CCCS - Press Box

IRS Releases the Dirty Dozen Tax Scams for 2012

2012-02-20T10:21:00.000-08:00

WASHINGTON –– The Internal Revenue Service today issued its annual “Dirty Dozen” ranking of tax scams, reminding taxpayers to use caution during tax season to protect themselves against a wide range of schemes ranging from identity theft to return preparer fraud.

The Dirty Dozen listing, compiled by the IRS each year, lists a variety of common scams taxpayers can encounter at any point during the year. But many of these schemes peak during filing season as people prepare their tax returns.

“Taxpayers should be careful and avoid falling into a trap with the Dirty Dozen,” said IRS Commissioner Doug Shulman. “Scam artists will tempt people in-person, on-line and by e-mail with misleading promises about lost refunds and free money. Don’t be fooled by these scams.”

Illegal scams can lead to significant penalties and interest and possible criminal prosecution. The IRS Criminal Investigation Division works closely with the Department of Justice to shutdown scams and prosecute the criminals behind them.

The following is the Dirty Dozen tax scams for 2012:

Identity Theft

Topping this year’s list Dirty Dozen list is identity theft. In response to growing identity theft concerns, the IRS has embarked on a comprehensive strategy that is focused on preventing, detecting and resolving identity theft cases as soon as possible. In addition to the law-enforcement crackdown, the IRS has stepped up its internal reviews to spot false tax returns before tax refunds are issued as well as working to help victims of the identity theft refund schemes.

Identity theft cases are among the most complex ones the IRS handles, but the agency is committed to working with taxpayers who have become victims of identity theft.

The IRS is increasingly seeing identity thieves looking for ways to use a legitimate taxpayer’s identity and personal information to file a tax return and claim a fraudulent refund.

An IRS notice informing a taxpayer that more than one return was filed in the taxpayer’s name or that the taxpayer received wages from an unknown employer may be the first tip off the individual receives that he or she has been victimized.

The IRS has a robust screening process with measures in place to stop fraudulent returns. While the IRS is continuing to address tax-related identity theft aggressively, the agency is also seeing an increase in identity crimes, including more complex schemes. In 2011, the IRS protected more than $1.4 billion of taxpayer funds from getting into the wrong hands due to identity theft.

In January, the IRS announced the results of a massive, national sweep cracking down on suspected identity theft perpetrators as part of a stepped-up effort against refund fraud and identity theft. Working with the Justice Department’s Tax Division and local U.S. Attorneys’ offices, the nationwide effort targeted 105 people in 23 states.

Anyone who believes his or her personal information has been stolen and used for tax purposes should immediately contact the IRS Identity Protection Specialized Unit. For more information, visit the special identity theft page at www.IRS.gov/identitytheft.

Phishing

Phishing is a scam typically carried out with the help of unsolicited email or a fake website that poses as a legitimate site to lure in potential victims and prompt them to provide valuable personal and financial information. Armed with this information, a criminal can commit identity theft or financial theft.

If you receive an unsolicited email that appears to be from either the IRS or an organization closely linked to the IRS, such as the Electronic Federal Tax Payment System (EFTPS), report it by sending it to phishing@irs.gov.

It is important to keep in mind the IRS does not initiate contact with taxpayers by email to request personal or financial information. This includes any type of electronic communication, such as text messages and social media channels. The IRS has information that can help you protect yourself from email scams.

Return Preparer Fraud

About 60 percent of taxpayers will use tax professionals this year to prepare and file their tax returns. Most return preparers provide honest service to their clients. But as in any other business, there are also some who prey on unsuspecting taxpayers.

Questionable return preparers have been known to skim off their clients’ refunds, charge inflated fees for return preparation services and attract new clients by promising guaranteed or inflated refunds. Taxpayers should choose carefully when hiring a tax preparer. Federal courts have issued hundreds of injunctions ordering individuals to cease preparing returns, and the Department of Justice has pending complaints against many others.

In 2012, every paid preparer needs to have a Preparer Tax Identification Number (PTIN) and enter it on the returns he or she prepares.

Signals to watch for when you are dealing with an unscrupulous return preparer would include that they:

Do not sign the return or place a Preparer Tax identification Number on it.
Do not give you a copy of your tax return.
Promise larger than normal tax refunds.
Charge a percentage of the refund amount as preparation fee.
Require you to split the refund to pay the preparation fee.
Add forms to the return you have never filed before.
Encourage you to place false information on your return, such as false income, expenses and/or credits.
For advice on how to find a competent tax professional, see Tips for Choosing a Tax Preparer.

Hiding Income Offshore

Over the years, numerous individuals have been identified as evading U.S. taxes by hiding income in offshore banks, brokerage accounts or nominee entities, using debit cards, credit cards or wire transfers to access the funds. Others have employed foreign trusts, employee-leasing schemes, private annuities or insurance plans for the same purpose.

The IRS uses information gained from its investigations to pursue taxpayers with undeclared accounts, as well as the banks and bankers suspected of helping clients hide their assets overseas. The IRS works closely with the Department of Justice to prosecute tax evasion cases.

While there are legitimate reasons for maintaining financial accounts abroad, there are reporting requirements that need to be fulfilled. U.S. taxpayers who maintain such accounts and who do not comply with reporting and disclosure requirements are breaking the law and risk significant penalties and fines, as well as the possibility of criminal prosecution.

Since 2009, 30,000 individuals have come forward voluntarily to disclose their foreign financial accounts, taking advantage of special opportunities to bring their money back into the U.S. tax system and resolve their tax obligations. And, with new foreign account reporting requirements being phased in over the next few years, hiding income offshore will become increasingly more difficult.

At the beginning of this year, the IRS reopened the Offshore Voluntary Disclosure Program (OVDP) following continued strong interest from taxpayers and tax practitioners after the closure of the 2011 and 2009 programs. The IRS continues working on a wide range of international tax issues and follows ongoing efforts with the Justice Department to pursue criminal prosecution of international tax evasion. This program will be open for an indefinite period until otherwise announced.

The IRS has collected $3.4 billion so far from people who participated in the 2009 offshore program, reflecting closures of about 95 percent of the cases from the 2009 program. On top of that, the IRS has collected an additional $1 billion from up front payments required under the 2011 program. That number will grow as the IRS processes the 2011 cases.

“Free Money” from the IRS & Tax Scams Involving Social Security

Flyers and advertisements for free money from the IRS, suggesting that the taxpayer can file a tax return with little or no documentation, have been appearing in community churches around the country. These schemes are also often spread by word of mouth as unsuspecting and well-intentioned people tell their friends and relatives.

Scammers prey on low income individuals and the elderly. They build false hopes and charge people good money for bad advice. In the end, the victims discover their claims are rejected. Meanwhile, the promoters are long gone. The IRS warns all taxpayers to remain vigilant.

There are a number of tax scams involving Social Security. For example, scammers have been known to lure the unsuspecting with promises of non-existent Social Security refunds or rebates. In another situation, a taxpayer may really be due a credit or refund but uses inflated information to complete the return.

Beware. Intentional mistakes of this kind can result in a $5,000 penalty.

False/Inflated Income and Expenses

Including income that was never earned, either as wages or as self-employment income in order to maximize refundable credits, is another popular scam. Claiming income you did not earn or expenses you did not pay in order to secure larger refundable credits such as the Earned Income Tax Credit could have serious repercussions. This could result in repaying the erroneous refunds, including interest and penalties, and in some cases, even prosecution.

Additionally, some taxpayers are filing excessive claims for the fuel tax credit. Farmers and other taxpayers who use fuel for off-highway business purposes may be eligible for the fuel tax credit. But other individuals have claimed the tax credit when their occupations or income levels make the claims unreasonable. Fraud involving the fuel tax credit is considered a frivolous tax claim and can result in a penalty of $5,000.

False Form 1099 Refund Claims

In this ongoing scam, the perpetrator files a fake information return, such as a Form 1099 Original Issue Discount (OID), to justify a false refund claim on a corresponding tax return. In some cases, individuals have made refund claims based on the bogus theory that the federal government maintains secret accounts for U.S. citizens and that taxpayers can gain access to the accounts by issuing 1099-OID forms to the IRS.

Don’t fall prey to people who encourage you to claim deductions or credits to which you are not entitled or willingly allow others to use your information to file false returns. If you are a party to such schemes, you could be liable for financial penalties or even face criminal prosecution.

Frivolous Arguments

Promoters of frivolous schemes encourage taxpayers to make unreasonable and outlandish claims to avoid paying the taxes they owe. The IRS has a list of frivolous tax arguments that taxpayers should avoid. These arguments are false and have been thrown out of court. While taxpayers have the right to contest their tax liabilities in court, no one has the right to disobey the law.

Falsely Claiming Zero Wages

Filing a phony information return is an illegal way to lower the amount of taxes an individual owes. Typically, a Form 4852 (Substitute Form W-2) or a “corrected” Form 1099 is used as a way to improperly reduce taxable income to zero. The taxpayer may also submit a statement rebutting wages and taxes reported by a payer to the IRS.

Sometimes, fraudsters even include an explanation on their Form 4852 that cites statutory language on the definition of wages or may include some reference to a paying company that refuses to issue a corrected Form W-2 for fear of IRS retaliation. Taxpayers should resist any temptation to participate in any variations of this scheme. Filing this type of return may result in a $5,000 penalty.

Abuse of Charitable Organizations and Deductions

IRS examiners continue to uncover the intentional abuse of 501(c)(3) organizations, including arrangements that improperly shield income or assets from taxation and attempts by donors to maintain control over donated assets or the income from donated property. The IRS is investigating schemes that involve the donation of non-cash assets –– including situations in which several organizations claim the full value of the same non-cash contribution. Often these donations are highly overvalued or the organization receiving the donation promises that the donor can repurchase the items later at a price set by the donor. The Pension Protection Act of 2006 imposed increased penalties for inaccurate appraisals and set new standards for qualified appraisals.

Disguised Corporate Ownership

Third parties are improperly used to request employer identification numbers and form corporations that obscure the true ownership of the business.

These entities can be used to underreport income, claim fictitious deductions, avoid filing tax returns, participate in listed transactions and facilitate money laundering, and financial crimes. The IRS is working with state authorities to identify these entities and bring the owners into compliance with the law.

Misuse of Trusts

For years, unscrupulous promoters have urged taxpayers to transfer assets into trusts. While there are legitimate uses of trusts in tax and estate planning, some highly questionable transactions promise reduction of income subject to tax, deductions for personal expenses and reduced estate or gift taxes. Such trusts rarely deliver the tax benefits promised and are used primarily as a means of avoiding income tax liability and hiding assets from creditors, including the IRS.

IRS personnel have seen an increase in the improper use of private annuity trusts and foreign trusts to shift income and deduct personal expenses. As with other arrangements, taxpayers should seek the advice of a trusted professional before entering a trust arrangement.

CONSUMER CREDIT COUNSELING SERVICE OF BUFFALO, INC.

2012-02-15T06:55:00.001-08:00

Consumer Credit Counseling Service of Buffalo, Inc. (CCCS Buffalo) announced that they have been reaccredited by the Council on Accreditation (COA). Attaining accreditation is a high honor. The COA is committed to maintaining the highest level of standards and quality improvement and is designed to identify providers that have set high performance standards for themselves and have made a commitment to their constituents to deliver the highest quality services.

“As an organization, we continuously strive to provide top level services throughout the Western New York region.” said Mark Mendel, Senior Vice President, Customer Asset Management at M&T Bank and Chair of the Board of Directors at CCCS Buffalo. “This accreditation confirms that we are fulfilling our mission. Consumer Credit Counseling Service of Buffalo, Inc. has once again proven that we are a quality provider of the top echelon.”

COA reaccreditation is an objective and reliable verification that provides confidence and support to an organization’s service recipients, board members, staff and community partners. The COA reaccreditation process involves a detailed review and analysis of both an organization’s administrative operations and its service delivery practices. All are “measured” against national standards of best practice. These standards emphasize services that are accessible, appropriate, culturally responsive, evidence based, and outcomes-oriented, In addition, they confirm that the services are provided by a skilled and supported workforce and that all individuals are treated with dignity and respect.

Because COA reviews and reaccredits the entire organization, not just specific programs, confidence is inspired in the credibility, integrity and achievement of your entire organization.

Founded in 1977, COA is an independent not-for-profit international accreditor of the full continuum of community-based behavioral health care and human service organizations. Today, over 1800 organizations—public and private—are either COA accredited or are in the process of seeking accreditation. These organizations serve over 7 million of our most vulnerable individuals each year.

Fannie Mae: Outlook for Home Prices Rises Again.

2012-02-08T11:59:00.000-08:00

By Mia Lamar

The consumer outlook for U.S. home prices improved again in January, extending a recent upward trend in housing market sentiment, according to mortgage market firm Fannie Mae.

For its monthly reading, Fannie Mae said respondents in its January survey predicted home prices will rise by 1% over the next year, up from the 0.8% gain forecast in December.

Views on the direction of the U.S. economy also continued to improve. According to the respondents, 30% said they believe the U.S. economy is on the right track, up from 22% with that view in December. The percentage who said the economy is headed in the wrong direction fell to 63% of respondents, marking a 6 percentage point decline from the previous month.

Fannie Mae Chief Economist Doug Duncan pointed to a slowly improving U.S. job market as one cause for rising confidence in the long-battered housing market. ”The strengthening employment picture last Friday provides encouragement that the improving trend in consumer confidence will continue and will at some point be reflected in a firming up of consumer spending,” Duncan said.

A report last week from the U.S. Labor Department showed nonfarm payrolls grew 243,000 last month, the largest gain since April. The jobless rate fell from 8.5% to 8.3%, the lowest it has been since February 2009.

Fannie Mae’s January survey also found 44% of respondents expect their personal financial situation to improve over the next year, up from 40% with that view in December.

The survey is based upon a monthly poll of roughly 1,000 adults and has a margin of error of plus or minus 3.1%.

CCCS Buffalo Now Offering FREE Tax Prepration Software at West Seneca Office

2012-02-07T11:39:00.000-08:00

Want to save yourself some time and $? Take advantage of our all new service...FREE Tax Preparation Software...see link for details!

http://cccsbuffalo.org/agency/freefile.asp

Online Campaign Prompts Sallie Mae to Change Fee Policy for Loan Suspensions

2012-02-03T12:40:00.000-08:00

By TAMAR LEWIN

Published, NY Times: February 2, 2012

On Thursday, three months after Bank of America backed down from imposing a $5 monthly debit card fee in response to an online Change.org petition that collected 300,000 signers, Sallie Mae, the nation’s largest private student-loan provider, changed its fee policy in response to an online petition.

For years, Sallie Mae had required unemployed people who could not afford their monthly payments to pay a $50-per-loan fee every three months to suspend their payments temporarily, even as interest charges mounted.

Sallie Mae called this forbearance fee a “good faith deposit” — but it was neither credited to the borrower’s account nor refunded.

Stef Gray, 23, a New Yorker who owes $600 a month on four loans, saw it as a predatory effort to squeeze blood from a generation of turnips — graduates already buried under a mountain of student debt. In November, she started a petition, “Tell Sallie Mae: Stop the Unemployment Penalty” with Change.org., a group based in San Francisco. “Sallie Mae is preying on people like me and cashing in on the fact that we need more time to find work before we can repay our student loans,” it said.

Ms. Gray, who has paid $300 to Sallie Mae in forbearance fees, had another $150 due for January. (Although she has four loans, she said, the top Sallie Mae fee is $150.) She did not pay the fee, and this week her loans became delinquent.

On Thursday morning, wearing a cap and gown and accompanied by Molly Katchpole, 22, the nanny who started the Bank of America petition, Ms. Gray visited the Washington offices of Sallie Mae to hold a news conference and deliver the petition, which had attracted 77,000 signatures.

Thursday afternoon, Sallie Mae blinked.

“We have been giving careful consideration to our policy for some time, and we are changing it to apply the good-faith payment to the customers’ balance after they resume a track record of on-time payments,” it said in a statement.

Patricia Christel, a Sallie Mae spokeswoman, said that about 4 percent of its private student loans are in forbearance. The new policy will be retroactive to forbearances started Jan. 1.

Ms. Gray was pleased, if cautious.

“It’s a partial victory,” she said. “They’re still charging a forbearance fee, which they don’t for federal loans. I’m glad they’re not pocketing the fee, but they’re still charging it. And I still can’t pay it.”

By comparison with Sallie Mae, she said, her credit-card companies seem pleasantly responsive.

“With Sallie Mae harassing me with collection calls while they’re tacking on $1,100 in interest every three months, and refusing to work with me, it’s ridiculous to say, but it’s made me hold up credit card companies as kind to consumers,” she said.

Ms. Gray, who held a job in school, said her $40,000 in loans have ballooned to more than $65,000. In a better economy, she said, her master’s degree in geography and expertise in geographic information systems would make her a good candidate for a job working with census or health statistics. But so far, she said, nothing has been forthcoming.

Back when she was borrowing, said Ms. Gray, whose parents died when she was young, no one explained the difference between federal and private loans.

“I was under the impression that Sallie Mae was a governmental agency, a nonprofit, with the same terms as federal loans,” she said.

But with federal loans, there is no forbearance fee, and sometimes there is even an opportunity to put off not just loan payments but interest accrual. Even better, with federal loans, she might have been eligible for income-based repayment, in which borrowers make up to 25 years of payments based on their income — payments of zero for those who are unemployed or earn very little — and have any remaining federal debt discharged.

“Private student loans have been so grossly under-regulated that this is just one of many issues that need to be addressed on a broader level,” said Lauren Asher, a founder of the Project on Student Debt. “Private loan borrowers are at the mercy of their lenders if they hit hard times.”

Ms. Gray said that her biggest worry is default — and the prospect of having her credit ruined so she would be unable to buy a house or car, or perhaps, since many employers check credit, even to land a job.

“Student debt has sort of stalled my generation in a state of arrested development,” she said. “You can discharge gambling debt or child support obligations in bankruptcy, but not student debt, so I guess in the eyes of the law, it’s better to be a deadbeat dad than an unemployed graduate with loans.”

How the Recession is Affecting Our Kids....

2012-01-31T07:29:00.001-08:00

How the Recession Has Affected Your Kids in an Unexpected Way
By Alice G. Walton

Jan 26 2012, 8:06 AM ET1

Kids live out their parents' financial stresses, according to a new study. That is, your money problems today could hurt them tomorrow.

If you think you and your spouse are the only ones affected by the harsh economic times -- and that your kids are blissfully immune -- think again. Kids, for better and for worse, are a lot more intuitive than we like to admit. Now, a new study demonstrates a cascade of effects set in motion by the economic climate: It begins with the monetary stresses of the parents and ends, several steps away, with the kindness that children express to their peers and family.

In the new research, a team queried parents about certain factors like "money-related chronic stress," depressive symptoms, and how connected they felt to their children (in this last measure, parents ranked themselves on statements like "I feel close to my child," "I am able to relate to my child," and "I feel understood by my child"). Most of the participants were college-educated, middle- to upper-class white families.

Economic stress is linked to depression, which is linked to poorer parent-child relationships, which is linked to fewer pro-social behaviors.

A year later the parents were surveyed again. And so were their kids.

The more stressed the parents were about money, the more likely they (the parents) were to be depressed. Not a surprising finding. But parental depression also affected the strength of the relationships between the parents and their kids: Parents who experienced more depressive symptoms were less connected to their children -- and this was true based on reports from both the parents and the kids.

But the most revealing connection was one between the intimacy of the parent-child relationships and the "pro-social behavior" of the kids. The children, between the ages of 10 and 14 when the study began, were polled on how they felt about reaching out to friends, family, and strangers. They ranked themselves on statements like "I help others even if it's not easy for me," "I volunteer in programs to help others in need," and "I really enjoy doing small favors for my family." Kids who had less-connected relationships with their parents were less likely to exhibit these pro-social behaviors than kids who enjoyed stronger relationships with their parents.

The chain of events goes like this: Economic stress is closely linked to parental depression, which is closely linked to poorer parent-child relationships, which is closely linked to fewer pro-social behaviors in kids.

While earlier studies have looked at the effects of the economy on kids' psyches, they have typically considered only the development of negative behaviors, like substance abuse, mental illness, aggression, and other "problem behaviors." The idea that the economy could, through indirect means, cause a shift or decline in kids' positive social behaviors has not been illustrated until now.

Also interesting is that the study's participants are the people who would typically be considered the most resistant to economic stress. Author Gustavo Carlo says that "a unique aspect of this study is the focus on middle, upper-middle-class families. Most other studies looked at high-risk families (low socioeconomic status, ethnic minorities, rural farm families during the Farm Crisis years)."

Note that this study was just getting underway when the economic crisis began. Carlo suggests that "one would expect that under more dire circumstances the effects could be stronger and more deleterious. Data collection began in 2007, just as the economy was hitting its worst cycle and the outcomes were examined in 2008." The cascade of events that lead from parental depression to a shift in pro-social behaviors exhibited by children is likely present in both good times and bad, but would be more pronounced in times of extreme financial stress.

It would be interesting to repeat the study today and see how the current economic climate might affect the relationships found here. The obvious question, since parents are apparently not so good at hiding their stressors and depressed moods from their children, is, how can we make sure to not transmit our own woes (economic or otherwise) onto our kids?

Since kids are so perceptive -- and sponge-like -- managing the problem rather than masking it is probably the way to go, says Carlo, who recommends becoming aware of the issue first and then taking steps to get support, both psychological and economic. "Parents may need to seek support from relatives (including any available spouse or partner), school counselors, therapists, friends, or others," he says. "Of course, seeking help to address the root issue (economic difficulties) has to be part of the long-term solution. Once parents have begun to address the stress and emotional issues, then they need to focus on their relationships with their teens and to provide the support they need."

Given all the stressors in tweens' and teens' lives, it's important to be sensitive to the extra stresses we unintentionally add. "We know how challenging it is to be a parent and this adds a layer to that challenge," Carlo says. "The responses have to be holistic and this is why professional help is usually a good approach whenever possible."

How the Recession is Affecting Our Kids....

2012-01-31T07:29:00.000-08:00

http://www.theatlantic.com/health/archive/2012/01/how-the-recession-has-affected-your-kids-in-an-unexpected-way/251475/

Credit Card Predictions

2012-01-26T10:26:00.000-08:00

5 Credit Card Predictions for 2012 (via Money Talks)

Small Business Financial Coaching Opportunities

2012-01-22T06:07:00.000-08:00

New to CCCS of Buffalo - Small Business Financial Coaching

Is your Business and/or Personal Life faced with:

FINANCIAL ISSUES - FAILING BUDGETS
CASH FLOW PROBLEMS - CREDIT CARD DEBT
PRESSING SUPPLIERS - LACK OF CREDIT

Small Businesses have the same issues as families - pressing financial demands, limited funds, and ineffective planning or budgeting. Frequently, the small business owner does not know where to turn.

Small Businesses, across Western New York, now have a resource to assist with their financial problems.

With trained and certified financial counselors, CCCS of Buffalo is making its services available to ALL Small Business Owners across Western New York.

CCCS of Buffalo, Inc. is Here to Help

CCCS of Buffalo, the area's only non-profit financial counseling agency, has nearly 50 years of experience servicing local families and individuals

From financial counseling and budgeting assistance to debt repayment plans to local financial literacy programs, anyone can benefit from our services.

Before your financial problems overwhelm you, call or visit CCCS of Buffalo. We can untangle the most difficult financial situations.

For only $99 you can meet with our experienced staff to review your business situation. This includes a follow up visit. Call 716-712-2060 to get started today!

10 Tips to Reducing Credit Card Debt in 2012

2012-01-17T12:45:00.000-08:00

Here are the top tips for reducing credit card debt in 2012…

1. Understand that paying off debt won’t be easy. It took time to accumulate this credit card debt, and it will probably take even more time to pay it off. Do not get discouraged or give up. Eliminating debt and building a secure financial foundation for yourself or your family is worth the sacrifice.

2. Get an honest assessment of how much you owe for all credit card debts. It may have been easier to pay the minimums without looking at the total amount that you owe, but misleading yourself only makes it worse. Write down a debt summary that includes the creditor, monthly payment, interest, balance due, credit limit, and due date for each loan.

3. Contact your creditors to negotiate lower rates. The less money you pay in interest, the more money you use to pay off your bills. Unfortunately, negotiating lower rates for credit cards is more difficult now than several years ago but it doesn’t hurt to try. If your lender doesn’t offer a lower rate, shop around for another credit card.

4. Pay off the card with the highest APR first. Continue to pay the minimum on your other cards until you

5. Pay more than your minimum payment. Your minimum payment is usually only 2 to 5 percent of your balance. At this rate, it’ll take you many years to pay off your debt. Start with the card with the highest interest rate and try to double your minimum payment.

6. Balance transfer offers are currently very attractive. So consider transferring your balance to a card with a lower rate. If your rate is above 12 percent, look for a card that offers zero percent for at least 12 months. To take full advantage of this zero-percent interest, pay as much as you can above the minimum payment each month.

7. If you have a credit card balance, stop using it for anything other than necessities. Use cash instead. If you carry a balance, you are paying interest for every purchase, including clothing, entertainment, or dinner. Factor that into each purchase. For example, if your APR is 15 percent, ask yourself if the purchase is worth paying an additional 15 percent in interest per year. Paying with cash will not only save money on interest, but it will also reduce the amount you spend.

8. Pay your bills on time, every time. Not only do you have to pay a late fee, but late payments can also appear on credit reports. Negative information like this can result in lower credit scores and higher interest payments.

9. If you are surprised by your current rates, check your credit report. It may contain an error that lowered your credit score, causing creditors to increase your rates. If you find an error on your credit report, contact the credit bureau to report it. They must respond to your claim in 30 days or remove the information that is incorrect or unverifiable. You can dispute by mail, telephone, or online. If the corrected error results in a higher credit score, alert your creditors to this and ask for a lower interest rate.

10. If you are in danger of missing a payment, or defaulting on your credit card, contact your credit card issuer as soon as possible. Your issuer may work out a payment plan with a lower rate or monthly payment if it will help keep your account out of default. If the first person you speak with can’t help lower your rate or make adjustments to your account, ask to speak with a supervisor or someone who can. Persistence may be necessary to find the person who will help you. Explain that you are in debt, the steps you are taking to repay it, and what you can pay today. Document all conversations, including whom you spoke with, and the date, time, and the results.

Source: Money Talks (http://s.tt/152li)

Source: Money Talks (http://s.tt/152li)

New Hours To Accommodate Busy People

2012-01-14T16:24:00.000-08:00

Consumer Credit Counseling Services of Buffalo has expanded our hours to include a Live Counseling Line Open:
Monday-Thursday 7:00 am-8:00 pm
Friday 7:00 am-4:00 pm

***Speak to a certified financial counselor
***Have your questions answered immediately
***No wait for an appointment

Call Now! 712-2060

Survey Results: Consumers Are Committed To Their Credit Cards

2012-01-10T06:01:00.000-08:00

According to the National Foundation for Credit Counseling (NFCC) December online poll, consumers remain very connected to their credit cards. When asked to rank their 2012 financial resolutions, only six percent of more than 2,300 respondents indicated that decreasing dependence on credit cards was their number one goal.

“At first glance, that statistic could appear to be a warning sign of future trouble. However, credit is not the problem. Instead, it is the misuse of credit that leads people into financial distress,” said Paul C. Atkinson, CEO & President of Consumer Credit Counseling Service of Buffalo, Inc.

Balancing the continuing reliance upon credit, an encouraging statistic from the poll is that the overwhelming majority, 62 percent, selected decreasing debt as their focus for 2012. “If consumers are able to decrease their debt load, continuing to use credit responsibly will help them meet the goal selected by 24 percent of respondents, that of increasing their credit score,” continued Atkinson.

While decreasing debt is always a positive, consumers should not neglect savings, yet that is exactly what respondents appear to be doing. Only eight percent of those weighing in ranked saving as their most important resolution. Without the security of a well-funded emergency savings account, consumers are living without a financial safety net, as unplanned expenses will occur, usually at the worst possible time.

The poll also revealed some interesting trending from 2010 when the identical question was posed. Showing the largest percentage difference between the years, the 2010 poll noted 69 percent of respondents were most interested in decreasing debt, compared to 62 percent in 2011.

The second largest year-over-year difference involved improving the credit score, with that category posting a six percent increase. In 2010, 18 percent of consumers chose increasing their credit score as their main goal, while in 2011, 24 percent selected that category as most important in the New Year. This increase indicates that consumers understand the relationship between the credit score and obtaining credit, confirming their interest in continuing to have access to credit.

“The poll suggests that consumers have recognized the importance of achieving financial stability, and intend to take action. Nonetheless, even though paying down debt and improving the credit score are positive steps, the low priority placed on savings is disturbing,” said Atkinson.

For professional assistance meeting your financial goals, consider an appointment with a Certified Consumer Credit Counselor at Consumer Credit Counseling Service of Buffalo, Inc., at 712-2060 or visit our website, www.cccsbuffalo.org.

The actual poll question and answers are as follows:

My #1 financial New Year’s resolution for 2012 is to:

A. Decrease debt 62% (December 2010 poll = 69%)

B. Increase savings 8% (December 2010 poll = 7%)

C. Improve my credit score 24% (December 2010 poll = 18%)

D. Decrease my dependence on credit cards 6% (December 2010 poll = 7%)

CONSUMER CREDIT COUNSELING SERVICE RECEIVES $2,000 GRANT FROM LAKESHORE SAVINGS BANK TO EXPAND SMALL BUSINESS COUNSELING PROGRAM

2012-01-07T11:11:00.001-08:00

Last Fall, Consumer Credit Counseling Service of Buffalo Inc. (CCCS Buffalo) launched a Small Business Counseling Program to provide individualized counseling and group seminars to budding entrepreneurs.

Often, small businesses have the same issues as families – pressing financial demands, limited funds, and ineffective planning or budgeting. Frequently, the Small Business Owner does not know where to turn.

CCCS Buffalo’s Small Business Program provides business owners with the proper tools and support with ongoing assistance with business growth and development.

The Small Business Program is off to a successful start and entering 2012 with an added boost. Lakeshore Savings Bank has come in with a $2,000 grant to help with the program. Lakeshore is a strong supporter of the communities they serve, as well as a strong supporter of small businesses.

“We appreciate the support from Lakeshore Savings Bank,” said Paul Atkinson, President & CEO for Consumer Credit Counseling Service of Buffalo (CCCS Buffalo). “Like us, they understand that growing the number of businesses benefits the regional economy and improves the economic health of the area.”

Other partners involved in the Small Business Counseling are: the IRS, the SBDC Niagara, the SBDC Buffalo, Loretta Kaminsky, the SBA and the Canisius College Women’s Business Center.

Specifically, the CCCS Buffalo Small Business Program helps with the following:
• Credit report review and credit scores
• Assistance with disputing discrepancies on credit reports
• Creation of a realistic budget
• Cash Flow issues

For information about the Small Business Program, contact Consumer Credit Counseling Service of Buffalo, Inc., at 712-2060 or visit our website, www.cccsbuffalo.org

Counseled Homeowners Get Better Loan Mods, Avoid Foreclosure

2011-12-29T09:51:00.000-08:00

A report issued yesterday by NeighborWorks America shows that homeowners who received National Foreclosure Mitigation Counseling Program assistance were nearly twice as likely to obtain a mortgage modification and at least 67 percent more likely to remain current on their mortgage nine months after receiving one.

The study (www.nw.org/nfmc), prepared for NeighborWorks America by the Urban Institute on the consumer benefits of the NFMC program, also showed that homeowners received, on average, a mortgage modification that lowered their payment by $176 more per month, than homeowners who didn’t work with an NFMC counselor--a savings of nearly $2,100 a year. “By significantly reducing the chance that a homeowner re-defaults after a mortgage modification, servicers are saved added expense,” said NeighborWorks America CEO Eileen Fitzgerald. “This tells us that increased servicer investment in partnerships with nonprofit counselors is a win for everyone.”

The Urban Institute recently completed a three-year evaluation
of Rounds 1 and 2 of the NFMC program. Using a representative NFMC sample of 180,000 loans and a comparison non-NFMC sample of 155,000 loans, the Urban Institute was able to isolate the impact of NFMC counseling on loan performance through December 2010.
The final evaluation of Rounds 1 and 2 conducted by Urban Institute demonstrated positive effects for homeowners participating in the NFMC program. Counseled homeowners were more likely to receive better loan modifications, cure a serious delinquency or foreclosure and stay current, and avoid a foreclosure completion altogether.
Other findings of the study:
• Counseling greatly increased the ability of homeowners to stay
current once they cured a serious delinquency or foreclosure. Counseled
homeowners were at least 67 percent more likely to remain current on their mortgage nine months after receiving a loan modification cure. A small part of this effect is attributable to the impact of counseling on the size of monthly payment reductions. However, the study noted a significant part is attributable to other positive impacts of counseling, such as helping homeowners improve their financial management skills and assisting them in managing relationships with servicers.
• NFMC counseling made it more likely that homeowners would
receive a loan modification cure in the first place, increasing by at least 89 percent the relative odds of modification cures for counseled homeowners compared to non-counseled ones. The study said the federal Home Affordable Mortgage Progam amplified this positive effect. In the period before HAMP, 8 percent of homeowners receiving counseling assistance had modification cures, compared to 5 percent who did not receive counseling. Post-HAMP, 17 percent of homeowners receiving counseling assistance had modification cures, compared to 9 percent without.
• Counseled homeowners received loan modifications resulting in
a monthly payment that was $176 less, on average, than non-counseled borrowers, a savings of close to $2,100 a year. This savings was achieved on loans modified either before or after HAMP was implemented.
The study said “the great bulk of the sustainability benefit resulted from other impacts of counseling, such as helping borrowers to improve
their financial management skills, assisting them in managing relationships with servicers/investors, and providing other types of support.”

Last month, the Obama Administration released its November Housing Scorecard, reporting more than 5.4 million modification arrangements were started between April 2009 and the end of October. The reported modifications included more than 1.7 million HAMP trial modification starts; more than 1.1 million FHA loss mitigation and early delinquency interventions; and more than 2.5 million proprietary modifications
under HOPE NOW, the voluntary, private sector alliance of mortgage servicers, investors, mortgage insurers and non-profit counselors (of
which the Mortgage Bankers Association is a founding member).
HOPE NOW said its October data showed that permanent loan modifications totaled nearly 80,000 for the month, bringing the total for the year to 885,000.Also last month, a white paper from STRATMOR
Group, Jacksonville, Fla., reported that providing holistic financial
counseling to borrowers who are at risk of default and foreclosure can not only prevent foreclosure, but also can reduce re-default rates for borrowers. The study, The Impact of Consumer Credit Counseling on Distressed Mortgage Loan Losses http://www.outreachfs.com/investor/pdf/White-Paper.pdf), said holistic financial counseling could reduce losses on a 10,000-file portfolio by as much as $71.5 million. The STRATMOR study said for borrowers receiving basic counseling, the losses avoided are estimated at $3,894 per borrower (or 185 bps for a $210,000 average loan balance). This benefit increases to $5,754 to $7,147 (274 bps to 340 bps) if borrowers receive "holistic" counseling that addresses not only mortgage debt but also credit card debt and modifications to personal spending patterns. Applied to a portfolio of 10,000 borrowers who receive
counseling, the $7,147 scalable benefit would translate into $71.47 million in losses avoided.

Matthew Lind, managing director of the STRATMOR Group and author of the study, said while traditional borrower counseling in default servicing focuses mainly on the monthly mortgage payment, integrating
holistic financial counseling addresses the entire spectrum of a borrower’s financial picture, including lifestyle decisions. He said holistic financial counselors help borrowers assess all the factors that go into monthly spending, including credit card debt, car payments and discretionary spending.

The NFMC program was launched in December 2007 with funds
appropriated by Congress to address the nationwide foreclosure crisis by
increasing availability of housing counseling for families at risk of
foreclosure. NeighborWorks America distributes funds to competitively selected grantee organizations, which in turn provide the counseling services, either directly or through subgrantee organizations. Grants are also being made to fund legal assistance to homeowners, and to train foreclosure counselors. Upwards of 1,700 counseling agencies operate under the program.

Impact of Credit Counseling on Distressed Mortgage Loan

2011-12-20T07:22:00.000-08:00

From the White Paper prepared by the Stratmor Group

Based on the best of recent research investigating the impact of providing counseling to distressed mortgage borrowers, this research (White Paper) analyzes the incremental economic benefits, as measured by foreclosure, deed-in-lieu and short sale losses avoided, accruing to investors and servicers per counseled borrower versus non-counseled
borrowers, without regard to the costs of counseling. Additional benefits from loss avoidance, including expected improved cash flows and portfolio value, liquidity, operational and legal cost savings, etc. are not considered.
For borrowers receiving basic credit counseling, our analysis projects an average benefit per borrower of $3,894, without regard to whether or not the counseled obtained a loan modification. For counseled borrowers who obtain a modification, the incremental benefit increases to $17,948.

When borrowers receive "holistic"counseling --- counseling that not only addresses mortgage monthly payment but also credit card payment as well as modifications that result in lower personal spending patterns --- the average benefit per borrower increases to $5,754 to $7,147 as a result of additional monthly cash flow made available to meet mortgage obligations. This freed up cash, as a result of the borrower debt payment/personal spending restructuring, and estimated at an additional $300 per month, sharply lowers the redefault rate of borrowers who initially cure their loan through a loan modification.

The full White Paper canbe viewed at http://www.outreachfs.com/investor/pdf/White-Paper.pdf

Consumer Credit Counseling Services Is Reaccredited

2011-12-12T08:44:00.000-08:00

The Council on Accreditation (COA) is delighted to inform you that Consumer Credit Counseling Services of Buffalo, Inc. has been accredited. COA’s commitment to maintaining the highest level of standards and quality improvement is designed to identify providers that have set high performance standards for themselves and have made a commitment to their constituents to deliver the highest quality
services. COA is proud to recognize Consumer Credit Counseling Services of Buffalo, Inc. as one of these outstanding providers.

COA reaccreditation is an objective and reliable verification that provides confidence and support to an organization’s service recipients, board members, staff and community partners. The COA reaccreditation process involves a detailed review and analysis
of both an organization’s administrative operations and its service delivery practices. All are “measured” against national standards of best practice. These standards emphasize services that are accessible, appropriate, culturally responsive, evidence based, and outcomes-oriented, In addition, they confirm that the services are provided by a skilled and supported workforce and that all individuals are treated with dignity and respect.

Because COA reviews and reaccredits the entire organization, not just specific programs, you can have confidence in the credibility, integrity and achievement of your entire organization.

COA congratulates Consumer Credit Counseling Services of Buffalo, Inc. for their hard work and wonderful achievement and is proud to have it as part of COA’s Community of Excellence.

Founded in 1977, COA is an independent not-for-profit international accreditor of the full continuum of community-based behavioral health care and human service organizations. Today, over 1800 organizations—public and private—are either COA accredited or are in the process of seeking accreditation. These organizations serve over 7 million of our most vulnerable individuals each year!

NFCC POLL REVEALS FORTY PERCENT OF AMERICANS WILL SPEND ZERO ON HOLIDAY PURCHASES

2011-12-06T08:09:00.000-08:00

The November poll hosted on the National Foundation for Credit Counseling (NFCC) website, ww.DebtAdvice.org, revealed that 40 percent of respondents do not intend to spend any money on holiday purchases, as they anticipate experiencing further financial distress in the future.

The poll sends a strong signal that in spite of the increase
in sales during Black Friday and Cyber Monday, a significant number of people lack enough confidence in their financial future to begin spending, even on traditional holiday expenses.

“Historically, consumers have put aside their financial concerns during the holidays, even if to their detriment, and spent at some level,” said Paul C. Atkinson, President and CEO of Consumer Credit Counseling Service of Buffalo Inc. “These figures provide a snapshot of the
desperate situation in which consumers find themselves, and how seriously they are taking their situation.”

Of note is the statistically significant increase reflected in the year-over-year trend. The NFCC posed the identical set of poll questions in the same month one year ago. Between November 2010 and November 2011, there was a six percentage point increase in the number of consumers who indicated they will spend zero dollars during the holiday season, evidence of the depth of the financial despair in the country.

Also disturbing is that slightly more than half of all poll respondents indicated they would cut back on holiday spending, as their financial situation is worse this year than last. Combining those who will cut back on spending with those who will not spend at all, a full 91 percent of consumers are clearly concerned enough about their financial circumstances that they will remain on the spending sidelines this holiday season.

Looking at the two categories with the lowest responses,seven percent revealed that they will spend as they did in 2010, and a modest three percent will spend more than they did last year.

“Consumers are doing themselves a disservice if they do not
reach out to a legitimate credit counseling agency for help surviving these difficult economic times, as there may be solutions available that have not been considered,” continued Atkinson.

For professional assistance regarding your financial questions, consider an appointment with a certified consumer credit counselor at an NFCC Member Agency. Counselors are on hand to help you at Consumer Credit Counseling Service Inc. Call us at 712-2060.

Good News For Agencies that Provide Housing Counseling!

2011-11-30T11:18:00.001-08:00

Last Spring, terrible news came down for housing counseling agencies. Funding that they planned to use to counsel hundreds of thousands of potential homeowners was no longer available due to problems with the federal government.

This news was especially troublesome.

Housing is typically a person’s largest expense and investment. Housing counseling helps educate consumers and level the playing field between individuals and institutions that naturally have very different amounts of information and power. Housing counseling creates confidence for first-time homebuyers facing mortgage banks, tenants facing housing court, and homeowners facing foreclosure attorneys.

Consumer Credit Counseling Service of Buffalo, Inc. (CCCS Buffalo) fought hard to get funding restored. We see every day how effective this funding is to the people of Western New York, and were determined to make sure that our community was well served.

We have reason to celebrate now. As of last week, members of the House and Senate Appropriations Committees filed the Conference Report (i.e., the final version) on the Transportation, Housing and Urban Development and Related Agencies Appropriations for FY 2012. Included in the bill is a total of $125 million for HUD housing counseling assistance programs, with $80 million going to the National Foreclosure Mitigation Counseling Program; and $45 million for HUD’s comprehensive counseling programs. The Conference Report also directs HUD to award the comprehensive counseling funding within 120 days after enactment of the bill. The legislation is expected to be approved by the House and Senate, and signed by the President, by the end of this week.

Given that HUD’s comprehensive counseling funding for FY 2011 was zeroed-out, this represents a significant victory for agencies providing housing counseling---like Consumer Credit Counseling Service of Buffalo--and for the consumers that they serve.

We at CCCS Buffalo reached out to many elected officials for their help. Our thanks to all of those who responded. Your efforts made a difference. Special thanks to Congressmember Brian Higgins and
Congressmember Louise Slaughter for their special assistance.

Here's How YOU Can Improve Your Credit Score

2011-11-26T12:33:00.000-08:00

http://www.businessinsider.com/heres-how-to-skyrocket-your-credit-score-2011-11

Ways To Save on Holiday Shopping

2011-11-19T14:19:00.000-08:00

http://www.moneytalksnews.com/2011/11/14/18-ways-to-save-on-holiday-shopping/

Bankruptcy Filings Go Down

2011-11-16T05:56:00.000-08:00

http://www.buffalonews.com/business/local-business/article625360.ece

Credit Scores!

2011-11-12T13:26:00.000-08:00

Credit Scores: 9 Things That Don’t Matter, 5 That Do

There are a lot of misconceptions about credit scores. Some people believe everything from where they live to the color of their skin affects their score. Here's what influences scores, what doesn't, and what you can do to improve yours.

Small Business Assistance is Right Here

2011-11-08T06:26:00.000-08:00

According to a study by the U.S. Small
Business Association, only 2/3 of all small business startups survive the first
two years and less than half make it to four years. Of all the new business
startups, 1/3 eventually turn a profit, 1/3 break even, and 1/3 never leave a
negative earnings scenario. With numbers like that, it's no wonder so many
would-be entrepreneurs think twice before taking the plunge.

In response to these statistics and to help
potential entrepreneurs overcome their fears, we at Consumer Credit Counseling
Service of Buffalo Inc. (CCCS Buffalo) have launched a Small Business
Counseling Program.

Often, small businesses have the same issues
as families – pressing financial demands, limited funds, and ineffective
planning or budgeting. Frequently, the
Small Business Owner does not know where to turn.

Small Business, across Western New York, now
has a resource to help them with their financial problems. We may have the next
Microsoft right here in our backyard but unless we as a community provide them
with the necessary tools, we will never know.

With trained and certified financial
counselors, CCCS Buffalo is making its service available to ALL Small Business
Owners across Western New York.

Specifically, CCCS Buffalo can help with the following:
·
Credit report review and credit scores
·
Assistance with disputing discrepancies on
credit reports,
·
Creation of a realistic budget
·
Cash Flow issues

Starting a business can certainly be a
challenge. CCCS Buffalo has combined our efforts with the Small Business
Development Centers of both Buffalo and Niagara, the IRS, the SBA and the Canisius
College Women’s Business Center to help budding entrepreneurs have the
resources and financial knowledge that they need to succeed. CCCS Buffalo
provides valuable services in the critical start up phase of a small business
as well as assistance throughout its’ various life cycles.

Consider George Vlagos. In August 2010, Vlagos
launched his small business, Oak Street Bootmakers. Hugely successful—less than
one year later, there is a six-week waiting list for a pair of Oak Street
shoes.

As Vlagos told Inc. magazine, “There are
certain things you can do to increase the odds of success. You don't need an
MBA to make your small business profitable - just guts, determination, one-on-one
counseling and a little common sense advice.”

Needless to say, small business counseling is
the key.

For more information, on Consumer Credit Counseling Service of Buffalo, Inc., call 712-2060 or
www.Cccsbuffalo.org

New Models of Financial Literacy Training For Youth

2011-11-02T12:35:00.000-07:00

Paul C. Atkinson, CEO and President of Consumer
Credit Counseling Service of Buffalo, Inc.

There is no doubt that parents play a critical role in teaching their children about the world of money. A recent Buffalo News article highlighting this importance confirms the message that we give every
day to the thousands of people who use our services. All too often, we see
adults whose spending habits create negative consequences in their lives. Many times, they express regret that they didn’t learn proper habits in their youth.

Most youth experience their first introduction to financial management at home. However, many low-income parents, themselves struggling to make ends meet, are ill-equipped to teach effective financial management skills to their children. Knowing this, Consumer Credit Counseling Service of Buffalo (CCCS Buffalo), launched a program to teach economically disadvantaged youth the skills of money management. Thus far over 200 youth have completed this program at Child & Adolescent Treatment Services’ three after-school sites and WNY United Against Drugs & Alcohol’s Summer Leadership Institute. Many more youth are being taught by CCCS Buffalo staff at the Boys & Girls Clubs of Buffalo, the Renaissance House and through a unique “Mommy & Me” program for women and families in transitional housing
situations at Cornerstone Manor.

The City of Buffalo is one of America’s poorest cities so we serve an economically distressed region. As noted in the National Foundation CC April 2010 report, minorities and youth are at greatest risk for financial instability, and in the greatest need of acquiring financial education. Low income individuals are also at great risk. "Research demonstrates the positive impact of financial literacy training for low-income individuals…”

We cannot simply leave the teaching of financial literacy to parents, but we also cannot rely solely on youth financial literacy programs. In a significant development, recent research has indicated that there is little evidence that traditional efforts to boost financial literacy help students make better decisions outside the classroom. Even as the financial-literacy movement gained steam over the past decade, scores have been falling on tests that measure how savvy students are about budgeting, credit cards, insurance and investments. A 2008 survey of college students conducted for the JumpStart Coalition for Personal Financial Literacy found that students who'd had a financial literacy course in high school scored no better than those who hadn't.

A growing number of researchers and educators agree that a more radical approach is needed. They advocate starting financial education a lot earlier than high school, putting real money and spending decisions into kids' hands and talking openly about the emotions and social influences tied to how we spend. Based on this research, CCCS Buffalo has deliberately chosen to work with Kindergarten through 2nd graders and with 5th through 8th graders.

Without program intervention, Buffalo’s youth may be relegated to a life of poor financial choices. Our Financial Literacy Program stops this destructive cycle which not only harms local families, but decreases economic vitality in our region…a region which desperately needs financial health.

Identity Theft

2011-10-31T12:37:00.000-07:00

Hello and welcome to our new blog!

We want the community to know about all that we are doing at Consumer Credit Counseling Service of Buffalo (CCCS Buffalo), so we proudly bring you this information source to keep you up to date on our latest goings-on. We welcome your comments and input!

In case you are not sure exactly what we do:

“CCCS of Buffalo is a non-profit, full-service credit counseling agency, providing confidential financial guidance, financial education, counseling and credit repayment assistance to consumers since 1965. CCCS of Buffalo helps consumers trim expenses, develop a spending plan and repay debts. Counseling is available at our Main Office in West Seneca, in one of our Satellite Offices, by telephone and via Internet.

Latest News:

Buffalo Community Secures Their Identity With Help From CCCS and Partners

In 2010, 8 million Americans were victims of identity theft. The overall losses from identity fraud last year were over $37 billion and the average consumer out-of-pocket cost due to identity fraud jumped from $387 per incident in 2009 to $631 per incident in 2010, an astounding 63 % increase.

Consumer Credit Counseling Service of Buffalo, Inc. (CCCS Buffalo) and the Better Business Bureau (BBB) hosted their 4th annual “Secure Your ID Day” event on October 22nd in conjunction with the National Foundation for Credit Counseling’s National Protect Your Identity Week. “Secure Your ID Day” was held at three different Tops Markets locations: 2101 Elmwood Ave in Buffalo, George Urban & Union Road in Cheektowaga, and Robinson Road & Niagara Falls Blvd in Amherst.

As many have discovered, it is much better to protect yourself against ID theft than to pick up the pieces after being victimized. CCCS Buffalo served hundreds of consumers and small business owners at our event, with folks showing up to have their personal documents shredded at no charge. CCCS Buffalo also disseminated information on how to prevent identity theft. Event sponsor Shred-It reported that 15,000 pounds or nearly 8 tons of material were properly destroyed.

The event also offered a secure way of disposing of old cell phones that were no longer being used. These cell phones are stripped of all personal information be stored in them, and then given 911cellphonebank, an organization that provides an ongoing and readily available source of emergency cell phones and funds to meet the unexpected and urgent needs of participating law enforcement and affiliated victims services agencies.

Many people do not realize that most cell phones not only carry a great deal of personal information on them, but can also be used as a tool to steal someone’s identity. “Shoulder Surfing”, a term that refers to someone who tries to gain person information by peeking at a credit card or cell phone while the consumer is making a purchase, has become a more prevalent way to steal personal information. Also, the ability to take pictures of a person’s credit card can now be easily done with the high quality camera capability on cell phones.

CCCS Buffalo held this project with the help of the following sponsors: The Better Business Bureau, Evans Bank, Tops Friendly Markets, Shred-It, 911CellPhoneBank and WGRZ-TV. The collaboration was seamless, with the end result—a well-served community.

For more information, contact Tara Vogel at716.712.2062, or go to cccsbuffalo.org.