Protecting our Northern Border and supporting Selfridge

Protecting our Northern Border and supporting Selfridge

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Friend ­­––

Selfridge Air National Guard Base plays a key role in keeping our nation safe. I’m working hard in the Senate to build on Selfridge’s unique capabilities and strengthen its position for the future.

A key part of my efforts is ensuring that the Department of Homeland Security personnel who support the Northern Border security operations out of Selfridge have the resources they need to do their jobs effectively and efficiently. That’s why I made it a priority to secure $3 million to establish and operate a Northern Border Coordination Center at the base through my role on the Senate Appropriations Committee.

The new center will coordinate DHS activities and information across the Northern Border and facilitate engagement between DHS and key border security partners. It will also support training and cutting-edge border security technology testing. Simply put: The Northern Border Coordination Center will make Selfridge indispensable to prioritizing security efforts for our entire Northern Border.

 

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This investment, along with the KC-46A tankers I obtained for Selfridge earlier this year, will put the base in a strong position for years to come. But I know there’s still more that must be done, including securing a future fighter mission for Selfridge’s retiring A-10s.

I’m going to continue doing whatever I can to ensure that Michigan — and Selfridge — remain at the forefront of our nation’s homeland and national security missions.

 

Thanks for reading,

Gary Peters
United States Senator for Michigan

AG Nessel: Re-Issue of Cryptocurrency Alert

AG Nessel: Re-Issue of Cryptocurrency Alert

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FOR IMMEDIATE RELEASE:

April 8, 2024

Media Contact:
Danny Wimmer

AG Nessel Continues Recognition of Financial Literacy Month with Re-Issue of Cryptocurrency Alert

LANSING – In her quest to ensure that Michigan consumers are as informed as possible, Attorney General Dana Nessel has re-issued her alert, Cryptocurrency! What is it? What are the Risks? to highlight this speculative asset during Financial Literacy Month.

Before investing in cryptocurrencies, it is important to understand what they are and how they relate to fiat currencies. Fiat currencies, such as the dollar, are what we typically think of as money. Fiat currencies are managed by a nation’s central government. Cryptocurrencies are a form of digital currency, managed by either a private enterprise or algorithm, and function as digital cash that allows direct transactions between users. Cryptocurrencies are often touted as investment vehicles. Unlike traditional investments, such as stock and bonds, cryptocurrencies often lack underlying value, and investors have no legal recourse if their investment fails or if they fall victim to fraud. There is no way to reverse a cryptocurrency transaction.

While many see cryptocurrencies as an investment opportunity, potential investors should be aware of the perils involved in investing in cryptocurrency. According to the Federal Trade Commission (FTC), more than 46,000 people have reported losing money in cryptocurrency scams totaling over $1 billion in losses. This number is 60 times what it was in 2018.

Those statistics, along with the fact that cryptocurrencies are highly volatile assets, make them risky and likely to attract scammers. These scammers will often exploit the anonymity of cryptocurrency transactions to defraud investors.

According to the FTC, of the reported losses from cryptocurrency fraud since 2021, $575 million involved fraudulent investment proposals. In order to induce consumers to part with their crypto, investment fraudsters promise large profits and adapt old tricks to the new world of cryptocurrency. For instance, websites and applications that purport to track the progress of investors’ cryptocurrency are sometimes completely fake. Some investors are able to make small “test” withdrawals from the sites, but are not allowed to cash out unless they submit further cryptocurrency as “fees.” Or the scammer may tell the investor they have to pay an upfront fee or tax to withdraw their money.

“During Financial Literacy Month, it’s crucial to understand the risks associated with cryptocurrency,” Nessel said. “While it is often portrayed as a lucrative investment, the reality is far from glamorous. Cryptocurrencies are volatile, susceptible to scams, and lack the regulatory protections of traditional investments. Investing in cryptocurrency should be approached with caution and a thorough understanding of the risks involved.”

AG Nessel’s cryptocurrency alert advises potential investors to:

  • Do your research.
  • Be wary of high-pressure sales tactics or promises of quick returns.
  • Don’t invest out of fear of missing out or because a celebrity has endorsed the product.
  • Never invest more than you can afford to lose.
  • Remember: If it seems too good to be true, it probably is.

The Federal Trade Commission (FTC) recommends that you steer clear of anyone who:

  • Demands payment in cryptocurrency – no legitimate business will insist on this kind of payment, but most scammers do because of its lack of protections;
  • Guarantees profits or big returns – this should always be a red flag because investments have some element of risk; or
  • Tries to mix online dating and investment advice – anyone on a dating app who tries to entice you into investing in cryptocurrency or asks you to send them cryptocurrency is a scammer.

This month is meant to shine a light on the critical role personal finance plays in providing us with the financial freedom to take control of our lives and keep up with the world’s changing financial landscape. Protect yourself by being vigilant and informed in your investment decisions.

Making the path to financial literacy a lifelong pursuit is a step in the right direction.

You can report cryptocurrency fraud on the FTC’s website. To file a complaint with the Attorney General, or get additional information, contact:

Consumer Protection Team
P.O. Box 30213
Lansing, MI 48909
517-335-7599
Fax: 517-241-3771
Toll-free: 877-765-8388
Online complaint form

$250 Million to Support 1,117 New Homes Statewide

$250 Million to Support 1,117 New Homes Statewide

Governor Whitmer Header

FOR IMMEDIATE RELEASE

April 4, 2024

Contact: [email protected]

 

Gov. Whitmer Announces $250 Million to Support 1,117 New Homes Statewide

Latest 9% awards advance Statewide Housing Plan through 22 investments in communities from Detroit to Escanaba

 

LANSING, Mich.  – Today, Governor Gretchen Whitmer joined the Michigan State Housing Development Authority (MSHDA) in announcing significant new investments through Low-Income Housing Tax Credits (LIHTC) awarded to 22 new construction and rehabilitation housing projects in 14 communities across the state.

 

“Housing is about so much more than a roof over your head—it’s the foundation for success at school, work, and in the community,” said Governor Whitmer. “These investments will create more than a thousand new homes, expanding supply and driving down costs for working class Michiganders. This year, we are working together to make the largest investment to build housing in Michigan history, driven by our simple philosophy of ‘build, baby, build’. Building more affordable housing also creates thousands of good-paying jobs in the trades for pipefitters, carpenters, bricklayers, and roofers. Let’s keep leading the way on housing.”

 

LIHTCs are federal tax credits administered through MSHDA following a competitive application process. Developers who receive Low-Income Housing Tax Credits can claim credit against their tax liability annually for up to 10 years. This 9% LIHTC round is awarding $25,065,677 of tax credits, with a total value over the next 10 years of about $250 million. The 22 projects will create 100 permanent jobs, support 1,473 temporary jobs, and generate a total development investment of over $300 million. The projects include at least 1,117 new rental homes, 1,056 of which will be affordable.

 

“These investments will drive our state forward toward another record-setting year in the construction and rehabilitation of new homes for Michiganders,” said Tony Lentych, MSHDA Chief Housing Investment Officer. “We will continue moving quickly with solutions, but we can’t do it alone. We’re grateful to our partners in development and construction for making these deals happen, helping build communities our neighbors are proud to call home.”

 

“This is incredibly welcome news for our community. All across our region in Northern Michigan, there is a lack of affordable housing, which has wide-ranging impacts on our local workforce and economy. That’s why expanding our affordable housing stock has been one of my top priorities while in office,” said state Rep. Betsy Coffia (D-Traverse City). “I’ve introduced legislation alongside my colleagues that would help MSHDA create more opportunities for people across Michigan to find a home they can afford. The awards announced today are just the beginning.”

 

“Access to affordable housing in Flint is crucial, and with this announcement by the governor, new investments are on the way, making it happen,” said state Rep. Cynthia Neeley (D-Flint). “This opportunity will liven up the historic Marian Hall, the 43 new units will become cozy homes for those who need them. Affordable housing throughout Michigan is in dire demand, and I’m glad there is an opportunity to help address that need in my community.”

 

“Developing new housing options of all types is critical to the growth and overall success of our community. Housing costs are the largest part of most household budgets, and we know that Michigan renters spend more than a third of their paycheck on their rent alone,” said state Rep. John Fitzgerald (D-Wyoming). “Today’s announcement will help to bring quality, financially accessible housing to many in our community, helping attract talented people to the area, create new businesses, and build a community people love to be a part of.”

 

“Investments in housing are investments in a community’s heart and soul, and I commend Gov. Whitmer and MSHDA for their dedication to addressing the housing needs of Michiganders. The $700,000 investment in Elmtree Ewald 3 is a lifeline for my constituents, making sure our community members can find homes and build brighter futures,” said state Rep. Helena Scott (D-Detroit). “Affordable housing isn’t just about roofs; it’s about stability, opportunity and dignity. I’m proud to support efforts that make Detroit stronger and more inclusive, where anyone who calls our city home has a place here.”

 

“People all across the state deserve affordable housing; they deserve options; they deserve pathways to ownership; and more,” said state Rep. Will Snyder (D-Muskegon). “These grants will create good-paying jobs, help seniors live independently and help people afford their own place. I’m excited for what this means for Muskegon. The State is demonstrating that affordable housing should be treated as a necessity, not a luxury.

 

“After years of hard work by many strong Battle Creek partners, families finally can begin rediscovering the Kalamazoo River waterfront,” said state Rep. Jim Haadsma (D- Battle Creek). “This housing plan along with the re-naturalization of the nearby concrete channel means families will be living, working and shopping in the area again soon.”

 

LIHTC AWARD RECIPIENTS:

 

Allen Crossing, Muskegon – Credit Award: $1,466,874

This project is being developed by Spire Development, Inc, the Muskegon Housing Commission and Little River Development, Inc and will create 45 units of affordable housing in Muskegon for older adults. Eight of these units will carry project-based rental assistance from the Muskegon Housing Commission. In addition, 15% of the units will carry a preference for older adult households with tenant-based rental assistance. The project is expected to create two permanent and 68 temporary jobs.

 

Meadowbrook Apartments, Escanaba – Credit Award: $366,100

This project is being developed by UPCAP Services, Inc. and Cove Investments, LLC and will rehabilitate 32 units of existing housing in Escanaba. All 32 units carry rental assistance from the USDA Rural Development. The project is expected to create two permanent and 51 temporary jobs.

 

Shea Ravines, Wyoming – Credit Award: $1,650,000

This project is being developed by Woda Cooper Development, Inc.  and Cherry Street Services, Inc and will transform land near Cherry Health in Wyoming into 56 units of affordable housing. Twenty of these units will be set-aside for supportive housing with vouchers from the Grand Rapids Housing Commission. Fifteen percent of the units at the project will carry a preference for households with tenant-based rental assistance. The project is expected to create two permanent and 62 temporary jobs.

 

Brewster Wheeler I, Detroit – Credit Award: $1,489,900

This project is being developed by MHT Housing, Inc. and Kirsten’s Touch and will construct 53 units of affordable housing; it is the first phase of a multi-phase development that re-develops the Brewster Wheeler Recreation Center site. Eight of these units will receive vouchers from the Detroit Housing Commission. Fifteen percent of the units at the project will carry a preference for households with tenant-based rental assistance. The project is expected to create two permanent and 75 temporary jobs.

 

Brewster Wheeler II, Detroit – Credit Award: $1,489,900

This project is being developed by MHT Housing, Inc. and Kirsten’s Touch and will construct 53 units of affordable housing; it is the second phase of a multi-phase development that redevelops the Brewster Wheeler Recreation Center site. Eight of these units will receive vouchers from the Detroit Housing Commission. Fifteen percent of the units at the project will carry a preference for households with tenant-based rental assistance. The project is expected to create two permanent and 75 temporary jobs.

 

Brewster Wheeler III, Detroit – Credit Award:

$1,489,900 This project is being developed by MHT Housing, Inc. and Kirsten’s Touch and will construct 53 units of affordable housing; it is the third phase of a multi-phase development that redevelops the Brewster Wheeler Recreation Center site. Eight of these units will receive vouchers from the Detroit Housing Commission. Fifteen percent of the units at the project will carry a preference for households with tenant-based rental assistance. The project is expected to create two permanent and 75 temporary jobs.

 

Wills Manor, Marysville – Credit Award: $1,489,497

This project is being developed by Cove Investments and the Marysville Housing Commission and will construct 48 units of elderly affordable housing. Eighteen of these units will receive vouchers from the Port Huron Housing Commission and five of these units will be mixed-finance public housing units undergoing the Faircloth-to-RAD process. Fifteen percent of the units at the project will carry a preference for households with tenant-based rental assistance. The project is expected to create two permanent and 117 temporary jobs.

 

Elmtree Ewald 3, Detroit – Credit Award: $700,000

This project is being developed by Ginosko Development Company and Century Partners LLC and will rehabilitate 67 units of affordable housing. Thirty-five of these units will receive project-based rental assistance with the preservation of a current Housing Assistance Payment (HAP) contract from the U.S. Department of Housing and Urban Development that is currently in jeopardy of being terminated. The project is expected to create 29 temporary jobs during the construction period.

 

The Bridge II, Detroit – Credit Award: $1,650,000

This project is being developed by The Community Builders, Inc and Tribe Development Holdings LLC and will construct 31 units of affordable housing and 11 units of market-rate housing in the 9% phase and will construct 66 units in the 4% phase. Eight of these units in the 9% phase will receive vouchers from the Detroit Housing Commission. Fifteen percent of the units at the project will carry a preference for households with tenant-based rental assistance.  This development is in a Choice Neighborhood. The project is expected to create eight permanent and 100 temporary jobs.

 

Clarendon Glen, Clare – Credit Award: $264,088

This project is being developed by CRA Development Group, LLC and Cove Investments and will preserve 24 units of affordable housing. The development will feature 12 one-bedroom and 12 two-bedroom units targeted to residents at or below 60% Area Median Income (AMI). Of the 24 units, 15 will receive project-based vouchers through the United States Department of Agriculture (USDA) Rental Assistance program. Additionally, at least 15% of the available units at the development will carry a preference for households with tenant-based rental assistance. The development is expected to create 39 temporary jobs during the construction phase.

 

East Bay Flats, Traverse City – Credit Award: $788,000

This project is being developed by Goodwill of Northern Michigan and TJ Acquisitions and will create 64 units of Permanent Supportive Housing. The development will feature 13 studio and 51 one-bedroom units. Each unit will receive rental assistance from MSHDA and will target clientele to include persons meeting HUD category 1 or 4 homelessness definition and are in the top 10% of the Local CoC Prioritized List. Construction of the project is expected to create 52 temporary jobs with an additional 14 permanent jobs created once the project is completed.

 

Village North II, Gladwin – Credit Award: $785,000

This project is being developed by DeShano Development Corporation and is the second phase of the Village North project. This second phase will create 29 new units of affordable housing in the City of Gladwin. The development will feature one, one-bedroom and 22 two-bedroom units; as well as six three-bedroom townhouses. These units will be targeted to residents earning below 60% (AMI) with seven units reserved for tenants earning below 30% AMI and one unit reserved for a tenant earning below 20% AMI.  The project is expected to create local construction jobs during its development.

 

VOA St. Mary, Detroit – Credit Award: $1,650,000

This project is being developed by Volunteers of America Michigan and Cove Investments, LLC. The project is an adaptive reuse of the historic St. Mary of Redford Catholic Church School Building to create 44 units of Permanent Supportive Housing. This project is the 9% LIHTC phase of a combined 4%/9% LIHTC project. The 4% LIHTC phase is expected to create an additional 17 units of supportive housing for a total of 66 units. The overall project will feature nine studio, 48 one-bedroom and four two-bedroom units. The 9% phase of the project will feature 34 units of rental assistance from MSHDA and the remaining 10 units will feature HUD-Veterans Affairs Supportive Housing (VASH) rental assistance. Development of the project is expected to create 1.5 permanent and 146 temporary jobs.

 

Whispering Pines II Apartments, Pinconning – Credit Award: $169,710

This project is being developed by DeShano Development Corporation and is the second phase of the Whispering Pines Apartments project. This second phase will preserve 16 units of affordable housing. The development will feature eight one-bedroom and eight two-bedroom units targeted to residents at or below 60% AMI. Of the 16 units, 10 will receive project-based vouchers through the USDA Rental Assistance program. The project is expected to create several temporary jobs during the construction period.

 

West Shore Apartments, Whitehall – Credit Award: $559,409

This project is being developed by Dwelling Place of Grand Rapids and Little River Development LLC and will rehabilitate 48 units of affordable housing in Whitehall. Forty-two of the units will receive project-based rental assistance with the preservation of the USDA RD units while additional units will carry a preference for households with tenant-based rental assistance. The development is expected to create 59 temporary jobs during the construction phase.

 

Lofts of Muskegon, Muskegon – Credit Award: $1,650,000

This project is being developed by Pivotal Development LLC, Muskegon Housing Commission, and Little River Development LLC and will create 46 units of affordable housing in Muskegon. Eight of these units will receive project-based rental assistance from the Muskegon Housing Commission. Fifteen percent of the units at the project will carry a preference for households with tenant-based rental assistance. An estimated 125 to 175 temporary construction jobs and two permanent jobs will be created by this development.

 

Blue Light, Battle Creek – Credit Award: $1,650,000

This project is being developed by Edison Community Partners, LLC and will create 48 affordable as well as 48 market rate units in Battle Creek. A minimum of 15% of the units will be reserved for households that receive tenant-based rental assistance. This is a strategic first phase of multiple planned phases of development to support several local plans for revitalization in Battle Creek. Approximately 80 temporary construction jobs and 25 permanent jobs are expected to be created by this development.

 

Riverview Flats, Owosso – Credit Award: $1,500,000

This project is being developed by Venture, Inc, Capital Area Development, LLC, and Cove Investments, LLC and will create 53 units of affordable housing in Owosso. Eight of these units will receive project-based rental assistance from the Shiawassee Economic Development Partnership. Fifteen percent of the units will be prioritized for use by households receiving tenant-based rental assistance. An estimated 85 temporary construction jobs and 23 permanent jobs will be created by this development.

 

Kalrecovery, Kalamazoo – Credit Award: $1,214,700  This project is being developed by Edison Community Partners, LLC and will create 46 units of affordable housing in Kalamazoo. All 46 affordable units are designated as supportive housing with vouchers from MSHDA. An additional two units will be constructed for support staff to reside on-site. The supportive housing will be set-aside as recovery housing; taking tenant referrals from Michigan’s problem-solving court system which provides alternatives to imprisonment for nonviolent criminal offenders with substance use disorders and mental illnesses. Approximately 83 temporary construction jobs and six permanent jobs are expected to be created by this development.

 

Jefferson Avenue, Detroit – Credit Award: $1,650,000  This project is a collaboration between CHN Housing partners and TRIBE Development, two entities committed to creating positive change in the community. It entails the construction of 52 affordable housing units in Detroit. Eight units will be supported by project-based vouchers from the Detroit Housing Commission, while 15% of the units will be preferred for households with tenant-based rental subsidies. The contractors intend to employ 75 temporary employees during the project’s construction period. Two permanent positions will be created after construction.

 

Marian Hall, Flint – Credit Award: $1,167,417   A collaboration between Communities First, Inc. and North Flint Development LLC, this project is an adaptive reuse that will turn the historic Marian Hall building into 43 new affordable units. Seven units will be supported by project-based vouchers from the Flint Housing Commission, and at least 15% of the units carrying a preference for households with tenant-based rental assistance. The contractors intend to employ 51 temporary employees during the project’s renovation. After construction, there will be four permanent positions.

 

Bridgeview III, Detroit – Credit Award: $234,861  This project is a joint venture between the Church of the Messiah Housing Corporation and Capital Area Housing Partnership. It involves rehabilitating 22 units of scattered-site housing. Bridgeview III has set aside four units for households with tenant-based assistance who receive referrals from the local or housing agency in the municipality or county. This project will create 28 temporary jobs during the renovation period.

Filing deadline approaching for candidates

Filing deadline approaching for candidates

FOR IMMEDIATE RELEASE
April 04, 2024
Contact: Cheri Hardmon
(517) 643-7236

Filing deadline approaching for candidates seeking office in 2024 elections

LANSINGMich.– April 23 is the filing deadline for certain candidates seeking office in 2024 to appear on the Aug. 6 primary ballot. Candidates must submit their filing paperwork by 4pm.

The April 23 deadline applies to the following:

  • Nominating petitions and non-incumbent Affidavits for Court of Appeals, Circuit Court, District Court and District Probate Court.
  • Nominating petitions and Affidavits for partisan candidates for state House of Representatives, U.S. Congress, and U.S. Senate.

All probate judge candidates, some U.S. House of Representatives, and some House candidates, whose districts are wholly contained in a county, must file with their county clerk, not the Bureau of Elections. To verify which candidates must file with their county clerk, view this list online.

The Bureau of Elections recommends that candidates filing at the state level set up an appointment through the Michigan Secretary of State online appointment system.

 

More information is available online or by emailing MDOS-File-Canvass@michigan.gov.

Michigan’s primary election is Aug. 6, 2024, and the general election is Nov. 5, 2024.

Data Breach Alert Following AT&T Data Breach

Data Breach Alert Following AT&T Data Breach

Nessel Email Header
FOR IMMEDIATE RELEASE:

April 3, 2024

Media Contact:
Danny Wimmer

AG Nessel Re-Issues Data Breach Alert Following AT&T Data Breach

LANSING – Michigan Attorney General Dana Nessel is alerting Michigan consumers to a massive data breach affecting millions of current AT&T customers and tens of millions more former account holders nationwide. Nessel wants those whose information may have been compromised in the recent AT&T data breach to know what steps they can take to protect their data from scammers and identity thieves.

“If you have ever held an account with AT&T, we strongly recommend you take simple precautions now to protect yourself against this significant breach,” Nessel said. “Obviously, current customers should change their AT&T login credentials immediately and update any other accounts where you use the same or similar passcodes, passwords or security questions, but so too should former customers consider taking these steps. All customers who receive notice should take this seriously, this data is already available on the dark web, which indicates the involvement of fraudsters and criminals.”

AT&T disclosed March 30th that customer account information appeared in a large dataset released on the dark web that month, impacting approximately 7.6 million current AT&T account holders and more than 60 million former account holders. According to AT&T, the dataset appears to be from 2019 or earlier and contains information such as Social Security numbers and 4-digit numerical PIN passcodes. Full names, email addresses, mailing addresses, phone numbers, dates of birth, and AT&T account numbers may have also been compromised.

AT&T intends to notify customers via email or letter and encourages current and former customers with questions to visit their website for more information. Michigan law does not require companies to notify the Attorney General’s office of data breaches, and the number of affected Michigan consumers is unknown. Former customers with sensitive data attached to older accounts should take protective measures as outlined in the guidance below now and not await an official notice from AT&T, who may not have accurate or current contact information in their records.

The Department of Attorney General’s Data Breaches: What to do Next alert provides consumers with useful information about what kind of information can be accessed during a data breach. The U.S. Federal Trade Commission also has consumer guidance available for creating strong passwords and securing your accounts.

“My department has resources available online to help those impacted, and my consumer protection team is ready to assist any Michigan resident who may become a victim of identity theft due to this breach,” Nessel continued.

Consumers can protect themselves during a data breach by taking the following actions:

  • Watch out for phishing emails;
  • Strengthen or change your passwords;
  • Do not retain unnecessary data or files;
  • Use multifactor authentication on devices and accounts;
  • Consider locking your credit to prevent unauthorized activity; and
  • Review your credit report often. Take advantage of free weekly credit reports from each of the three main credit reporting agencies: Equifax, Experian, and TransUnion by contacting the Annual Credit Report website.

To file a complaint with the Attorney General, or get additional information, contact:

Consumer Protection Team
P.O. Box 30213
Lansing, MI 48909
517-335-7599
Fax: 517-241-3771
Toll-free: 877-765-8388
Online complaint form

 

AG Nessel Kicks Off Financial Literacy Month

AG Nessel Kicks Off Financial Literacy Month

Nessel Email Header
FOR IMMEDIATE RELEASE:

April 1, 2024

Media Contact:
Danny Wimmer

AG Nessel Kicks Off Financial Literacy Month with Re-Issue of Overdraft Fee Alert

LANSING – Many of us use our bank accounts or bank debit cards to pay bills and make purchases. In recognition of the start of Financial Literacy Month, Michigan Attorney General Dana Nessel is re-issuing her Overdraft Fee Rules alert to educate consumers about how banks must handle account overdrafts and what the customer is entitled to know about a bank’s overdraft policy, so they’re not fooled by fees this April or any time of the year.

Rules enacted by the Federal Reserve Board in 2010 prohibited banks from charging overdraft fees for ATM withdrawals and debit card purchases unless the customer has opted into the bank’s overdraft protection service. With overdraft protection, the bank allows withdrawals and debit card purchases to process even if the transaction results in an overdraft.

“Our ever-present reliance on banks and debit card transactions holds the possibility of racking up hefty fees if we don’t know the rules,” Nessel said. “Consumers who understand the regulations banks must adhere to regarding overdraft fees are better equipped to make informed decisions and protect their financial well-being.”

When a bank allows a transaction to clear when the consumer’s account does not contain enough money to cover it, the bank is, essentially, extending a loan to the consumer. However, these loans are exempt from the Truth in Lending Act (TILA), which protects consumers from unfair credit card and billing practices. Through this loophole, banks are allowed to lend money to cover overdrafts without providing clear disclosures and other protections, costing consumers billions each year. In January, the Consumer Financial Protection Bureau proposed a rule to reduce what it called “excessive overdraft fees” and to close the truth-in-lending loophole by treating overdraft loans as credit subject to TILA with clear and consistent requirements.

On its website, Investopedia rolled out 5 areas that consumers can focus on to expand their financial literacy:

  • Budgeting – Learning healthy spending habits begins with budgeting. Identifying monthly expenses can help track and control your spending.
  • Investing – Your decision about what to invest in and how much should take into account the risks and potential rewards of the different investments. Whether it’s stocks, bonds, ETFs, or mutual funds, financial literacy means understanding that these investments all come with risks. The key is to take educated risks that align with your financial goals and risk comfort level.
  • Bank Accounts – They are one step in creating a stable financial future. Financial literacy means understanding the different types of bank accounts, their benefits, features, and fees, as well as how they fit with your financial goals.
  • Personal Finance – This is the intersection of financial literacy and personal decision-making. It is charting a path to meeting your financial goals and sticking to it.
  • Credit Cards – They allow you to borrow money from the card issuer and pay it back over time. For every month you don’t pay your balance in full, you are charged interest. As of the fourth quarter of 2022, Americans owed $986 billion in credit card debt. Financial literacy means being cautious about using credit and avoiding spending more money than you have.

In 2003, the U.S. House of Representatives passed a resolution requesting President George W. Bush to issue a “proclamation calling on the Federal Government, States, localities, schools, nonprofit organizations, businesses, other entities, and the people of the United States to observe “Financial Literacy for Youth Month” with appropriate programs and activities.” Financial Literacy Month was officially established in the U.S. in 2004 with the goal of highlighting the importance of being financially literate and encouraging consumers to acquire skills to help them become financially smart.

This month is meant to shine a light on the critical role personal finance plays in providing us with the financial freedom to take control of our lives and keep up with the world’s changing financial landscape. Making the path to financial literacy a lifelong pursuit is a step in the right direction.

To file a complaint with the Attorney General, or get additional information, contact:

Consumer Protection Team
P.O. Box 30213
Lansing, MI 48909
517-335-7599
Fax: 517-241-3771
Toll-free: 877-765-8388
Online complaint form