Avoiding Financial Scams
and Identity Theft Slams

Who Are They?

• Financial fraudsters are after your assets.
• Identity thieves steal your personal information (often to then commit financial fraud).

What Do They Want? Your Money and Your Life

• Social Insurance Numbers, passports, driver’s licenses, and similar identifying information.
• Financial account and credit card numbers.
• Passwords (or insights about you that help them guess at weak ones).
• Your and family members’ contact information (name, address, phone, e-mail).
• Your and family members’ birth dates.
• Details about your life (interests, travel plans, relationships, your alma maters, etc.).

How Will They Get It? However They Can!

• Real or virtual strong-arm theft; breaking and entering; and scams to trick you.
• Strangers, strangers posing as someone you know, or someone you do know.
• Online, by phone, in the mail or in person.
• Phishing emails and deceitful or compromised websites (tricking you into clicking on bad links or opening infected attachments).
• Malware infects your device with pranks, viruses and security breaches.

What Should You Look For? Ten Red Flags

1. An offer that sounds too good to be true.
2. A stranger who wants to be your real or virtual best friend.
3. When someone you know is behaving oddly via email or phone. (It may be an identity thief.)
4. Someone claiming to represent a tax agency, financial or legal firm, police department or other authority contacts you out of the blue, demanding money or information.
5. You’re feeling pressured or tricked into responding RIGHT AWAY to a threat, a temptation or a curiosity.
6. You’re prioritizing easy access over solid security (weak or absent locks and passwords).
7. You’re sharing personal information in a public venue (including social media).
8. Facts or figures aren’t adding up; bank statements, reports or other info is missing entirely.
9. Your defenses are down: You’re ill, injured, grieving, experiencing dementia or feeling blue.
10. Your gut feel is warning you: Something seems off.

What Can You Do? Quite a Lot!
Online Protection

• Virus software: Install anti-malware and anti-spyware software. Keep it current!
• Passwords: Create strong, unique passwords and periodically change them.
• Extra security: Use it when available, such as two-step verification or fingerprint access.
• Phishing: Be careful about clicking links or opening attachments, especially from strangers.
• Social media: Privatize your profiles and activities so only those you allow in can see them.
• WiFi: Be extra careful using public WiFi; assume the world can see what you’re doing.

Suspicious Phone Calls

• Identify: Legitimate callers don’t call unannounced and entice or threaten you.
• End the call: Your best line of defense is to immediately hang up.
• Don’t cooperate: Never share your credit card number or any other sensitive information.
• Investigate: End the call and contact the alleged source directly to inquire further.
• Report: Report the suspicious number to federal authorities.

Credit and Records Management

• Watch for inconsistencies: Look for odd transactions in your financial statements.
• Watch for missing statements: In case your account has been redirected elsewhere.
• Monitor your credit reports: Request and review your free credit reports.  
• Follow up promptly: If something seems “off,” immediately change any login passwords, and promptly contact the service provider and appropriate federal authorities.

Personal Security

• Remain on guard: There is still plenty of old-fashioned theft going on.
• Secure it: Lock up your desk, files, car, mailbox and trash bins.
• Shred it: Use a shredder to destroy any paperwork you do not need to keep.
• When you’re out and about: Keep a close eye on your purse or wallet everywhere you go.
• Filling in forms: Don’t provide your Social Insurance Number unless actually required.
• Banking: When using an ATM machine, look for others around you or signs of tampering.

What If They Succeed? Act Promptly

• Online: Immediately change the passwords on any affected accounts.
• In general: Check in with any bank or other institution involved, and the government agency responsible for overseeing the breach. Here’s a good place to start.  
• Financial: If you feel your financial security has been compromised, we’ll want to hear from you as well! We’ll do all we can to help you fix the breach and minimize any damage done.  

We are excited to announce a new member of the TMFG team!

Amber Mazurkiewicz

Amber Mazurkiewicz is a Senior Marketing Associate with many years of experience in corporate sales and marketing working with many Canadian and International brands including; Bell Media, Rogers, Ralph Lauren, Audi, L’Oreal, Porsche, the Swiss Chamber of Commerce, Moet Chandon, KPMG, Deloitte, and Toronto Life among many others. Previously, she worked in progressively senior roles for Scotia Capital Equity Research coordinating the marketing and logistical needs of the division. During her time there, she established a foundation in financial accounting and completed her Canadian Securities Course.

Amber came into marketing from the Toronto film industry where she worked for over a decade as a production coordinator, producer, and art director. Studying film and fine arts has given her a strong sense of design and media savvy.

Amber enjoys skiing, gardening, and the beach. She has two beautiful boys who are her pride and joy.

When Rates Go Up, Do Stocks Go Down?

With the FOMC meetings having just occurred, the US Federal Reserve board increased the Federal Funds rate by 0.25% to 1.25%. This change in monetary policy often prompts questions about stock market performance.

• “If interest rates rise, should I invest in the stock market?”
• “If bond prices fall because interest rates have gone up, should I sell and take my gains out of the market?”

The keen investor would do the research to determine if there was a correlation between interest rate increases and subsequent stock market gains.

As evidenced by the attached article from Dimensional Fund Advisors, there is no clear pattern as to how the stock market performs in reaction to changes in the federal funds rate. Using data from August 1954 – December 2016, when rates rose, the market was up 40% of the time and down the remaining 60% of the time. In the months when rates fell, the market performance was split in a similar fashion.

To conclude, it is not prudent to use interest rate speculation as a guide to formulate your market investment strategy. Get invested, stay invested and avoid temptation when the market is volatile.

Carlo Cansino, FMA, FCSI, CFP Senior Financial Advisor The McClelland Financial Group of Assante Capital Management Ltd.

Term Insurance vs Mortgage Insurance

These days it appears all everyone is talking about is real estate – what homes are selling for and how can people afford them. What we don’t hear much about though is mortgage insurance. Mortgage insurance is insurance to cover the value of the outstanding mortgage in the event of the borrower’s death.

For homeowners, there is no doubt that the lending institution will recommend protecting the mortgage with mortgage insurance. While we agree that having insurance to cover the likely largest debt someone will have in their lifetime, we disagree that the lender insurance offering is the best way to achieve this protection. We recommend considering an individually owned term insurance policy to protect yourself and your loved ones instead of traditional mortgage insurance to protect your lender. Here is a chart prepared by Manulife Insurance outlining some of the differences between the two coverage options.

Whether you are a new homeowner or already have mortgage insurance in place, consider the benefits and flexibility of a term policy to you and your loved ones. Speak with your advisor today to see what is right for you.

Chelsey Chartren, B. Com Financial Advisor The McClelland Financial Group of Assante Capital Management Ltd.

Assante Capital Management Ltd. is a member of the Canadian Investor Protection Fund and is registered with the Investment Industry Regulatory Organization of Canada. This material is provided for general information and is subject to change without notice. Every effort has been made to compile this material from reliable sources however no warranty can be made as to its accuracy or completeness. Before acting on any of the above, please make sure to see me for individual financial advice based on your personal circumstances. Insurance products and services are provided through Assante Estate and Insurance Services Inc.

Commissions, trailing commissions, management fees and expenses, may all be associated with mutual fund investments. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. Please read the Fund Facts and consult your Assante Advisor before investing.

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