What is Financial Abuse?
Key Aspects of Financial Abuse Financial abuse is a hidden but devastating form of control that often leaves victims economically trapped and vulnerable. It can happen in any type of relationship, whether it’s between partners, family members, or caregivers and their dependents. By understanding the tactics used by abusers and the steps to regain financial independence, victims and their supporters can take meaningful action to break free and rebuild their lives. Control and Restriction One of the primary tactics of financial abuse is restricting the victim’s access to financial resources. The abuser may withhold money or enforce a strict allowance, limiting the victim’s ability to spend freely. They might restrict access to bank accounts, credit cards, or cash, ensuring complete financial dependency. In many cases, victims are required to justify every expense, creating a climate of fear and uncertainty around financial decisions. Additionally, abusers may steal or control their victim’s identification documents like their driver’s license and social security card as well as important papers like marriage and divorce documents, birth certificates, and mortgage or property documents—with the goal of opening accounts in the victims name without their knowledge. By controlling their victim’s financial access and identification, the abuser reinforces their dominance, making it increasingly difficult for the victim to assert independence. This lack of financial freedom can leave victims feeling trapped, with few options to break free from the abuse. Exploitation of Resources Financial abuse often involves the direct exploitation of their victim’s financial resources for the abuser’s personal gain. This can include unauthorized use of the victim’s credit cards or assets, leading to mounting debt in their name. Some abusers force their partners to cover all household expenses while contributing little or nothing themselves. In more severe cases, victims may be coerced into accumulating debt under their own name, leaving them financially burdened long after the relationship ends. These tactics create significant financial hardship, making it even more difficult for victims to escape the abusive situation. Sabotage of Economic Independence Many abusers deliberately work to prevent their victims from achieving financial independence. They may prohibit them from working or pursuing educational opportunities, limiting career advancement and personal growth. Even when victims manage to secure employment, abusers often sabotage their job performance by causing disruptions, harassing them at work, or withholding essential resources such as transportation or childcare. In some cases, abusers also hide or misrepresent joint assets, ensuring that their victims remain unaware of their true financial standing. By keeping their victim economically dependent, the abuser strengthens their control, reducing the victim’s ability to leave the relationship and start anew. Financial Secrecy and Isolation Secrecy and economic isolation are also common tactics in financial abuse. Abusers may conceal important financial information, such as income, debts, or household expenses, leaving the victim completely in the dark about their financial situation. In addition to withholding financial knowledge, abusers often restrict interactions with family and friends who could provide financial assistance or guidance. This isolation ensures that the victim has no financial safety net, making it even harder to seek help or escape the abusive situation. Post-Separation Abuse In relationships, financial abuse does not always end when the relationship does. Many abusers continue using financial tactics to exert control over their victims even after separation. They may prolong divorce proceedings to increase legal costs and drain the victim’s resources. Refusing to pay child support or alimony is another way abusers cause financial distress, making it difficult for survivors to maintain stability. Some even manipulate shared assets or debts to create ongoing financial hardship. These post-separation struggles can make it incredibly challenging for survivors to rebuild their lives. Recognizing and Addressing Financial Abuse Financial abuse is often an invisible form of control that can have long-term effects on a victim’s financial stability and emotional well-being. Recognizing the signs and taking action is essential. Here are some steps that can help: Educate yourself and others: Awareness is the first step toward addressing financial abuse. Learning about its signs can help victims recognize when they are being manipulated. Reach out for support: Support networks, including friends, family, and domestic violence organizations, can offer critical assistance in navigating financial abuse. The National Domestic Violence Hotline is a free, confidential and 24/7 resource that offers tools and support to help survivors of domestic violence. Seek professional advice: Financial counselors, domestic violence advocates, and legal professionals can provide guidance on regaining financial control. Open a separate bank account: If possible, setting up an independent bank account can help create a financial escape plan. Document financial abuse: Keeping records of financial transactions, unauthorized debts, and hidden assets can be valuable in legal proceedings. Breaking the Cycle of Financial Abuse By understanding its various forms, recognizing its signs, and taking proactive steps, survivors of financial abuse can regain financial independence and break free from abusive relationships. It is essential to continue raising awareness and advocating for stronger protections against financial abuse to support those affected and prevent further harm.
5 min read
What is Phone Spoofing? False Caller ID Information
What is Phone Spoofing? Phone spoofing is when scammers manipulate caller ID to make it appear as though they are calling from a local number, a trusted business, or even a government agency. This deception is used to trick you into answering the call and engaging with them, often leading to financial fraud or identity theft. How to Spot a Spoofing Scam Scammers use various techniques to gain your trust or create panic. Here are some red flags to watch out for: Unexpected calls or texts from familiar-looking numbers – Just because a number appears local doesn’t mean it is. Requests for personal or financial information – No legitimate organization will call or text and ask for your Social Security number, account details, or passwords. Pressure to make immediate payments – Scammers often try to create urgency, threatening legal action or service disconnection if you don’t pay immediately. Automated messages asking you to press a button – This is often a tactic to confirm your number is active, leading to more scam calls. How to Protect Yourself The good news is there are steps you can take to avoid becoming a victim of spoofing scams: Don’t answer calls or texts from unknown numbers – If the call is important, the caller will leave a message. Hang up immediately – If you answer and realize it’s a scam, don’t engage. Just hang up. Verify the caller’s identity – If a caller claims to be from a trusted organization, hang up and call the company directly using a verified number from their official website or a recent bill. Make sure you manually enter the correct phone number, don’t trust your caller ID incase the number was spoofed. Be skeptical of unexpected requests – Whether it’s an offer that sounds too good to be true or a demand for urgent payment, always be cautious. Avoid sharing personal information – Never provide sensitive details over the phone unless you are 100% sure of the caller’s legitimacy. Use call-blocking tools – Many phone carriers offer services to help block suspected spam and scam calls. Report suspicious calls – You can report spoofing scams to law enforcement, the Federal Communications Commission (FCC) at fcc.gov/spoofing, or the Federal Trade Commission (FTC) at reportfraud.ftc.gov. Report suspicious texts – You can report spam text messages to your wireless provider by forwarding it to 7726 (SPAM). This helps your wireless provider spot and block similar messages in the future. Use these links for instructions on how to forward a text message: iPhone instructions or Android instructions Stay Aware, Stay Safe At First Bank, we prioritize your security and want to help you stay informed about potential scams. By staying aware and taking preventive measures, you can protect yourself from fraudsters and keep your personal information secure.
3 min read
Q&As for Prospective Homebuyers
Thank you to our Homebuyer Happy Hour Moderators: Jarrod Burcham Mortgage Loan Originator | NMLS 1900830 951-795-0467 jburcham@localfirstbank.com Monica Moses Community Mortgage Officer | NMLS 1651906 910-225-3399 mmoses@localfirstbank.com Schedule a Private Consultation with Jarrod or Monica What are some of the key terms I need to know when thinking about a mortgage? There are several key terms that are used during the mortgage process, including: Credit Scores: Important for qualifying for a mortgage. Loan-to-Value (LTV) Ratio: The size of the loan compared to the purchase price of the property. Debt-to-Income (DTI) Ratio: The ratio of monthly debt payments to monthly income, which affects mortgage qualification. Why is personalized guidance important for homebuyers? Personalized guidance is important because the mortgage process can be complex, and individual circumstances can vary. Private consultations can help potential homebuyers understand their specific financial situation and mortgage options.
5 min read
What is Personal Finance?
Are you ready to get a handle on your finances and prepare for your future? The first step is understanding personal finance. According to Investopedia, “Personal finance defines all financial decisions and activities of an individual or household, including budgeting, insurance, mortgage planning, savings and retirement planning.” Understanding these terms can help you better control your funds and prepare for future financial success. Important Personal Finance Terms Budgeting — Establishing a budget is an important part of managing your personal finances. A budget helps you keep track of your spending patterns and plan how you are going to spend your income each month. Start by calculating your total monthly income, then use MyMoney to track all of your expenses each month. This will help you see where your money is going, where you can save and where you can spend a little extra each month. Insurance — Purchasing insurance is another large part of managing your personal finances. According to Investopedia, by purchasing insurance — like health insurance, life insurance and car insurance and homeowner’s insurance — you are protecting yourself from risk and ensuring the security of your material standing. Savings — Whether you’re in your 20s and just starting to learn about personal finances, or are in your 30s and looking to better manage your funds, one thing is certain, you should be saving for the future. It is important to establish an emergency savings fund to cover any financial hardships and a retirement savings plan to help you in the future. Articles on Personal Finance For more information on personal finances, check out these articles from First Bank’s Financial Education Center: Buying Your First New Car: What to Know Simplifying the Home Buying Process How to Avoid Paying Too Much for a House 10 “Life Hacks” That Will Save You Money 5 Tips for Safely Managing Your Finances Online Source: Investopedia: http://www.investopedia.com/terms/p/personalfinance.asp#ixzz40uIYOSwU
2 min read
7 Songs to Play After Closing on Your New Home
When you finally close on your new home, we recommend loading up your MP3 player (or, if you’re old school, burning a CD or making a mixtape) with these seven songs to kick off your celebration!
2 min read
Small Business Loans for Women in South Carolina
First Bank in South Carolina is dedicated to helping women entrepreneurs get their businesses up and running. That is why we offer a variety of small business loans with competitive rates. According to the National Association of Women Business Owners (NAWBO), more than 11.6 million firms are owned by women, generating $1.7 trillion in sales nationwide. However, some business owners needed financial backing for their ideas. In South Carolina, small business loans for women can be found at any of First Bank’s six branch locations.* Better Small Business Loans First Banks offers all types of loan services for women in South Carolina. Business loans — A First Bank business loan provides a lump sum of cash for all of your startup costs. Credit line — Our credit line gives you a revolving door of lending so you can borrow when you need it and pay it back when you can. Credit card — Our First Bank Mastercard Business Card with Rewards allows you to make those everyday purchases your small business needs. Commercial mortgages — First Bank offers a variety of commercial lending products with competitive pricing. Construction loans — Use a First Bank construction loan to remodel, expand or take on other construction products. Visit Your Local First Bank Once you have the money you need to launch your small business, take advantage of First Bank’s merchant services such as mobile payment processing, check collection, payroll solutions and more. Visit a First Bank in South Carolina to learn more about a small business loan today. Loans subject to credit approval. Sources:
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