WIAcademy EducateBlog

I received a news release from the IRS warning of an e-mail scam claiming that the IRS will pay recipients $80 for participating in an online customer satisfaction survey. The IRS is not going to pay you to complete a survey and the agency never sends unsolicited e-mail. If you get this e-mail, just delete it.

To read the full IRS news release …

IRS Warns of New e-Mail Scam Offering Cash for Participation in “Member Satisfaction Survey”

WASHINGTON — The Internal Revenue Service today issued a consumer alert regarding a new, two-step e-mail scam that falsely promises recipients they will receive $80 for participating in an online customer satisfaction survey.

In the scam, an unsuspecting taxpayer receives an unsolicited e-mail that appears to come from the IRS. The e-mail contains a URL linking to an online “Member Satisfaction Survey.”

“We have seen many e-mail scams using the IRS name,” IRS Deputy Commissioner for Operations Support Linda Stiff said. “The IRS does not initiate contact with taxpayers through e-mail. Taxpayers should always use caution when they receive unsolicited e-mails.”

In this case, the e-mail notifies the recipient that he or she has been randomly selected to participate in a survey. In return, the IRS will credit $80 to the taxpayer’s account. There are references to the IRS in the “from” line and the “subject” line of the e-mail. The link to the survey and a copyright statement at the bottom of the e-mail also reference the IRS. The survey form features the IRS logo.

In addition to standard customer satisfaction survey questions, the survey requests the name and phone number of the participant and also asks for credit card information. Once the fraudsters have a name and phone number, they will presumably call the participant and attempt to retrieve other financial information.

The apparent objectives of this scam are to use the participant’s name and financial data to withdraw funds from the taxpayer’s bank account, run up charges on a credit card or take out loans in the taxpayer’s name.
Tricking victims into revealing private personal and financial information over the Internet, telephone or other means is a practice known as “phishing.”

IRS Never Sends Unsolicited e-Mail

Taxpayers should be aware that the IRS does not send unsolicited e-mail. Additionally, the IRS never asks taxpayers for PIN numbers, passwords or similar secret access information for credit card, bank or other financial accounts.

Recipients of questionable e-mail that appears to come from the IRS should not open any attachments or click on any links contained in the e-mail. Instead, the e-mail should be forwarded to phishing@irs.gov.

The IRS and the Treasury Inspector General for Tax Administration work with the U.S. Computer Emergency Readiness Team (US-CERT) and various Internet service providers and international CERT teams to have the phishing sites taken offline as soon as they are reported.

Since the establishment of the mail box last year, the IRS has received more than 30,000 e-mails from taxpayers reporting almost 400 separate phishing incidents. To date, investigations by TIGTA have identified host sites in at least 55 different countries, as well as in the United States.

Other fraudulent e-mail scams try to entice taxpayers to click their way to a fake IRS Web site and ask for bank account numbers. Another widespread e-mail scam tells taxpayers the IRS is holding a refund for them –– frequently $63.80 –– and seeking financial account information. Still another email claims the IRS’s “anti-fraud commission” is investigating their tax returns.

More information on phishing scams using the IRS name, logo or other identifier can be found on the only genuine IRS Web site, www.IRS.gov.

Posted 04:34 PM | Permalink | Comments (0)

Here at Wealth Intelligence Academy, we think financial education is critical to financial security and success. We also think that education is a process that builds on itself—learn the basics, practice, then learn more advanced material, practice, then take your education to an even higher level.

Sometimes, however, you know things you have to forget because they are things that will hurt your progress. I was reminded of this when I read something recently that included the following quote:

"You must unlearn what you have learned." – Yoda in Star Wars: Episode V - The Empire Strikes Back.

Of course, you don’t want to unlearn everything you know … be selective, but be willing to let go of the things that are holding you back.

Posted 09:40 AM | Permalink | Comments (2)

Does all the bad news about mortgage lenders have you nervous? If so, step back and put things in perspective.

Today’s Orlando Sentinel included an article titled “Not all lenders reeling from mortgage mess” and quoted Peggy Thomas, found and president of Thomas Mortgage & Financial Services.

Thomas said: “We’re a prime lender. … the prime market is not really affected by all the turmoil you’re hearing. It’s not a horrible market out there. People are buying houses like they’ve always bought houses. People need to move, they need to move up when their families have expanded, so life goes on and it’s still the same market.”

About investing in real estate, she said: “Investing in real estate is never risky … as long as it’s long term. It is not a liquid commodity, so it is never a short-term investment. Can you buy and flip? Of course, if you know what you’re doing, but that’s risky.”

It’s a good time to be investing in real estate, but get the education you need to make good decisions and reduce your risk.

Posted 04:13 PM | Permalink | Comments (0)

As shake-ups continue in the mortgage industry, we have seen reports that Trump Mortgage has closed. Originator Times makes some interesting observations in “Trump Mortgage – You’re Fired!”

Jackie

Posted 07:51 AM | Permalink | Comments (0)

If you’re going to be at the Wealth Intelligence Super Conference in Las Vegas next week, please be sure to find me and say hello. I’ll be buzzing around with a notepad and camera, because my job at the conference is to produce the daily newsletter that keeps everyone up-to-date on what’s happening. I’m looking forward to meeting you.

Jackie

Posted 12:51 PM | Permalink | Comments (0)

We periodically get requests for information about foreclosure lists. While we don’t recommend any one list source over another, we can tell you about resources that you can check out yourself.

Melissa Data has just announce an online foreclosure list that allows users to select records from criteria that includes city, zip code, county, state, recorded date, and stage of foreclosure, then purchase and download a list immediately.

In a news release issued by the company, John Hull, Melissa Data vice president of list sales, said: “With the upset in the subprime industry and the financial strain of rising adjustable rate mortgages, foreclosures have reached record levels. As unfortunate as the situation is, it’s an opportunity for savvy investors looking to grow their property portfolios. By using the Foreclosure List, investors can get up-to-date information on foreclosures anywhere across the country, or in a specific area.”

For more information on the Melissa Data Foreclosure List, visit www.MelissaData.com/foreclosure.

Posted 05:33 AM | Permalink | Comments (0)

A new real estate website, www.get1percent.com, promotes itself as a place where sellers can list and buyers can shop for property and pay only a one percent commission.

But many consumers were careless when typing in the URL of the site. They dropped the “get” and instead went to www.1percent.com—which is a site selling drug paraphernalia. Parents were upset, real estate buyers and sellers were complaining, and the executives at get1percent.com are trying to figure out what to do.

The folks at the real estate website have issued apologies to anyone who was offended and say they are “working on solving the problem.”

To which I say: What problem? The real estate website has simply offered buyers and sellers a low-commission resource. Consumers have the responsibility to accurately type in the URL and to not get mad just because another site with a totally different product line has a similar address—and appears to have been in business for more than a decade.

People just need to be careful when they type in URLs, and not try to turn their mistake into somebody else’s problem.

Jackie

Posted 11:09 AM | Permalink | Comments (0)

Here’s a story from the Associated Press about the increase in foreclosures:

LOS ANGELES (AP) — The number of homes facing foreclosure surged 58% in the first six months of the year from last year, the latest sign of growing problems in the mortgage industry, a data firm said Monday.

In all, 573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders, Irvine-based RealtyTrac said.

That was 32% higher than the last six months of 2006.

"We could easily surpass 2 million foreclosure filings by the end of the year, which would represent a year-over-year increase of over 65%," said RealtyTrac CEO James Saccacio.
More than 100,000 properties in the state received notices of default or other foreclosure notices — more than double the year-ago total and an increase of 80% from the previous six months, the firm said.
RealtyTrac said that 925,986 foreclosure filings were sent to homeowners during the first half of the year. Some of those filings targeted the same property, in part because owners had more than one mortgage.
That figure was up 56% from the year-ago period and up 39% from the last six months of 2006, the firm said.
Notices of default, the first step in the foreclosure process, accounted for the largest slice of filings during the most recent period, a total of 416,937.
The national foreclosure rate through the end of June was one filing for every 134 U.S. households, the company said.
In the past, RealtyTrac released the total number of foreclosure notices issued and did not say if a single property received more than one notice. The company is now breaking out the exact property count.
In recent months, the mortgage industry has been rocked by defaults and foreclosures, primarily driven by borrowers with subprime loans and adjustable rate mortgages.
Last week, Countrywide Financial (CFC) one of the biggest mortgage lenders in the U.S., said even some of the most creditworthy borrowers were having trouble making their mortgage payments.
Lagging home sales and flat or decreasing home prices have made it more difficult for homeowners who fall behind on payments to sell their homes and clear the debt, spurring the rise in foreclosure activity.
In the report, Florida was the No. 2 state for homes in some stage of foreclosure, with a total of 64,250, an increase of 77% year-over-year and up 41% from the last six months of 2006.
Ohio ranked third with 44,594 homes, followed by Texas with 41,592 and Michigan's 40,175, the firm said.
Nevada, Colorado and California had the highest foreclosure rates, given the total number of households.

Posted 04:23 PM | Permalink | Comments (0)