4 warranties you should always buy

Published: Monday, November 06, 2017 @ 5:36 AM

From cars and houses to iPads and phones, no one wants to pay to replace a high-end purchase. But that doesn't necessarily mean you should pay for an extended warranty, either.

"From a purely economic standpoint, it usually doesn't make sense to buy an extended warranty," according to Rajiv Sinha, a marketing professor at the W.P. Carey School of Business at Arizona State University.
Consumer Reports goes so far as to call most extended warranties "money down the drain," noting that "retailers may push hard to get you to buy these plans because they're cash cows for them. Stores keep 50 percent or more of what they charge for these contracts. That's much more than they can make selling products."

Still, there are four extended warranties you should always buy, or at the very least seriously consider:

Protection for previously owned products

Used cars in particular often warrant the price of an extended warranty, Sinha said. Owners usually hang on to well-maintained, problem-free cars, while the substandard, poorly maintained cars make it to used car lots and online sellers. The odds of defects and damage in the pool of used cars makes buying an extended warranty a smart financial move.

A home warranty for This Old House

Even older homes that have been lovingly cared for can benefit from a home warranty, Sinha said. This is especially true if the appliances included in the sale are dated.

Extra coverage for items added to a home

After noting precisely what a home warranty covers and what conditions you are accountable for, it usually makes sense to buy a warranty for items you add to a home, including windows, fireplaces and shutters. U.S. News cites the example of Margaret King, who bought a lifetime warranty from Home Depot for all 26 windows of her Philadelphia town house. The warranty cost was added to the initial purchase, increasing the price by nearly 20 percent, but she's already replaced windows six times, avoiding $500 in out-of-pocket expenses. "It's quite refreshing to pick up the phone, not your checkbook, to correct any problems – from stains to breakage to track issues," King told the magazine.

When you need the peace of mind

If you're the type who experiences excessive stress and sleeplessness worrying about a smartphone emergency or laptop catastrophe, the $100 or so for an extended warranty is probably "money well spent," according to U.S. News.
Still, there's no need to cave to pressure at the checkout counter. For example, you can usually wait until just before your new car warranty expires to buy the extended version. According to U.S. News, ProtectCELL, which sells protection plans for tablets and phones, also allows some wiggle room, letting customers buy a warranty 30 days to 12 months after purchasing a device, depending on the product.

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Toddler toys, decorative pillows, and water bottles among the latest product recalls 

Published: Friday, April 20, 2018 @ 2:41 PM

Toddler toys, decorative pillows, and water bottles among the latest product recalls

Children’s xylophones, water bottles sold at Costco, and 21 styles of decorative pillows are among the latest recalls announced by the Consumer Product Safety Commission. 

The Petit Collage musical jumbo wooden xylophones made by Wild & Wolf are under recall because the ball on the end of the stick can detach and pose a choking hazard. 

There is one report of the ball separating and another report of a loose ball, but no injuries.

They were sold at Barnes & Noble, Urban Outfitters and other retailers.

Don’t let your child use the toy and contact Wild & Wolf at 855-215-5879 to receive a free replacement beater stick. 

Reduce Hydro Pro Water bottles are being recalled over lead paint. 

They were sold in two packs with a dog and lamb design printed on the outside.

No one has been hurt, but the pink paint on the outside of the bear bottles contain levels of toxic lead that exceed federal standards.

Don’t use the recalled bottles and contact Base Brands at 833-600-2887 or return them to place of purchase for a full refund or replacement bottle. 

Decorative pillows by Primark are being recalled because they may catch on fire. 

No one has been hurt, but don’t use the cushions which come in 21 shapes, sizes and colors, click here for full product codes and descriptions. 

Contact Primark at 855-215-5829 or return the pillows to the store for a full refund. 

One million Square D safety switches are under recall because the could shock or electrocute users, although no injuries have been reported.

The power may stay on when in the “OFF” position on several catalog numbers of the general duty switches made by Schneider Electric. 

Contact Schneider Electric at 877-672-1953 or click here to find out how to inspect the switch, receive free service support, and a replacement switch. 

Pressure washer surface cleaners by Briggs and Stratton are being recalled because  the spray bar can fly off and cause an injury. 

One person reported needing sutures on a cut to the knee after being struck by the bar.    There are four other reports of the bars detaching from the central hub. 

3000 PSI Briggs and Stratton and Crafsman branded surface cleaners are involved in the recall.

Stop using the cleaners and Contact Briggs and Stratton at 877-370-7505 to receive a free replacement. 

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Jo-Ann Stores are recalling string light sets which can break and cut you.

Two people have  been cut by the decorative glass jars in the Jo-Ann’s Makers Holiday 10-count LED string lights. 

Don’t use the lights and contact Jo-Ann stores at 888-739-4120 for a full refund. 

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Polaris is recalling Ranger XP recreational off-highway vehicles and Phoenix 200 all-terrain vehicles due to injury and crash concerns.

Multiple model numbers of the 2016 and 2017 Ranger XP ROVs have seat belt brackets that can separate from the frame. No injuries have been reported.

All model year 2014 through 2017 Phoenix ATVs are being recalled because of nine reports of a damaged throttle limiter, with one minor injury.

Stop using the ROVs and ATVs and contact Polaris at 800-765-2747 for a free repair.

For more on these and other recalls visit CPSC.gov.

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Local students learn how to combat scams, fraud

Published: Wednesday, April 18, 2018 @ 1:08 PM

Students in the Miami Valley are learning to recognize fraud and scams, and finding out how they can protect themselves from these potential money pitfalls.

Several schools in our area teach a free consumer life skills and financial literacy curriculum called FoolProof. 

The goal of the web-based, interactive coursework is to teach a healthy dose of skepticism in a scam-filled world.

Related: "Shimming” is the latest threat to shoppers

Kettering, Xenia, Franklin, Stebbins, Greenville and Lebanon high schools offer FoolProof classes.

News Center 7 consumer reporter Rachel Murray will find out more about what the students learn and what they can teach us about avoiding scams and fraud. 

Watch tonight on WHIO-TV at 5pm.

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Audit-proofing your taxes 

Published: Wednesday, April 11, 2018 @ 11:29 AM

Audit-proofing your taxes

First, the good news.  The IRS is auditing fewer taxpayers.  

In fact, audits are at an all-time low. You can’t completely audit-proof your tax returns, but there are ways to make your chance of an IRS investigation less likely. 
Failing to report taxable income and cryptocurrency income, are among Kiplinger’s Personal Finance magazine’s list of audit red flags.

Math errors, sizeable donations, home office deductions and deductions of unreimbursed business expenses, for example, commuting costs and clothing, are also going to raise eyebrows at the IRS.

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One of the biggest red flags is income.

The more money you make the more likely you’ll be scrutinized by the IRS, according to Kiplinger’s Personal Finance magazine.  

If you make $200,00 or more, there is a one in 80 chance of an audit, and if you make more than $1 million your odds are one in 25, according to Clark Howard’s website, Clark.com.

News Center 7 consumer reporter Rachel Murray will have insight from a local tax preparer about ways to audit-proof your tax return tonight on WHIO-TV at 5.

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‘Shimming’ has emerged as the latest threat to shoppers

Published: Tuesday, April 10, 2018 @ 1:58 PM

Shimming has emerged as the latest threat to shoppers

There’s a growing threat to your credit and debit card information, and you might not be aware of it.

It’s called “shimming.” 

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 Scammers insert paper-thin devices into credit card chip readers that can copy your data. 

The information can’t be used to make a chip card clone, but it can be used to create a traditional mag-stripe card, which could be used to fraudulently make purchases or withdraw cash, according to Creditcards.com.

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