How to Protect Yourself After a Data Breach

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In our digital world, data breaches are an unfortunate reality – affecting millions each year. These incidents expose sensitive information and can lead to financial fraud and identity theft. If you’ve been notified of a data breach or suspect your information may have been compromised, follow these crucial steps to safeguard your financial security.

1. Save Notifications & Respond Promptly

If a company or service provider informs you that your data may have been compromised, be sure to keep that notification. Breached companies are legally required to inform affected users and often provide next steps to secure your information, or contact information for credit bureaus and departments that can offer more guidance. This information can also serve as a record if you need to document or report future issues.

Immediately change your login information and passwords connected to the affected account(s) and remove any banking or credit card information that may be stored within the account(s). If the breach affects accounts tied to financial information, immediately begin securing your bank accounts and monitoring for suspicious activity.

2. Strengthen Account Security

Start by updating passwords on any accounts tied to the breached organization. For strong security, each account should have a unique password with a mix of letters, numbers, and symbols. If possible, use a password manager to store these securely and reduce the risk of previously used or weak passwords.

For added security, enable multi-factor authentication (MFA) on all accounts. This extra step, such as a verification code sent to your phone, makes it harder for unauthorized users to access your information, even if they have your password.

3. Set Up Fraud Alerts

Adding a fraud alert to your credit report signals to creditors that you may be a victim of fraud, prompting them to take extra steps to verify your identity when a new credit request appears. Contact any one of the three major credit bureaus — Experian, TransUnion, or Equifax, or create an online account to set up free fraud alerts. This alert will automatically apply to all three bureaus and remain active for a year, giving you added protection against fraudulent activity.

4. Monitor Your Financial Activity and Credit Reports

Carefully monitor your financial statements, bank accounts, and credit card activities for unusual transactions. Many financial institutions, including First Financial – offer free transaction alerts available through our mobile app, allowing you to catch unauthorized activity early.

Additionally, check your credit report regularly. You’re entitled to a free credit report each year from each bureau at AnnualCreditReport.com. Frequent reviews of your report can help detect unauthorized loans, new accounts, loan applications, or address changes that could indicate identity theft.

5. Consider a Credit Freeze

For those seeking a stronger defense, a credit freeze restricts access to your credit report, making it harder for new accounts to be opened in your name. You can apply a freeze by calling or creating online accounts with each of the 3 credit bureaus at no cost, and lift it temporarily if you need to apply for credit yourself. A freeze doesn’t affect your existing credit cards or loans, but it’s an effective barrier against unauthorized new accounts.

6. Be Aware of Phishing and Scams

Data breaches often lead to an increase in phishing attempts where criminals pose as reputable institutions to trick you into sharing more information. Beware of emails, calls, or texts from unfamiliar contacts or even those posing as your financial institution. Anyone who asks you for sensitive information or points to an unidentified link should be treated with extreme caution. Indicators of phishing include urgent requests, generic greetings, and suspicious sender addresses. When in doubt, reach out to the company or your bank directly using a verified contact method rather than interacting with suspicious messages.

7. Stay Vigilant and Consider Identity Protection Services

If you want an additional layer of protection, some individuals choose identity theft protection services such as Norton LifeLock ID Navigator – which is an included benefit for users of our VISA Signature Cash Plus Credit Card. These services monitor credit activity, provide alerts, and may even offer insurance to cover certain identity theft related losses.

Secure Your Finances with First Financial

Taking immediate action after a data breach can reduce the chances of financial harm and identity theft. At First Financial, we’re committed to helping you protect your financial future with resources and support to keep your information safe. For more personalized financial guidance, call us at 732.312.1500 or visit a branch. And don’t forget to subscribe to our First Scoop blog for more helpful tips on managing your finances and staying safe online.

How to Maximize Savings as Interest Rates Decrease

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The Federal Reserve announced a federal funds rate cut of half a percentage point at its September meeting, the first time it has lowered rates since the start of the pandemic in March 2020. There is also another Federal Reserve meeting scheduled to take place this week. Here are some key strategies to help you navigate a fluctuating interest rate environment and make the most of your hard-earned savings.

1. Consider High-Yield Savings Accounts

As interest rates fall, traditional savings accounts may offer minimal returns. However, many banks and credit unions offer high-yield savings accounts. These accounts generally provide better interest rates due to lower overhead costs, making them a smart option for those looking to grow their savings more efficiently.

To maximize your returns, compare rates regularly. Even a small increase in your savings account’s interest rate can make a noticeable difference, especially over time. First Financial’s Savings Accounts offer quarterly dividends.*

2. CDs are Another Option for Savings

If you’re concerned about declining interest rates, certificates of deposit (CDs) can offer a more stable option. By locking in a fixed rate, you ensure your savings will continue to grow regardless of future rate cuts. When your CD matures, you can decide whether to reinvest at a potentially better rate or keep the funds available for other financial needs. First Financial’s Savings Certificates offer terms ranging from 6 to 72 months.**

3. Focus On Your Emergency Fund

In any interest rate environment, your emergency fund is critical. Experts typically recommend keeping 3 to 6 months’ worth of living expenses in easily accessible savings. With rates dropping, now might be a good time to reassess that fund.

You should never move your emergency savings into riskier investments, but it’s smart to ensure that it’s earning the best rate possible. High-yield savings accounts or short-term CDs may offer the liquidity you need, while providing a modest return. Keep in mind that the goal of an emergency fund is security, not high returns – so focus on accessibility first.

4. Stay Informed and Be Flexible

Interest rates can fluctuate based on economic conditions, so stay informed and be flexible. Review your financial plan regularly and be willing to adjust your savings strategy as needed. What works in a high-interest environment likely won’t be effective when rates decline and vice versa, so be prepared to shift tactics if necessary. However, you shouldn’t continually make drastic changes just to keep pace with the market either. Consult with a financial professional and take time to conduct research.

You can also subscribe to financial newsletters or consult with a financial advisor to stay updated on changes in the rate environment and how they may impact your savings. By staying proactive, you can ensure your money is always working as hard as possible, regardless of the current economic conditions.

Make Your Savings Work Harder with First Financial

Navigating a changing interest rate environment can feel challenging, but with the right strategies, you can continue to grow your savings. For personalized financial guidance, call us at 732.312.1500 or visit a branch today. Don’t forget to subscribe to the First Scoop blog for more tips and insights on managing your finances.

*A $5 deposit in a base savings account is required for credit union membership prior to opening any other account. All personal memberships are part of the Rewards First program and a $5 per month non-participation fee is charged to the base savings account for memberships not meeting the minimum requirements of the program. View full Rewards First program details at firstffcu.com. Some restrictions apply, contact the Credit Union for more information. If balance falls below $5, a monthly service fee of $5 will be imposed.

 **A penalty may be imposed for Certificate withdrawals before maturity. See your Important Account Information for Our Members document for details. The Annual Percentage Yield is based on the assumption that dividends will remain in the account until maturity and the minimum balance is maintained.

Last Minute Scams Ahead of the Presidential Election

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With the 2024 Presidential Election just days away, you might be hearing a lot of political chatter on the news, online, and among those you socialize with. While this might be an exciting or nerve-wracking time, one thing remains true for all voters alike – scammers are getting more desperate to try and scam you out of your personal information and hard-earned money as their chance to use the election as a disguise withers away.

As we mentioned in our recent blog post covering political scams, advances in technology, and especially in artificial intelligence (AI), can make some of these scams harder to spot. These scams can take place in many forms, and although most will take place online, it’s important to remain vigilant even on the phone or with someone standing right in front of you. While you’re taking the time to learn some last-minute facts about our presidential candidates, take some time to learn about these last-minute attempts that scammers will make to defraud you ahead of the election.

Cybersecurity Election Scams

Technological advancement is good, but like anything else – can also have a downside, especially when malicious actors try to use it to their advantage and to your detriment.

  • AI-Related Scams: As we mentioned a few weeks ago, deepfakes – which are videos or audio recordings that seem realistic but are fabricated, can be deployed to attempt to induce someone to perform a certain action. An example of a deepfake in action is receiving an AI-generated robocall that is impersonating a presidential candidate with the intent of spreading misinformation. This robocall might attempt to influence or sway the person on the receiving end of the call to cast their vote in a different manner based on misinformation. The Federal Communications Commission has outlawed robocalls featuring AI-generated voices, citing the exploitation of the technology and how it can mislead and deceive voters. Despite these calls now being illegal, voters should remain wary and skeptical of any calls depicting the voice of a presidential candidate since scammers are continually pushing the limits of what this technology can do.
  • Voter Registration Scams: If you are reading this post, it’s most likely too late to register to vote in the 2024 Presidential Election based on state voter registration deadlines. Additionally, you can only register to vote online, by mail, or in person at a local election office or motor vehicle services office – never over the phone or on-the-spot. Keep this in mind should a scammer approach you over the phone or in person claiming that they can register you to vote last-minute, just days before the 2024 Presidential Election. The scam plays out like this: a scammer reaches out with links to fake voter registration forms or asks you to download an app to register to vote. The fake voter registration forms would steal your personal information, and the malicious app could steal your payment information or log-in credentials. It is always best practice to go in-person or mail your voter registration in yourself.

Other Election Scams

  • Scam PACs: A scammer might also attempt to inspire you to donate to the cause as a “last-ditch effort” to get your presidential pick elected. Political Action Committees (commonly referred to as PACs) pool contributions from donors to support a common cause, whether that is a certain policy initiative or to support the election of a particular candidate running for office. The FBI urges voters to research candidates and their causes before donating, or you could be donating to a fake PAC. Fraudsters can reach out to you via any medium, asking you to donate to support a candidate or cause, when the money is truly for their own personal gain. Additionally, the scammer might display a sense of urgency persuading you to donate, citing that this is your “last chance” to help your candidate get elected. The FBI encourages voters to reference the Federal Election Commission to confirm if a PAC you would like to donate to is registered, to check what their expenditures are on, and to see how long they have been established. You can also go directly to a candidate’s website to learn how to donate and support their campaign if you are skeptical. In the case of protecting your hard-earned money or personal information, it is always worth going the extra mile and doing the research to ensure you are really donating to the political candidate or cause.
  • Fake Surveys and Polls: Election surveys and opinion polls are commonplace during election season. However – be wary of who contacts you, how they contact you, and what type of information they are requesting from you. You can be contacted over phone, email, or text by a person claiming to be administering a survey and collecting the needed information. Although being asked certain demographic information is common, you should never be asked to provide personally identifiable information, such as your Social Security Number or birthdate. Scammers administering these fake surveys and polls may also display a sense of urgency, so always be vigilant as to whether that common red flag is present. Additionally, never click on links in unsolicited emails or text messages, as you could be downloading malicious software or providing your personal information to a bad actor. Lastly, scammers administering fake surveys and polls have been known to promise a reward for completing the survey or requesting credit card numbers prior to sending your prize. Most organizations administering opinion polls do not provide a reward for participation, and no legitimate organization will ask for your credit card number.

With the Presidential Election nearly here, we know it could be easy to get caught up with information overload and miss out on red flags where a scammer is trying to defraud you. By following the above tips, you can help to prevent any fraud or identity theft from happening to you this election season. Keep Thinking First!

Think You’ve Been Scammed?

At First Financial, our number one priority is helping you protect your important personal and financial information. To stay on top of critical alerts and common scams, be sure to subscribe to our First Scoop Blog! If you believe your personal or financial information has been compromised by a scammer, please contact us at 732.312.1500 or visit one of our branches.

Navigating Federal Rate Cuts as a Small Business

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The Federal Reserve’s recent rate cuts can impact small businesses significantly, influencing everything from borrowing costs to consumer behavior. Understanding how these changes can affect your business finances and potential growth is crucial in making strategic decisions. As rates decrease, there are key factors small business owners should consider to navigate this economic shift and capitalize on new opportunities.

Access to Affordable Capital for Growth

When the Federal Reserve lowers interest rates, small businesses can benefit from more affordable access to capital. A reduction in borrowing costs could mean your business can more easily afford loans for various purposes – such as for purchasing inventory, expanding operations, upgrading equipment, or remodeling. Aside from loans, rate cuts can also lower interest rates on lines of credit, which for some business owners can translate into thousands of dollars saved annually and higher profit margins. This savings can then be invested back into the business for further growth.

At First Financial we understand that not every business is the same, and therefore – not every loan need can be the same. We offer a wide range of business loan options and look at each individual business and create a customized lending solution to meet your business’ specific needs. We pride ourselves on educating our members prior to finalizing loan decisions to provide peace of mind in knowing they chose the right option for their business.

Increased Consumer Spending and Confidence

Federal rate cuts don’t just benefit businesses; they also directly impact consumer spending. As interest rates drop, discretionary income increases – leaving consumers with more money to spend on goods and services. This creates a favorable environment for businesses to attract more customers – especially in the retail, hospitality, and service sectors. Offering promotions or expanding marketing efforts during these times can help businesses capitalize on increased consumer confidence.

Be Strategic with Business Credit and Loans

While lower rates can make borrowing more attractive, it’s important to approach new financing strategically. Even though rates may be lower, taking on additional debt should align with a clear business plan. Ensure that your business’ financial health can support the repayment of any new loans or credit lines you take out. Business owners should review their current debt, such as business loans and credit cards, to see if refinancing at a lower rate makes sense. Reducing interest payments through refinancing can improve cash flow and free up resources for other areas of your business.

Plan for Future Rate Fluctuations

Although rates are currently lower, they can rise again in the future. Business owners should be cautious when taking on variable-rate loans or lines of credit, as these products can become more expensive if rates increase later. Locking in a fixed-rate loan now could be a good way to safeguard against potential future rate hikes. If your business has an immediate need for funding, such as purchasing equipment or seizing a time-sensitive opportunity – it may make sense for you to move forward with financing at current rates. The key is to strike a balance between timing and necessity.

Preparing Your Business for Financial Success

As federal rates continue to fluctuate, small business owners may have a unique opportunity to lower borrowing costs and tap into increased consumer spending. However, these benefits must be balanced with careful financial planning to ensure long-term stability. At First Financial, we’re here to help you navigate through your journey as a small business owner. For more insights and guidance – call us at 732.312.1500, email business@firstffcu.com, or visit a branch today.

Do’s and Don’ts When Accessing Your Home Equity

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Accessing the equity in your home can provide financial flexibility, whether you’re looking to fund renovations, consolidate debt, or cover unexpected expenses. However, with such a significant financial decision – it’s essential to make informed choices that protect your long-term stability. Home equity products like loans and lines of credit (HELOCs) offer great benefits, but they should be approached carefully to avoid potential pitfalls. Below are key tips to help you navigate the process.

Do: Understand the Product That Suits Your Needs

When using your home equity, it’s helpful to know whether a home equity loan or a HELOC is the better option. A home equity loan offers a lump sum of money with a fixed interest rate, making it easier to manage predictable, long-term expenses. A HELOC on the other hand, functions more like a credit line – with variable interest rates and the flexibility to borrow as needed. Choosing the right product depends on the nature of your financial goals.

Don’t: Apply for Additional Credit Before Accessing Equity

If you’re considering applying for a home equity loan or HELOC, avoid applying for other loans or credit cards during the process. Opening new accounts can affect your credit score and impact your ability to get the best rates on your home equity product. Additionally, taking on more debt can increase your debt-to-income ratio (DTI), making you a less favorable candidate for a loan.

Do: Research Lenders for Competitive Rates

Just like with any loan, it’s beneficial to shop around and compare lenders before committing to a home equity product. Interest rates, terms, and fees can vary widely between institutions, so it’s a smart move to gather multiple quotes. Even a small difference in the interest rate can result in substantial savings over the life of the loan. First Financial Home Equity Loans offer great rates, no pre-payment penalty, no application fees, no points or closing costs, flexible terms up to 20 years, and fixed monthly payments.*

Don’t: Make Large Purchases or Increase Your Spending

In the lead-up to applying for a home equity loan or HELOC, it’s wise to hold off on making large purchases or racking up credit card debt. Increased spending can lower your credit score and increase your DTI, hurting your chances of getting approved for the loan or resulting in higher interest rates. It’s best to keep your finances as steady as possible during this time. Consider creating a budget to curb unnecessary spending and demonstrate strong financial discipline.

Do: Use Home Equity for Value Enhancing Projects

One of the most responsible ways to use home equity is to invest in home improvements that can enhance the value of your property. Renovations such as kitchen upgrades, bathroom remodels, or energy-efficient improvements not only improve your living space – but can also increase the market value of your home, ultimately boosting your overall equity.

Don’t: Neglect Regular Payments or Change Your Employment

Consistency is key when applying for a home equity loan or HELOC. Make sure all your payments—whether for your mortgage or other loans, are made on time. Missed or late payments can hurt your credit score and jeopardize your chances of getting favorable terms.

If you’re considering a job change, it’s a good idea to delay the switch until after your loan is secured. Changing jobs or reducing your work hours may make you seem like a less stable borrower.

Do: Maintain an Emergency Fund

Before you dip into your home equity, ensure you have a solid emergency fund. Accessing home equity means using your home as collateral, so if you’re unable to make your payments, there’s a risk of losing your home. A financial cushion helps prevent the need to use home equity for smaller, unexpected expenses.

Successfully & Responsibly Access Your Home Equity with First Financial

Home equity can be a valuable financial resource, but it should be used with care. By making informed decisions and avoiding common mistakes, you can maximize the benefits of your home equity while protecting your financial future. At First Financial, we’re here to guide you through the process and help you make the best decisions for your needs.

For personalized advice or more information on home equity options, call 732.312.1500 option 4, or visit a branch today. Be sure to subscribe to the First Scoop blog for ongoing tips and insights into managing your finances.

*First Financial FCU (FFFCU) will waive closing costs at inception of loan. If loan is terminated within the first 2 years of opening, closing cost waiver is revoked and the borrower(s) will be required to pay back closing costs in full to FFFCU. A First Financial membership is required to obtain a Home Equity Loan, and is open to anyone who lives, works, worships, volunteers or attends school in Monmouth or Ocean Counties. See FFFCU for details or visit firstffcu.com for all current rates. Rates for financing up to 80% of Appraised Value less other Mortgages.