A week of scam information - not necessarily uplifting, but very important and always helpful. If you didn't tune in everyday, here's a recap of everything we talked about!
Spot a Scam
The $75,000 Lunch
Ponzi Schemes
Free Lunch Monitor Report: From The Trenches
Questions To Ask Investment Advisors?
Ali Occhialini of diet.com shows us how to prepare a healthy, farro risotto with asparagus. Yum!
Investors frequently get invited to lunch seminars that promise to educate them about investing strategies or managing money in retirement--often with an expensive meal provided at no cost. Just because someone buys you breakfast, lunch or dinner doesn't mean you have to buy what they are saying--or selling.
Invitations to Free Lunch Seminars can be tempting. But before you accept, make sure ask a lot of questions such as:
A wise and safe investor always asks as many questions as needed to understand the investment. To learn other helpful hints go here.
Len Bach and his wife are serious about fraud. Serious about making sure that it doesn't happen to you, or anyone you know! Here's a guest blog from Len about his experience as a Free Lunch Monitor:
As longtime AARP Volunteers who make formal presentations on general investment fraud(s), getting involved in the Free Lunch Monitor (FLM) program was quite natural for my wife and me. We are also recent retirees concerned about protecting and growing our retirement savings that took a lifetime to build. A free meal and possibly finding new trustworthy avenues for investment or retirement planning was quite appealing.
We have found that the Free Lunch offers share a number of common traits such as good food and soft sales pitches, but also almost always trade on senior fears about estate issues, medical catastrophes, running out of money, probate, legal and IRS concerns. The sponsors want you to leave the meal site worried about your future. We always follow up with the firms with a second meeting and that is where we have found the hitch in almost every pitch. High commission recommendations abound on legitimate investments, outlandish promises of high returns and low risk are frequent without any formal prospectus being presented, suitability to your specific needs are most often ignored, and fine print in offered agreements can subject you to severe penalties and to unreasonable flexibility.
My wife and I will continue to voluntarily attend these free meal senior sales pitches and to report our findings to AARP and recommend that others do as well. A good free meal is rewarding, but it is uncovering fraud and abuse that we have discovered to be the real dividend for our time and effort.
Remember when we were kids and we had summer reading lists? Lord of the Flies, The Scarlet Letter, Animal Farm...the classics we had to read between trips to the beach, camping and day-long excursions to the pool.
I'm reviving the summer reading list this year - but you won't find any classics on mine. I'm making it a goal to finish a couple books that are difficult to get through and carry on to a few fun ones that will entertain me while I'm trying to get some sun!
If you're like me, a walk through the book store can end with five books in hand and a never ending list of "books I should read." I like to keep track of my reading list on a site called Goodreads. You can connect with your friends, their reading lists, form book clubs, get reader recommendations and convene with other people who love to smell the spines of books, too (maybe that's just me).
I'm going to finally finish A Heartbreaking Work of Staggering Genius by Dave Eggers...and pick up Supreme Courtship, by Christopher Buckley, Moose: A Memoir of Fat Camp, by Stephanie Klein, and The Pillars of the Earth, by Ken Follet.
What will you be reading this summer?
Health care reform may just be the buzzword in politics right now. Democrats and Republicans are both rallying their supporters behind their ideas on how to fix America's health care system. There's a pretty good consensus that our current system doesn't work (just check out the facts), but that's where agreement seems to end. Some people say we need the government to take over health care. Others think the solutions can be found on the free market. Many people prefer some sort of middle ground. There are still plenty of unanswered questions: Who will pay? What role should technology play? Should a reformed system focus on treatment or prevention? Check out this fun video that breaks the issue down into easy to understand concepts:
Recently we have heard about the biggest ponzi schemes in history. Bernard Madoff has become a household name but these types of scams have been happening for years. In fact, they are named after Charles Ponzi who envisioned and created a massive money making scheme in the early 1920s.
Here's how they work: Investors are lured with promises of unique opportunities producing high returns, and for awhile they may get those returns. But what they don't know is that their money is not really being invested in anything at all. The "interest" they receive is money being paid in by later investors. As long as more investors sign on, which they will because of word-of-mouth advertising about the "great returns," everything seems fine. But since no real investments are being made, it can't last long and ultimately collapses.
So what should you do to make sure you don't get lured into one of these things? Do your research and ask questions! A true financial professional with legitimate investment opportunities will not only welcome your questions but they'll have great answers to them as well. Here's some things to keep in mind while considering an investment opportunity:
And like I've been saying all week...this is exactly why AARP and NASAA partnered up to create the Free Lunch Monitor program. Check it out and protect yourself and your community.
Happy Earth Day everyone! Earth Day first started as a major American show of support for environmental issues. Since then it has become a massive global event. In honor of the day, let's go over some ways you can go green. For starters, you can buy green products that save the planet but also save you a buck or two. Did you know that 50% of people who are Boomers or older say that they already buy green products? Being conscious of the environment extends to your home too. There are ways to make your home greener and some nursing homes are designed with this is mind. You can even be green when dealing with end of life issues for yourself or loved ones. If you're stumped, there are Green Fairs featuring exhibits with some creative ideas than can help you be a little more Earth-friendly in your daily activities.
Tom Nelson, COO here at AARP, has been passionate about the Serve America Act that President Obama signed today. Here's a guest blog from Tom about why this legislation is so important to AARP, you, and our country:
I'm so pleased that this afternoon, AARP attended the White House signing ceremony for the Serve America Act. It is truly an historic event and one that we're particularly pleased will create meaningful volunteer opportunities for people 50+.
Fifty years ago, Dr. Ethel Percy Andrus founded this organization with the motto, "To serve, not be served." The Serve America legislation builds on what is good, strong and unique about America: the self-reliance and self-determination of the American people. Dr. Andrus founded AARP on the same principles.
Inside E Street did a great show in April on the Serve America Act - lots of good information about how the legislation will create more opportunities, including interviews with President Obama's domestic policy advisors and legislators who championed the Act on Capitol Hill. Check it out.
In the next couple of months, there should be more opportunities to volunteer in your communities and neighborhoods. I encourage everyone to find out what's available - even if you only have five extra minutes a week. AARP Create The Good also is a place to find opportunities to serve.
Now is an important time for America and we look forward to the renewed spirit of service this legislation - and each of you - is already helping to foster.
- Tom Nelson, COO, AARP
"We were invited to a seminar where there were two main speakers. They talked about different kinds of investments to have an extra income for retirement and it was interesting. After a couple of days, they made an appointment with me to visit me in my home."
That was the beginning of a tragic story for Luis and Manuela Corona, a couple in Florida. Looking for a way to increase their retirement savings they attended a free lunch investment seminar. Attending this educational seminar led to friendly visits and ultimately pressure to invest in viaticals, a product that they knew very little about.
You can watch their whole story here...and also check out more about ponzi schemes, variable annuities, and more.
Many times investment opportunities come with a "free" lunch that really isn't free at all. That's why AARP and NASAA launched the Free Lunch Monitor program. You can learn the red flags for fraudulent investment schemes and protect yourself and other investors while you're at it.
Science Daily recently had an article on the health benefits of dancing. And I'm not talking about being a professional dancer either; social dancing may help older adults not only stave off sickness, but actually counteracts declines associated with aging:
Recommendations include the expansion of social dance provision for older people in order to aid successful ageing and help older people enjoy longer and healthier lives.Jonathan Skinner, Lecturer in Social Anthropology at the School of History and Anthropology at Queen's, studied the effects of social dancing amongst older people in Northern Ireland, Blackpool and Sacramento, USA.
Dr Skinner said: "I have found that social dancing leads to a continued engagement with life - past, present, and future - and holds the promise for successful ageing. It contributes to the longevity of the dancers, giving them something to enjoy and focus upon - to live for. It alleviates social isolation and quite literally helps take away the aches and pains associated with older age.
While this study didn't necessarily have ground-breaking findings, research like this is refreshing to see; there's nothing like a reminder that dancing can be the best medicine a person can have!
This is the first in a week-long series of posts here on Shaarp Session that will focus on scams. Everything from spotting a scam, to preventing scams in your community will be covered, and a ton of resources and information will be shared. Let us know what you think!
It seems like every week offers and invitations to invest in a deal of a lifetime come knocking on our doors. During troubled economic times these offers become more tempting but that is precisely why we need to be even more cautious. There are no short cuts to getting rich when it comes to seriously and wisely investing for your future.
Here are some signs you should keep in mind to help detect if a deal sounds too good to be true...so think twice or better yet, run if you hear these phrases:
Many times the deals come with a "free" lunch that really isn't free at all. That's why AARP and NASAA launched the Free Lunch Monitor program. Learn how you can become a monitor and help make the marketplace safer for all investors.
To find out about other signs of a scam and get tips on how to protect yourself from an investment scam visit our investment fraud pages.
It's Monday...and it's raining cats and dogs here in DC, so I need a sweet treat to brighten my day. I love to bake and have a serious sweet tooth so I thought I'd pass along this savory and sweet easy-to-make recipe for homemade turtles! I found this on one of my favorite blogs Twig & Thistle.
What do you need? A bag of mini pretzels, pecan halfs and a pack of Rolos. Yes. I said Rolos.
1) On a cookie sheet, arrange the pretzels then place a Rolo on top of each one. Bake at 220 F. for 2 minutes.
2) Remove from the oven and immediately start placing the Pecans on top and pushing them down, squishing the Rolos.
3) Enjoy!
A major part of President Obama's plan for the country's economic recovery is infrastructure spending. While many people think of highways and buildings when they think if infrastructure, the President has envisioned a major expansion of high-speed rail services as part of his plan to stimulate the economy and create jobs. Though rail travel has never caught on in the U.S. the way it has in Europe and Asia, the President hopes that new rail projects and increased funding will lead to a boom in rail travel in the country. What do you think about expanding train service throughout the country?
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