Kristen Standifer, Financial Legal Examiner 1 Kristen Standifer is - - PowerPoint PPT Presentation

Kristen Standifer, Financial Legal Examiner

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Kristen Standifer is a Financial Legal Examiner in the Securities Division of the Washington State Department of Financial Institutions where she handles regulatory compliance issues involving investment advisers, broker dealers, and their representatives. She also provides education and outreach regarding regulatory compliance, fraud, and consumer protection of the elderly and vulnerable populations. She works with AARP; the Financial Industry Regulatory Authority, commonly referred to as FINRA; and other state agencies to educate seniors on protecting themselves from financial

• fraud. Kristen previously worked at the Office of the Attorney General where

she litigated issues related to medical malpractice, health care, and senior

• abuse. Kristen was a financial analyst prior to obtaining her law degree.

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 The comments and opinions expressed today are

solely the presenter’s comments and opinions and do not necessarily reflect those of the Department

• f Financial Institutions, its management, or anyone

associated with the Department of Financial Institutions

 DFI cannot give legal or financial advice, and we do

not endorse or recommend any person, product, or service

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YOU CAN Protect Yourself from Financial Fraud WE Can Help

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VERIFY BEFORE You Buy Contact DFI

• Description of DFI
• Protect Yourself-Tips on Avoiding Becoming a

Victim of Financial Fraud

• Resources
• Questions

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• A

A state e agency ncy that provid vides es regulator latory y oversi rsight ght for Washington’s financial services providers

• Four

r Divi visions: sions: Banks, s, Credit t Unions,

• ns, Consum

umer r Ser ervi vice ces, s, an and Sec ecuri rities ties

• Ou

Our website ite is: www.df dfi. i.wa wa.gov gov

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License

cense

Re

Regulate ate

Protec

tect

Educate

cate

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• Lic

icenses ses and regu gula lates tes check cashi hier ers, s, escr crow age gents, s, money ey tra ransmitte smitters, rs, mortga gage ge brokers, s, payda day y le lender ers, s, and d

• thers
• If you thin

ink you may be vic ictim im of a fr fraud d by one of these se types s of entiti ities, es, contact t the Consum sumer er Se Servic ices es Div ivis isio ion n at 360 360- 902 902-8703 8703 or on

• nli

line e at www.d .dfi fi.w .wa. a.gov gov

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• Th

There is one federal ral regula lator tor of secur curitie ities: s: the Securities and Exchange Commission (“SEC”)

• Th

There are 50 50 state e regul ulators ators of secu curi rities ties and we all belong

• ng to an organization

nization ca called d the North th Amer erican ican Sec ecuri rities ties Admini inistrator strators s Association ciation (“NASAA”)

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Wh Why We We Ca Care re

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• DFI and its regulatory partners take financial

exploitation seriously

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Ve Verif ify y in indiv ivid idual ual is is li licensed sed or ex exemp mpt: t:

• www.finr

.finra. a.com/ m/bro broker erchec check

• FINR

NRA (24 240) 0) 38 386-HE HELP

• Se

Securit itie ies s Div ivis ision ion at 1-877 877-RING-DFI FI

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Verif rify y a s security curity is registered gistered or exempt empt from m registr gistration ation

• www.dfi.w

w.dfi.wa.go a.gov

• Securities

curities Divisio vision n at 1-877 877-RING RING-DFI DFI

• At the SEC’s website: www.

ww.edgar edgar.com .com

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• Make an in

investme estment nt pla lan n

• Budget

et yo your r investme vestments nts for the e ye year ar

• If an in

invest estmen ment t comes s up mid id-ye year ar that t is is not in in your budg dget et, , conside ider r it it f for the foll llowing ing year

• In the meanti

ntime: me:

• Re

Resea earch ch the e inves estmen tment t

• Ob

Obtain in the investment estment details ils in writing ing

• Verify

fy all inform

• rmation

ation prov

• vide

ided

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• Bein

ing g pressur ssured ed in into in investi esting ng is is a re red fla lag

• You shoul

uld d have e tim ime to a ask quest estion ions s and d make a t thoug ughtfu htful l decis ision ion

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• Ask questi

stions

• ns and make

e sure you understa erstand nd the an answer er

• Conti

tinue nue to ask the questi stion

• n in diffe

ferent rent ways until il you unders erstand tand the answer

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• What

t are the fees and co costs ts

• What

t are the terms s of the inve vestm stmen ent

• Ri

Risk- what type? ? Marke ket t risk? ? Ot Other er risks? ks?

• Re

Return

• Re

Restricti ictions

• ns on withdrawal

hdrawals, s, lock ck-up period,

• d, or surre

render nder ch charges ges

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• Verify

fy all signifi nifica catio tion n inform

• rmation

ation ca causing ing you to wan ant to inves vest

• ALL INFORM

RMATI TION

• Re

Research ch all inve vestm stments, nts, even n where re the sal alespe esperson rson is a f a friend end or is rec ecommen

• mmended

ded by y a a friend nd

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• A stran

anger ger that calls you and asks ks you u to invest vest in something mething should

• uld be

e reg egard arded ed wi with the utmost

• st skep

kepti ticism ism

• Ha

Have ve your r script pt ready ady, , exampl ple: e:

• Thank

nk you for r the opportun portunity, ity, howe wever ver I must t discuss scuss this is informati formation

• n with

th my son/daught n/daughter er who works at the Attorney General’s Offi fice/DFI ce/DFI before fore I invest vest

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• It’s ok to say “NO!” to a telephone solicitor
• Better yet, ask so many questions that they

hang up on you and never want to call back

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• Ask for references and then call the

references

• Perform an internet search of the

company and the important people associated with the company

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• Drive

ve by the office

• Make sure it exists and is what you expect
• If the company is relying on attorneys,

accountants, or any other third party for material information, verify the third party exists and prepared the information

• Always remember that a third party’s advice is only

as good as the information the third party is given

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• Be

Be extra a skepti eptical cal if the salesp esperson erson asks sks you to keep ep a secret cret

• Another

ther person rson may be able e to point nt out red d flags gs you missed sed

• Ta

Talk to a fami mily y frien end d or a trusted usted professional fessional

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http://www.dfi.wa.gov/financialeducation/information/investing

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Consumer sumer Pr Protecti ection

• n Wa

Washi shingt ngton

• n

Better Business Bureau Secretary of State Office of Attorney General Federal Trade Commission Labor and Industries Office of Insurance Commissioner Utilities and Transportation Commission Department of Financial Institutions

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• The

he Elder er Investmen vestment t Fraud aud and d Fina nancia cial l Explo loit itat atio ion n Program gram is a coll llabora boratio tion between ween state e and d feder eral al agen encie cies

• Program

ram provides vides resourc

• urces for medica

dical l practition ctitioner ers, s, APS wor

• rker

kers, s, and nd senio iors rs

• Example

amples:

• Broc
• chure:

e: senio nior educ ucatio ion

• Broc
• chure:

e: ABCs Cs of financia nancial l fraud ud for APS profes essi sional als

• Video

eo: : Elder der Inves estm tmen ent Fraud aud

• FINRA

NRA Securities curities He Helpline pline fo for r Senio iors rs

• 1-844

44-574 574-35 3577 77 (or r 1-844 44-57 57-HELP HELPS)

• Se

Senior nior investo vestors rs receive ceive help lp with th their eir bro rokerage erage accoun

• unt

t questions estions from

• m FINRA

NRA staff ff

• For

r more re informati formation

• n see:

: http: tp:// //www. www.finr finra.or a.org/ g/in investors/finr vestors/finra-secur securiti ities es- help lpli line ne-seni seniors

• rs

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YOU ARE N NOT A ALONE

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Reach ch ou

• ut

t to to the the Se Securities urities Division vision AS SOO OON N AS POS OSSIBLE SIBLE ww www.d w.dfi.wa.gov fi.wa.gov 1-877 877-RING RING-DFI DFI

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If If yo your ur or

• rga

ganization nization is int ntere rested sted in n ho hosti ting ng a prese senta ntation, tion, pleas ease e con

• nta

tact ct Krist isten n Sta tandifer ndifer 360 360-902 902-8746 8746 ks ksta tandifer ndifer@dfi @dfi.wa.go .wa.gov

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VERIFY BEFORE You Buy Contact DFI

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