Summary. This document provides member tips and guidelines for member customers of the University of Iowa Community Credit Union (UICCU). This page will be updated as necessary.

Benefits. As a financial banking institution in Iowa City, the credit union is small enough to be nimble and responsive to unique customer needs and suggestions.

Services. In the years leading up to 2010, the UICCU has been relying on various companies to provide banking services to customer members. The advantage to this would usually be that the best providers can be selected for each service. However, as a result, a customer member may need to interact with numerous websites and service providers to do their banking. In the future, the UICCU may consider merging all services under a single domain name. The current list is:

• https://www.netit.financial-net.com — This is a third party brokerage company that offers branded online banking for smaller financial institutions. This is the site for reviewing account transactions, bill paying online, and viewing the credit card balance. However, credit card transactions aren’t available for viewing here.
• https://www.uiccu.org – This is the main UICCU website, and no online banking is offered within the UICCU.org domain name.
• https://www.mycardinfo.com – This is a website that doesn’t seem to have the full endorsement or trust of the UICCU, but it is linked from the main UICCU website. It is the only location where UICCU patrons can find their UICCU Visa credit card transactions. When clicking the link from the UICCU website, patrons are warned, “Please be advised that you are leaving University of Iowa Community Credit Union’s website. This link is provided as a courtesy.  University of Iowa Community Credit Union does not endorse or control the content of third party websites.”
• https://www.statement-express.com – This is a third-party website that offers online statements. There is no direct way to login to this site, and no direct link from the UICCU website. The only login path is to enter the online banking, and then navigate to a link where you can leave online banking and go to the Statement-Express.com website.

Essential Information. The following points are essential information for anyone banking at the UICCU and wanting to optimize their experience. You can avoid frustrations by knowing what to expect.

• Credit Card. The UICCU Visa card is actually the best way to make regular daily purchases because it offers greater security and the transaction tracking is more detailed that what is offered for standard checking accounts. However, as is explained below, it is important to use the debit card at least 12 times per month as a credit card transaction to qualify for some special offers.
  • Payments. If you like to conduct banking in real-time, then payments to your card are best made from within the online banking system as a transfer to the card rather than making payments from within the MyCardInfo.com portal where most credit card activity is conducted. The reason is that a transfer payment to the card will show up immediately in your bank account and the actual new balance will be reflected. Regardless of how you pay, the actual payment won’t be processed and reflected on your credit card for several days.
• Deposits in Real-Time. When you make a deposit at the UICCU, the funds are available immediately, even if it’s a check deposit or weekend ATM deposit. That’s the advantage of real-time banking.
• Overdraft Fees in Real-Time. Overdraft fees are assessed immediately in real-time if any check, debit, or electronic transaction takes place when there are insufficient funds at that moment. However, they might not show up in the online banking system until a day or two later. This can be a potential problem, since some electronic payments of varying amounts are withdrawn at unpredictable times. So, if you anticipate making debit transactions on your account, or may be having an electronic bill payment come through, be sure to have the funds in the account ahead of time. What’s nice about the UICCU is that they offer a tiered overdraft fee system that rewards responsible patrons by charging fees well below the industry standard (for the first two). Those who repeatedly overdraw an account are charged a higher fee over time. The tiered system is: 1-2 overdrafts are $19 each transaction, 3-10 are $28 each transaction, and 11 or more are $38 each transaction (regardless of how small the purchase was). With the current online banking system, a patron utilizing online banking might not be aware that these NSF fees are mounting up because they don’t show up until a day or two later, and the bank doesn’t currently have a system in place to notify the patron in a timely manner by phone or email (this may be an option in the future). Overdraft notices are currently sent by postal mail. For these reasons, it’s best to maintain a high balance (you’ll also earn competitive interest). Also, having overdraft protection setup with a savings account can help. Here are some examples of problems that could arise without proper planning:
  • A patron signs into online banking and sees that an unexpected transaction (earlier in the day) has caused their account to be overdrawn. The patron immediately transfers funds to cover that amount. Even so, they will be charged an overdraft fee regardless of how quickly they acted to correct the problem. The fee(s) won’t show up until a day later, so the patron may (unknowingly) be running a negative balance that results in additional overdrafts. If this happens to you, and  you transfer funds, be sure to transfer approximately $30 per transaction that may have caused an overdraft fee (refer to the tiered system mentioned above).
  • A patron may have had some unplanned purchases or expenses during the day. When the patron gets home, they immediately transfers funds to cover their expenses that day. Even so, if any unplanned expenses caused the account to be overdrawn, the patron will be charged an overdraft fee for every transaction regardless of how quickly they act to correct the problem. The fees won’t show up until a day later, so they may (unknowingly) be running a negative balance that results in additional overdrafts. If this happens to you, and  you transfer funds, be sure to transfer approximately $30 per transaction that may have caused an overdraft fee (refer to the tiered system mentioned above).
  • A patron may be shopping, make a purchase, and then later in the day find the same item elsewhere for less money. They return the item purchased from one store, and buy it at another. This can cause their account to spiral into an ever increasing negative balance. Although stores and banks have figured out a way to instantaneously take your money, they are reluctant to have money returned in a timely manner. So, refunds may take days to show up in your account, but purchases will show up immediately. Be sure to pay very close attention to your account and maintain a much higher balance than you perceive is necessary.

Summary. This document is a response by Gregory Johnson to the article Conflict or Cooperation by Walter E. Williams.

* * *

Business Success in a Marketplace Democracy
by Gregory Johnson

Walter E. Williams wrote an article called Conflict or Cooperation that describes how big government can hinder freedom and liberty by allowing a majority to make choices contrary to what the minority wants. The article appears as a 31 March 2010 entry for Williams on the Creators.com website and is also on his George Mason University web page (source).

In his article, Williams provides the example of prayer in school as an illustration of how government can cause a majority choice to infringe on the liberty of a minority:

Take the issue of prayers in school as an example. I think that everyone, except a maniacal tyrant, would agree that a parent has the right to decide whether his child will recite a morning prayer in school. Similarly, a parent has a right to decide that his child will not recite a morning prayer. Conflict arises because schools are government owned. That means it is a political decision whether prayers will be permitted or not. A win for one parent means a loss for another parent. The losing parent, in order to get what he wants, would have to muster up private school tuition while continuing to pay taxes for a school for which he has no use. If education were only government financed, as opposed to being government financed and produced, say through education vouchers, the conflict would be reduced. Both parents could have their wishes fulfilled by enrolling their child in a private school of their choice and instead of being enemies, they could be friends.

Human Nature. I agree with most of what Williams is saying, but he doesn’t quite go far enough. The fact is that the failings we see in our political system are human nature and they also exist in the free marketplace. They are human failings, not political ones. It’s, unfortunately, human nature (for some humans at least), to use their majority power in politics or the marketplace to become a collective tyrant and disregard the desires or needs of the minority. Some people in politics and the marketplace simply have a hard time getting along with others. So, their solution is to take control, or, split away if they can’t be in control.

Learning to Get Along. What is really needed in our society is a sense of tolerance, diversity, and liberty. So, in the case of prayer in school, it would be more equitable and true to the principles our nation was founded on to simply allow the day to be started with a choice of prayer or not. Those wanting prayer time, could meet in the auditorium. Those who don’t wan to start the day with prayer could meet in their classrooms or another area of school. Problem solved. Rather than splitting the schools into praying and non-praying schools, why not just encourage people to cooperate with each other and respect differences. One of the most important lessons children will learn in school is to learn to get along with others. United we stand, divided we fall. What are we teaching children if we build separate praying and non-praying schools?

Separatism Never Ends. Assume we have separate schools for praying and non-praying students. What if the majority of students in praying school happen to be Muslim? For some towns in America this could easily be true. Should the prayers in the auditorium be Islamic prayers? In Williams’ example, the schools should keep splitting up into smaller and smaller schools each representing their own separatist views until, presumably, we have the kind of sectarian division and strife that exists in Iraq. It’s not practical or healthy to have as many schools as we have religions and denominations or sects of those religions. At some point, people need to learn how to live together. A better approach is to learn how we can create solutions that accommodate everyone. Those who pray and those who don’t pray should be able to go to school together under the same roof.

Marketplace Democracy. As we all know, the democracy in our country doesn’t just occur in voting booths every two years. It occurs every day when we vote with our money. What we really have in our country is a marketplace democracy more than a political democracy. The consumers of the marketplace decide everything, including who becomes elected, what companies rise and which ones fall, and what social trends will sweep the nation. No politician or government has that kind of power. Organizations, companies, services, and/or products not receiving enough money will dwindle away for lack of support. It doesn’t mean they were bad necessarily, but they just didn’t have a large enough economic support base.

When Politics and the Marketplace Fail. There are situations when the marketplace system and political system don’t work on their own to serve the greater good. For example, if we were voting (with dollars or votes) on whether to spend money in our society for wheelchair accessible buildings, the majority of people might vote that it isn’t necessary (since it doesn’t serve their immediate personal interests). The reason we accommodate and assist children, the elderly, and handicapped people isn’t because it’s necessarily economically profitable in the marketplace or prudent politically, it’s just the humane and compassionate thing to do. So, compassion is more important than democracy in politics or popularity and profits in the marketplace. Compassion is the trump card.

Here’s a real-world example of how politics and the marketplace both failed to protect liberty and equal access to services. In March 2006, a group of rural Iowans were without high-speed Internet service. They were still using dial-up modems. Qwest was providing them phone service, but not DSL, and Mediacom wasn’t there at all. Neither as consumers in the marketplace nor as voting citizens would their collective voices been enough to get high-speed Internet service. Only with the help of the Consumer Defense Resource Group were these citizens able to receive the basic high-speed Internet service that others have had for years.

• Learn More. Big utility companies like Mediacom, Qwest, and Mid American Energy are given tax breaks as well as the use of public airwaves and public lands to conduct their business. They also have the benefit of being a monopoly in most markets. In exchange for this, they are expected to equitably serve the taxpayers who partially fund their businesses. Most of their profits come from population-dense urban areas where a small investment to deliver service, to an apartment building for example, produces a larger profit than delivering service to a rural farm house. Unless pressured to do so, most businesses simply ignore any marketplace minority that offers low profitability. Yet, we all recognize that everyone, even rural farmers, need basic services such electricity, water, sewer, waste removal, phones, schools, libraries, and roads. The Federal Government now recognizes broadband Internet as an essential service that needs to be delivered to all citizens.

Business Success in Marketplace Democracy. There’s a restaurant in the town where I live called Mia Za’s. It’s primarily an Italian food restaurant, but they offer a little bit of everything for everyone including some baked goods from local bakeries. Mia Za’s has an amazing variety of foods, such as sandwiches, salads, soups, pizza, pastas, and more. That’s common for larger restaurants, but what’s uncommon is that when ordering, customers can write up their orders on highly customizable order forms. For example, you can create a salad from scratch or just choose from a menu of popular salads. In the Mia Za’s world, nobody is left out even if they represent a minority of customers with a certain food preference. In fact, every individual is treated as a unique person with their own food preferences. Under one roof, one finds vegetarians and meat eaters, pasta lovers and those who prefer sandwiches, all living in harmony. The reason this business model works so well is because it reflects and reinforces our better nature and the inner intuitive sense and desire to get along with everyone. We all want freedom and choices, not only for ourselves but for others. Were the Mia Za’s approach applied to government, politics, school, or the marketplace, we’d all be much better off. There’d be no need for the conflict that Williams addresses in his article.

• Learn More – Mia Za’s Model Applied to Education. During my senior year of high school, the school I was attending began testing a Mia Za’s-like approach to education. As seniors, we could choose what courses we wanted. It was a lot like registering for classes at the college level. Rather than serving up education like a combo-meal at McDonalds, they were taking a risk that students would have an interest in their own education and destiny. Initially school administrators were very concerned about what students would do given freedom of choice with education. Like a Mia Za’s menu, students could pick and choose what courses they wanted, and even customize the courses. Rather than a majority of administrators or parents fighting over what combo-meal curriculum would be offered, everyone got to choose the education they wanted. This is one example of many where creativity, ingenuity, and cooperation can result in serving everyone’s needs without there needing to be winners or losers.

When Quality is the Bottom Line. When I was managing a Radio Shack store in California, my pay, bonuses, promotions, and recognition were based on sales volume. The formula for success was quite easy: Focus on the high dollar sales. For some reason, I was often compelled to think beyond that model, and those around me were perplexed when I would patiently spend time helping customers with smaller purchases. One day, an elderly lady came into the store looking for a phonograph needle — the kind that could play 33 RPM or flip over and play 78 RPM albums (if you can remember back that far). I spent a bunch of time helping her, and when she left the store satisfied, the people I was working with simply had to ask me why it is that I would spend so much money on a $1 sale. So, I explained to them about what I call the other bottom line: that of excellence in service.

• Learn More. A few weeks after helping that elderly woman with her phonograph needle, the corporate office of Radio Shack sent out a letter to all of our stores. Apparently the elderly woman was so impressed with the service she’d received that she wrote the president of Radio Shack about it. The news of that $1 sale reached the desk of the president, and it became an example of how the company wanted their employees to treat every customer. When companies and employees strive for excellence in service, everyone benefits. Certainly a company known for excellent service will attract more customers and grow, but good customer service isn’t just about excelling in business, it’s common courtesy. The same is true when offering exceptional products. Of course, it’s good for a company’s reputation and long-term sales figures, but it’s also the right thing to do. The example above of Mia Za’s is a good illustration of offering exceptional products, excellent service, and great value.

Marketplace Cooperation. In his article, Williams suggests that government promotes conflict, but the free market economy promotes cooperation. Conventional wisdom tells us the opposite is true. For example, one state that does research on highway costs and develops a method to construct more durable and economical road surfaces will share this with other state governments. There is some competition between countries, yet even so, research into health and eliminating poverty is often shared when seeking to make the world a better place. However, in the free market economy, businesses are constantly competing and rarely would they share information that might give their competitor’s an edge.

• Learn More. There are some examples of marketplace cooperation, yet they don’t come about naturally. Instead, cooperative models of business are usually developed by people who recognize the benefits of working with each other rather than against each other. One example is the Iowa City Area Computer Support Cooperative. This is a cooperative business model that results in higher quality service at more economical prices when businesses work together.

Conclusion. Here are a few principles to remember:

• Fairness, freedom, and cooperation only thrive in politics and business when we take the initiative to promote and defend these principles.
• Those who make excellence (in products and services) their bottom line will ultimately have greater success than those who always choose to do what is cheapest, easiest, and/or makes the most profit.
• Cooperation with people will produce better results for everyone than competing against them. A hybrid model of competing with people (rather than against them) can inspire everyone to do better.

Video Commentary. Below is a video commentary by Gregory Johnson about the potential challenges of democracy.

Summary. Automation is increasingly replacing human contact in business. Here’s a verified first-hand account of an automated customer service system gone bad.

Wednesday, 10 March 2010

I noticed a $50 charge on my credit card statement with no indication of who had charged the fee other than the words Membership Fee.

So, I wrote to my credit card company, “I notice a membership fee of $50 on my statement this month. Is that an annual fee for this card?”

I received an automated message back stating the following, “We strive to provide you world class customer service and … 24-hour customer service. To offset the costs associated with maintaining your account, we charge a nominal annual membership fee. Your account is not eligible for a credit of the annual membership fee. As stated in the Card Agreement, this fee is non-refundable unless you notify us to cancel your account within 30 days from the mailing or delivery date of the billing statement on which the fee is billed. Thank you for using our website.”

I’d not asked for a refund, but simply wanted clarification of who the charge was from. I wrote them again, “Friends, I’m surprised by your automated message. I was not asking for a refund to my account for the $50 membership fee. If any human being would have read my original message, I was just simply asking what the $50 fee was. There was an inadequate description on my statement. It didn’t say who the charge was from. I couldn’t tell what merchant the fee was from. So, that’s why I was asking. However, your automated computerized response now has me wondering why I really am paying $50 per year. Your email states that I’m getting, ‘world class customer service’ and ’24-hour customer service.’ Yet, an automated incorrect response suggests that I’m indeed NOT getting world-class customer service. Why would you allow this to happen?”

In response to my second email, I received the same impersonal automated response. It seems that more and more companies are charging fees, claiming it is to offset the delivery of personalized customer service, but instead they are offering automated impersonal service.

Summary. Here’s a light-hearted look at our national economy and financial situation. The following Maxine cartoons were received via email. The source, authenticity, and/or copyright are unknown. The cartoon text is as follows (in order of appearance):

• The economy is so bad, I got a ‘pre-declined’ credit card in the mail.
• The economy is so bad, if the bank returns your check marked “insufficient funds” you call and ask if they meant you or them.
• The economy is so bad, I ordered a burger at McDonalds, and the kid behind the counter asked, “Can you afford fries with that?”
• The economy is so bad, Motel 6 won’t leave the light on anymore.
• The economy is so bad, a truckload of Americans was caught sneaking into Mexico.
• The economy is so bad, Exxon-Mobil laid off 25 Congressmen.
• The economy is so bad, parents in Beverly Hills fired their nannies and learned their children’s names.
• The economy is so bad, McDonalds is selling the “Quarter-ouncer.”
• The economy is so bad, Hot Wheels and Matchbox stocks are trading higher than Chrysler and GM.
• The economy is so bad, CEO’s are now playing miniature golf.
• Congress says they are looking deeper into the Bernie Madoff scandal. Well ain’t that just great. The guy who made $50 Billion disappear is being investigated by the people who made $1.5 Trillion disappear.

The economy is so bad, I got a 'pre-declined' credit card in the mail.

The economy is so bad, if the bank returns your check marked "insufficient funds" you call and ask if they meant you or them.

The economy is so bad, I ordered a burger at McDonalds, and the kid behind the counter asked, "Can you afford fries with that?"

The economy is so bad, Motel 6 won't leave the light on anymore.

The economy is so bad, a truckload of Americans was caught sneaking into Mexico.

The economy is so bad, Exxon-Mobil laid off 25 Congressmen.

The economy is so bad, parents in Beverly Hills fired their nannies and learned their children's names.

The economy is so bad, McDonalds is selling the "Quarter-ouncer."

The economy is so bad, Hot Wheels and Matchbox stocks are trading higher than Chrysler and GM.

The economy is so bad, CEO's are now playing miniature golf.

Congress says they are looking deeper into the Bernie Madoff scandal. Well ain't that just great. The guy who made $50 Billion disappear is being investigated by the people who made $1.5 Trillion disappear.

Summary. We’ve compiled this list of considerations as a prerequisite for shopping at our online store. We think it would be good for every retailer and online store to have a sign or public service announcement similar to this one. Contact us with any suggestions for improving this list.

Smart Shopping Guidelines. Before going shopping, consider the following smart shopping guidelines:

• Buy Locally. Have you considered purchasing locally? It’s common for local stores to have items competitively priced with Internet stores like ours. Supporting your local merchants invigorates your community’s economy and it’s more social than shopping online.
• Buy Used. If you’re considering the purchase of something new, why not consider purchasing the item used? There are local and online sources for quality used items such as eBay.
• Avoid Debt. Don’t Increase Your Debt. Are you using a credit card for a purchase because you don’t really have the money to buy whatever it is? Consumer debt is at an all time high. Consider making a list of priority purchases and then only purchasing items you can actually afford.
• Ignore Discounts. Don’t Be Pressured By Sales Or Discounts. Is your purchase being influenced by a sale or rebate rather than a present need? You’ll save more by not buying the item at all. By having a wish list that is prioritized, you’ll simply buy things that are already on your list. If they are on sale, then that’s great, but don’t buy something that wasn’t on your list just because it is on sale.
• Avoid Emotional Shopping. Are you considering a purchase because it will make you feel better? Did you know that much of the shopping people do is emotional shopping. Consider pursuing alternative activities that cost little or preferably no money at all such as: go for a walk in the park, exercise, do yoga, read a book, listen to music, take a bath, or meditate.
• Pursue Ethical Shopping. When you shop, rather than purchasing disposable products, consider purchasing products that can be recycled or reused. Consider the labor practices involved with the product or service you are paying for. Buy the best quality products for low maintenance, durability, and longevity. Be sure to buy products that are energy efficient (see the EnergyStar.gov website). Make sure the product and services you buy, as well as the stores you buy them from, and the companies that provide them, are ethically supportive of your values. [More]
• Prioritize Shopping. Have you prioritized your shopping list to be sure you are spending money and time on the items of highest priority first?
• Share. Could you purchase the item with several other people and share it? Typically, expensive purchases are the things in our life that we use the least. For example, let’s say you are purchasing a high definition video camera. Perhaps you could share the cost and the camera with friends.
• Shop Around. With any kind of shopping (online or offline) it’s a good idea to spend at least 10 to 15 minutes to find out what the going price is for a product. Our prices are usually fairly competitive, but they might not always be the lowest price. So, feel free to shop around a bit and price compare.
• Wait. Do you need the item right now? Can you put off the purchase? Often, by waiting to make a purchase, a person is able to buy the item later at a discount. Or, maybe after waiting you’ll discover you really didn’t need or want the item as much as you thought. Stretching out the frequency of purchases saves money over time. For example, are you buying a new digital camera? Consider purchasing a new digital camera every three or four years rather than every year as new models are announced. Lengthen the timeframe for which your purchases serve you. Create a wish list of items and then purchase from that list that have been on it for a month or more.

Now that you’ve considered the above, we invite you to use our online store as a source for some of your shopping needs.

Click here to return to our store page.

Video. Below is a cute Saturday Night Live Skit about not buying things we don’t need.

Video. Below is a sarcastic video about how people are manipulated into buying things they don’t need.

Document History. This document was originally posted here on 20090208at0103. On 20091123mo0928 it was updated to include a new video and some minor changes to the text.

Summary. This page offers instructions for purchasing computers, software, and other technology from Apple for Higher Education Academic Institutions.

Online Purchasing. According to Apple, online purchasing using a Procurement Card (PCard) is now possible. Here are the steps.

1. Go to Apple’s portal for educational purchases at apple.com/education/store
2. Click the Higher Education link under the heading Purchasing for your institution?
3. The resulting page will offer buttons for Create Quote or Authorized Purchaser Login. Click on Create Quote. You’ll actually be purchasing online, even though the button says you are only creating a quote.
4. The resulting page will let you select your school with the School Locator by selecting the state and city where your school is located. Once you have identified your school, click the button to Continue. Your school may have a personalized Apple Education Store portal. If so, continue to the store, or whatever store you are directed to. This will initialize a specialized purchasing process to ensure that your purchase isn’t taxed. Some pricing and options may be customized for departmental and institutional purchasing.
5. Find the items to purchase. Configure if necessary and then add them to the cart. Click the continue button when your cart has the desired items. This will take you to the Review Your Proposal page where you can change quantities or remove items as needed. You may now use the Purchase with PCard button a the bottom of the page. You’ll need an Apple ID – preferably one created using the email address that is affiliated with your institution. Assuming you have an Apple ID setup, click the Purchase with PCard button to complete the order and provide the login email address and password for the Apple ID you’ll be using.
6. If you wish to use the traditional over-the-phone method of completing your order, click on the Create Proposal button.
7. You will arrive at the Proposal Information page. Fill out the form, then click Continue.
8. You will arrive at the Thank You, Your Proposal Has Been Sent page. Save this page. You should also receive an email confirmation of your web proposal.
9. Call 800-800-2775 and choose option 4, then option 3. The person who answers the phone will need your name, billing information, and the web proposal number. They will complete your order over the phone.

Authorized Purchasing Agent. If you wish, you can register with Apple as a purchasing agent for your academic institution. You can place orders online with your Procurement Card (PCard) using the ID you create as described in step #4 above, and presumably have greater purchasing power. The discovery of this process is found by clicking the Learn More link under the Authorized Purchaser Login button on the page in step #3 above. To apply, from the Learn More page, click on College or university purchaser link under the heading What is an Apple Authorized Purchaser? Then fill out the form. Please note that the system does not currently allow you to use an existing Apple ID. If you’ve already setup an Apple ID using your institutional email address, this may pose a problem. You should probably just try using that Apple ID and purchasing using a PCard as described above in step #4.

Apple Policies and Procedures. On 28 October 2009, a representative of the Apple Enrollment Team provided the following clarification regarding online purchasing for academic departments and institutions.

You do not need any special access to use the “Purchase with PCard” button. All you need is an Apple ID, and any Apple ID will do. You also do not need to submit your cart as a proposal first. Simply add the items you want to purchase to your cart and click on “Purchase with PCard” instead of “Create Proposal”.

This information makes it unclear why there would be an application process for becoming an authorized purchasing agent, if anyone can simply use a PCard to purchase.

Image Courtesy of Wiki Commons

Summary. This page offers advice, tips, and suggestions to those who have come into quick riches, wealth, and money through winnings, a successful business, or inheritance. These are some points to consider and reflect upon as you plan for your future. Below are four points of advice. These points provide links to information resources on this site and elsewhere.

• Advisory Board. Establish an advisory board of people you respect and trust, who understand your hopes, dreams, strengths, challenges, and goals. It’s said that two heads are better than one. Your advisory board can allow your life decisions to be based on the collective and cumulative wisdom of five or ten people. This will give you the effective wisdom of someone who is a hundred years old or more.
  • Cooperation. Try to avoid controlling, opinionated, or divisive individuals.
  • Diversity. Consider having people from various walks of life and professions reflected in your advisory board such as people with financial experience, legal experience, activism experience, entrepreneurs, investors, as well as people with good old common sense.
  • Transparency. If you are willing, let your financial decisions be transparent and open to this group. It will help you stay accountable.
• Financial Wellness. Finances are only part of a larger holistic picture of life. Yet, how people manage their money can help or hinder every area of life. So, learning some financial skills and wisdom can help. The Financial Resource Group is a place to start. Consider having a conservative financial advisor who you trust – preferably one who is under the authority and oversight of a financial institution they are accountable to. Consider a personal self-assessment of your self control. If you feel that you might not be responsible with instant access to a large sum of money, perhaps having the money in revolving investments would help, or making arrangements with a financial institution so that you must speak with a financial advisor every time you want to withdraw larger sums of money.
• Charity. Many people think of giving to charity when they come into money. While money and things can’t buy happiness, giving to a worthy cause can certainly make a person feel good. However, it’s easy to get emotional and give away large sums of money without sufficient consideration of how your giving can have the greatest impact. Organizations like United Way are able to present a social action portfolio of reputable organizations. Charity is like investing. It’s an investment in society. As with investing, it’s best not to put a lot of money in one place over a short period of time. Instead, better results are typically achieved by investing small amounts over a period of time. Additional reading on charity can be found here:
  • Charitable Giving – Resources and Reviews of Organizations
  • Giving a Percentage – Donate, Contribute, Give, and Volunteer to Charity for Greater Wealth and Well-being
• Life Assessment. Reflecting on the various areas of life defined on the Map Page consider where you are, where you’ve been, and where you’d like to be in respect to these areas of life. How can you grow and become stronger in these areas. Communicate this information to your Advisory Board. Consider how you might help others as well as yourself grow in these areas.

Comments. This document is updated based on comments and suggestions we receive. Please contact us if you have comments or suggestions for how to improve this page and/or the pages linked from here. Thanks!

Summary. PrivacyGuard.com is a service provider of credit report monitoring and identity theft protection. Instructions on how to save $60 per year with Privacy Guard are provided at the bottom of this page below the review and disclosure of customer complaints and concerns about the Privacy Guard business practices. Some people claim that Privacy Guard is a scam and fraud. This report will explore this claim. Before signing up with Privacy Guard or any other credit report monitoring and identity protection service, we recommend reading the Consumer Reports article on credit report monitoring.

Free Annual Credit Report. Visit the Federal Trade Commission Fact Page for more information on credit reporting, monitoring, alerts, and identity protection services. The Federal Trade Commission suggests using the AnnualCreditReport.com website to obtain a free annual credit report by three agencies. Some credit reporting and monitoring businesses such as Equifax actually tell their potential customers about this free service. Others do not disclose this information. For more information, visit the Federal Trade Commission web page dedicated to offering information about the Annual Credit Report.com site. Here is a short description:

AnnualCreditReport.com is a centralized service for consumers to request free annual credit reports. It was created by the three nationwide consumer credit reporting companies – Equifax, Experian and TransUnion. AnnualCreditReport.com provides consumers with the secure means to request and obtain a free credit report once every 12 months from each of the three nationwide consumer credit reporting companies in accordance with the Fair and Accurate Credit Transactions Act (FACT Act).

Quick Review. A 5-year evaluation of Privacy Guard (conducted by the CDRG) revealed that the company provides an accurate and comprehensive credit reporting and monitoring service. Credit report monitoring services notify you if a change has been made to your credit report. Such changes may be an indication that someone has requested credit in your name.

Customer Complaints. Some people have complained that the partnership arrangement between PrivacyGuard and some financial institutions results in what is viewed as a deceptive practice of having customers sign up for the service as a “free trial” without being reminded later that they will be automatically charged for the service unless they cancel. The longer the period of time that the free-trial offered the worse it is because after one, two, or three months the customer will have long since forgotten about the service. A follow-up phone call or email would alleviate the legal liabilities and customer frustrations associated with this issue. Due to this self-defeating shortsightedness the PrivacyGuard parent company Trilegiant had to pay $25 million dollars in a class action lawsuit.

Service Cancellation. The process of canceling is quite easy. Simply call Privacy Guard at 877-202-8828 and request cancelation. Some people have stated that the company representatives attempt to do everything they can to convince you not to cancel, such as offering several months free. During the CDRG evaluation, several accounts were created and then cancelled without any difficulty.

Deceptive, Misleading and Manipulative Marketing Practices. Many online merchants use deceptive and manipulative practices with regard to pricing. The nature of the Internet makes this easy. For example, if you visit the Dell website to purchase a computer, it’s likely you will discover a special sale that ends, surprisingly, tomorrow. The sale ending date is generated as you visit the page. Website cookies make it possible for return visits to display additional savings. PrivacyGuard.com uses the UpSellIt.com Smart Agent technology to help increase their sales. The phrase ‘upsell’ refers to the practice of persuading a customer through psychological and emotional manipulation to purchase more than they originally wanted, or convincing them to purchase something they didn’t really want or need. The goal is to create need or desire where it didn’t exist before. Smart Agent is a fake chat session that leads website visitors to think that a real customer service person is helping them. The website visitor may never realize that they are having a text chat with a machine because the program attempts to respond with lifelike and relevant answers to questions. The way it works is similar to pornography and gambling websites. As a person attempts to close their browser window/page, they are unable to because a new message pops up and prevents them from doing so. The message states, “Wait! A live agent would like to talk to you about last minute savings.” There actually is no live human customer service representative. You’ll see a message indicating that the “person” is typing. This is an unfortunate use of deception to manipulate customers. More about this is revealed below in the section on saving $60 per year with Privacy Guard. In fairness, it should be pointed out that TransUnion (one of the top three credit bureaus) also uses virtual customer service people on their TrueCredit.com website.

Undisclosed Pricing. One concern that some people have is that Privacy Guard charges different rates for the same service. One customer may pay 30% less simply because they were able to haggle for a lower price.

Payment Problems. If you have an account with Privacy Guard and wish to change your payment method, you must cancel your current account and create a new one using the alternate payment method. If you are currently paying $17 a month and would like to pay $12 a month, you must cancel your existing account and then setup a new account with a different credit card for payment. Some people may feel that this is inconvenient.

Saving $60 Per Year on Privacy Guard. Assuming that you feel okay about the above business practices and marketing methods, below are the steps to achieving maximum savings with Privacy Guard. Most people who visit the PrivacyGuard.com website will unwittingly pay about $17 per month ($204 per year) for the service. However, if you follow these instructions, you could get the service for as little as $12 per month (or $144 per year).

1. Go to PrivacyGuard.com and click on the link to get your first 30 days for just $1. This will take you to a signup form that promises 1 month free and then $17 a month thereafter.
2. Attempt to close the browser window (not your browser, just that window or page).
3. A browser alert message will appear with the following information, “https://www.privacyguard.com  Wait! A live agent would like to talk to you about last minute savings. Please hit ‘Cancel’ on the next window to remain on this page…” Click the OK button.
4. The next browser alert message will appear with the following information, “https://www.privacyguard.com Are you sure you want to leave this page? Press ‘CANCEL’ below to chat… Click OK to continue, or Cancel to stay on this page.” Click Cancel to access the chat Window.
5. The customer service representative is not a real person, but an interactive simulation that appears to be a real person. There will be a message stating, “Agent is Typing…” as if a real person is actually typing you a message. Below is a sample of an interaction with the fake customer service agent.
6. Type in something like, “What’s the best deal you can give me?” Don’t click on any of the initial CLICK HERE offers, but click on the last one that is a response to what you’ve typed. The fist offers are for limited plans such as a single credit bureau report.
7. After you click on the last CLICK HERE link, the customer agreement page will refresh and present you with the $11.99 per month service contract rather than the initial $16.99 per month service contract.
8. Fill out the form and submit it to create your account with Privacy Guard and enjoy the savings.

Example of Chat Session. Below is a sample of an actual chat session with the fake / automated / robotic customer service representative.

Natalie Says: Hey wait! Get your Credit Report for FREE from all three major credit reporting agencies! Don’t become a victim to identity theft, CLICK HERE to sign up now, and start securing your life today!

Natalie Says: Just type ‘HI’ or ‘Hello’ in the space below to let me know you are there.

Natalie Says: Did you know that on average a person will fall victim to identity theft every 3.5 seconds? Don’t be caught off-guard…let PrivacyGuard protect your good name! CLICK HERE to sign up now, and start securing your life today!

Natalie Says: Whenever you are ready, just type ‘HI’ or ‘HELLO’ and we can get started…

Natalie Says: CLICK HERE to take advantage of this amazing offer.

You: What’s the best deal you can give me?

Natalie Says: Reviewing your credit reports is one of the best ways to manage your credit and discover if your identity has been stolen. With PrivacyGuard you can view your Credit Report for FREE! CLICK HERE to sign up now, and start securing your life today!

Summary. Below is a list that represents a the broad spectrum of financial diversification available for investing and saving money. Much of the information presented here in condensed form was gathered from the Basics of Investing Lesson in the Money 101 Guide offered by Money Magazine which is owned by CNN which is owned by Turner Broadcasting which is owned by Time-Warner which is owned by shareholders. Additional information was gathered from Vanguard.com, and E*TRADE.

Considerations. When investing, consider the following:

• Conditional Performance. What are the economic conditions that determine how your investment will perform? Knowing this allows you to balance your investment portfolio so that it contains a holistic combination of investments that will do well during a variety of economic conditions. Think of it this way, if changes in economic climate are like seasonal changes in the weather, then a diversification of investing will be like having income from a lawn mowing business and a snow removal business. Both are important for producing a full year of income. Economic seasons or cycles typically occur over longer periods of time, although market trends can be like a stone dropped in a pond; causing momentary ups and downs in values of certain investments.
• Costs. How much is your investment costing you? Real estate may go up in value, but how much is it costing to manage and/or maintain. A mutual fund may offer a higher interest rate of earning, yet fees may be as much as six times higher than the cost of having a fund with Vanguard.
• Diversification. Placing your money in a variety of investment options helps to expose you to a mixed degree of risks and also helps balance investments so you can continue earning in just about any economic cycle.
• Dollar Cost Averaging. Investing in something like an Index Fund consistently (weekly or monthly), over a long period of time (5 or 10 years) with the same amount of money being invested at each regular interval, will generally produce better returns than sporadic or emotional investing in stocks.
• Ethics. While some investments may be technically legal, you may want to consider the ethical issues involved. For example, many corporations invest in off-shore tax havens. [source] However, this behavior is looked down upon. Some investors choose to invest in socially responsible funds such as the Vanguard FTSE Social Index Fund (VFTSX).
  • Learn More. For more information, read our document on Socially Responsible Green Eco Investing.
• Liquidity – How quickly can you get your money out? For example, real estate is a good investment. However, if you purchase a house, and then the housing values in the neighborhood begin to plummet due to unforeseen circumstances (meth labs and crime), you may have difficulty getting the house sold. Other investments, like CDs are for a specified term such as one year. Generally, an investment that ties up your money for a longer period of time will pay a higher percentage return.
• Quantity – How much money is required to utilize a particular investment? Typically, a larger sum being invested will offer a greater percentage earnings.
• Risks Types – Is there a possibility your investment may be worth less in the future rather than more? Investments that promise potentially higher returns often can result in the greatest losses. One thing to remember about risks is that they are generally time sensitive. For example, if you invest $3000, and you have no specific time when you need that money back, you can ride out an economic downturn, so even if your $3000 investment drops in value to $2000, you aren’t impacted. You can wait to use your money until it reaches a value that represents a 10% return on your investment or higher. An excellent illustration of this is provided on the Vanguard LifeStrategy Funds page. There are generally three kinds of risks.
  • Time. One risk involves the risk of having to wait for the value of a fund or stock to rebound before you should try to get your money out.
  • Peak Value. Another risk involves being uninformed about a stock and investing heavily in it when it has reached an artificial peak. You may never see your investment increase.
  • Business Failure. With some investments, there is a risk that your investment will steadily decline in value. For example, investing heavily in a company that unexpectedly fails would cause you to lose most (or all) of your investment.

Investment and Savings Options. Below are some of the basic investment and savings options. A good learning tool to understand investment options is the Vanguard Funds Interactive Listing because it allows you to see and select from a list of variables such as asset type, risk level, minimum investment, and tax-efficiency.

• Bonds. For most people, Bonds are considered to be a secure investment that produces relatively good earnings. They are generally considered to perform well in economic conditions when stocks may be performing poorly and they offer some tax benefits. [Wikipedia]
• Capitalization Sized Investments. In addition to investing in different industries, it’s generally a good idea to invest in businesses of varying sizes such as:
  • Nano Cap – Small public companies having a market capitalization below $50 million.
  • Micro Cap – Companies with market capitalizations between $50 million and $300 million.
  • Small Cap – Refers to stocks with a relatively small market capitalization. The definition of small cap can vary among brokerages, but generally it is a company with a market capitalization of between $300 million and $2 billion.
  • Mid Cap – A company with a market capitalization between $2 and $10 billion, which is calculated by multiplying the number of a company””s shares outstanding by its stock price. Mid cap is an abbreviation for the term “middle capitalization”.
  • Large Cap – A term used by the investment community to refer to companies with a market capitalization value of more than $10 billion. Large cap is an abbreviation of the term “large market capitalization”. Market capitalization is calculated by multiplying the number of a company’s shares outstanding by its stock price per share.
• Certificate of Deposit. An investment in Certificates of Deposit will offer security, liquidity, but lower interest earnings. Some people will invest monthly in CDs. After a year of doing this, it is possible to reinvest the CDs as they mature. This creates a one-year reserve of income. If you invest 25% of your income every month in CDs, and continue this practice for four years, eventually you will have the equivalent of one-month’s income being reinvested every month into CDs. [ Read more about CDs on Wikipedia ]
• Checking Account. It’s important to have some money accessible and available for recurring expenses. Some checking accounts and/or connected savings accounts will pay interest. As a general rule, it is a good idea to have six months of income available in an account and/or invested in CDs that will be maturing on a monthly basis.
• Index Funds. One of the best long-term investments is an Index fund. Because the index fund fluctuates in value over time, the practical liquidity is limited. So, they are typically not suitable for short-term savings. That said, Index Funds offer low cost, high yield, and typically low risk (if  you can ride through short-term downturns).
  • Getting Started. Investing in an Index fund can be a simple three-step process that takes about 10 minutes. For example: (1) Setup an online account with Vanguard by providing some basic personal financial details, such as indicating you want to setup a new personal individual account for general savings, (2) choose an index fund such as the Vanguard 500 Index Fund Investor Shares (VFINX), and finally, (3) transfer $3,000 to your Vanguard account by providing your bank routing number and account number typically found at the bottom of your checks. Commentary: Over the past 10 years, other than a significant drop during March 2009 ($62.65), the lowest values of the VFINX are typically from $70 to $80 with high values of about $130 to $140. Given that information, it would appear that beginning to buy in when the value is around $80 would be a good thing. This is a long-term investment fund, and given past performance, it seems that an investor may need to wait several years or more during down times before cashing in on their investment to avoid a loss. Over about 30 years, the VFINX has provided a return of about 10%.
• Money Market Fund. Money market funds typically offer better returns than a traditional savings account. However, if you’re able to take advantage of special offers, such as the 4% earnings mentioned below under Savings Account, then it may be best to limit your money market investments. [Wikipedia]
• Mutual Funds. According to CNN Money, “A mutual fund pools money from hundreds and thousands of investors to construct a portfolio of stocks, bonds, real estate, or other securities, according to its charter. Each investor in the fund gets a slice of the total pie. Most funds require only moderate minimum investments, from a few hundred to a few thousand dollars, enabling investors to construct a diversified portfolio much more cheaply than they could on their own. The number of categories is dizzying. Some examples: growth funds, which buy shares of burgeoning companies; sector funds, which buy shares of companies in a particular sector, such as technology or health care; and index funds, which buy shares of every stock in a particular index, such as the S&P 500.” [More]
• Real Estate. For most people, their primary real estate investment is their home. According to CNN Money, “If you can’t commit to remaining in one place for at least a few years, then owning is probably not for you, at least not yet. With the transaction costs of buying and selling a home, you may end up losing money if you sell any sooner – even in a rising market. When prices are falling, it’s an even worse proposition. Home ownership means you no longer pay monthly rent for the roof over your head. You can do what you want with your house (within reason). When you leave, you can sell it to recoup the purchase price and – with any luck – earn a profit too. But don’t kid yourself. Home ownership comes with a slew of disadvantages, responsibilities, and downright headaches. It may make more sense to rent … if you pay 35 percent less in rent than you would for owning – including the monthly mortgage, property taxes, and any homeowner’s fees – then it’s smarter to continue renting.
• Savings Account. People generally don’t put the bulk of their savings in a savings account. Some banks may offer as much as 4% interest on certain savings accounts as long as certain criteria are met. For example, the University of Iowa Community Credit Union will pay 4% interest on your deposited funds if you use your bank card as a credit card instead of a debit card at least twelve times per month.
• Stocks. Stocks generally represent a small part of your investment portfolio. They may perform well when other investments are lagging, but the reverse is also true. An excellent illustration of distributed investments including stocks is provided on the Vanguard LifeStrategy Funds page. Read more about investing in stocks at CNN Money.
• Socially Responsible Funds. There are many companies around the world today that harm the environment, exploit workers, produce harmful products, and engage in generally unethical practices. If you’re seeking pure profits and earnings, you may not be concerned about such things. However, Socially Responsible Investment funds have been created for investors who feel better about investments that make the world a better place. Another advantage of Socially Responsible Investments is that they generally perform better than other investments. For more information, read Socially Responsible Green Eco Investing.

Resources. Below are some investment information resources.

• Business Week > Investor – News about the investing industry.
• CNN > Money 101 – An excellent online guide to investing and finance.
• E*TRADE – Approximately 4.5 million people have invested about $100 billion dollars through accounts with E*TRADE. The education and information resources offered by E*TRADE are designed to create an educated investing group. For example, E*TRADE offers video training tutorials on topics such as Options and Technical Analysis.
• Fidelity.com – “Fidelity offers a full range of financial products to help you with all your financial needs no matter where you are in life. Whether you are investing, planning for and living in retirement, or just saving for college we have a solution for you. Learn more about why Fidelity is the right financial partner for you.”
• Fortune Magazine – “Our trademark stock portfolio, which weathered a tough year in the markets, provides a strategy that will help you drive out of today’s uncertainty and into a sunnier future.”
• Kiplinger.com “For eight decades, the Kiplinger organization has led the way in personal finance and business forecasting. Founded in 1920 by W.M. Kiplinger, the company developed one of the nation’s first successful newsletters in modern times. The Kiplinger Letter, launched in 1923, remains the longest continually published newsletter in the United States. In 1947, Kiplinger’s created the nation’s first personal finance magazine. Located in the heart of our nation’s capital, the Kiplinger editors remain dedicated to delivering sound, unbiased advice for your family and your business in clear, concise language.”
• MSN Money Central – News about the investing industry as well as articles about investing.
• Scottrade.com – “As a leading online brokerage firm, Scottrade offers a full line of investment products, online trading platforms and market research tools to help investors take control of their financial future. Scottrade’s dedication to excellence is what truly makes us stand apart from other brokerage firms and better serve our customers, employees and communities.”
• Schwab.com – “Here, you can enjoy a personal relationship with our investment professionals. We see investing from your perspective, and make recommendations based on actually listening to you and understanding your needs. Experience ease and convenience—from opening your account to accessing top research. To all investors, we offer investment guidance and portfolio planning. If you want us to manage your portfolio, we also offer investment management services. Our goal is simple: to give you everything you need to do better.”
• ShareBuilder.com – “Many Americans believe that investing is an activity that’s out of their reach. At ShareBuilder we are changing that perception. We believe everyone should be able to invest and that’s why we’ve created an investment service that has eliminated account minimums, reduced commissions and doesn’t have maintenance fees. We’re dedicated to making investing easy and affordable for everyone.”
• Vanguard.com – “While no one has the power to dictate the market’s daily ups and downs, you can control how much you pay to invest. Unfortunately, many investors simply don’t notice mutual fund costs, since they’re not billed directly. But a fund’s operating expenses are paid out of its investment returns. That means lower costs let investors keep more of their returns over time. At Vanguard, we’ve built a reputation for helping investors reach their goals by keeping down the cost of investing. It’s not just good business—it’s a Simple Truth.”
• Wikipedia > Investment – “The term “investment” is used differently in economics and in finance. Economists refer to a real investment (such as a machine or a house), while financial economists refer to a financial asset, such as money that is put into a bank or the market, which may then be used to buy a real asset.” [More]

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About the Video. The video tells about the process Steve Kunert (SNK-Inc.com) uses when he helps inventors improve their inventions and take them to the marketplace. Steve’s process is clear and simple, and is versatile enough to use with any business or personal situation. He describes the process in the video, using the example of the HALO Innovations developed Active-Airflow Crib Mattress (available at HaloSleep.com), which Steve helped improve. The mattress is designed to help reduce the chances of SIDS.

A Good Cause. I’m hoping Steve can win the $25,000 prize. I really feel that the invention, his business concept, and the engineering consulting he does are a very worthwhile. The HALO Active-Airflow Crib Mattress is a life-saving invention that is little known and the story needs to be shared with all parents. Any winnings that Steve receives will be used to help other promising inventors bring their ideas to market.

How You Can Help. Steve has a good chance of winning based on the merit of his story. However, 40% of the judges’ ratings will be based on the number of votes and quality of the comments each video gets. So, your vote is very important to helping “Halo for Haley” win. The video is online here:

• http://community.intuit.com/contests/d-VTRIzIKqllvkab8P4pmk

If you like the video, then please take about three minutes to rate it and leave a nice comment by following these four easy steps:

1. Click on the comment button or a rating button (a category) for the video. If you’re not signed into Intuit (which you probably won’t be), the login screen will appear.
2. Sign-in using your Intuit ID and password or (more likely) click on Create an account if you’re new. When you create an account, provide an email address, pick an ID, password, screen name, and security question. It’s fairly quick. You may think that having already clicked on a rating (category) in step #1 that your selection would be recorded. However, you actually needed to go through step #2 above before you can rate and comment.
3. Click on a rating for the video, such as Inspiring and Useful (you can choose both).
4. Provide a comment. For example, I wrote: “This is both inspirational and also very helpful. It shows how an entrepreneur can use their business to help solve problems in a creative way, as long as they follow a focused plan of action.”

Benefits. As a result of the video submission, my client, Steve Kunert, and the other finalists in this competition already received $5,000 and a video camera. In this final phase of the competition, four winners will receive $10,000 and one will receive the $25,000 grand prize.

Share. Please help Steve do more good in the world by sharing this with family and friends. You can use the ShareThis link below or in the upper right corner of this page.

Thanks!

~ Greg

____________

Gregory Paul Johnson, Director
Resources for Life.com
“Resources for Better Living”
Internet: http://www.resourcesforlife.com/g
E-Mail: g@resourcesforlife.com
Postal: PO Box 2717, Iowa City, IA 52244-2717 USA
Phone: (319) 621-4911

[Note: The photos on this page are from my gallery of photos and are unrelated to the article. They are simply provided here for your esthetic pleasure.]