Microsoft Phishing Targets Consumers

 Phishing – scams that send unsolicited messages trying to get you to send them personal information – is still a big problem, even for those who are Internet savvy. Recently, a widespread phishing scheme has raked in tens of thousands of Americans' dollars. The scheme has become such a problem that both the Federal Trade Commission and Microsoft released statements warning consumers to be vigilant.

The way the scam works is that someone calls claiming to be from Microsoft Tech Support. The caller says your computer has been infected by a virus and that they are willing to fix it for a fee. The fee is usually between $50 and $500. If you agree and give your credit card number, the caller will remotely access your computer and "fix" the nonexistent problem. Sometimes, the scammer will download spyware or steal your information.

Some versions of this scheme involve fraudulent e-mails appearing to be from Microsoft, offering security updates and a number of other services. What makes phishing so dangerous is the sheer number of separate scams that exist. So to avoid phishing, keep in mind that:

• Microsoft never sends unsolicited e-mails.
• Microsoft Tech Support will never call you about possible problems.
• Banks and software companies will not contact you via text message.
• Software companies and the government will not freeze your computer and then charge a fee to repair it.

References

Federal Trade Commission. (2012, October 3). FTC halts massive tech support scams. [Press release]. Retrieved from http://www.ftc.gov/opa/2012/10/pecon.shtm.

Microsoft. (2012). Avoid scams that use the Microsoft name fraudulently. Safety & Security Center. Retrieved from http://www.microsoft.com/security/online-privacy/msname.aspx.

KEES, Parents, and You

Many young adults do not to seek education beyond high school because many of their family members did not go beyond high school. Many parents and teens do not think they can afford to further their education, especially with the cost of four years of college going up so much every year.

In Kentucky, one way to handle the cost of college is to get good grades in high school. The Kentucky Educational Excellence Scholarship (KEES), funded by Kentucky Lottery proceeds, is available to students who earn at least a 2.5 GPA in high school. If you had a 4.00 grade point average throughout high school, you would have $2,000 toward your first year of school. Keep in mind, however, that continuing to receive additional KEES money beyond your first year is contingent upon maintaining good grades. Failure to keep your grades up can result in your scholarship money being reduced or cut off for the following school year.

In addition to KEES, other scholarships and financial assistance are available. Be sure to find out what options are open to you, as scholarships, fellowships, and other grants can save you a ton of money and keep you out of debt.

Another option is parents or grandparents setting up a 529 saving account. The money that parents and grandparents put in the account will grow tax free and help prepare families for financial impact of college.


READERS, what do you think?

How has your guidance counselor, teacher, or friend affected your decision on whether or not to further your education?



References

Yamamoto, Julie. (2007, September 26). Only 29 Percent of Americans Have a College Degree. The Olympian. Retrieved November 6, 2009, from http://www.theolympian.com/columnists/story/227366.html.

Types of 529 Plans

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This video from ABC News reviews some key details about 529 plans. These plans help families save for students' college education expenses in advance. There are two different types of 529 plans, and both offer their own pros and cons.

College savings plans- These are state-sponsored accounts and you can use funds at any college in the country. If your state does not offer an account, or if another state provides better tax-incentives, you can invest in another state's plan. There is some risk in that these plans involve investing the savings in mutual funds, which can have gains and losses overtime.

Pre-paid tuition plan- This system allows you to purchase tuition at today's in-state college costs. Essentially, parents are locking in a college price now and paying into an account until the time comes for the student to go to college. If the student does not go to a college in your state, then the parent can withdraw the funds to be used at an out of state school. However, parents may not get the full benefits when they use the savings in another state. If the student does not go to college, the money in the account and the tuition guarantee can be given to a close relative, like a younger sibling.

READERS, what do you think?

Which plan sounds best to you?

Reference:

Hobson, M. (2011, January 1). Quick Tip: 529 Plans. [Video file]. ABC News. Retrieved from

http://abcnews.go.com/Video/playerIndex?id=12571145.