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5 Reasons Not to Use Debit Cards When You Shop Online

Holly Johnson — Sat, 07 Nov 2020 22:45:14 +0000

Many consumers use their debit cards for everything they buy. Using debit instead of paying with a credit card can help you avoid the potential for debt. The money is taken out of your bank account directly and immediately, so there’s little chance to spend more than you have, unlike using a credit card.

But when shopping online, there are reasons to consider using a credit card instead.

Using a debit card for online purchases can mean enduring greater losses if you're a victim of fraud. Plus, you're giving up valuable consumer protections and rewards each time you make a purchase with debit in a store or online.

Here are all the reasons you may want to stop using debit and use a credit card instead.

1. You may be putting yourself at risk for fraud

It's easy to assume you won't be liable for fraudulent purchases made with your debit card or checking account number, but this isn't the case. Where most credit cards come with zero fraud liability thanks to rules enacted in the Fair Credit Billing Act (FCBA), the same protections don't apply to transactions made with a debit card.

In fact, someone who finds your debit card number could wipe out all the money in your accounts. If you don't notice or report it in time, you won't have any way to get your money back.

According to the Federal Trade Commission (FTC), your level of liability depends on when you notice the fraud and report it. For example, if you report fraud within two business days after it's noticed, you're only liable for up to $50 in losses. If you report fraud within two to 60 days of your statement being mailed to you, you're only liable for up to $500. If you fail to report fraud once it's been 60 days from the date your statement was mailed to you, the FTC notes that you could lose "all the money taken from your ATM/debit card account, and possibly more; for example, money in accounts linked to your debit account."

2. You're missing out on rewards

In addition to putting yourself at risk for fraud, there are plenty of ways you're missing out when you shop online with a debit card. For example, you could be earning cash back or travel rewards if you made the same purchases with a rewards or travel credit card. These rewards can add up quickly, making it easier to see the world or splurge on merchandise, gift cards, and more.

While you can typically earn 1% to 3% back with a rewards or travel credit card, you can also double up on rewards by shopping through a cash back, travel rewards, or airline portal. You can also shop in portals with a debit card in some cases, but you'll mostly be limited to earning airline miles or cash back. (See also: How to Use Airline Shopping Portals to Cash In On Rewards)

3. You won't earn any sign-up bonuses

Using a debit card when you shop online also means giving up on the possibility of earning big sign-up bonuses. Keep in mind that many rewards credit cards offer consumers the chance to earn bonuses worth $500 or more when they meet a minimum spending requirement within a few months.

You may think you need to pay the annual fee on a credit card to qualify for sign-up bonuses or ongoing rewards, but this is far from the truth. The reality is, there are plenty of rewards credit cards that dole out sizable bonuses, ongoing rewards, and more without charging a fee each year. (See also: Don't Make These 6 Credit Card Sign-up Bonus Mistakes)

4. You're giving up valuable consumer protections

Another reason to use credit instead of debit is the fact that you could qualify for valuable consumer protections and free insurance. This can include travel protections like trip cancellation/interruption insurance, rental car insurance, travel accident insurance, baggage delay insurance, and more.

Other protections that can apply to your online purchases include extended warranties, purchase protection, and guaranteed returns. Most of the time, you won't qualify for any of these perks if you pay for your online purchases with a debit card. (See also: How Credit Cards Protect Your Purchases from Damage or Theft)

5. You're not building credit history

The final reason you may want to stop using your debit card is the fact that you're not building credit history based on your online purchases and everyday spending. When you use credit instead of debit, on the other hand, you're making regular purchases and payments that are reported to the three credit reporting agencies — Experian, Equifax, and TransUnion.

Having your credit usage and payments reported to the credit bureaus is huge because it helps prove your creditworthiness and gives them a basis to increase your credit score over time. Using a debit card certainly won't hurt your credit score, but it won't help it, either.

Considering a credit card? Here's a warning

While using debit online can be more risky and less rewarding, it's still important to figure out if you're a candidate for credit card use. While credit cards do come with better protection against fraud, the potential for rewards, and valuable consumer protections, they can make it easier to overspend and wind up in debt.

Before you sign up for a credit card and start using it for purchases, it's important to make sure you're committed to staying on budget and spending only what you can afford. If you wind up with a mountain of debt with the high interest rates most credit cards charge, the rewards and protections you receive won't be much help.

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This article is from Holly Johnson of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Here's How Rich You'd Be If You'd Invested $500 in FAANG 6 Years Ago

Damian Davila — Thu, 31 May 2018 09:00:19 +0000

Warren Buffett said it best: "Someone's sitting in the shade today because someone planted a tree a long time ago." One of those big trees in the investing world is FAANG, an acronym for five high-performing technology stocks: Facebook, Apple, Amazon, Netflix, and Google (now Alphabet, Inc.).

Let's find out how a cool $500 investment in FAANG would have fared over a six-year investment period.

2012: Off to a good start

Since Facebook held its initial public offering (IPO) on May 18, 2012, this date will be our starting point. And it's a great one because Facebook's IPO at that time was the largest technology IPO in U.S. history, raising more than $16 billion.

Let's imagine that you allocated exactly $100 to each one of the FAANG stocks. Assuming that you could buy fractions of shares, here's how many shares of FAANG you would have acquired back on May 18, 2012, rounded to the nearest hundredth. In this and all calculations throughout this article, we'll use the closing price.

Facebook: $100 @ $38.23 per share = 2.61 shares
Apple: $100 @ $75.77 per share = 1.32 shares
Amazon: $100 @ $213.85 per share = 0.47 shares
Netflix: $100 @ $9.99 = 10.01 shares
Google: $100 @ $300.50 = 0.33 shares

At the end of 2012, your initial $500 in FAANG would be worth $537, up 7.51 percent mainly due to a 32.43 percent jump in Netflix's stock price over the same period.

2013: Netflix leading the pack

You would have loved watching Netflix's stock price this year, as it went up 297.6 percent year-over-year, closing at $52.60. After 2012, Facebook traded sideways and didn't trade above its IPO price until July 31, 2013. But then it too ended 2013 strong with a 105.30 percent year-over-year increase in price. At the end of 2013, your FAANG portfolio would be worth $1,147.50, up 113.69 percent from the previous year.

2014: A year of stock splits and slow growth

On June 9, 2014, Apple issued its fourth stock split — this time, a seven-for-one stock split. This means that your 1.32 would have become 9.38 shares. Earlier that year on March 27, 2014, Google executed a 100 percent stock spinoff, which is similar to a two-for-one stock split.

All said and done, your portfolio's 2014 year-end value of $1,160.95 ended slightly above that of 2013 (a 1.17 percent year-over-year increase). What caused the small return? On December 31, 2014 the stock prices of Amazon, Netflix, and Google were down 22.18, 7.22, and 4.24 percent respectively from exactly the year before.

FAANG beats the S&P 500 over six years

Let's fast-forward a few years to May 18, 2018 and analyze the performance of our investment in FAANG against the most common stock market bench mark, the S&P 500.

Assuming that you were to hold onto your entire $500 FAANG portfolio from May 18, 2012 until May, 18, 2018, your portfolio would have been worth a cool $5,059.62, a whopping 911.92 percent return over the six-year period. If you had put the same $500 investment in the S&P 500 you would have ended with $1,047.30 at the end of the six-year period. That's a very decent 109.46 percent return over the same six-year period, but far below that of the FAANG portfolio.

Should you invest in FAANG?

If it ain't broke, why fix it, right? After all, the FAANG investing strategy continues to pay off in 2018. However, this doesn't mean that you should put your entire nest egg in FAANG. Here are three key caveats when considering an investment in FAANG.

Investment strategy fit

"Does FAANG match my investment strategy?" This is the biggest question that you should ask yourself before considering an investment in FAANG. If you're very close to retirement age, are very adverse to risk, or require a consistent stream of dividend payouts for income, then FAANG stocks may not be right for you. Make sure to first analyze FAANG from the perspective of your portfolio strategy.

Tolerance for volatility

As FAANG companies continue to push the boundaries of technology, the stock market continues to reward their valuation. However, sometimes the pendulum swings in the other direction. Remember the Facebook CEO's testimony before Congress on April 10, 2018 due to privacy concerns? The price of one Facebook share went from a high of $185.09 on March 16, 2018 to $165.04 on April 10, 2018. Could you have stomached a 10.83 percent loss over a 25-day period?

Overexposure to FAANG

If you hold an S&P 500 index fund, you're already exposed to FAANG. Let's assume that you hold the Vanguard 500 Index Fund Investor Shares. By owning one share of this Vanguard index fund, your portfolio has an allocation of 3.7 percent to Apple, 2.8 percent to Amazon, 2.7 percent to Google, and 1.80 percent to Facebook.

And that's before taking account any other investments you might hold. If you also have another index fund in the technology sector, you probably have an even greater holding of each one of those investments. For example, the Vanguard Information Technology Index Fund Admiral Shares [Nasdaq: VITAX] has Apple, Amazon, and Google among its top four largest holdings.

There are many mutual funds out there that already include Apple, Facebook, Amazon, Google, or Netflix among their holdings. Make sure to consider how much your existing portfolio already has allocated to FAANG before you add even more shares of these high-growth stocks.

How can you invest in FAANG without breaking the bank

With individual shares of Amazon and Google trading at $1,574.37 and $1,066.36, respectively on May 18, 2018, it is impossible to make the same original investment of $500 to buy all five of the individual stocks that make up FAANG as we did in this experiment.

Still, there is a simple way to start investing in FAANG: exchange-traded funds (ETFs). Similar to an index fund, an ETF tracks an asset or basket of assets. Unlike an index fund, an ETF can be traded several times throughout the day and doesn't require a minimum investment.

There are three key reasons why ETFs make investing in FAANG more approachable for the average investor.

The expense ratio (the percentage of assets deducted each fiscal year for fund expenses) for ETFs is generally lower than that for funds tracking the same type of investment. For example, the Vanguard Growth ETF has a 0.05 percent annual expense ratio, while the average annual expense ratio of similar growth funds is 1.10 percent.
Some brokerage houses charge no trading fees when you stick to in-house ETFs. For example, users of the Vanguard Brokerage Account can trade without fees as long as they buy Vanguard ETFs.
There is no minimum investment, so you could buy as little as one share of an ETF. Generally, prices for one share of FAANG ETFs range from $10 to a few hundred dollars. This prevents you from putting all your eggs in one basket. Remember that historical returns (even as great as those from FAANG) are no guarantee of future returns. So, you still should diversify your portfolio.

Here's a list of FAANG ETFs to get you started on your research, but make sure to look at other lists as well. Buyer beware: By definition, a FAANG ETF is one that offers an investor at least 1 percent exposure to FAANG stocks. While diversification is great, select an ETF that best matches your target exposure to these five high-growth technology stocks.

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This article is from Damian Davila of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

5 Online Stores That Let You Try Before You Buy

Christa Avampato — Fri, 11 May 2018 08:30:15 +0000

Shopping online is always a fun way to pass the time, but when your order arrives and it doesn't fit right or isn't how you pictured it, going through the return process can be a headache. Lots of online retailers are consistently updating their returns protocols to be as easy as possible, but it doesn't change the fact that your money has already been spent and you aren't happy.

Luckily, there are brands that now offer a 'try before you buy' option, that gives you access to samples before buying full sizes, or shipping the items to you for $0 and giving you a trial period before charging you for the item. Here are a few you should check out.

1. Amazon Prime Samples and Prime Wardrobe

Exclusively for Prime members, Prime Samples lets you try samples of food, baby items, beauty products, personal items, and household supplies. You can pick individual samples from their large selection, or you can select a box of pre-chosen samples in a specific product category. And when you buy samples, all are $2–$4 each, you get a credit of equivalent value to redeem on a future purchase of the full-size product if you decide to buy it.

Prime Wardrobe offers a similar concept but with clothing, shoes, and accessories. Fill your box, try them for seven days, and you can either keep them and get charged for only the items you wish to keep, or return them all for free in the box and with the return label provided. (See also: 7 Amazon Prime Perks You've Forgotten to Use)

2. Warby Parker

Choosing the right eyeglasses is a process that takes time. When the founders of Warby Parker were tackling the challenge of an online store for glasses, they decided to try the sampling idea for customers, and it stuck. You can select five frames to test for five days and they'll ship them to you — for free! Send back the ones you don't want and only pay for the glasses that you wish to keep.

3. ThirdLove

ThirdLove has been making quite a splash with women. Because their bras are on the expensive side (about $68 each), the try-before-you-buy idea has helped them expand their customer base. Order your bra with the help of their online guide in finding your exact size (they have half sizes, too!), receive it in the mail, and then "wear it, wash it, live in it" for 30 days. If you love it, it's yours for $68. Don't love it? Return it for free, and they will donate it to their charity, Bras for All.

4. Casper

Mattress purchases are challenging, and doubly so if you're buying them online. So Casper makes it easy for you to give it a go. Buy your mattress, have it shipped right to your door, and then sleep on it for 100 days. Don't like it? No problem. They'll come pick it up with no additional cost to you, and they'll give you a full refund. (See also: How to Buy a Mattress in 10 Minutes or Less)

5. Sephora

Making a purchase online or in-store with Sephora? Make sure you take advantage of their generous free sample program to try some new products. When you place an order online, you can add three samples free of charge. In-store, you can ask for a sample of just about anything and they will accommodate you whether you're buying something or not.

I have a Sephora in my neighborhood and every time I've visited, they are more than willing to whip up a sample of anything that interests me. And whenever I do make an in-store purchase, they always toss some samples into my bag as a little surprise. (See also: 15 Smartest Ways to Save at Sephora)

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This article is from Christa Avampato of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How Smart Shoppers Will Save at Amazon's Whole Foods

Christa Avampato — Mon, 11 Sep 2017 09:00:06 +0000

Amazon is looking to repeat its e-commerce success in the grocery vertical. Its recent acquisition of Whole Foods brought sweeping and immediate changes to the notoriously pricey grocery chain by taking a page from Amazon's traditional playbook — slashing prices. Here are details on the price changes that were implemented, and how you can cash in while shopping.

Look for the signs

All over Whole Foods stores, you can now find tags and large signage that clearly explain the recent price drops that Amazon has implemented. The produce market of Whole Foods, opulent and historically expensive, is one of the hallmarks of the chain. It makes perfect sense that Amazon would begin there. Certain varieties of apples have dropped a full dollar per pound, from $2.99 to $1.99. Avocados, which have been extra pricey this summer due to crop shortages in California and Mexico, have dropped, too, from $2.50 a piece to $1.49. Bananas dropped from $0.79 to $0.49 per pound, and lean ground beef dropped from $10.99 per pound to $6.99.

Overall, prices have dropped an average of 43 percent on the store's most popular items. To find the best deals in-store, be on the lookout for these signs and tags.

Lock it up

One of the signature benefits of being an Amazon shopper is a relatively easy return policy on many items. Amazon will start placing Amazon lockers in select Whole Foods locations where you can drop off your packages for easy returns, and also pick up packages that you order if you don't want them shipped to your home. This makes it more convenient for people to shop both brands in one, while having a single location where returns can be managed. (Lockers are ideal for people who aren't home during the day and don't have a doorman to collect their packages. With Amazon Lockers, there is less of a chance of packages being lost or stolen off of your doorstep.)

Shop Whole Foods products from Amazon

Amazon is in the process of adding Whole Foods private label brand items to the website for ordering through Prime Pantry, Prime Fresh, and Prime Now delivery programs. The Whole Foods private label brands include 365 Everyday Value and Whole Foods Market. They have long been touted as the best deals in the store. Now Amazon is elevating them even higher by making them available online.

Become a Prime member

Amazon is crafting big plans to integrate Amazon Prime into the Whole Foods shopping experience to further enrich the Prime program. Jeff Wilke, CEO of Amazon Worldwide Consumer, said in a recent statement that Amazon Prime will become the customer rewards program at Whole Foods and will trigger lower prices and other benefits for Prime members over time. Whole Foods created a pilot customer rewards program of its own in the Philadelphia and Dallas/Fort Worth areas, but it never took off nationwide. Amazon provides an opportunity to change that with a quick solution that already has a large and loyal user base. (See also: 7 Amazon Prime Perks You've Forgotten to Use)

We're in the early days of Amazon's ownership of Whole Foods. What's clear is that the two brands intend to continue co-inventing ways to improve the shopping experience, provide enhanced value to customers, and compete with innovation in a traditional market.

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This article is from Christa Avampato of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

3 Subscription Services Every Traveler Needs

Amanda Gokee — Wed, 19 Apr 2017 08:30:06 +0000

Subscription services are everywhere these days, and some of them are great for frequent travelers. We've compiled a list of convenient ways you can save money through subscriptions that will work whether you're at home or traveling.

Netflix

Since it came out in 1997, Netflix has grown to be an international entertainment giant. And with good reason. While it can be great to watch movies or TV shows from the comfort of your home, Netflix can also travel with you to 190 different countries where you can stream content around the world.

I have personally used Netflix in both France and Mexico. The selection of films and TV shows varies from country to country, but I love having the option to watch Netflix while I'm traveling. First, it gives me the ability to easily watch my favorite shows while I'm abroad, which can be a big comfort when I'm surrounded by a foreign language and culture. But secondly, I also like Netflix in that it is adapted to the local context and offers a good selection of some of the classic and contemporary films from the country I'm visiting.

For instance, in Mexico, there's a very popular Netflix original show called Club de Cuervos, which is about a fictitious soccer team. Having a Netflix subscription made it easy for me to check out local pop culture. Watching local shows is also a great way to practice a foreign language, and you can always turn on the subtitles if you're struggling to understand.

At $7.99 a month for online streaming to one screen in standard definition, a Netflix subscription costs less than one movie ticket and about one-seventh the price of the average cable bill. For that you get a wide selection of movies and TV shows in your home or hotel.

Spotify

One of my favorite subscriptions is Spotify. For a music lover like me, the premium subscription is well worth the price tag. The sign-up offer gives you a month for free, and then it costs $9.99 a month after that. You can save even more money with a student or family subscription.

With the premium subscription, you're freed from advertisements popping up every few songs when you stream, and you get the option to download tracks to your device, which is great for travel. Having the tunes on your phone or tablet saves you the cost of data that you'd need to use to stream songs.

Plus, with either the free or paid versions of the service, you have access to a huge library of music that's more affordable than buying lots of CDs or album downloads.

Amazon Subscribe & Save

If you're spending lots of time away from home, it can be hard to keep up with tasks like keeping the house stocked for when you get back. When you get home from a trip, you'll want to spend time with friends and family, not out buying toilet paper.

Amazon's Subscribe & Save can help by automatically delivering household staples, including groceries, office supplies, and beauty products. You choose the products you want to receive and set up an automated delivery. Deliveries of at least five products on a monthly basis are eligible for discounts of up to 15 percent.

If you normally spend $300 a month on these types of items, that means you're setting yourself up for a monthly savings of $45 and the cost of gas, not to mention the time it takes you to do these errands yourself.

Depending on how often you're on the road, you may need to check in just to make sure you don't end up with a large supply of paper napkins that you don't have space for.

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This article is from Amanda Gokee of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

20 Ways Amazon's Alexa Can Make Your Life Easier

Andrea Cannon — Tue, 28 Feb 2017 10:31:29 +0000

World, meet Amazon's Alexa. Alexa is a personal assistant that comes with the Amazon Echo Dot, Echo Tap, and Echo devices. It works similarly to Siri and can be the assistant you never knew you needed.

What Can Alexa Do?

The smart wireless speaker offers a number of valuable services through Alexa that can really make your life easier. By simplifying daily tasks with Alexa, you can get out the door faster and focus on more important things.

With more than 3,000 available skills, it can take some time to determine which skills are right for your needs. That's why we've highlighted some of the best ways to use Alexa to streamline your life.

1. Check the Traffic and Weather

By being able to check the traffic and weather with ease, you can better prepare for the day ahead.

2. Manage Your Calendar

You can edit your calendar and get reminders of upcoming events with voice commands. You can also create tasks on your favorite to-do app.

3. Find Your Phone

If you've lost your phone, TrackR will help you find it. Simply instruct Alexa to find your phone or ring your phone so you can quickly determine its location.

4. Set a Timer or Alarm

Along with quickly checking the time, you can also set a timer or alarm on the device. You can also set your phone to ring anytime the alarm goes off.

5. Play Music

You can play a song through Alexa or connect to a paid music service like Spotify. You can even instruct it to play certain types of music (such as, "Alexa, play Christmas music") to perfectly set the mood.

6. Get the News

Alexa can read the news or your favorite audiobook to you. She can also answer questions so you can always stay informed.

7. Find Local Hotspots

Alexa can help you find local businesses or restaurants based on Yelp reviews. This can help you get more acquainted with your new neighborhood in no time.

8. Control the Lights

If you have smart lights, you can use Alexa to turn them on and off with your voice.

9. Control the Thermostat

If you have a smart thermostat (like a Nest thermostat), Alexa can adjust the temperature via voice command.

10. Control Your GE Appliances

Once you've connected your GE appliances, you can tell Alexa to do things like preheat the oven when you're ready to cook a meal.

11. Control Your Smart Devices

Once you connect your smart devices (like your TV), you can start controlling them with Alexa. You can turn on the TV, launch Netflix, change the channel, and more. Companies like Ford, Hyundai, and LG have also released smart home appliances, cars, phones, and other electronics that can connect with Alexa to further simplify your life. With the Automatic car adapter addition, you can even track information on your car, such as how much you drove and when you'll need gas.

12. Improve Home Safety

With Alexa, you can lock your doors or turn your home security system on.

13. Update Your Shopping List

By being able to verbally edit your shopping list, you'll never have to worry about forgetting anything again.

14. Buy Something

Of course, you can instruct Alexa to purchase something and she will complete the order on Amazon for you.

15. Order a Ride

You can connect your device with apps like Uber or Lyft to request a ride.

16. Plan a Trip

You can quickly plan and track a trip through the Kayak skill. Who needs a personal assistant when Alexa can do the hard work for you?

17. Find Recipes

Alexa connects to Food Network, My Chef, and All Recipes to help you find the perfect recipes for food or cocktails, so you can plan a tasty meal on the fly.

18. Order Food

Some food companies, like Domino's, have partnered with the Amazon Echo, allowing you to do things like reorder your most recent order, send a new order, or track your current order. You'll always know where your pizza is.

19. Get Fit

Simply instruct Alexa to start a seven-minute workout and she will walk you through the routine. Now, you'll never have an excuse to skip a workout again. You can also connect your Fitbit to better monitor your fitness. And you can get detailed nutritional information from the Food Tracker skill to more efficiently monitor your calorie intake.

20. Connect With Amazon Prime

If you have Amazon Prime, then Alexa makes it seamless for you to take advantage of all the services you are paying for with your subscription, so you get the best value for the money with Prime music, two-day shipping, and a lot more.

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This article is from Andrea Cannon of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Pay with a Selfie: How Safe Are the New Ways to Pay?

Damian Davila — Fri, 17 Feb 2017 10:31:16 +0000

In 2016, more than half of all purchases in the U.S. were made online instead of at a brick-and-mortar store. From selfie-payments to Facebook Messenger bots, there is now a long list of unusual ways that you can pay the water bill or complete your grocery run for the week.

But how safe are these new ways to pay? Let's take a closer look at how some of these new payment methods work, and what you can do to make them even safer.

1. Facebook Messenger Bots

Colorado-based fintech company BillHero was the first to leverage a Facebook Messenger chat bot to pay bills via chat commands. Later on in September 2016, Facebook enabled all of the 34,000 plus developers on the platform to support payments. The social media giant is working with several players in the credit card industry and fintech, including Visa and Braintree, to process all types of payment options.

By opening the gates, Facebook allowed U.S. customers to complete a wide range of other transactions and purchases on Facebook Messenger. In a nutshell: The chat bot lets you know about a product that you might be interested in, and provides a "buy now" button. When you click it, it takes you to a checkout screen with your shipping information and payment method for you to review. Boom! Just like that, you're ready to pay.

But Is It Safe?

Well, Facebook Messenger payment bots are covered by the same level of security as all other Facebook products. All transactions using a Facebook chat bot are encrypted or processed through a trusted third-party payment processor, such as PayPal or Stripe, to protect your payment information, such as your card number or CVV. Also, transaction confirmations from a bot will restrict your information, such as only showing the last four digits of your credit card number.

How to Make It Safer

Your first line of defense starts with your Facebook password. Facebook recommends building a password that has at least six characters and is a complex combination of numbers, letters, and punctuation marks. When a password isn't strong enough, the app will let you know. Also, make your Facebook password different from those you use for your online banking, investing, or retirement savings accounts. (See also: 3 Sneaky Ways Identity Thieves Can Access Your Data)

A second tactic is to turn on login alerts so that you receive an automated alert when someone tries logging in to your Facebook account from an unrecognized device or browser. A third is to require a password or PIN whenever sending money or making payments in Facebook Messenger.

2. MasterCard Selfie Payments

Speaking of passwords, MasterCard believes that they cause too much hassle and presents the option to pay with a selfie. The "selfie pay" technology was first tested in the Netherlands, the U.S., and Canada and will be rolled out gradually across the world throughout 2017.

Through a smartphone app, shoppers can confirm a purchase by taking a selfie and letting the facial recognition software verify their identity. According to MasterCard, 71% of users rated "selfie pay" highly during trials.

But Is It Safe?

To prevent somebody from just holding up a picture of you and getting away with a $1,000 shopping spree, the app requires you to snap the picture after you blink or shake your head. Then, the app compares the selfie with stored algorithms of your face to identify you. During the trials, 73% of users believed that "selfie pay" will reduce fraud and 90% of them would use it in the future.

How to Make It Safer

Since "selfie pay" is still in the process of being rolled out, there's little that we can do as of right now. If taking selfies isn't your cup of tea, MasterCard also plans to provide a fingerprint confirmation option with the app and is currently testing voice and cardiac rhythm recognition.

3. Amazon Dash Buttons

Connected to your home's Wi-Fi, the Amazon Dash Button allows you to reorder many of your favorite products with a simple click. To set up each Amazon Dash Button, you'll need to download the Amazon app on your Android or Apple device, connect the Dash Button to Bluetooth, and also enter your Wi-Fi information. Some Dash Buttons don't support Bluetooth connection, and use your smartphone's Wi-Fi connection or speakers instead.

Currently, the button is only available for Amazon Prime members, costs $4.99, and provides you with a $4.99 credit after your first order. There are hundreds of products to choose from including Charmin, Doritos, Greenies Dog Treats, and Red Bull! Once you click the button, an indicator light will turn green when your order is successfully placed, or red if there was a problem.

But Is It Safe?

A device that connects seamlessly to your Wi-Fi, smartphone, and Amazon account — what could go wrong? While there are plenty of folks that have hacked their own button to do anything from turning on lamps remotely to ordering pizza with one click, there are currently no reports of malicious hackers tapping into another person's Amazon Dash Buttons.

How to Make It Safer

Turn on the "order protection" feature on your Dash Button to prevent a new order from being placed until your prior order is delivered. This way you can prevent your spouse or son from tripling an order of detergent on the same day.

Consider turning on the email notifications of your Amazon orders so that you can cancel any orders that you don't recognize.

And it should go without saying, but set a strong password for your Wi-Fi and update that password at least once a year.

4. Chip Cards

No other new form of payment has generated more discontent from American consumers. From the confusion about swiping or inserting, to the awkward conversation with cashiers while waiting for your card to be processed, there is a list of reasons these metallic chips are considered an annoyance by many.

However, the reality is that chip cards are far from being a new way to pay. They have been reducing fraud in over 130 nations around the world for several years. So, the U.S. is just playing catch-up. As of April 2016, Visa had issued roughly 265 million U.S. chip-enabled credit and debit cards, and MasterCard had upgraded about 70% of its U.S. debit and credit cards to the chip format.

But Is It Safe?

The evidence clearly indicates that chip-enabled cards reduce fraud. Visa has reported that among the U.S. merchants who were suffering the most instances of card fraud at the end of 2014, those that began accepting chip debit and credit cards saw instances of card fraud fall 18.3% as of the fourth quarter of 2015. On the other hand, some of the U.S. merchants who opted not to upgrade payment terminals to process chip cards experienced an increase in instances of card fraud of 11.4% for the same period. (See also: 4 Ways Chip Credit Cards Make Life Easier)

How to Make It Safer

Simple: Opt to use your chip-enabled cards over those without a chip, and choose merchants with chip-enabled payment terminals over those who are still holding out. As with everything else, strength comes in numbers. Only when chip cards have become the norm across the nation can we all reap the enhanced security benefits of chip technology.

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This article is from Damian Davila of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

What You Need to Start Flipping Items for Cash Online

Kentin Waits — Wed, 11 Jan 2017 11:00:09 +0000

Over the past few months, I've shared my love of flipping by sharing easy items to flip for cash and "flippable" knickknacks that can bring in the highest profit. But knowing what to sell is far different from knowing how to sell. With that in mind, let's explore the essentials for getting started in the flipping game. Here are the only nine things you need to make money flipping your stuff.

1. A Smartphone

Even if you're equipped with decades' worth of knowledge about a wide range of items, immediate access to information is crucial. Though I've spent most of my life immersed in the world of antiques, I still rely on my smartphone nearly every time I go picking. Researching recent online sales helps me confirm hunches, learn more about obscure items, decide what's worth buying, and determine the maximum price I can pay. And I can do all of it on the go with my smartphone in hand.

2. A Quality Camera

Though written descriptions are important, great photographs sell products. Invest in a high-quality digital camera and work to develop basic photo-editing skills. Just a few minutes' worth of cropping, adjusting brightness levels, and tweaking contrast ratios can turn so-so snapshots in fabulous photos.

3. An Account With an Online Auction Site

An account or storefront on eBay, Etsy, Amazon, or similar site is the virtual front door of your flipping business — a door that millions of potential buyers can walk through 24/7. While selling locally on Craigslist is convenient for large items, many people are understandably put off by the risks associated with meeting buyers in person. Also, depending on your area, a Craigslist ad may simply not get the same level of attention as a listing on a major auction or retail site. (See also: The 9 Secrets of Highly Successful Craigslist Sellers)

4. A PayPal Account

Though there are competing payment methods, PayPal is the standard for most online transactions. As much as you may want to support the underdog or minimize your transaction fees, make your life (and your buyers' lives) easier by setting up a PayPal account and getting verified. Verified status on PayPal boosts your credibility as both a buyer and a seller, allows you to send and receive money as often as you like, and provides certain seller protections.

5. A Dedicated Space

While not a requirement, a dedicated space for inventory can help serious flippers keep track of what needs to be photographed and listed, what's listed but unsold, and what's waiting to be shipped. Find a walk-in closet or basement corner that you can devote to stock, packing supplies, and other business essentials.

6. Packing and Shipping Supplies

If you're selling primarily online, you'll need a steady supply of boxes, Bubble Wrap, and packing peanuts. To keep my overhead low, I try to source most of this material free from local retailers. Department and grocery stores usually restock shelves in the evening and are more than happy to offload empty boxes that would be destined for the dumpster or recycling bin anyway.

7. A Shipping Account

As an active flipper, you'll likely be shipping packages all week long. Avoid schlepping all those parcels to the post office by setting up a USPS account, paying for and printing your postage at home, and having packages picked up at your doorstep. FedEx Ship Manager and UPS Internet Shipping are similar services that allow you to do the same thing. Whatever option you choose, be transparent. Communicate your shipping charges clearly and make sure buyers understand their options and have accurate tracking information.

8. Basic Customer Service Skills

Just as in the brick-and-mortar world, selling successfully online takes a bit of hand-holding. Inevitably, prospective buyers will have questions, request additional details or photos, and try to get a better deal by throwing lowball offers your way. Channel your inner customer service representative and respond to inquiries quickly and respectfully. Your buyers will appreciate it and remember you when it's time to buy again.

9. An Eye for Trends

Since tastes and styles change quickly, flippers need to stay on top of trends. Particularly if you're selling clothing, antiques, or home décor items, become a student of the world around you. What items are people just beginning to appreciate and collect? What clothing trends are fading away? What parts of the resale market are oversaturated? Once you've tuned into evolving trends, you'll begin to anticipate what's next and discover whole new categories of items you can flip for easy cash.

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This article is from Kentin Waits of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

9 Ways to Use Miles and Points for Holiday Gifts

Carrie Kirby — Fri, 09 Dec 2016 10:00:08 +0000

Although shopping isn't always the best way to get value out of your credit card or other loyalty rewards — international flights and upgrades typically get more punch for the point — there are lots of good reasons to consider spending some points on holiday gifts.

If you're short on cash, tapping your miles and points is an easy way to come through for loved ones without racking up debt. It's a sneaky way to treat a spouse who shares your checking and credit accounts without having a bill for the "gift" arrive in January. Shopping can also be an expedient way to use up small caches of points that might otherwise expire, which should be part of your year-end financial cleanup anyway.

Check out some of these easy ways to turn points into presents under the tree. (See also: 25+ Ways to Save Money But Still Get What You Want During Holiday Shoppin)

1. Shop Amazon With Points

This is so easy that even I, usually a die hard "save points for travel" girl, bought my kids some toys using this method this year. Some credit cards allow you to link your Amazon account directly to easily use points for purchases. Amazon is also a popular vendor in shopping portals. Check your credit card issuer to see if they have a members-only shopping portal that allows you to use points (or earn bonus ones) when you shop with their partners.

2. Buy Gift Cards With Points

Many rewards programs offer gift cards as a redemption option. You can usually exchange your points at a $0.01 rate, so if you have 500 points, you can usually get a $5 gift card to a popular store, like Starbucks, Home Depot, or Banana Republic. Make sure to check whether your gift cards will arrive by mail or email, and if by mail, when they will be shipped.

3. Give the Gift of Travel

If you have a lot of points, you can always use them where you get the best value: airline flights. This is a great gift idea for a loved one you'd like to visit you. Simply use your points to book a ticket in his name. Southwest is a good candidate for this kind of gift, since your recipient can change the flight itinerary at no charge if your proposed travel dates don't work. (See also: Why Southweest Is the Best Domestic Airline for Families)

4. Give Subscriptions

If you have a few points close to expiration, you may have received an offer in the mail to trade points for magazine and newspaper subscriptions. This is a good way to squeeze some value out of miles for an airline you're unlikely to fly, or points from any program where you don't expect to accumulate enough to redeem anything big.

For instance, while 3,200 miles is not enough for even a short flight on American Airlines, it can get you a yearlong subscription to The Wall Street Journal, a $278 value. Through Mags for Miles, you can redeem United, Spirit, and a number of other types of miles for People, Sports Illustrated, or many other titles. This is a particularly good idea for Spirit miles, since they expire quickly.

5. Redeem Points for Merchandise

This usually ends up giving you the worst value for your points, but if it prevents you from actually spending your cash, it can still be worthwhile. Look at your options for points redemption, and you'll usually find a "merchandise" option, which lists gadgets and gifts you can get with your points. If the gift you really want to get is there, or you really wouldn't be able to use the points in a better way, why not?

6. Give Exclusive Experiences

Sometimes Broadway shows, sporting events, and other experience vendors offer exclusive opportunities to cardholders. Members might get offered pre-sale tickets for popular shows or access a VIP experience at a special event. (See also: Once-In-A-Lifetime Experiences I've Earned with Credit Card Rewards)

7. Redeem Points for Cash

Even if your credit card isn't labeled a "cash back" credit card, you may still be able to redeem your points for cash or a statement credit. Sometimes they don't advertise this option, so dig a little into their rewards center to see whether it's an option.

8. Make a Donation

If your giftee is the type of person who would appreciate a charitable donation in their name, many issuers will allow you to donate your points to charities. Check your rewards center for options and availability.

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This article is from Carrie Kirby of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

6 Stocks to Buy Before Black Friday

Mikey Rox — Fri, 18 Nov 2016 10:00:07 +0000

Thinking about playing the stock market to take advantage of the holiday uptick? Consider investing in these stocks to boost your gift-shopping budget. Or, just scrap it all and go on vacation. Merry Christmas to you!

1. UPS

It makes perfect sense that global-shipping giant United Parcel Service [NYSE: UPS] would see a surge in stock prices as the height of shipping season approaches. A recent survey conducted by comScore reveals that online shopping will increase this year — to nobody's surprise — and that only means more business for UPS. According to independent trader and investor Tela Holcomb, UPS stock has risen from early November to early December for nine out of the last 10 years. Given data that even more packages than ever before will crisscross the country this year, 2016 should be a boon for business as well. She notes, however, that stock trends are based on historical data and should not be taken as investment advice; your personal decision on whether to invest should be supported by current stock charts.

2. Amazon

Amazon [NASDAQ: AMZN] has given department stores a run for their money and their stock price shows it. Like UPS, Amazon's stock has a trend of rising from early November to early December, nine out of the last 10 years, with the highest increase being over 11%, according to Holcomb.

3. eBay

If Amazon doesn't have what you're looking for when shopping for gifts, eBay [NASDAQ: EBAY] probably does — which is why each of these platforms continues to perform at peak levels during the holidays. Vic Patel is a professional trader and investor with over 20 years' experience in the Stock, Futures, and Foreign Exchange Markets, and he's particularly bullish about eBay in the short term going into Black Friday.

"Last year, eBay posted a healthy 4% gain from early November leading into Black Friday; I see a similar seasonal tendency for the stock this year as well," he says. "This is especially likely given that the stock has been beaten down a bit over the last few months and is ready for a bounce upwards."

4. Priceline

The holiday period has a stronghold on many industries, including restaurants, retail, and travel. Which is why it stands to reason that during the most traveled period of the year — the day before Thanksgiving through New Year's — travel sites like Priceline [NASDAQ: PCLN] start climbing.

"Analyzing changes in Priceline's stock price shows the stock has a trend of going up the last two weeks of November into the beginning of December," Holcomb says. "With Thanksgiving being the day before Black Friday, it's no surprise their stock is up around this time."

5. Big 5 Sporting Goods

In a year that saw one of the biggest sporting goods store in the United States — Sports Authority — go belly up, it's a surprise (or maybe not, thanks to less competition) to see Big 5 Sporting Goods [NASDAQ: BGFV] projecting gains. But the company, with an e-commerce platform and brick-and-mortars limited to the western U.S., is dazzling investors. In fact, Forward View, an investment research provider, moved the company from a sell rating to a buy rating while increasing its target price to $20, up from $15, based on new modeling.

6. A Few Things You've (Maybe) Never Heard Of

The election of soon-to-be President Trump sent the market into a tailspin leading up to the results, but the Dow bounced back to post a six-day winning streak, closing at a record high despite a tech fall, according to CNBC, with Goldman Sachs [NYSE: GS] and UnitedHealth Group [NYSE: UNH] contributing the most gains. Before the election, however, GoBankingRates predicted a few stocks poised to grow, including Applied Materials [NASDAQ: AMAT], Edwards Lifesciences [NYSE: EW], ARRIS [NASDAQ: ARRS], Lam Research [NASDAQ: LRCX], and Northrop Grumman [NYSE: NOC]. These stocks represent a wide range of industries — from entertainment and communication technology (ARRS) to aerospace and defense tech (NOC) — none of which are tied to the holidays outright. It's sometimes wise to look beyond the obvious.

The General Consensus

Invest in seasonal or holiday-driven companies to make the most out of this time of year. Get in and get out.

"Chances are if you're spending more than usual during the holidays, so is everyone else," says financial expert Dustin Jacobs, VP for marketing at BrightStar Credit Union. "Use this to your advantage by buying stocks in companies that are most profitable during the time between Thanksgiving and New Year's like airlines including JetBlue, retailers like Target and Amazon, and transportation companies such as UPS and FedEx. Do it before the 'January Effect' kicks in and you'll be ready to ring in the New Year with a champagne toast to a temporary bull market."

This article is from Mikey Rox of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

7 Expensive Stocks That Are Totally Worth It

Tim Lemke — Mon, 24 Oct 2016 10:00:10 +0000

So, you want to buy shares of stock from a familiar company, but are surprised to realize that shares are selling for hundreds, perhaps thousands, of dollars. As it turns out, some of the priciest stocks may also turn out to have the best value in the long run.

High prices may be intimidating, but there's no need to fear them. Let's take a look at some of the most expensive stocks, and outline why they may still be worth buying.

1. Alphabet [NASDAQ: GOOGL]

Just one share of the company formerly known as Google will set you back more than $800. But don't look away from a company that has seen shares rise 16% in the last year, and now rivals Apple for the largest company on Earth. Alphabet's price-to-earnings ratio is 30, which is on the high side, but not outlandish for a company with strong revenue growth.

2. Priceline [NASDAQ: PCLN]

Years ago, Priceline shares underwent a reverse split in order to avoid being delisted from the New York Stock Exchange. Now, shares are nearly $1,500 a pop. The popular travel booking company also owns Booking.com and Kayak, among others. Shares are up 12% this year, with analysts indicating the price could top $1,700 a piece.

3. NVR [NYSE: NVR]

At more than $1,500 a share, this homebuilder has one of the highest stock prices around. But shares are actually down about 10% just in the last three months, so a rebound may be in order. The consensus from analysts is that NVR could trade closer to $1,700 by year's end.

4. Amazon [NASDAQ: AMZN]

The world's leading online retailer consistently gets called out for its small profits, and is often deemed overpriced by analysts who look at its eye-popping price-to-earning ratios. But these proclamations have historically been followed by significant run-ups in share price. At more than $800, a share of Amazon isn't cheap. But would you bet against Amazon entering the holiday shopping season?

5. Berkshire-Hathaway [NYSE: BRK]

Do you have $210,000 laying around that you'd like to invest? That's what a single one of Berkshire's Class A shares will cost you. Class B shares are available for mere mortals like us for a mere $144. Is Berkshire too expensive? Buffett has missed some bets over the years, but shares are up about 9% this year, and have averaged a more than 11% annual gain in the last decade.

6. Apple [NASDAQ: APPL]

At more than $117 a share, Apple isn't cheap. And many observers do wonder about the company's path in the post-Steve Jobs era. But this is still the company that makes the most popular smartphone in the world, and no company has a larger market capitalization.

7. Chipotle [NYSE: CMG]

There has been a lot of negative press around Chipotle after e-coli and norovirus outbreaks that sickened hundreds of people. The news sent share prices reeling, but but the company is working its way back. The company is trading at about $395 per share, a relative bargain compared to a year ago, when shares were well above $700. USA Today reported in September that there was "still plenty of upside left in the stock." Assuming the company has a handle on its food safety issues, there may be a profit opportunity with Chipotle.

This article is from Tim Lemke of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

10 Companies With the Highest Paid Interns

Paul Michael — Wed, 28 Sep 2016 10:00:09 +0000

Tell people you're an intern, and most will assume you're either working for free, or barely scraping by. After all, interning is about gaining experience, and that in itself is valuable to the future employee. But tech giants and financial powerhouses are willing to pay big bucks to get the most talented interns. Here are 10 companies that offer some of the highest intern salaries in the U.S. today.

1. Facebook

Currently worth over $350 billion dollars (and expected to one day be worth $1 trillion), Facebook has the money to pay interns well. Glassdoor reports that a Ph.D. software engineer intern can expect to earn around $9,000/month, with a regular software engineer averaging $8,467/month. If you're curious, that equates to over $100,000 per year… for an internship!

Even on the lower end of the spectrum, an analyst intern can make $3,000–$4,000/month, which is still way more than minimum wage. When you consider most interns are still living at home with their parents, it's not a bad gig at all.

Potential Earnings: Up to $9,000 per month

2. Amazon

If you have worked hard enough to earn your MBA, Amazon is a good place for you to get your internship. Glassdoor data shows that an Amazon Summer MBA intern earns $9,053 per month, which equates to over $108,000 per year. Just behind, at $8,934/month, is the product manager intern. And if you look at the list of internship positions and salaries at Glassdoor, you can see that overall, being an intern at Amazon is very lucrative — with dozens of positions reporting between $8,000–$9,000 per month. Considering how massive Amazon is, and how it continues to dominate the way we spend money and consume entertainment, it's clear that the company is investing heavily in talent now to continue this success.

Potential Earnings: $9,053 per month

3. Google

If you're seeing a trend in the high paying tech internships, you're not mistaken. Tech companies are looking for good software engineers, and they're ready to pay big bucks for them. A software engineer intern at Google can expect to earn over $7,000 per month, with some internship positions coming in at $113,000 per year! Of course, you need to be very savvy in the tech industry's most wanted positions; this is not something you can land straight out of college with a sociology degree. But for those with the right skills, the money is there at Google. And it is also famous for treating its employees very, very well.

Potential Earnings: $7,152 per month

4. Citigroup

According to Glassdoor, the top paid interns at Citigroup are earning up to $116,000 per year, which is equates to $9,667/month. If you're wondering what kind of work that entails, these two words should sum it up nicely — Wall Street. At Citigroup, money is everything, and everything is about making money. Interns who are seeking roles in investment banking, private equity, hedge funds, and asset management, are richly rewarded for their efforts. At the lower end of the spectrum, summer analyst interns can make anything from $17 an hour, all the way up to $25 an hour, which is still nothing to be sniffed at.

Potential Earnings: $9,667 per month

5. Snapchat

It's an app that is dominating the social media world, and the company behind it is making news for its internship programs. As hard to believe as it is, Snapchat not only pays interns up to $10K a month, but it adds an additional $1,500 per month for housing expenses! As that is usually the biggest expense any of us have to pay, the interns at Snapchat have the bulk of that $120,000 annual salary to spend on pretty much whatever they want. If this is making you think about re-evaluating your career choices, you're not alone.

Potential Earnings: $10,000 per month (Plus $1,500/month for housing)

6. Two Sigma

If you haven't heard of Two Sigma, you will soon. And the reason they top the list of intern salaries, by quite a margin if you include the monthly housing reimbursement (and additional $5,000 relocation expenses), is that they are at the intersection of technology and finance. Two Sigma is an investment management firm that uses science and technology to make people some serious money. What's more, they're currently hiring for over 80 positions at the their offices in New York, Houston, London, and Tokyo. If you're in the business of software engineering or trading, you may want to hit them up.

Potential Earnings: $10,400 per month (Plus $5,000 per month for housing)

7. Pinterest

Coming in at more than Facebook and Google, Pinterest is offering a combined $11,040 per month ($132,480 a year) to interns who have a talent for, you've guessed it, software engineering. Described as a "catalog of ideas" by CEO Ben Silbermann, Pinterest was started in 2010 and is relatively new to be a giant in the app scene. Certainly, it's not as ubiquitous as Facebook, Google, and Twitter, and yet it is forking over more than all of them to acquire top intern candidates. And as it is located in both New York and California, that $3,000 a month to help with housing is definitely a huge plus.

Potential Earnings: $8,040 per month (Plus $3,000 per month for housing)

8. Palantir

The intern position of forward deployed engineer pays a hefty $8,172 per month at Palantir; and if you know what that position actually does, you're already way ahead of most of us. Another tech firm that values software engineers, Palantir has been rewarding its interns with big salaries for many years now. Founded in 2004, this software firm specializes in big data analysis, and originally had a client list comprising of federal agencies of the U.S. Government. In 2014, Forbes maintained that Palantir was "among Silicon Valley's most valuable private technology companies." It is headquartered in Palo Alto, CA.

Potential Earnings: $8,172 per month

9. Quora

Not unlike Google, Quora is a search engine that delivers results based on the questions you ask. And as it's a tech firm, you know by now what the highest paid interns there are doing: software engineering. A typical intern in this position at Quora can expect upward of $8,000 per month, but there are also positions in product design, data science, and product management. The company appears to have an excellent culture, too, with great employee feedback and solid growth.

Potential Earnings: $8,086 per month

10. Groupon

Famous for giving people great deals on everything from window tinting to adventure holidays, Groupon is an app most of us have on our phones. After all, who doesn't like saving money? But when it comes to interns, Groupon is ready to splash it around, paying $8,000 per month to software engineers, and upward of $7,000 per month to product managers. On the lower end of the scale, business analyst interns can get around $3,000 per month. Full-time employees of Groupon reportedly get unlimited vacation time, although taking months off at a time would probably not serve you well.

Potential Earnings: $8,000 per month

Salary data found on Glassdoor.

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This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

6 Strange Ways Online Shopping Has Changed the World

Mikey Rox — Tue, 27 Sep 2016 10:30:06 +0000

If you prefer online shopping to in-store purchases, you're not alone. According to Business Insider, about 78% of the U.S. population age 15 and older fancies themselves a few clicks and a quick checkout when buying something new. While that's all well and good — and incredibly convenient — this new American pastime does have its downsides. Check out a few of these strange ways online shopping has changed the world — not necessarily for the better. (See also: 8 Ways Retailers Use Big Data to Track You)

1. Consumer Reviews Can Make or Break a Product

Before online shopping became commonplace, consumers had few ways to learn about the pros and cons of a product. They could rely on word-of-mouth if someone they knew had purchased the same item, or they could listen to what the media said about it, perhaps on consumer-related nightly news piece or in magazines, like Good Housekeeping. Because information on how well — or not well — a product worked was sparse, consumer unhappiness was limited. Retailers were relatively safe from gaining a poor reputation unless its products were outright duds that caught attention en masse. But that all changed with online shopping, which gave consumers the voice they had been looking for. Today, reviews of a product are trusted more than personal recommendations, according to research. In fact, a whopping 92% of consumers trust online reviews as much as they would a friend or family member, or perhaps even more.

2. There Are No True Holidays Anymore

Remember when we were kids and holidays like Thanksgiving and Christmas meant that virtually no retail stores would be open? We'd drive through town on the way to our relatives' house for supper and there was nary a car in any of the stores' parking lots. That's all changed thanks to online shopping, much to many people's dismay. Each year, it seems, Black Friday hours are pushed earlier and earlier, creeping into Thanksgiving, with some stores opening on Thanksgiving Day even. Last year, Kmart said to hell with the entire holiday and opened at 6 a.m. the fourth Thursday of November, the earliest among major retailers. It was beat out by one other chain, however, though not a competitor: Victoria's Secret opened its doors from 12 a.m. to 12 a.m. Thanksgiving Day (a full 24 hours!), because, ya know, who isn't in the mood for sexy lingerie after stuffing themselves silly with turkey and mashed potatoes?

3. Shopping Malls Are Becoming Ruins

Shopping malls were huge in the 1980s and '90s, so much so that they defined an entire generation. But by the 2000s, attendance at malls around the country started to dwindle. Many factors have contributed to the decline (not the least of which was that they had become locales of violence), including the rise of online shopping. Bustling hubs of commerce and social activity that once stood proud are now in ruin, relics of the past that serve as a stark reminder that American life isn't what it used to be.

"Dozens of malls have shuttered since 2010, with hundreds more on the brink," says Benjamin Glaser, features editor with DealNews. The few shopping centers that have been built in the last decade usually aren't traditional, enclosed malls, but larger complexes with a wider dining and entertainment options, and often open-air areas. To compete with online shopping, brick-and-mortar retailers are trying to create experiences.

This fate doesn't paint a pretty picture of what was left in the wake of the downturn or for current mall owners. Those that have already heard its final cash register cha-ching now look like sets for The Walking Dead, and those that still exist are being murdered by debt.

4. Dog Bites Have Increased

Family dogs and mail carriers have had a rocky relationship for decades, but recently our friendly canines have been acting out in droves — all because that pesky USPS employee is stopping by more often with your online packages.

According to AdAge, dog bites were up 14% last year, reaching a total of 6,549 incidents. The most attacks were in Houston, which had 77, while San Diego and Cleveland clocked in at 58 each.

5. Identity Theft Is Out of Control

Before online shopping became everybody's go-to method of buying everything from clothing to groceries, it was difficult for an identity thief to target a large amount of data. Sure, your credit card could be stolen by a single thief and charged up until the bank caught wind of suspicious activity, but the consequences pale in comparison to a million-accounts data breach that could throw your entire life out of whack. USA Today reports that credit-card data theft has increased 50% from 2005 to 2010, according to the U.S. Department of Justice. Likewise, because your credit card numbers can be worth hundreds of dollar a piece to resellers — the number of malicious programs written to steal your information has grown from about 1 million in 2007 to an estimated 130 million today. So basically, no one is safe, and you should take even more precautions — like not storing your credit cards with retailers online — to avoid becoming a victim.

6. Some Online Orders Are Now Being Delivered by Drones

Future moving too fast for you? Then you won't be elated to hear the news that drones may start arriving at your home or office to deliver your online shopping orders. Yep, flying robots are entering the friendly skies all over the world, and they could be landing in your front yard soon if Amazon has its way. Its PrimeAir program is gearing up for its first consumer flights that promise to deliver packages in 30 minutes or less. China and Australia have already implemented similar services, which has its benefits, especially to those in hard-to-reach rural areas, or for medical purposes, but we can all probably agree that nobody needs their piping-hot burrito dropped from the sky.

This article is from Mikey Rox of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Flashback Friday: 49 Smartest Amazon Hacks That Will Save You Big

Chrissa Hardy — Fri, 26 Aug 2016 10:00:07 +0000

According to recent data, Amazon's net revenue for 2015 was over $100 billion in the U.S. alone. And I'm only responsible for half of that.

It's an online retail powerhouse for a reason. It offers convenient shipping options, low prices, and a selection of virtually everything you've ever wanted to buy. But as a regular Amazon shopper, it's important to know some tricks on how to save even more on every purchase.

Here are the 49 smartest Amazon hacks we've ever shared.

These Secrets of Amazon's Pricing Strategy Will Help You Find the Best Buys — It's easy to believe that Amazon wants their customers to always get the best deals because they treat us so well! But it's a business like any other, so they're out to make money. Knowing their pricing strategy will make you a much smarter shopper though, and will enable you to track down all the best deals.

16 Amazon Deal Hacks You May Not Already Know — You might be a proud Prime member, but are you getting the most out of Amazon's services? You can score free books, get free delivery on groceries with a trial membership to Prime Pantry, and so much more!

10 Things You Should Always Order on Amazon — Sometimes it'll be hard for Amazon's low prices to beat those at Target and Wal-Mart, but pet food and diapers are just two of the items that Amazon will always have better prices on.

7 Ways to Make Amazon Pay YOU! — You might be spending lots of money as an Amazon shopper, but with these brilliant tricks, you can actually make Amazon pay you. And there are few things greater than getting money from your favorite retailer.

5 Little Known Amazon Shopping Hacks — Amazon's customer service might be the best around, because they are constantly trying to keep their customers happy. If you need an item to be replaced, or would like a free prime extension, it's worth it just to ask.

7 Amazon Prime Perks You've Forgotten to Use — Free two-day shipping isn't the only benefit Prime members get to enjoy. So get the most of that annual membership fee and try out their unlimited data storage, early access deals, free video streaming, and more!

What are some other Amazon shopping hacks? Share with us!

This article is from Chrissa Hardy of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Should You Borrow Student Loan Money From Amazon Prime?

Ashley Eneriz — Wed, 24 Aug 2016 10:00:08 +0000

Amazon Prime has several money-saving benefits for students, including discounted student memberships and textbook rentals. Now, Amazon Prime is offering discounted student loans to its list of perks.

Hold up — Amazon is selling student loans right alongside a yodeling pickle and unicorn meat? Is that even legal?

Amazon is not the actual lender of these loans. Instead, Amazon is partnering with Wells Fargo to offer Student Prime members loans at a discounted rate of 0.5%.

Is There a Catch?

Both Amazon and Wells Fargo are for-profit businesses that are continually looking for creative strategies to increase profits. It was a smart move for both companies, since Amazon will be able to use this perk to increase student prime membership to $49 a year, while also gaining free media coverage. Wells Fargo also benefits from being connected to the largest e-commerce business and its loyal customers.

The partnership will allow the bank to have better access to student consumers who can be targeted for many banking products. Overall, it is a win-win partnership for both companies, but will these loans actually benefit borrowers?

Are Student Loans Through Amazon a Good Deal?

Don't get too distracted by the discount Amazon is offering. The loan is still a private student loan through Wells Fargo. Private loans are not eligible for debt forgiveness programs like many federal loans, and sometimes federal loans even have better rates.

Private student loans shouldn't be your first choice when seeking to finance a college education. Students should exercise all of their options before driving into debt, including the following:

Federal aid through FAFSA;
Scholarships;
Grants;
Accomplishing the first two years of their degree at a community college;
Choosing a state university rather than a private university;
Work-study programs;
Employment tuition reimbursement programs;
Paid internships.

After all of these options are exhausted, then it is best to apply for federal student loans, which have more flexible payment options after graduation. Of course, federal loans have limits on how much a student can borrow, which is why many students turn to private loans.

The Problem With Amazon's Student Loans

Don't be blinded by a discounted interest rate. The 0.5% discount is subtracted from Wells Fargo's usual rates, which are not the lowest among private lenders.

Many credit unions will offer discounted rates for being members and enrolling into autoplay, so if private loans are something you are considering, shop around before settling for the Wells Fargo loan.

What You Need to Know About Private Student Loans

After graduation, many uncontrollable issues can come up. For example, graduates can struggle getting a job, make less than they expect, or even have a period of illness or disability that does not make work possible. Graduates with federal loans are granted forbearance or deferment. Federal loans can also be eligible for income-based repayment plans to make the monthly payments affordable for each borrower.

Many private lenders have forbearance programs in place for cases of unemployment or disability, but acceptance to the program is dependent on the lender. Also, most private lenders will limit the duration of forbearance for unemployment and some might even charge forbearance "fees." And income-based repayment programs are limited to federal loans.

Is foregoing these benefits a risk you're willing to take?

UPDATE (September 02, 2016)

Just six weeks after announcing their partnership, Amazon and Wells Fargo have ended their private student loan program. Although specific reasons were not given, the end of the partnership was announced shortly after Wells Fargo revealed it had agreed to pay a $4 million penalty to the Consumer Financial Protection Bureau in response to allegations of illegal student loan servicing practices.

For more information about private student loans and how to find the best financing for your college degree, please see the following helpful articles:

What do you think of Amazon and Wells Fargo's partnership to offer discounted student loans?

This article is from Ashley Eneriz of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread: