authorized private collection agencies never call you to demand immediate payment using a specific payment method (e.g.; a prepaid debit card, bank account, gift card, wire transfer), never ask for credit or debit card numbers over the phone, and
never threaten to immediately bring in local police or other law-enforcement groups to have the taxpayer arrested for not paying. The IRS does not use these methods for tax payments.
You should safeguard your personal information at all times, and don't let the convincing tone of scam calls to lead you to provide personal or credit card information, just hang up and avoid becoming a victim to these criminals.
- IRS will never call to demand immediate payment and will never call about taxes without having first mailed a paper version of the bill; they will never require a specific payment method, such as a prepaid debit card, or gift
card, and will never request credit or debit card numbers over the phone; and they would not threaten for local police, or another law enforcement agency, to arrest you for non-payment.
- In the U.S. people are eligible to receive Social Security retirement benefits if they are 62 or older and they have paid Social Security taxes for at least 10 years.
The retirement age gradually increases by a few months for every birth year, until it reaches 67 for people born in 1960 and later.
The retirement benefit is calculated based on the average income earned during their 35 highest-earning years, indexed for wage inflation; when the Social Security Administration calculates the payout, for a year that had no income, it is counted as zero.
As of December 2022 the average monthly benefit for retired-worker beneficiaries was:
- $1,274.87 for 62-year-olds
- $1,719.85 for 66-year-olds
- $1,946.34 for 71-year-olds
- The 2023 tax rate for Social Security in the U.S. is 6.2% for the employer and 6.2% for the employee, or 12.4% total; the Social Security wage base is $147,000 for employers and employees.
- The current rate for Medicare in the U.S. is 1.45% for the employer and 1.45% for the employee, or 2.9% total; employers are also responsible for withholding the 0.9% Additional Medicare Tax on an individual's wages
paid in excess of $200,000 in a calendar year.
- Banks often invest heavily in bonds, rising interest rates have caused the price of such bonds to fail, feeding investor concerns that banks might also be vulnerable.
- Bonds have an inverse relationship to interest rates, when the cost of borrowing money rises (when interest rates rise), bond prices usually fall, and vice-versa.
- In 2021 people sent $490 billion through Zelle, compared with $230 billion through Venmo; and in 2020, nearly
18 million Americans were defrauded through scams involving Zelle, digital wallets and other instant payment applications, and
the 1,425 banks and credit unions that use Zelle are aware of the widespread fraud on Zelle. The Consumer Financial Protection Bureau
issued a policy required each participant institution to provide full
refunds for Zelle transactions determined to be unauthorized within the meaning of the Electronic Fund Transfer Act (EFTA) and Regulation E. Banks have to reimburse customers for losses on transfers that were “initiated by a person other than the consumer without
actual authority to initiate the transfer,” including those who obtain a victim’s device through fraud or robbery.
- Zelle was created and owned by seven banks, Bank of America, Capital One, JPMorgan Chase, PNC, Truist, U.S. Bank and Wells Fargo, to enable instant digital
money transfers, and the 1,425 banks and credit unions that use Zelle can customize the app and add their own security settings. The Zelle network is operated by Early Warning Services, a company based in Scottsdale, Arizona,
responsible for manages the system’s technical infrastructure.
- If a credit card starts with the number 4, then it is a Visa credit card (13 or 16 digits), the number 5 is for a MasterCard (16 digits), number 6 is for a Discover card (16 digits), and the number 3 is for a American Express card, a Diners Club card or a Carte Blache card (15 digits).
If a credit card that starts with 4147, then it is mostly a Visa credit card associated with Bank of America (Alaska Airlines), Citibank (American Airlines), Citibank (SG), Chase (Sapphire), Chase (Amazon), US Bank Visa Signature, and Wells Fargo Bank.
- You might have been seeing an increase in new scams involving phone calls, emails, or texts about suspicious your email account, credit card account, social security account, products, charities, medical advice and treatments, etc. Scammers often seek personal information, donations, money or gift cards to resolve urgent requests like a lawsuit,
account block or an arrest of a loved one. They may pretend to be a relative, police officer, IRS agent, FBI agent, government official, or even a hospital representative requesting payment for medical treatment. A phone call scam often threatens you and requests your personal information or bank account information. You should hang up immediately
because no bank or government official uses a phone call to request this type of information. A new text message or an email scam often alerts you that your account has been blocked, along with a link to log into your account. You should always check requests to ensure they are legitimate before taking any action. If a request is related to your
financial account, you can call your bank directly using the phone number on the back of your card for verification. You can get more information and sign up for scam alerts at FTC.gov.
- A text communications from a bank typically does not show a complete phone number as the sender of the text. Shorter codes of 5 or 6 digits are usually used by a bank in the U.S. and could be displayed with or without dashes (e.g.; 410-98, 227-898, 872-265, 248487). If you see a full phone number as the sender of the text, this may be a scam.
In addition, when your bank sends an email or a text with a link to log into your account directly from the text, the email address and link will always include (yourbank).com. If you think you may have been a victim of a scam or that your personal information has been compromised, you should call the number on the back of your card (e.g.; ATM, Debit, credit card)
so your bank can assist you in securing your account.
- Due to the coronavirus disease (COVID-19) pandemic, the Treasury Department and Internal Revenue Service extended the federal income tax filing due date from April 15, 2020, to July 15, 2020.
Taxpayers can also defer federal income tax payments due on April 15, 2020, to July 15, 2020, without penalties and interest, regardless of the amount owed. This deferment applies to all taxpayers, including individuals, trusts and estates, corporations and other non-corporate tax filers as well as those who pay self-employment tax.
- On March 13, 2020, the White House issued an emergency declaration in response to the ongoing Coronavirus Disease 2019 (COVID 19) pandemic (Emergency Declaration). The U.S. Treasury Department and Internal Revenue Service (IRS) issued guidance allowing all
individual and other non-corporate tax filers to defer up to $1 million of federal income tax (including self-employment tax) payments due on April 15, 2020, until July 15, 2020, without penalties or interest. The guidance also allows corporate taxpayers a similar deferment of up to $10 million of federal income tax payments that would be due on April 15, 2020, until July 15, 2020,
without penalties or interest. This guidance does not change the April 15, 2020 filing deadline.
- Capital One does not offer mortgage and home equity loans, personal loans, and investment
and retirement account options; the bank has limited local branches, and has also closed many branches around the country recently.
- Capital One has had many complaints from its
long-time account holders who thought their money was in high-interest savings accounts; however, they got paid very little; customers said Capital One has failed to pay them the higher interest rates offered on new—and very
similarly named—accounts, 360 Savings vs. 360 Performance Savings, resulting in significant amounts of lost interest; the bank is well-known for abandoning existing customers in pursuit of new customers.
- In August 2020, Capital One paid $80 million to settle federal charges over a 2019 hack of its computer systems that was one of the largest
financial data breaches of personal information of customers. On July 29, 2019, Capital One publicly acknowledged that the personal data of its credit card customers and persons whom had applied for credit cards, totaling
approximately 100 million Americans and 6 million Canadians was improperly and unlawfully accessed and shared with third parties.
- In July 2012, Capital One was fined by the Consumer Financial Protection Bureau (CFPB) and the Office of the Comptroller of the Currency (OCC) for misleading millions of its customers, for example, by requiring customers to pay extra for payment
protection or credit monitoring when they took out a card. Capital One paid $210 million to settle the case and to refund two million customers; the bank refunded customers
$150 million, paid a $25 million fine to the CFPB and an additional $35 million to the OCC.
- When you get, or give, a gift card, understanding the way the card works can help you avoid surprises. Under federal law, gift cards cannot charge inactivity or service charges for 12 months. After that first year, these fees could start to eat away at your card’s value.
A gift card cannot be sold that will expire in less than five years. If you have a gift card that has an expiration date, call the phone number on the card to see if the funds are still available. If the card has expired but the funds are still available, the card issuer must send you a new card at your request, at no cost to you.
Your state may provide additional gift card protections and rights. If you believe the gift card issuers do not apply these rules to your gift cards, you can submit a complaint with the Consumer Financial Protection Bureau (CFPB).
- Under federal law, when you apply for credit or borrow money, lenders are not allowed to discriminate against you because of race, color, religion, national origin, sex, marital status, age, and/or receiving money from public assistance. Lenders are allowed to ask you for this type of information in
some situations, but they can’t discourage you from applying for a loan or a credit card. They can’t reject your application for any of the reasons on the list — or for exercising your rights under certain consumer protection laws. Also, lenders are not allowed to charge higher costs, like a higher interest rate or higher fees, for these reasons either.
If you believe you are the victim of credit discrimination, you can submit a complaint with the Consumer Financial Protection Bureau (CFPB).
- Credit history is a record of your debts, loan payment history and any public records (e.g.; legal cases). The length of your credit history begins when take out your first loan or open your first credit card. A longer credit history, the less debt you have and the longer
you have been making timely payments on your past and existing credit accounts may help you have high scores. Most credit card offers require a good credit, which often doesn't come quickly. Most banks often used FICO scores for over 90% of lending decisions.
FICO score ranges from 300 to 850 or 250 to 900, depending on the scoring model — but higher scores can indicate that you may be less risky to lenders. Excellent credit requires seven years
of open credit accounts and on-time payments.
- Equifax settled around $700 million in individual compensation and civil penalties with the US Federal Trade Commission over its 2017 data breach, which affected 147 million Americans.
For those who had to spend time and money as a result of the breach, Equifax can provide larger sums, up to $20,000. Otherwise, you can get 10 years of free credit monitoring -- or $125
if you already have ongoing credit monitoring. If you don't do anything, you relinquish your right to sue Equifax in the future, and you give up on the $125 or 10 years of free credit monitoring provided by the settlement. Your deadline to opt out is November 19, 2019 and your deadline to file a claim based on this settlement is January 22, 2020.
- Of the more than 1 million complaints Consumer Financial Protection Bureau (CFPB) has handled since 2011, the top five types of complaints reported by consumers
from all 50 U.S. states and D.C. are: debt collection (27%), mortgages (23%), credit reporting (17%), credit cards (10%), and bank accounts or services (10%).
- Most student loan borrowers are young adults between the ages of 18 and 39; however, consumers age 60 and older are the fastest growing age-segment of the student loan market; in 2015, they owed an estimated $66.7 billion in student loans.
- Paying for college, you may choose a student loan with some options. To be eligible for any federal student loans or grants, you need to fill out the FAFSA form. If your aid package doesn’t cover the full cost of college,
you may need to talk to your school’s financial aid office about scholarships or alternative loan options. If you need to borrow to pay for school, federal student loans almost always cost less than private student loans and have more protections when it’s time for repayment. Take subsidized loans first, if you are eligible.
The government pays the interest on subsidized loans while you are in school. You pay the interest on unsubsidized loans. Subsidized loans are awarded to students based on financial need. Once you agree to a federal student loan, your interest rate remains the same. Interest rates on private student loans are set by the lender and depend on the lender’s evaluation of your
creditworthiness.
- A borrower who uses a five-year auto (car) loan to finance $20,000 at a 5 percent interest rate will, after three years, pay $2,190 in interest and have a remaining balance of $8,603. If the same loan is financed over six years at the same interest rate,
the borrower will pay about $2,342, which is $152 higher, in interest over the same three-year period and has a remaining balance of $10,747, which is $2,144 higher.
- A debt collector may file a lawsuit and win (often by default); as a result, they may be able to seize a car, home or other property after securing a court judgment. However in practice, state and federal law dramatically limit its ability to do so.
State exemption laws, which are designed to help protect income and assets from debt collectors, ensure that debtors do not become completely destitute
from the payment of debts and to preserve some small amount property for the basic necessities of living.
- In 2017 there are 2,043 billionaires, which is up 233 since the 2016 list; their total net worth is $7.67 trillion.
- The average credit card rate is 18.9%, but they vary from 0% to more than 50%.
- As of 12/2015 there are around 318 million credit card accounts with $2,330 on average spending in the U.S.; the average credit line for new customers with the best credit stands at $9,060.
- If you take out a payday loan, you will likely be charged a fee of between $10 and $30 for every $100 borrowed.
If payday is in two weeks, a $500 loan costs $150, and $650 will be electronically withdrawn from the borrower's checking account.
- Sixty percent of credit card holders with investable assets of $100,000 or more say cash back is their favorite credit card perk while 22 percent said they preferred frequent flier miles.
- Your credit reports document your history of using credit. A longer credit history helps your credit score and is a positive sign to lenders who check your credit report.
When you cancel an account, particularly an old one, you shorten your history and could lower your credit score.
- Credit reports or credit scores may affect your mortgage rates, car loan rates, credit card approvals, apartment requests, or even your job application. You need to ensure that the information on all of your credit reports is correct and up to date.
- 10 places NOT to use your debit card:
online, big-ticket items, deposit required, restaurants, you're a new customer, buy now and take delivery later, recurring payments, future travel, gas stations and hotels, and checkouts or ATMs that look 'off'.
- Four Risky Places to Swipe Your Debit Card: ATMs, Gas Stations, Web, and Restaurants.
- The biggest retirement mistake people make is they stick their money in a bank; the inflation will destroy 50% of savings every 22 years if the money is deposited there. Money needs to put in safe investments.
- 46% of Americans have less than $10,000 saved for retirement, and 36% of Americans don’t contribute anything at all to their savings.
- Americans working abroad are eligible for the foreign earned income exclusion, which in 2012 exempted the first $95,100 from tax. But even if Americans earn less than that or are paying higher taxes in the country where they are working, they still need to file a tax return with the IRS.
- Your credit score, which ranges from 300 to 990, is calculated in a weighted formula using the available information in your credit report. The FICO credit score ranges between 300 and 850. The VantageScore score ranges from 501-990.
35% of the score is based on your payment history; 30% of the score is based on outstanding debt; 15% of the score is based on the length of time you've had credit; 10% of the score is based on the number of inquiries on your report; and 10% of the score is based on the types of credit you currently have.
- A FICO score is calculated from credit reports based on payment history (35%), amount owed (30%), length of credit history (15%), new credit (10%) and types of credit used (10%).
- The FICO credit score ranges between 300 and 850, with 623 being the median FICO score of Americans in 2010. The VantageScore score ranges from 501-990. In order to get a mortgage loan, most U.S. banks require a loaner to have a
minimum score of 640, and most private mortgage insurance companies do provide mortgage insurance for borrowers with scores below 660.
- As of August 2012, the average credit card holder has 4 credit cards, and around 70% of American students have credit cards.
- As of May 2011, around 40 percent of US government spending relied on borrowed money.
- As of January 2010, around 80% of consumers owned a debit card, compared to 78% who owned a credit card and 17% who owned a prepaid card.
- There were about 159 million credit card holders in the United States in 2000, 173 million in 2006, 176.8 million credit card holders in 2008, and estimated 181 million credit card holders in 2010.
- It is illegal for debt collectors to make empty threats about serving people with a lawsuit or seizing their home.
- If you are contacted by someone who is trying to collect a debt that you do not owe, you should:
- Contact your local law enforcement agencies if you feel you are in immediate danger;
- Contact your bank(s) and credit card companies;
- Contact the three major credit bureaus and request an alert be put on your file;
- If you have received a legitimate loan and want to verify that you do not have any outstanding obligation, contact the loan company directly;
- File a complaint at www.IC3.gov.
- For older debts, the amount of time collectors can sue for payment varies state by state, and can be anywhere from two to 15 years.
- China and Japan are the countries with the two biggest stockpiles of foreign exchange and total-currency reserves. As of the end of December 2011, the total reserve assets of China, Japan, Euro Zone and the U.S. were USD $3.5 trillion, $1.3 trillion, $912 billion, and $149 billion respectively.
- In the U.S. as of 11/2011, 34% major banks, 70% community banks, and 78% credit unions offer no-fee checking accounts to their customers; and 77% of total checking account fees that are overdraft charges.
- Thirty U.S. companies paid less than zero in federal income taxes in at least one year from 2008 to 2010. These companies, whose pretax U.S. profits totaled $160 billion over the three
years, included: Pepco Holdings (Profit: $882M; Tax: –$508M; Rate: -57.6%), General Electric (Profit: $10,460M; Tax: –$4,737; Rate: -45.3%), PG&E (Profit: $4,855M; Tax: –$1,027M; Rate: -21.2%),
Computer Sciences (Profit: $1,666M; Tax: –$305M; Rate: -18.3%), DuPont (Profit: $2,124M; Tax: –$72M; Rate: -3.4%), Verizon (Profit: $32,518M; Tax: –$951M; Rate: -2.9%), Boeing (Profit: $9,735M; Tax: –$178M; Rate: -1.8%),Wells Fargo (Profit: $49,370M; Tax: –$681M; Rate: -1.4%), and Honeywell (Profit: $4,903M; Tax: –$34M; Rate: -0.7%).
- U.S. financial firms paid about $20.8 billion in bonus for work done in 2010.
- In New York City, the average Wall Street salary in 2010 was $361,330, which is more than five times the average salary of a private-sector worker in the city.
- During the past 2.5 years, American financial firms generated at least $83 billion in profit.
- A debit card, which looks like a credit card but works like an electronic check, allows the cashier to run it through a scanner that enables the financial institution to verify electronically that the funds are available and approve the transaction.
- In November 2010, the U.S. government ran a $150.39 billion budget deficit; its income was $148.96 billion, and spending was $299.35 billion. A year ago in November the deficit was $120.29 billion
- As of June 1, 2010, the total U.S. public debt outstanding was over $13 trillion. In 1843, the U.S. government set up an account to accept gifts from people wishing to help the country. These days, the money is directed to pay down the country debt. In 2009, people sent $3,063,057. So far this year (June 2010): $2,451,267.
- As of the beginning of January 2010, there were about 576.4M credit cards and 507M debit cards in circulation in the U.S. The average number of credit cards held by cardholders was 3.5, and the average credit card debt per household was $16,007. The credit card default rate was 11.37 percent.
- The United States Dollar is the currency in
American Samoa (AS, ASM),
British Virgin Islands (VG, VGB, BVI),
El Salvador (SV, SLV),
Guam (GU, GUM),
Marshall Islands (MH, MHL),
Micronesia (Federated States of Micronesia, FM, FSM),
Northern Mariana Islands (MP, MNP),
Palau (PW, PLW),
Puerto Rico (PR, PRI),
United States (United States of America, US, USA),
Turks and Caicos Islands (TC, TCA),
Virgin Islands (VI, VIR),
Timor-Leste,
Ecuador (EC, ECU),
Johnston Island,
Midway Islands, and
Wake Island.
- On 1 January 1999, the European Monetary Union introduced the
euro (€) as a common currency to be used by financial institutions of member countries; on 1 January 2002, the euro became the sole currency for everyday transactions within the member countries .
- The countries in the European Union (EU) that use the euro are: Belgium, Germany, Greece, Spain, France, Ireland, Italy, Luxembourg, The Netherlands, Austria, Portugal, and Finland.
- European Union countries not using the euro are: Denmark, Sweden, and the U.K.
- Other territories using the euro are: Andorra, Monaco, San Marino, The Vatican, Martinique, Guadalupe (Caribbean), Reunion (Indian Ocean), Montenegro, and Kosovo.
- Bank of America, which was established in 1930, was originally Bank of Italy!
- As of the end of 2009, there were 270 million Visa credit cards, 82 million Visa debit cards, 203 million MasterCard credit cards, 125 million MasterCard debit cards, 48.9 million American Express credit cards, and 54.4 million Discover credit cards in circulation in the United States.
- The United States Dollar is also known as the American Dollar, and the US Dollar. The symbol for USD can be written $. The Federal Government started printing paper currency in 1861.
- The United States Mint is in charge of producing the nation's coins, while the Bureau of Engraving has printed banknotes and printing for the
Federal Reserve since 1914. Note size used to be very large but switched over to a smaller size in 1928. A million dollars' worth of $100 bills weighs about 22 pounds.
- The biggest bill that exists is one for $100,000. This $100,000 bill was never made available to the public, and was limited to transactions between the Treasury Department and the Federal Reserve. However, it is still legal tender, if anyone can get it.
- The issuance of US currency in denominations of five hundred dollars, one thousand dollars, five thousand dollars, and ten thousand dollars was discontinued in 1969 because of declining use.
- Flatbush National Bank of Brooklyn was the first bank to issue a credit card in 1946.
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