7 Ways to Protect Yourself as a Consumer

This week (March 1-7)  is National Consumer Protection Week. A great deal of emphasis is being placed on improving your protections. If you want to learn more about becoming a better informed consumer, consider the Consumer Action Handbook, available for free from the Federal Trade Commission. You can learn more about consumer rights, how to protect yourself and get useful pointers on filing complaints and avoiding identity theft.

In honor of National Consumer Protection Week, I would like to offer 7 ways you can protect yourself as a consumer:

1. Keep your personal information quiet. If you didn’t call a company for a specific purpose, don’t give out personal information. Be wary when you do call and the other person asks for your Social Security Number. Usually, there is some other way for account verification. At the very least, ask that you be allowed to provide only the last four digits of your Social Security Number. The same thing is true of bank account numbers. And never, ever put personal financial information in an email — especially in response to a request.
2. Make sure you understand what you are agreeing to. This means you need to read the fine print. And you need to make sure that you know exactly what the terms of any loan, contract or other agreement are. If you aren’t sure, take the time to hire a professional to look it over. $200 for a lawyer to review the document is worth it — especially if it turns out you could be on the hook for thousands more than you thought.
3. If it’s too good to be true… This is the cardinal law of consumer protection. If something just doesn’t seem right, it probably isn’t. If the deal is way too good to pass up, you probably should consider passing it up.
4. Protect yourself online. You need to make sure that you have protection on your computer. Antivirus software is helpful, as is a firewall. There are other protections available as well. Additionally, make sure that you are careful about secure sites. Make sure that the sites really are secure, and that they are valid. Logout and close the browser window when you are checking account balances or making monetary transactions. Change your passwords regularly, and make sure they are a strong combination of upper and lower case letters, and numbers.
5. Shred documents. If it has an account number, shred it. If it is an offer of credit, shred it. The trash is one of the easiest places for fraudsters to get your personal information.
6. Double check prices. Is it really a bargain? Is it really a sale? Do you really need it now? One of the oldest tricks in the book is to call something a sale when it really isn’t. Double check. And look online. But beware of online prices as well: You might end up with damaged goods. Or nothing at all.
7. Know your rights. Consumers should know their rights. Laws have been passed to protect you with regard to electronic transactions, as well as to protect you from harassment from debt collectors. Know and understand your rights — and don’t be afraid to fight for them.

image credit: US government