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New Zealand tourist brutally slain in front of husband while on holiday

<p>A tourist from New Zealand has been tragically killed during an armed robbery while on holiday with her husband in America. </p> <p>Patricia (Trish) McKay and her husband, prominent Auckland businessman Doug McKay, were exploring Newport Beach in California when they were set upon by two men in a shopping centre.</p> <p>The couple were shopping when the armed robbery began, as a struggle ensued before the men dragged Ms McKay to a carpark, according to local authorities. </p> <p>It was there she was allegedly run over by a third person driving a white Toyota Camery before the trio reportedly made a getaway from the Fashion Island mall.</p> <p>Mr McKay luckily walked away uninjured from the incident, although three shots were reportedly fired during the ordeal, however no one was struck by the stray bullets.</p> <p>Speaking to media, Heather Rangel from LA’s Police Department said an investigation continues however three male suspects, one aged 26 and two aged 18, had been taken in to custody.</p> <p>The three men were arrested after a lengthy car chase through the streets of Newport Beach, and eventually along highways to Cypress, where the suspects ditched the car and tried to run away before being captured.</p> <p>In a new statement released by those close to Ms McKay, family say “no words can express our sadness as we try to come to terms with the loss of our mother, wife, and friend Patricia”.</p> <p>“We ask for privacy at this time as we work through this as a family.”</p> <p>New Zealand’s Prime Minister Christopher Luxon called Ms McKay’s death “an absolute tragedy”.</p> <p>Auckland’s Deputy Mayor Desley Simpson also paid tribute to Ms McKay, saying the 68-year-old was “amazing, funny, loyal, and loving” and that she was “beyond devastated”.</p> <p>“Trish was amazing – funny, loyal, and loving. My absolute deepest sympathies to Doug and her family. In absolute shock.”</p> <p><em>Image credits: ABC7 LA</em></p>

Caring

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"While I was home": Goldie Hawn robbed twice in four months

<p>Hollywood star Goldie Hawn recently opened up about a harrowing experience she and longtime partner Kurt Russell endured: two home invasions within the span of just a few months.</p> <p>Hawn shared the details of these incidents during a candid conversation on Kelly Ripa's podcast, "Let's Talk Off Camera".</p> <p>The first robbery occurred while Hawn and Russell were out for dinner. "I went up the stairs, I walked into my closet, and I just lost it," Hawn recalled, describing the moment they returned home to find their house had been burglarised. The intruders had broken in from the balcony, targeting their bedroom and closets. "They completely knocked down my door, which is a safe door, so they're very, very sophisticated, and they got a lot of my goodies," she added.</p> <p>Following the initial invasion, Hawn believed the chances of a repeat incident were slim. However, just four months later, she faced another terrifying experience – this time while she was alone at home. "I hear this big thump upstairs, and I was alone," she reflected. Initially dismissing it as a sonic boom or some other unusual noise, she later discovered that intruders "were trying to get in my bedroom while I was in the house". </p> <p>The dual invasions profoundly impacted Hawn, prompting her to enhance her home security measures significantly. Despite the increased safety precautions, the traumatic events have left a lasting impression.</p> <p>In light of these experiences, Hawn expressed a desire to relocate to Atlanta, where her family resides. "It's so lovely there, I said, 'Hey, guys, why don't we all move there?'" she shared. The idea of a family compound has always been a dream for Hawn and her loved ones. "We've always said if one moves, we all have to move together. That's what we've always said." </p> <p><em>Image: Instagram</em></p>

Legal

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Soap star killed in robbery gone wrong

<p><em>General Hospital</em> actor Johnny Wactor has died at the age of 37.</p> <p>The soap star was killed in downtown Los Angeles on Saturday morning when he stumbled across three men allegedly breaking into his car, according to <a href="https://www.tmz.com/2024/05/26/general-hospital-actor-johnny-wactor-dead-shot-killed-robbery-attempt-car-catalytic-converter/" target="_blank" rel="noopener"><em>TMZ</em></a>. </p> <p>His mother, Scarlett, told the outlet that he was with a co-worker when they “saw three men messing with Johnny’s car”, but he didn't attempt to confront or fight them. </p> <p>Unfortunately, he was shot as the group took off. </p> <p>Paramedics arrived at the scene around 3am and took Johnny to the hospital, where he was pronounced dead. </p> <p>According to the outlet, the description matched a reported incident in the area where three men were attempting to steal a catalytic converter from a vehicle. </p> <p>The suspects have not yet been found, and police have yet to release descriptions of the alleged thieves. </p> <p>Johnny's agent, David Shaul, has paid tribute to the actor and remembered him as “a spectacular human being” in an interview with <em>People</em>. </p> <p>“Not just a talented actor who was committed to his craft but a real moral example to everyone who knew him,” Shaul said.</p> <p>“Standing for hard work, tenacity and a never give up attitude. In the highs and lows of a challenging profession he always kept his chin up and kept striving for the best he could be.</p> <p>“Our time with Johnny was a privilege we would wish on everyone. He would literally give you the shirt off his back," he added. </p> <p>“After over a decade together, he will leave a hole in our hearts forever.”</p> <p>Johnny began his career in 2007 playing various roles on the show <em>Army Wives</em>.</p> <p>He most notably played Brando Corbin on <em>General Hospital</em>, appearing in almost 200 episodes of the show. </p> <p>He also appeared on hit shows like <em>NCIS, Criminal Minds, Station 19, The OA </em>and <em>Westworld</em>.</p> <p>Fans have taken also taken to social media to pay tribute to the actor. </p> <p>“How sad to learn of the death of Johnny Wactor so young and in such conditions! A star will shine brighter tonight [star] Condolences to his family and all the actor’s fans,” one tweeted. </p> <p>“RIP #JohnnyWactor. This world is such a cruel place. :(,” another added. </p> <p>“I am beyond words about Johnny Wactor, a life that was taken without cause. I hope whoever did this spend the rest of their life in prison," a third wrote. </p> <p>Johnny is survived by his mother and younger brothers Grant and Lance.</p> <p><em>Image: Ouzounova/ Shutterstock editorial</em></p>

Caring

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10 dumb hiding spots burglars always find

<p><strong>Under the mattress</strong></p> <p>Burglars will make a beeline to the room with the most valuables. “The good stop is always going to be in the master bedroom,” says Chris McGoey, CPP, CSP, CAM, president of <a href="http://www.crimedoctor.com/" target="_blank" rel="noopener">McGoey Security Consulting.</a></p> <p>“That’s where you have your clothes, your jewellery, your extra cash, your prescriptions – anything of value.” Hiding things under the mattress is one of the oldest tricks in the book, so a thief will likely check there for hidden treasures, he says.</p> <p><strong>Bedroom closet</strong></p> <p>A thief might rummage through your entire closet – pockets and all – looking for cash or other valuables. If you do decide to store valuables in your closet, leave them in a box purposely mislabelled with a boring name (think: “uni textbooks 1980” or “baby clothes”) to keep sticky fingers out, suggests McGoey.</p> <p><strong>Dresser drawers</strong></p> <p>While burglars are in your bedroom, a jewellery box on top of the dresser is a hot commodity. Even if you don’t store your jewellery in plain sight, a thief will probably hunt around in dresser drawers for a shoebox or other unique box that could be filled with watches, jewels, and other valuables, says Robert Siciliano, CSP, security analyst with <a href="https://www.hotspotshield.com/" target="_blank" rel="noopener">Hotspot Shield</a>. </p> <p>Instead of putting your high-value belongings in an obvious box, ball them up in a sock, he suggests. Pick a pair with a bright pattern that will stand out to you but won’t look fishy to a crook.</p> <p><strong>Portable safe</strong></p> <p>You probably want to keep your precious items locked away, but it won’t do much good if the safe isn’t attached to the floor or a wall. “If it’s closed and locked, it implies there are things of value in there,” says McGoey. “If it’s small and portable, they’ll take the whole thing.” On the other hand, burglars are generally trying to get in and out as quickly as possible. They won’t bother using a stethoscope to crack the combination, so a heavy safe they can’t lift is your best bet, he says.</p> <p><strong>Medicine cabinet</strong></p> <p>Robbers want to make quick cash off your belongings, so they’ll be sure to browse your medicine cabinet for prescription pills they can sell. The pills might not be a concern because you can get a refill easily, but be careful what you store nearby. </p> <p>“You want to avoid putting anything of significant value around medication of any kind,” says Siciliano. For instance, using an old pill container as a hiding spot for jewels could actually make them a target.</p> <p><strong>Freezer</strong></p> <p>If you’ve thought of the freezer as a sneaky hiding spot, chances are a robber has, too. A burglar won’t rummage through your entire stack of frozen peas and fish sticks, but if you leave your treasures in something out-of-place, such as a sock, the thief will be onto you. </p> <p>“If you’re going to put something in the freezer, you want to put it in with something that looks legit, like wrapping it in a bag that used to have blueberries in it,” says Siciliano. Use the same rule of thumb if hiding anything in a pantry. Just give a loved one a heads up so that if anything happens, your valuables won’t be trashed with the rest of your food.</p> <p><strong>Office drawers</strong></p> <p>Think twice before stashing important papers like birth certificates or passports in your office drawers. “People want to be convenient. They have a file labelled,” says McGoey. Unfortunately, that also means you’re leading burglars straight to everything they need to steal your identity. Use a locked drawer to keep sensitive data safe, recommends Siciliano.</p> <p><strong>Vase</strong></p> <p>An empty vase could act as a hiding place for valuables, but swindlers are onto your tricks. They’ll likely tip the vase over or even break it, hoping to find goods inside. “Have something additional in it, like flowers, that would obscure somebody looking in it,” he says. They’ll also be less likely to empty your vase if it means dropping flowers all over the floor.</p> <p><strong>Liquor cabinet</strong></p> <p>A liquor cabinet might not seem like an obvious spot for thieves to hunt for valuables, but that doesn’t mean they’re safe. “It’s a target for kids looking for [alcohol],” says Siciliano. You might not be devastated if your whiskey goes missing, but you don’t want to lose an heirloom along with it.</p> <p><strong>Suitcase</strong></p> <p>Your luggage might seem like a waste of valuable storage space when you’re not travelling, but don’t keep anything irreplaceable inside. “Suitcases are common things people use as a safe even though it’s not a safe,” says McGoey. Criminals will open a suitcase up if they find one in your closet, he says.</p> <p><em>Image credits: Getty Images</em></p> <p><em>This article originally appeared on <a href="https://www.readersdigest.co.nz/home-tips/10-hiding-spots-burglars-always-look-first" target="_blank" rel="noopener">Reader's Digest</a>. </em></p>

Home & Garden

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Could you cope with a shock to your bank balance? 5 ways to check you are financially resilient

<p><em><a href="https://theconversation.com/profiles/bomikazi-zeka-680577">Bomikazi Zeka</a>, <a href="https://theconversation.com/institutions/university-of-canberra-865"><em>University of Canberra</em></a></em></p> <p>Imagine the dentist has just said you urgently need a A$2,000 dental crown. A week later, a pipe in your bathroom bursts, causing $8,000 worth of damage. Suddenly, you’ve been hit with a $10,000 financial shock.</p> <p>As the cost-of-living crisis plunges more households into financial uncertainty and at least <a href="https://melbourneinstitute.unimelb.edu.au/data/taking-the-pulse-of-the-nation-2022/2023/australians-face-challenging-budgetary-constraints#:%7E:text=Over%20the%20past%20six%20months,has%20increased%20to%2060%20percent.">one-third</a> of Australians struggle to make ends meet, it’s more important than ever to ask yourself: how financially resilient am I?</p> <p>Being financially resilient means you aren’t left financially devastated when an expensive emergency creeps up on you. Here are five key signs of financial resilience.</p> <h2>1. You have a plan for what you’d do if you suddenly lost your salary</h2> <p>Financial resilience means having a plan to fall back on during tough times. This extends to how you’d make money if you lost your job.</p> <p>In practice, that means things like making sure your skills and contacts are kept up to date so you can more easily find a new job. You might also consider whether a “side hustle” job such as tutoring could work for you in the short term, and how you’d put that plan into practice if needed. Perhaps you have a spare room in your home you could rent out for a period of time if you lost your salary.</p> <p>Those examples won’t work for everyone, of course, but it’s still worth asking yourself the question: what would I do if I lost my salary tomorrow?</p> <h2>2. You have enough liquid assets to meet an unexpected financial expense</h2> <p>Liquid assets means money that can be accessed quickly and easily to overcome an unplanned financial expense. Savings are a good example. They provide a buffer so you can cope in the short term if a financial shock strikes. The federal government’s Moneysmart website suggests you aim to have enough in your emergency savings fund to cover <a href="https://moneysmart.gov.au/saving/save-for-an-emergency-fund">three months of expenses</a>.</p> <p>Having an <a href="https://moneysmart.gov.au/glossary/offset-account">offset account</a> as part of a mortgage is another option that provides a buffer. Putting money in an offset account helps you save while reducing the amount of interest on a home loan. You can still access the money in an offset account at any time.</p> <h2>3. You have bought the right financial products, such as insurance</h2> <p>Financial products, such as insurance, hedge against potential losses.</p> <p>Personal insurance is important because it provides income in the event of death, illness or injury. Examples include:</p> <ul> <li> <p>life insurance (which pays out to your beneficiaries, such as your partner or children, when you die)</p> </li> <li> <p>total and permanent disability insurance (which means you may get some money if you acquire a disability that prevents you from working)</p> </li> <li> <p>income protection (which provides you with an income if you can no longer work)</p> </li> <li> <p>trauma cover (which covers a life-changing illness or injury, such as cancer or a stroke).</p> </li> </ul> <p>Check if your superannuation has any of these insurances included in it. <a href="https://www.griffith.edu.au/__data/assets/pdf_file/0030/295770/FPRJ-V4-ISS1-pp-53-75-insurance-literacy-in-australia.pdf">Research</a> has found that many Australians are underinsured.</p> <h2>4. You can still pay your debts when times are tough</h2> <p>Being able to borrow money can help when you’re in a tight spot. But knowing where to borrow from, how much to borrow and how to manage debt repayments is crucial.</p> <p>Financially resilient people use debt responsibly. That means:</p> <ul> <li> <p>not using debt for frivolous expenses like after-work drinks</p> </li> <li> <p>staying away from private money lenders</p> </li> <li> <p>being cautious about buy-now-pay-later services</p> </li> <li> <p>watching out for debts with high interest rates, such as payday loans and credit card debt</p> </li> <li> <p>maintaining debt repayments consistently.</p> </li> </ul> <p>If you’re having debt problems, talk to your lender about renegotiating your repayment arrangements, or contact the <a href="https://ndh.org.au/">National Debt Helpline</a> on 1800 007 007.</p> <h2>5. You are financially literate</h2> <p>Being financially literate means you can assess the benefits and risks of using savings or taking out debt to meet an unplanned financial need.</p> <p>As I have <a href="https://theconversation.com/are-you-financially-literate-here-are-7-signs-youre-on-the-right-track-202331">written</a> before on The Conversation, key signs of financial literacy include tracking your cashflow, building a budget, as well as understanding what debts you have and which to pay first.</p> <p>It also means storing your money across different places (such as superannuation, savings accounts, property and the share market) and understanding how financial assets like cash, shares and bonds work.</p> <p>Being aware of your financial strengths and weaknesses, and having financial goals is also important.</p> <p>Nobody is born knowing how to make sound financial decisions; it’s a skill that must be learned.</p> <p>It’s good to think about the resources you would draw upon to help get yourself out of a difficult financial situation – well before disaster strikes.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/218126/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /></p> <p><a href="https://theconversation.com/profiles/bomikazi-zeka-680577"><em>Bomikazi Zeka</em></a><em>, Assistant Professor in Finance and Financial Planning, <a href="https://theconversation.com/institutions/university-of-canberra-865">University of Canberra</a></em></p> <p><em>Image credits: Getty Images</em></p> <p><em>This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/could-you-cope-with-a-shock-to-your-bank-balance-5-ways-to-check-you-are-financially-resilient-218126">original article</a>.</em></p>

Money & Banking

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Bring a plate! What to take to Christmas lunch that looks impressive (but won’t break the bank)

<p><em><a href="https://theconversation.com/profiles/lauren-ball-14718">Lauren Ball</a>, <a href="https://theconversation.com/institutions/the-university-of-queensland-805">The University of Queensland</a>; <a href="https://theconversation.com/profiles/amy-kirkegaard-1401256">Amy Kirkegaard</a>, <a href="https://theconversation.com/institutions/the-university-of-queensland-805">The University of Queensland</a>; <a href="https://theconversation.com/profiles/breanna-lepre-1401257">Breanna Lepre</a>, <a href="https://theconversation.com/institutions/the-university-of-queensland-805">The University of Queensland</a>, and <a href="https://theconversation.com/profiles/emily-burch-438717">Emily Burch</a>, <a href="https://theconversation.com/institutions/the-university-of-queensland-805">The University of Queensland</a></em></p> <p>Christmas lunch is at your friend’s house this year, and they’ve asked you to bring a plate. Money is tight. So, you find yourself wondering, “What’s cheap, healthy but also looks impressive?”</p> <p>While a tray of mangoes would certainly be a cheap, healthy and colourful contribution, you want to look as if you’ve put in a bit of effort.</p> <p>If you’re struggling for inspiration, here are some tried and tested ideas.</p> <h2>First, choose your ingredients</h2> <p>Check your pantry for inspiration or ingredients. Crackers, dried fruit or nuts are great ideas for a charcuterie board. You can use herbs and spices to add flavour to dishes, or you could use up packets of dried pasta to make a <a href="https://nomoneynotime.com.au/healthy-easy-recipes/salmon-and-pasta-salad">pasta salad</a>. This is also a great way to clean out your pantry.</p> <p>Focus on fruit and vegetables that are in season, so are cheaper and more readily available. Keep an eye out at your local fruit and veggie shop or market as it will usually have in-season fruit and vegetables in bulk quantities at reduced prices. Check out <a href="http://seasonalfoodguide.com/australia-general-seasonal-fresh-produce-guide-fruits-vegetables-in-season-availability.html">this seasonal food guide</a> to help you plan your Christmas menu.</p> <p>Ask around for deals by chatting to your local butcher, fishmonger or grocer and let them know your budget. They may suggest cheaper cuts of meat (such as, <a href="https://www.australianbutchersguild.com.au/the-blog/the-abg-blog/underrated-cuts-of-beef/">oyster</a>, <a href="https://www.australianbeef.com.au/know-your-meat/beef-cuts/">blades, rump caps</a>). Try cooking <a href="https://www.bestrecipes.com.au/recipes/slow-cooker-corned-beef-mustard-sauce-recipe/z47lwrbv?r=entertaining/9clz7475&amp;h=entertaining">corned beef</a> or <a href="https://www.bbcgoodfood.com/recipes/slow-cooker-roast-chicken">roast chicken</a> in a slow cooker with lots of vegetables. Slow-cooked meals can be frozen and can come in handy for left-overs.</p> <p>Lean into <a href="https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4608274/">legumes</a>. These are packed with fibre, protein, vitamins and minerals. They are also budget-friendly and a great way to add texture to salads. Tinned chickpeas, or cannellini, kidney, or butter beans are quick and easy additions that can make filling dishes go further. You could even turn tinned chickpeas into homemade hommus for a healthy and delicious side dish. Check out these healthy legume <a href="https://nomoneynotime.com.au/healthy-easy-recipes/filter/keywords--legumes">recipes</a>.</p> <h2>7 ways to keep food costs down this Christmas</h2> <p><strong>1. Plan ahead</strong></p> <p>Plan your menu by asking how many people are coming and checking for any food preferences or dietary requirements. Check for items you already have at home, and make a shopping list for only what you <a href="https://www.emerald.com/insight/content/doi/10.1108/BFJ-12-2017-0726/full/html">need</a>.</p> <p><strong>2. Use free recipes</strong></p> <p>Use free online recipe collections and e-books tailored for budget cooking that can help you design your Christmas menu to meet your budget. This <a href="https://nomoneynotime.com.au/uploads/Our-Guide-to-the-Perfect-Christmas-Feast.pdf">one</a> was created by a group of <a href="https://dietitiansaustralia.org.au/working-dietetics/standards-and-scope/role-accredited-practising-dietitian">accredited practising dietitians</a> and has healthy, budget friendly recipes and ideas. You could also try this budget friendly collection of Christmas recipes from <a href="https://www.taste.com.au/recipes/collections/budget-christmas-recipes">taste</a>.</p> <p><strong>3. Involve the family</strong></p> <p>Get together with other family members and make it a challenge to see who can make the cheapest, most delicious dish. Get the kids involved in fun activities, such as making a DIY gingerbread house or putting together mixed skewers for the barbecue.</p> <p><strong>4. Pool your resources</strong></p> <p>Larger quantities of a single dish will be cheaper than multiple different dishes (and easier to prepare).</p> <p><strong>5. Frozen is fine</strong></p> <p>Use frozen fruits and vegetables if you need to. These can have just as <a href="https://pubmed.ncbi.nlm.nih.gov/25526594/">many vitamins and minerals</a> as fresh, are often cheaper than fresh produce and last longer. Try using frozen berries to decorate the pavlova or add them to your favourite cake, muffin or pie.</p> <p><strong>6. Make your own drinks</strong></p> <p>You could make your own drinks, such as home-brewed iced tea. See if anyone in your family has a soda stream you can borrow to make sparkling mineral water. Add some freshly squeezed lemon or lime for extra flavour.</p> <p><strong>7. Reduce waste</strong></p> <p>Use your own crockery and re-use leftovers to reduce waste. After all, washing up is cheaper than buying plastic or paper plates and better for the environment. Remember to save any leftovers and re-use them. Leftover fresh vegetables could be used to make a hearty soup or chutney.</p> <h2>It doesn’t have to be perfect</h2> <p>Christmas comes and goes quickly. If your cooking ideas don’t work out, it’s not the end of the world. Choosing healthy foods on a budget is important all year around, so you may like to think about trying these tips throughout the years to come. <img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/196565/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /></p> <p><a href="https://theconversation.com/profiles/lauren-ball-14718"><em>Lauren Ball</em></a><em>, Professor of Community Health and Wellbeing, <a href="https://theconversation.com/institutions/the-university-of-queensland-805">The University of Queensland</a>; <a href="https://theconversation.com/profiles/amy-kirkegaard-1401256">Amy Kirkegaard</a>, Postdoctoral Research Fellow, School of Human Movement and Nutrition Sciences, <a href="https://theconversation.com/institutions/the-university-of-queensland-805">The University of Queensland</a>; <a href="https://theconversation.com/profiles/breanna-lepre-1401257">Breanna Lepre</a>, Research Fellow, Mater Research Institute, <a href="https://theconversation.com/institutions/the-university-of-queensland-805">The University of Queensland</a>, and <a href="https://theconversation.com/profiles/emily-burch-438717">Emily Burch</a>, Dietitian and Researcher, <a href="https://theconversation.com/institutions/the-university-of-queensland-805">The University of Queensland</a></em></p> <p><em>Image credits: Getty Images</em></p> <p><em>This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/bring-a-plate-what-to-take-to-christmas-lunch-that-looks-impressive-but-wont-break-the-bank-196565">original article</a>.</em></p>

Food & Wine

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How risky is it to give card details over the phone and how do I reduce the chance of fraud?

<p><em><a href="https://theconversation.com/profiles/paul-haskell-dowland-382903">Paul Haskell-Dowland</a>, <a href="https://theconversation.com/institutions/edith-cowan-university-720">Edith Cowan University</a> and <a href="https://theconversation.com/profiles/ismini-vasileiou-1031778">Ismini Vasileiou</a>, <a href="https://theconversation.com/institutions/de-montfort-university-1254">De Montfort University</a></em></p> <p>Paying for things digitally is so common, most of us think nothing of swiping or tapping our card, or using mobile payments. While doing so is second nature, we may be more reluctant to provide card details over the phone.</p> <p>Merchants are allowed to ask us for credit card details over the phone – this is perfectly legal. But there are minimum standards they must comply with and safeguards to protect consumer data.</p> <p>So is giving your card details over the phone any more risky than other transactions and how can you minimise the risks?</p> <h2>How is my card data protected?</h2> <p>For a merchant to process card transactions, they are expected to comply with the <a href="https://docs-prv.pcisecuritystandards.org/PCI%20DSS/Standard/PCI-DSS-v4_0.pdf">Payment Card Industry Data Security Standard</a>. This is a set of security requirements designed to protect cardholder data and the trillions of dollars of transactions each year.</p> <p>Compliance involves various security measures (such as encryption and access controls) together with strong governance and regular security assessments.</p> <p>If the information stored by the merchant is accessed by an unauthorised party, encryption ensures it is not readable. That means stealing the data would not let the criminals use the card details. Meanwhile, access controls ensure only authorised individuals have access to cardholder data.</p> <p>Though all companies processing cards are expected to meet the compliance standards, only those processing large volumes are subject to mandatory regular audits. Should a subsequent data leak or misuse occur that can be attributed to a compliance failure, a <a href="https://www.csoonline.com/article/569591/pci-dss-explained-requirements-fines-and-steps-to-compliance.html">company can be penalised</a> at levels that can escalate into millions of dollars.</p> <p>These requirements apply to all card transactions, whether in person, online or over the phone. Phone transactions are likely to involve a human collecting the card details and either entering them into computer systems, or processing the payment through paper forms. The payment card Security Standards Council has <a href="https://docs-prv.pcisecuritystandards.org/Guidance%20Document/Telephone-Based%20Payments/Protecting_Telephone_Based_Payment_Card_Data_v3-0_nov_2018.pdf">detailed guides for best practice</a>:</p> <blockquote> <p>A policy should be in place to ensure that payment card data is protected against unauthorised viewing, copying, or scanning, in particular on desks.</p> </blockquote> <p>Although these measures can help to protect your card data, there are still risks in case the details are misplaced or the person on the phone aren’t who they say they are.</p> <h2>Basic tips for safe credit card use over the phone</h2> <p>If you provide card details over the phone, there are steps you can take to minimise the chance you’ll become the victim of fraud, or get your details leaked.</p> <p><strong>1. Verify the caller</strong></p> <p>If you didn’t initiate the call, hang up and call the company directly using details you’ve verified yourself. Scammers will often masquerade as a well-known company (for example, an online retailer or a courier) and convince you a payment failed or payment is needed to release a delivery.</p> <p>Before you provide any information, confirm the caller is legitimate and the purpose of the call is genuine.</p> <p><strong>2. Be sceptical</strong></p> <p>If you are being offered a deal that’s too good to be true, have concerns about the person you’re dealing with, or just feel something is not quite right, hang up. You can always call them back later if the caller turns out to be legitimate.</p> <p><strong>3. Use secure payment methods</strong></p> <p>If you’ve previously paid the company with other (more secure) methods, ask to use that same method.</p> <p><strong>4. Keep records</strong></p> <p>Make sure you record details of the company, the representative you are speaking to and the amount being charged. You should also ask for an order or transaction reference. Don’t forget to ask for the receipt to be sent to you.</p> <p>Check the transaction against your card matches the receipt – use your banking app, don’t wait for the statement to come through.</p> <h2>Virtual credit cards</h2> <p>In addition to the safeguards mentioned above, a <a href="https://www.forbes.com/advisor/credit-cards/virtual-credit-card-numbers-guide/">virtual credit card</a> can help reduce the risk of card fraud.</p> <p>You probably already have a form of virtual card if you’ve added a credit card to your phone for mobile payments. Depending on the financial institution, you can create a new credit card number linked to your physical card.</p> <p>Some banks extend this functionality to allow you to generate unique card numbers and/or CVV numbers (the three digits at the back of your card). With this approach you can easily separate transactions and cancel a virtual card/number if you have any concerns.</p> <h2>What to do if you think your card details have been compromised or stolen?</h2> <p>It’s important not to panic, but quick action is essential:</p> <ul> <li> <p>call your bank and get the card blocked so you won’t lose any more money. Depending on your situation, you can also block/cancel the card through your banking app or website</p> </li> <li> <p>report the issue to the police or other relevant body</p> </li> <li> <p>monitor your account(s) for any unusual transactions</p> </li> <li> <p>explore card settings in your banking app or website – many providers allow you to limit transactions based on value, restrict transaction types or enable alerts</p> </li> <li> <p>you may want to consider registering for <a href="https://theconversation.com/your-credit-report-is-a-key-part-of-your-privacy-heres-how-to-find-and-check-it-116999">credit monitoring services</a> and to enable fraud alerts.</p> </li> </ul> <h2>So, should I give my card details over the phone?</h2> <p>If you want to minimise risk, it’s best to avoid giving card details over the phone if you can. Providing your card details via a website still has risks, but at least it removes the human element.</p> <p>The best solution currently available is to use virtual cards – if anything goes wrong you can cancel just that unique card identity, rather than your entire card.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/216833/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /></p> <p><em><a href="https://theconversation.com/profiles/paul-haskell-dowland-382903">Paul Haskell-Dowland</a>, Professor of Cyber Security Practice, <a href="https://theconversation.com/institutions/edith-cowan-university-720">Edith Cowan University</a> and <a href="https://theconversation.com/profiles/ismini-vasileiou-1031778">Ismini Vasileiou</a>, Associate Professor, <a href="https://theconversation.com/institutions/de-montfort-university-1254">De Montfort University</a></em></p> <p><em>Image credits: Getty Images</em></p> <p><em>This article is republished from </em><a style="font-style: italic;" href="https://theconversation.com">The Conversation</a><em> under a Creative Commons license. Read the </em><a style="font-style: italic;" href="https://theconversation.com/how-risky-is-it-to-give-card-details-over-the-phone-and-how-do-i-reduce-the-chance-of-fraud-216833">original article</a><em>.</em></p>

Money & Banking

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8 tips for keeping pets healthy that won’t break the bank

<p>Australia is a nation of animal lovers. Collectively, we have more pets than people (<a href="https://kb.rspca.org.au/knowledge-base/how-many-pets-are-there-in-australia/#ftn1">28.7 million pets</a> vs <a href="https://www.abs.gov.au/statistics/people/population/population-clock-pyramid">26.7 million people</a>) and <a href="https://kb.rspca.org.au/knowledge-base/how-many-pets-are-there-in-australia/#:~:text=Overall%252C%2520Australian%2520households%2520are%2520estimated,spent%2520per%2520animal%2520each%2520year.">spent $33 billion on them</a> in 2022. Not only is a healthy pet a happy one, but healthy = wealthy with fewer vet bills and medications, plus less time off work to look after them. But how can you keep spending under control without sacrificing your pet’s health? Read on!</p> <p><strong>1. Choose the right pet</strong></p> <p>Save yourself considerable drama – and money – by getting the right pet for your family from the outset.</p> <p>For instance:</p> <ul> <li>Small dogs eat less, making them more suitable for tighter budgets.</li> <li>Energetic breeds won’t thrive if you can’t exercise them sufficiently. </li> <li>Low-allergy breeds (like Poodles and Burmese cats) can save allergy suffers on antihistamines and tissues.</li> </ul> <p><strong>2. Secure your yard</strong></p> <p>Prevention is always better than cure, so a secure yard/enclosure is a worthwhile investment.</p> <p>The cost of a new fence (especially if split with neighbours) often dwarfs the vet bills if your beloved is hit by a car. </p> <p>A secure pet is less likely to fight with other animals or eat things they shouldn’t. </p> <p>Plus, many areas impose fines for unrestrained pets.</p> <p><strong>3. Be organised</strong></p> <p>An old phrase says: “For every minute spent organising, an hour is earned.” I’d suggest that hour earned also brings dollars saved.</p> <p>For pets, organisation includes:</p> <ul> <li>Staying up-to-date with treatments and veterinary visits. Overdue parasite treatments, vaccinations, and check-ups often cause unnecessary and expensive complications.</li> <li>A tidy home, which saves replacing destroyed shoes etc and fees on overdue bills where the notice was chewed.</li> <li>Keeping household dangers – e.g., toxic plants, chemicals, foods (chocolate!) – out of your pets’ reach to avoid accidental poisoning.</li> </ul> <p><strong>4. Weigh up insurance</strong></p> <p>Many people say they’ll put money aside instead of buying pet insurance. But they don’t – the money winds up elsewhere.</p> <p>When considering insurance, weigh up each policy’s conditions, your pet’s health, and your ability to pay unexpected bills.</p> <p>Without insurance, small amounts may not be problematic. But unexpected surgeries or specialist tests and treatments could see you thousands of dollars out of pocket. </p> <p>The more claims you’re likely to make, the more valuable insurance may be.</p> <p>If you do get insurance, choose a reputable provider with positive reviews for paying claims promptly.</p> <p><strong>5. Master DIY </strong></p> <p>Put your hands to work and make your pet’s essentials at a fraction of buying new. </p> <p>Consider making your own:</p> <ul> <li>Toys – such as uncooked rice or pasta in a PET bottle. (Beware things like sticks, which can cause injuries and splinters.)</li> <li>Meals – cook in bulk and freeze portions for added savings and convenience. Homemade meals may be healthier too, since you know exactly what they’re eating.</li> <li>Bedding and towels – from your old clothing, linen etc.</li> </ul> <p>Always use safe materials and ingredients that won’t be a choking hazard. Monitor items for wear and tear.</p> <p><strong>6. Involve your kids</strong></p> <p>Getting kids/grandkids involved with animal care is good for everyone – including your wallet.</p> <p>Kids love animals. Pets love children’s playtime energy. And you’ll save paying someone else to do it when you’re short for time. </p> <p>Ask them to walk the dog, clean the litter tray, collect the eggs, top up food and water. </p> <p>You can make it form part of their pocket money – teaching them the value of earning – all while helping them develop important life skills like empathy and responsibility.</p> <p><strong>7. Consider legalities</strong></p> <p>Custody and inheritance matters affect furbabies too, so it’s important to have a plan:</p> <ul> <li>Wills – who will have guardianship if you die suddenly? Is that person willing and able? Have you left money to pay for their ongoing care?</li> <li>Separation/divorce – pets sadly are sometimes used as weapons in a separation. It could be emotional blackmail over custody, or one partner is given custody but cannot afford to keep them on a single income. The stress adversely affects everyone – including your pet. </li> </ul> <p><strong>8. Spend time with them</strong></p> <p>Companionship is important for your pet’s health – and yours. And it’s free!</p> <p>Research suggests <a href="https://www.health.harvard.edu/staying-healthy/having-a-dog-can-help-your-heart--literally">dog ownership improves heart health for humans</a> and <a href="https://www.psychologicalhealthcare.com.au/blog/mental-health-benefits-pets/">patting pets lowers blood pressure and stress hormones</a>. Plus, you’ll both benefit from being more active and making new friends (such as at the dog park).</p> <p>So, what are you waiting for? Hitch up the lead or pick up a toy and give your furbaby some love!</p> <p><strong><em>Helen Baker is a licensed Australian financial adviser and author of the new book, On Your Own Two Feet: The Essential Guide to Financial Independence for all Women (Ventura Press, $32.99). Helen is among the 1% of financial planners who hold a master’s degree in the field. Proceeds from book sales are donated to charities supporting disadvantaged women and children. Find out more at <a href="http://www.onyourowntwofeet.com.au">www.onyourowntwofeet.com.au</a></em></strong></p> <p><em>Image credits: Shutterstock</em></p>

Family & Pets

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Thief asks woman out on date after robbing her at gunpoint

<p>A US woman has gone through the harrowing experience of being robbed at gunpoint, but it was what happened after the fact that was almost as eerie.</p> <p>Amber Beraun was checking the mail one night at her Indianapolis home in May when she was approached by a man with a gun.</p> <p>The gunman was later identified as Damien Boyce.</p> <p>Speaking to WRTV, Beraun said she was confronted by Boyce, who attempted to enter her home. She refused and gave him all the cash she had handy, which came to $100.</p> <p>Before he made his escape, Boyce asked Beraun a very unexpected, and quite frankly bizarre question - to add him on Facebook.</p> <p>The thief also noted he was planning to pay her back.</p> <p>Beraun responded, telling him she “believed” him and that “times just get rough”.</p> <p>Boyce proceeded to ask the woman to “come chill”.</p> <p>He was later arrested by the Indianapolis Metropolitan Police Department and charged over a separate armed robbery on June 12, where two people got shot and one was hit in the head with a brick.</p> <p>He was also charged with his robbery of Beraun.</p> <p>Beraun said her local neighbourhood has been affected by the terrifying incident.</p> <p>"It makes me a little on edge knowing that people walk up and down the street, looking for places to commit crimes," she said.</p> <p>"It makes it a little different when you hear noises at night."</p> <p>Beraun insisted she "never" thought something like this would happen to her.</p> <p>"He took away my sense of safety from my home."</p> <p><em>Image credit: ABC America</em></p>

Legal

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Tips for safe mobile banking

<p>As we increasingly turn to our mobile devices for online transactions, it’s crucial to keep security in mind. We’ve all misplaced our mobile phone at some stage and the last thing you want is for some random stranger to get direct access to your bank accounts and other personal details.</p> <p><strong>1. Use a strong password –</strong> This goes without saying.While it might not be as critical with your library pass, someone who cracks or guesses your online banking password can drain your account dry. If you memorise just one strong password, make it your online banking password.</p> <p><strong>2. Never store passwords on your smartphone –</strong> Many people still try to hide passwords or PIN numbers within the body of text or phone numbers. However, despite how cleverly you may think you've concealed them, criminals know what to look for and where. It's always best to commit these security details to memory and not record them anywhere. This includes not ticking "save password" on website and applications that offer to remember your login details. Also make sure you limit other personal information. Criminals are interested in more than just your internet banking details. Any kind of personal information can be used to steal your identity, which criminals can then use to apply for credit cards, personal loans, even mortgages.</p> <p><strong>3. Use a password manager –</strong> Okay, in the real world you probably have more than one online financial account. Rather than strain your brain memorising hard-to-crack passwords for each of them, look at enlisting the help of a password manager. There are plenty of apps available and the best ones not only store your passwords securely but also help you work through your collection of passwords and replace weak ones and duplicates.</p> <p><strong>4. Activate smartphone security settings and password protection –</strong> All smartphones have built-in security features such as auto-locking and password protection. While it may seem like a bit of an inconvenience at times, these physical security measures are your first line of defense in keeping your smartphone and your personal details safe. You can also install smartphone security software as well as remote data wiping software if you lose your phone or it gets stolen.</p> <p><strong>5. Connect through your data plan –</strong> If you're banking online on a mobile device, you have a degree of in-built protection available when you turn off wi-fi tethering and bluetooth and connect using your mobile data plan. It's a lot harder for criminals to sniff your mobile data stream than to snag passwords from network traffic. If you’re on wi-fi only use reputable hot spots that are password protected. If you connect to a shared wi-fi hotspot you are completely dependent on the security of the host network.</p> <p><strong>6. Don't be tempted to jailbreak your smartphone –</strong> If you crack the manufacturer's security on your smartphone, you not only make your warranty invalid but you make it much more vulnerable to attacks by cybercriminals.</p> <p><strong>7. Clear your phone when you replace it –</strong> If you sell or discard your smartphone, it's crucial you delete all personal information first. This includes SMS messages, emails, photographs, contact details and internet links. </p> <p><em>Image credit: Shutterstock</em></p>

Money & Banking

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A piggy bank is the answer to saving for your next holiday

<p>Not just for kids, the humble piggy bank is a great way to save up your hard earned cash for something special.</p> <p><strong>How to:</strong></p> <ol> <li>Find a piggy bank for your savings. You can also use a glass jar or vase, which is great to be able to track your progress.</li> <li>At the end of each day come home and throw any coins that you have into your piggy bank</li> <li>Try paying for everything with notes instead of cards and keep all of your change each day for your savings jar.</li> </ol> <p>So what are the benefits? Today we have four great reasons why you should start saving your coins in this way.</p> <p><strong>Pain free</strong></p> <p>You won’t even notice it missing from your wallet. As the money doesn’t feel like much you won’t feel as though you are actively ‘saving’ even though you are.</p> <p><strong>Fast results</strong></p> <p>Think about it, if you place just $5 worth of coins in your jar each day, it will only take one month to save up around $150.</p> <p><strong>Out of sight</strong></p> <p>Rather than keeping it in your savings account, it’s a much better idea to keep your holiday fund somewhere that you can’t accidentally spend it on everyday things like bills or petrol. You’re less likely to dip into it even for unexpected bills, as you know it is for your holiday.</p> <p><strong>Satisfying</strong></p> <p>You can literally see your savings building up, especially if you use a clear vase or jug. At the end of each day you will hear the satisfying sound of the coins being deposited. You’ll know then that you’re one step closer to that holiday that you thought you couldn’t afford.</p> <p><em>Images: Getty</em></p>

Money & Banking

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Senior bank robber’s unexpectedly polite note

<p>A 78-year-old woman has caused some commotion with her bizarre Missouri bank heist. </p> <p>Bonnie Gooch, who already has two bank robbery convictions to her name, has collected a brand new charge - one count of stealing, or attempting to steal, from a financial institution - for her actions at the Goppert Financial Bank in Pleasant Hill. </p> <p>However, it’s the note that Bonnie had for the bank’s teller that has drawn the most attention around the world, with the senior bank robber allegedly stating that she “didn’t mean to scare” anyone. </p> <p>As <em>The Kansas City Star </em>reported, Bonnie supposedly entered the establishment just after 3pm, ‘disguised’ by her facemask and sunglasses. After approaching the counter, she is said to have handed over a note that demanded “13,000 small bills”, and another that read “thank you sorry I didn’t mean to scare you”.</p> <p>Prosecutors in Cass County said surveillance video from inside of the bank showed Bonnie banging on the counter and demanding that the teller hurry up. </p> <p>Bonnie made her getaway from there, but was ultimately caught by law enforcement officers, who reported that her car smelled of alcohol, and had money spread across its floor. Despite this, she is not facing any alcohol related charges. </p> <p>Pleasant Hill Police Chief Tommy Wright described the incident as “just sad’, and noted that Bonnie - as far as they were aware - had not been diagnosed with any notable ailments.</p> <p>“When officers first approached her, they were kind of confused ... it’s a little old lady who steps out,” he explained. “We weren’t sure initially that we had the right person.”</p> <p>He also noted that in his three decades as a police officer, he had never encountered a robbery suspect of a similar age to Bonnie. </p> <p>But it wasn’t Bonnie’s first rodeo, with Bonnie having been convicted for her actions in California in 1977, and again in another Kansas City suburb in 2020. Her probation for the latter only ended in November 2021. </p> <p>At the time of her 2020 theft, court documents cited by <em>Fox 4 </em>note that Bonnie’s son explained she had left the house “angry” and had declared that she was “going to rob a bank”.</p> <p>She is now being held on a $25,000 USD (~$37,500 AUD) bond at a Cass County detention centre for her 2023 crime. </p> <p>And as Police Chief Tommy Wright also revealed to <em>Fox 4</em>, he and his team were evaluating whether or not Bonnie would require further services as her case progressed through the criminal justice system. </p> <p><em>Images: Facebook</em></p>

Legal

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Salon owner loses $40,000 from one $60 deposit

<p dir="ltr">When beautician Thuy Le received a call from a supposed customer’s ‘husband’ regarding an accidental payment, she could never have foreseen the devastating turn her life would take from that point on. </p> <p dir="ltr">The mother of two, whose husband is living with Parkinsons and unable to work, recounted how her harrowing ordeal started with that one phone call, and the man on the other end requesting she return the $60 his wife had ‘accidentally’ paid. </p> <p dir="ltr">Le checked her bank statements to verify his story, and after noting one deposit that matched, she transferred the funds into the account he provided. </p> <p dir="ltr">She did not provide any of her own personal information, her passwords, or any critical numbers for her accounts. And yet, in the time to follow, Le could only watch in horror as more withdrawals were made from her account, into the very same one owned by the customer’s ‘husband’. </p> <p dir="ltr">The withdrawals totalled a devastating $41,600 stolen from Le’s life savings. </p> <p dir="ltr">Le also recounted how she was refused access to her business account, and that she got in touch with her bank as soon as she realised what had happened, suspecting she had been scammed. </p> <p dir="ltr">Her quest for support in her time of need was cut short, with the financial institution placing the blame solely on Le and ruling that they were not liable for the losses she had endured - this was despite the suspicious withdrawals raising no alarm with the bank, and the lack of personal information involved in the scam. </p> <p dir="ltr">Of their questionable red flag system, the bank claimed that it is “nearly impossible for an unauthorised third party to guess”, referencing the way that the logins for the costly transaction all succeeded on the very first try. </p> <p dir="ltr">Furthermore, as stated in a letter to Le, they declared that “the only reasonable explanation for these logins would be that your online banking credentials were known to the unauthorised third party, which would be in breach of the passcode security requirements.”</p> <p dir="ltr">“I am in financial hardship,” Le admitted of her dire situation, and the need to have the funds returned for her family and her husband’s crucial medication. </p> <p dir="ltr">“I have two little kids, I have a husband with Parkinson’s disease, he cannot work,” she continued. “We are still in the process of applying for government help and I have carried the financial burden on my shoulders.”</p> <p dir="ltr">While Le’s bank offered $200 to resolve her complaint, she was offered no further assistance, and took matters to the Australian Financial Complaints Authority, hoping to have her money returned to her. </p> <p dir="ltr">“I can’t sleep,” she confessed. “I want to know why this happened to me and how it happened to me.</p> <p dir="ltr">“I’m not a liar, not a criminal, not a fraud.”</p> <p dir="ltr"><em>Images: Supplied to 7News, Facebook</em></p>

Money & Banking

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Nobel economics prize: insights into financial contagion changed how central banks react during a crisis

<p><em>This year’s <a href="https://www.nobelprize.org/prizes/economic-sciences/2022/prize-announcement/" target="_blank" rel="noopener">Nobel prize in economics</a>, known as the Sveriges Riksbank Prize in Economic Sciences, has gone to Douglas Diamond, Philip Dybvig and former Federal Reserve Chair Ben Bernanke for their work on banks and how they relate to financial crises.</em></p> <p><em>To explain the work and why it matters, we talked to Elena Carletti, a Professor of Finance at Bocconi University in Milan.</em></p> <p><strong>Why have Diamond, Bernanke and Dybvig been awarded the prize?</strong></p> <p>The works by <a href="https://www.nobelprize.org/uploads/2022/10/popular-economicsciencesprize2022.pdf" target="_blank" rel="noopener">Diamond and Dybvig</a> essentially explained why banks exist and the role they play in the economy by channelling savings from individuals into productive investments. Essentially, banks play two roles. On the one hand, they monitor borrowers within the economy. On the other, they provide liquidity to individuals, who don’t know what they will need to buy in future, and this can make them averse to depositing money in case it’s not available when they need it. Banks smooth out this aversion by providing us with the assurance that we will be able to take out our money when it’s required.</p> <p>The problem is that by providing this assurance, banks are also vulnerable to crises even at times when their finances are healthy. This occurs when individual depositors worry that many other depositors are removing their money from the bank. This then gives them an incentive to remove money themselves, which can lead to a panic that causes a bank run.</p> <p>Ben Bernanke fed into this by looking at bank behaviour during the great depression of the 1930s, and showed that bank runs during the depression was the decisive factor in making the crisis longer and deeper than it otherwise would have been.</p> <p><strong>The observations behind the Nobel win seem fairly straightforward compared to previous years. Why are they so important?</strong></p> <p>It’s the idea that banks that are otherwise financially sound can nevertheless be vulnerable because of panicking depositors. Or, in cases such as during the global financial crisis of 2007-09, it can be a combination of the two, where there is a problem with a bank’s fundamentals but it is exacerbated by panic.</p> <p>Having recognised the intrinsic vulnerability of healthy banks, it was then possible to start thinking about policies to alleviate that risk, such as depositor insurance and reassuring everyone that the central bank will step in as the lender of last resort.</p> <p>In a bank run caused by liquidity (panic) rather than insolvency, an announcement from the government or central bank is likely to be enough to solve the problem on its own – often without the need for any deposit insurance even being paid out. On the other hand, in a banking crisis caused by insolvency, that’s when you need to pump in money to rescue the institution.</p> <p><strong>What was the consensus about bank runs before Diamond and Dybvig began publishing their work?</strong></p> <p>There had been a lot of bank runs in the past and it was understood that financial crises were linked to them – particularly before the US Federal Reserve was founded in 1913. It was understood that bank runs made financial crises longer by exacerbating them. But the mechanism causing the bank runs wasn’t well understood.</p> <figure class="align-center zoomable"><a href="https://images.theconversation.com/files/489027/original/file-20221010-11-on0vn4.jpeg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/489027/original/file-20221010-11-on0vn4.jpeg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px" srcset="https://images.theconversation.com/files/489027/original/file-20221010-11-on0vn4.jpeg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=600&amp;h=405&amp;fit=crop&amp;dpr=1 600w, https://images.theconversation.com/files/489027/original/file-20221010-11-on0vn4.jpeg?ixlib=rb-1.1.0&amp;q=30&amp;auto=format&amp;w=600&amp;h=405&amp;fit=crop&amp;dpr=2 1200w, https://images.theconversation.com/files/489027/original/file-20221010-11-on0vn4.jpeg?ixlib=rb-1.1.0&amp;q=15&amp;auto=format&amp;w=600&amp;h=405&amp;fit=crop&amp;dpr=3 1800w, https://images.theconversation.com/files/489027/original/file-20221010-11-on0vn4.jpeg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;h=509&amp;fit=crop&amp;dpr=1 754w, https://images.theconversation.com/files/489027/original/file-20221010-11-on0vn4.jpeg?ixlib=rb-1.1.0&amp;q=30&amp;auto=format&amp;w=754&amp;h=509&amp;fit=crop&amp;dpr=2 1508w, https://images.theconversation.com/files/489027/original/file-20221010-11-on0vn4.jpeg?ixlib=rb-1.1.0&amp;q=15&amp;auto=format&amp;w=754&amp;h=509&amp;fit=crop&amp;dpr=3 2262w" alt="Police controlling an angry crowd during a Paris bank in 1904" /></a><figcaption><span class="caption">A bank run in Paris in 1904.</span> <span class="attribution"><a class="source" href="https://www.shutterstock.com/image-illustration/paris-police-hold-back-crowd-making-242294071" target="_blank" rel="noopener">Everett Collection</a></span></figcaption></figure> <p><strong>How easy is it to tell what kind of bank run you are dealing with?</strong></p> <p>It’s not always easy. For example, in 2008 in Ireland it was thought to be a classic example of bank runs caused by liquidity fears. The state stepped up to give a blanket guarantee to creditors, but it then became apparent that the banks were really insolvent and the government had to inject enormous amounts of money into them, which led to a sovereign debt crisis.</p> <p>Speaking of sovereign debt crises, the work by Diamond and Dybvig also underpins the literature on financial contagion, which is based on a <a href="https://www.jstor.org/stable/10.1086/262109" target="_blank" rel="noopener">2000 paper</a> by Franklin Allen and Douglas Gale. I worked with Allen and Gale for many years, and all our papers have been based on the work of Diamond, and Diamond and Dybvig.</p> <p>In a similar way to how state reassurances can defuse a bank run caused by liquidity problems, we saw how the then European Central Bank President Mario Draghi was able to defuse the run on government bonds in the eurozone crisis in 2011 by saying that the bank would do “<a href="https://qz.com/1038954/whatever-it-takes-five-years-ago-today-mario-draghi-saved-the-euro-with-a-momentous-speech/" target="_blank" rel="noopener">whatever it takes</a>” to preserve the euro.</p> <figure><iframe src="https://www.youtube.com/embed/tB2CM2ngpQg?wmode=transparent&amp;start=0" width="440" height="260" frameborder="0" allowfullscreen="allowfullscreen"></iframe></figure> <p><strong>The prize announcement has attracted plenty of people on social media saying we shouldn’t be celebrating Bernanke when he was so involved in the quantitative easing (QE) that has helped to cause today’s global financial problems – what’s your view?</strong></p> <p>I would say that without QE our problems would today be much worse, but also that the prize recognises his achievements as an academic and not as chair of the Fed. Also, Bernanke was only one of the numerous central bankers who resorted to QE after 2008.</p> <p>And it is not only the central bank actions that make banks stable. It’s also worth pointing out that the changes to the rules around the amount of capital that banks have to hold after 2008 have made the financial system much better protected against bank runs than it was beforehand.</p> <p><strong>Should such rules have been introduced when the academics first explained the risks around bank runs and contagion?</strong></p> <p>The literature had certainly hinted at these risks, but regulation-wise, we had to wait until after the global financial crisis to see <a href="https://www.ecb.europa.eu/pub/pdf/fsr/art/ecb.fsrart201405_03.en.pdf" target="_blank" rel="noopener">reforms such as</a> macro-prudential regulation and more stringent micro-prudential regulation. This shows that regulators were underestimating the risk of financial crises, perhaps also pushed by the banking lobbies that had been traditionally very powerful and managed to convince regulators that risks were well managed.</p> <p><strong>If retail banks become less important in future because of blockchain technology or central bank digital currencies, do you think the threat of financial panic will reduce?</strong></p> <p>If we are heading for a situation where depositors put their money into central banks rather than retail banks, that would diminish the role of retail banking, but I think we are far from that. Central bank digital currencies can be designed in such a way that retail banks are still necessary. But either way, the insights from Diamond and Dybvig about liquidity panics are still relevant because they apply to any context where coordination failures among investors are important, such as sovereign debt crises, currency attacks and so on.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/192208/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /></p> <p><em>Written by Elena Carletti. Republished with permission of <a href="https://theconversation.com/nobel-economics-prize-insights-into-financial-contagion-changed-how-central-banks-react-during-a-crisis-192208" target="_blank" rel="noopener">The Conversation</a>.</em></p> <p><em>Image: The Nobel Foundation</em></p>

Money & Banking

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"You don't do that to a hearse": Thieves blasted over despicable act

<p dir="ltr">A funeral home has been the subject of an unusual robbery after thieves stripped the wheels of a hearse - and its owner has a message to share with those responsible.</p> <p dir="ltr">Arriving at work on Sunday at Te Awahou Funeral Services in Foxton, New Zealand, owner Jayden Moore discovered that one of his hearses was missing its two rear wheels.</p> <p dir="ltr">"In between Saturday and Sunday, we had boy racers out past the funeral home doing skids – obviously we don't know if it was them, but putting two and two together we can imagine they've needed wheels for their car,” he said.</p> <p dir="ltr">The hearse had been sitting out, ready to be used for a service that morning, with Mr Moore telling the <em><a href="https://www.nzherald.co.nz/nz/thieves-steal-wheels-from-hearse-at-foxtons-te-awahou-funeral-home/52LRSJUVM4GLPSVRE7D5ABRBSM/" target="_blank" rel="noopener">NZ Herald </a></em>that he had to run around to find an alternative.</p> <p dir="ltr">"We came into work to do a service for a family and we've had to run around and find a new [hearse] - we have two but they're set up for different reasons,” he told the outlet.</p> <p dir="ltr">In a message for the thieves, Mr Moore urged them to consider the implications of their actions.</p> <p dir="ltr">"You've not ripped me off, you've ripped these loved ones off," he said.</p> <p dir="ltr">Mr Moore told the <em>Herald</em> that his staff and the local community had been left fuming at the theft.</p> <p dir="ltr">"Everyone is a bit p***ed off, you don't do that to a hearse – these a***holes don't know or don't care that it's tapu (‘sacred’ and prohibited) to touch anything to do with funeral services – they've got some bad karma coming their way."</p> <p dir="ltr">He added that the community had been incredibly supportive and his business and “fully backed up” the funeral home.</p> <p dir="ltr">“The community has been right behind us especially our local – fully backing the whole 'what a***holes would do that' kind of mentality,” he said.</p> <p dir="ltr">Mr Moore isn’t aware of any cameras that could have captured the theft and has urged anyone in the community who saw anything or who has information to come forward.</p> <p dir="ltr">“If anyone has any information, please get in touch with us,” he said.</p> <p><span id="docs-internal-guid-6e482ba4-7fff-e483-ddaf-557d6039b85b"></span></p> <p dir="ltr"><em>Image: NZ Herald</em></p>

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Paul Green’s brain donated to science

<p dir="ltr">Paul Green’s brain has been donated to the Australian Sports Brain Bank to help with science. </p> <p dir="ltr">The legendary coach and former player Paul Green was just 49 when he <a href="https://oversixty.com.au/news/news/rugby-league-icon-dead-at-49" target="_blank" rel="noopener">was found dead</a> at his home in Brisbane on August 11. </p> <p dir="ltr">It is confirmed that the father-of-two died from suicide. </p> <p dir="ltr">His family has now confirmed that his brain will be donated to the <a href="https://www.mycause.com.au/page/290298/in-memory-of-paul-green" target="_blank" rel="noopener">Australian Sports Brain Bank</a> to help aid research into concussion-related condition chronic traumatic encephalopathy (CTE) - a common injury amongst NRL players due to the nature of the game. </p> <p dir="ltr">"In memory of our beloved Paul, we ask that you support the pioneering work of the Australian Sports Brain Bank,” their post read.</p> <p dir="ltr">"Paul was known for always looking out for others. We are proud that part of his legacy will be looking out for the brain health of all others involved in the game that he loved.</p> <p dir="ltr">"Amanda, Emerson and Jed."</p> <p dir="ltr">They are hoping to raise $150,000 to help with the research. </p> <p dir="ltr">Michael Buckland, the director of the Australian Sports Brain Bank, thanked Green’s family for their donation.</p> <p dir="ltr">"This is an incredibly generous donation and will be an invaluable part of our research into the long-term effects of repetitive head impacts in sport and elsewhere," he said.</p> <p dir="ltr">"We at the Australian Sports Brain Bank are blown away by the fact that in their time of grief, Amanda and the rest of the family thought of how they could help others."</p> <p dir="ltr">Green had an incredible NRL career, playing 162 first grade matches between 1994-2004 and winning the prestigious Rothmans Medal in 1995 as the game's best and fairest.</p> <p dir="ltr">He played for several different clubs including Cronulla-Sutherland Sharks, North Queensland Cowboys, Sydney Roosters, Parramatta Eels and the Brisbane Broncos.</p> <p dir="ltr">Green eventually swapped his playing boots to coaching ones as he took on the North Queensland Cowboys from 2014-2020.</p> <p dir="ltr">If you would like to donate to the research, click <a href="https://www.mycause.com.au/page/290298/in-memory-of-paul-green" target="_blank" rel="noopener">here</a>. </p> <p dir="ltr"><strong>If you are experiencing a personal crisis or thinking about suicide, you can call Lifeline 131 114 or beyondblue 1300 224 636 or visit <a href="https://www.lifeline.org.au/">lifeline.org.au</a> or <a href="https://www.beyondblue.org.au/">beyondblue.org.au</a>.</strong></p> <p dir="ltr"><em>Image: Australian Sports Brain Bank</em></p>

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Richard Gere makes bank on “magical” estate

<p dir="ltr">After spending a decade building it and 36 years owning it, Richard Gere has farewelled his lavish New York country estate and walked away with a tidy $USD 28 million ($39.4 million or $NZD 44.1 million).</p> <p dir="ltr">The <em>Pretty Woman</em> star bought the property in 1986, four years before starring in the cult classic with Julia Roberts, </p> <p dir="ltr">He went on to build the mansion over 12,000 square metres using custom joinery, with the home boasting including a handsome library, several living areas, and a breakfast nook with an open fireplace.</p> <p dir="ltr">The estate, located about an hour’s drive away from Manhattan, also features a private lake with a beach and an island, a pool with a guest house, and a soccer field and is surrounded by 1740 hectares of hills and dense foliage.</p> <p dir="ltr">Having <a href="https://www.oversixty.co.nz/property/real-estate/bought-for-1-5m-selling-for-40m-richard-gere-lists-new-york-mega-mansion" target="_blank" rel="noopener">spent $USD 1.51 million</a> on the vacant property in the ‘80s, the 72-year-old earned a monumental profit when he finally sold the home five months after <a href="https://www.ginnel.com/exclusive/1193/81-Lyndel-Road-Pound-Ridge-NY" target="_blank" rel="noopener">listing it</a> with agent Muffin Dowdle from Ginnel Real Estate.</p> <p dir="ltr">With the home now under contract, it comes after he and his wife, Alejandra Silva, dropped $USD 9.8 million ($13.9 million or $NZD 15.4 million) for <a href="https://www.oversixty.co.nz/property/real-estate/richard-gere-lists-stunning-estate-for-eye-watering-price" target="_blank" rel="noopener">an upstate New York home</a> sitting on 14 acres in North Salem.</p> <p dir="ltr">Their new home sees the couple live among a slew of A-listers, with their new neighbours including media mogul Michael Bloomberg and Bill Gates’ daughter Jenna Gates.</p> <p dir="ltr">Residents reported that Gere and Silva have already moved in after spotting Buddhist prayer flags at the property, with Gere being one of Hollywood’s most high-profile Buddhists, according to <em><a href="https://www.nine.com.au/property/news/richard-gere-sells-40-million-dollar-new-york-country-estate/e0adf945-fd45-4269-bff0-dc70f92592c2" target="_blank" rel="noopener">Domain</a></em>.</p> <p><span id="docs-internal-guid-ad0eb81f-7fff-c4df-ff12-342abbde6a42"></span></p> <p dir="ltr"><em>Images: Getty Images, Ginnel Real Estate</em></p>

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Daylight robbery: Men arrested for nicking a bridge

<p dir="ltr">Eight men have been arrested in the Indian state of Bihar for stealing an iron bridge in broad daylight.</p> <p dir="ltr">When several men arrived in the village of Amiyavar with an excavator and gas torches, locals believed the government was finally removing an old metal bridge that had become more of a nuisance than useful.</p> <p dir="ltr">The men, including some from the state government’s irrigation department, arrived at 7am and worked until dusk for three days. They cut the iron with gas torches and loosened the ground with excavators before taking the metal away in a rented van.</p> <p dir="ltr">However, a local journalist told the <em><a href="https://www.bbc.com/news/world-asia-india-61066473" target="_blank" rel="noopener">BBC</a></em> that no one knew the men were actually stealing the metal, before depositing it at the warehouse of a local scrap dealer for a profit.</p> <p><span id="docs-internal-guid-32b2bcb9-7fff-ed56-770b-ab3f202e8b92"></span></p> <p dir="ltr">“No-one suspected it was a heist,” Jitendra Singh, a journalist who lives “200 metres from the bridge”, told the outlet.</p> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">Unique theft in <a href="https://twitter.com/hashtag/Bihar?src=hash&amp;ref_src=twsrc%5Etfw">#Bihar</a>, thieves became officers of the irrigation department and stole a 60 feet long iron bridge</p> <p>In Nasriganj, Rohtas, thieves posing as officers, with the help of local personnel, 1/2<a href="https://twitter.com/UtkarshSingh_?ref_src=twsrc%5Etfw">@UtkarshSingh_</a> 📽️ <a href="https://t.co/jhnTbUSYDw">pic.twitter.com/jhnTbUSYDw</a></p> <p>— Siraj Noorani (@sirajnoorani) <a href="https://twitter.com/sirajnoorani/status/1512521001719894017?ref_src=twsrc%5Etfw">April 8, 2022</a></p></blockquote> <p dir="ltr">The operation was reportedly supervised by Arvind Kumar, who worked part-time at the irrigation department. He allegedly told anyone who asked that “the work had an official sanction”.</p> <p dir="ltr">Ashish Bharti, the senior police official leading the investigation, said Mr Kumar was one of the men arrested.</p> <p dir="ltr">“Irrigation department official Radhe Shyam Singh, the van owner and the owner of the scrapyard are also among those arrested. We are looking for at least four more people,” Mr Bharti said.</p> <p dir="ltr">“Even three days ago, the structure of the bridge was there but suddenly it disappeared and we informed local officials,” Amiyaway local Suresh Kumar told <em><a href="https://www.thehindu.com/news/national/other-states/thieves-make-away-with-500-tonne-iron-bridge-in-bihar/article65305774.ece" target="_blank" rel="noopener">The Hindu</a>.</em></p> <p dir="ltr">Pawan Kumar, who lives in a neighbouring village, made the discovery that the operation wasn’t legitimate after he tried contacting Mr Singh and couldn’t reach him.</p> <p dir="ltr"><span id="docs-internal-guid-c265fe8a-7fff-0d81-4d02-497620f9bfa8"></span></p> <p dir="ltr">“I tried calling irrigation department official Radhe Shyam Singh, but when he didn’t answer, I called a senior official to ask why they had not followed procedure - the authorities are expected to issue a tender and the work is given to the lowest bidder,” Mr Kumar told the <em>BBC</em>.</p> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">The remnants of the 500 tonne bridge that was stolen in Rohtas, Bihar. Pic via <a href="https://twitter.com/AmarnathTewary?ref_src=twsrc%5Etfw">@AmarnathTewary</a> <a href="https://t.co/AaB3Ohc41x">pic.twitter.com/AaB3Ohc41x</a></p> <p>— Nistula Hebbar (@nistula) <a href="https://twitter.com/nistula/status/1512713303797035011?ref_src=twsrc%5Etfw">April 9, 2022</a></p></blockquote> <p dir="ltr">The official told him he was unaware that the bridge had been taken down, prompting a complaint to be lodged with police.</p> <p dir="ltr">After conducting several raids, police have recovered 24.5 tonnes of iron scrap from the bridge, as well as the pick-up van and tools used to strip the bridge, per <em><a href="https://www.thehindu.com/news/national/other-states/bihar-bridge-theft-case-water-resources-dept-official-seven-others-arrested/article65310750.ece" target="_blank" rel="noopener">The Hindu</a></em>.</p> <p dir="ltr">The bridge in question was in a serious state of disrepair and had been out of use since the early 2000s, when a concrete bridge was built nearby.</p> <p dir="ltr">Journalist Jitendra Singh said the head of the village had sent a petition to authorities to remove the bridge since it had become a health hazard. </p> <p dir="ltr">He said bodies of cattle and even people would get stuck under the bridge after floating from upstream.</p> <p dir="ltr">“Over the years, all the wood used in the bridge had disintegrated and the iron had rusted. Thieves had stolen bits and pieces of the metal to put it to other use or sell it as scrap for a few rupees,” Shailendra Singh, who lives in the village, told the <em>BBC</em>.</p> <p dir="ltr">“But what happened last week was daylight robbery.”</p> <p dir="ltr">Metal is stolen in many parts of India, as well as the US, UK and parts of Europe. </p> <p dir="ltr">In India, manhole covers and water pipes are common targets, while signalling and power cables, overhead line equipment, and clips to hold train tracks in place in England have caused thousands of hours of delays each year.</p> <p dir="ltr" style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;"><em>Image: Twitter</em></p>

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Two US cops fired after abandoning a robbery to play Pokemon Go

<p><span style="font-weight: 400;">Two US police officers have been fired after they went off to chase virtual Pokemon creatures instead of responding to a robbery. </span></p> <p><span style="font-weight: 400;">Eric Mitchell and Louis Lozano were cruising the streets searching for Pokemon in the augmented reality smartphone game, and abandoned their jobs in the process. </span></p> <p><span style="font-weight: 400;">An in-car recording revealed that the pair heard the call for help during a robbery at a Los Angeles department store, and decided to drive away. </span></p> <p><span style="font-weight: 400;">“Officer Mitchell alerted Lozano that ‘Snorlax’ ‘just popped up’,” legal documents show.</span></p> <p><span style="font-weight: 400;">“For approximately the next 20 minutes, the (recording) captured petitioners discussing Pokemon as they drove to different locations where the virtual creatures apparently appeared on their mobile phones.”</span></p> <p><span style="font-weight: 400;">The officers caught the virtual Snorlax before turning their attention to a much harder creature to conquer. </span></p> <p><span style="font-weight: 400;">“Holy crap, man. This thing is fighting the crap out of me,” Mitchell said of the Pokemon, according to the documents, which were published last week.</span></p> <p><span style="font-weight: 400;">Both officers were charged with multiple counts of misconduct, and admitted to failing to respond to the robbery, but denied they had been playing Pokemon Go. </span></p> <p><span style="font-weight: 400;">The smartphone game took the world by storm in 2016, with users searching for fantastical creatures using the real world through their smartphone screens. </span></p> <p><span style="font-weight: 400;">Despite challenging the court’s ruling and upholding the notion they were not playing the game at the time of the robbery, both men were charged and fired from their jobs with the Los Angeles Police Department. </span></p> <p><em><span style="font-weight: 400;">Image credits: Getty Images</span></em></p>

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