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Author: Grant Surridge

  • ‘A very scary situation’: This once-popular Florida hot spot now has properties languishing on the market for months — what’s behind the trend and what it could mean for the state

    The previously hot real estate market of southwest Florida has recently seen a worrying slowdown. Properties that would typically sell quickly are now sitting unsold for months, sparking concerns among homeowners and real estate professionals.

    Darleen Strange has been trying to sell her mother’s home in Fort Myers since last November.

    Don’t miss

    “It makes me wonder, is it ever gonna happen?” she told WINK News.

    “It’s been on the market for about 157 days. We’ve only had four people come look at it.”

    Data suggests the situation in southwest Florida may be an indicator of broader challenges in the real estate market across the state.

    Home sales stall

    Fort Myers homeowners face growing frustration as their homes are taking longer to sell than they expected.

    Local data shows properties are now sitting on the market for an average of almost 100 days — a sharp contrast to a couple of years ago when homes spent closer to 50 days on the market.

    “I had one property that was on the market for 10 months and it didn’t sell,” Fort Myers-area real estate agent Sue Christiano told Gulf Coast News Today.

    “We got offers, but they were all lowball.”

    This isn’t just a Fort Myers problem. Similar slowdowns are occurring in cities across Florida, including major metropolitan areas like Tampa Bay and Miami.

    In south Florida, homes are now taking 90 days to sell, according to CBS News Miami — compared to 60 days a few years ago. In Tampa Bay, the average number of days houses stay on the market has jumped as well, with ABC Action News reporting a rise in inventory and a shift to what agents are calling a buyer’s market.

    For Strange, who told WINK News that she needs the proceeds from selling her mother’s home to cover her mother’s assisted-living expenses, the market cooling couldn’t have happened at a worse time.

    “We’re getting into the point where if something doesn’t happen within the next year, it’ll be a very scary situation,” she said.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Soaring mortgage rates and insurance premiums drive trend

    The housing slowdown happening across Florida reflects national trends in the U.S., including high mortgage rates, soaring home insurance premiums and high listing prices.

    Treasury yields, which influence consumer borrowing costs, have risen. Fixed 30-year mortgage rates in the U.S. are close to 6.7%. Rising mortgage rates reduce prospective homebuyers’ purchasing power. For those thinking about buying a home, an increase in mortgage payments, by potentially hundreds of dollars per month, can mean the difference between deciding to buy a home or not.

    Insurance costs have also skyrocketed in Florida, where natural disasters like hurricanes and flooding have sharply driven up premiums. In fact, climate-driven disasters are driving up insurance premiums across the U.S. For example, in midwestern states, hail storms have caused premiums to rise rapidly and some insurers are even refusing to cover homes in vulnerable areas.

    According to the Wall Street Journal, severe storms cost insurers $58 billion in 2024. The Consumer Federation of America says U.S. homeowners have faced a 24% increase in home insurance premiums in the past three years. Additional insurance costs are another factor further deterring potential buyers from entering the market.

    Added to all of this are the inflated home prices still lingering from the housing boom during the pandemic. This combination of factors is creating a challenging environment for both buyers and sellers.

    Potential long-term impact

    The good news is that the housing slowdown in Florida seems to reflect a market correction rather than a crash. Yes, home prices in the state have fallen over the past year, but only around 3%, and they are stabilizing.

    The slowdown has triggered an inventory buildup in cities like Fort Myers in the southwestern part of the state, which could prolong the market correction in these areas.

    The more worrying long-term impact may be related to the rising cost of insurance. If premiums continue to rise at the current rate, it could put home ownership beyond the reach of first-time buyers.

    According to the Bipartisan Policy Center, some homeowners are choosing to forgo insurance altogether, potentially putting their No. 1 asset at huge risk. What’s more, as insurers exit some markets due to climate risks, it could also affect the equity of existing homeowners.

    So, while the housing market in Florida does not appear to be collapsing, there does appear to be an affordability crisis created by rising mortgage and insurance costs. This could transform who can afford to buy a home, in what areas they can do so and what degree of risk they incur.

    What to read next

    Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • This Atlanta couple says they lost $800K to a sophisticated crypto scam — now they worry ‘1 mistake’ will cost them their retirement dreams. And they urge others to learn from their nightmare

    This Atlanta couple says they lost $800K to a sophisticated crypto scam — now they worry ‘1 mistake’ will cost them their retirement dreams. And they urge others to learn from their nightmare

    Jerry and Mindy Dunaway were looking forward to spending their retirement traveling, golfing and spending time with their grandkids. They believed they had planned well for their financial future.

    However, those plans now lay in tatters. The Atlanta-area couple fell victim to a cryptocurrency scam that cost them $800,000 they had set aside for retirement.

    It started with an innocent-sounding WhatsApp message from a stranger about an investment opportunity. Jerry was encouraged to make small investments using a trading app.

    At first, the returns were good, so Jerry started investing larger amounts. But when he tried to access his money, he found that he couldn’t.

    Don’t miss

    “They show that you have money in, that you’ve made money,” he told WXIA 11Alive News. “This is a no-brainer. You invest more."

    The couple eventually called 911 but were told that it was unlikely they would ever get their money back. Now, they are determined to move forward — and have made it their mission to warn others about the risks of investing in cryptocurrency.

    Why is crypto so risky and who’s most vulnerable?

    Speaking to 11Alive News, Emory University Goizueta Business School professor Rajiv Garg said cryptocurrencies are not covered by the same regulations and government oversight as cash. While that may have its advantages, it also comes with risks.

    “The scams are very easy, because there’s no oversight,” Garg said. “You cannot go to a bank and say, ‘Look, my money is stolen. Can you give it back?’ Because the bank wasn’t even involved in those scenarios.”

    He says scammers use artificial intelligence to help build trust, communicating with and answering questions from many potential investors at once. What’s more, cryptocurrency transactions typically aren’t reversible unless the recipient agrees to send it back.

    According to the FBI, losses related to cryptocurrency fraud totaled more than $5.6 billion in 2023, a 45% increase from 2022. There were 69,000 complaints from the American public about cryptocurrency fraud in 2023.

    Those over the age of 60 reported the highest losses, at more than $1.2 billion. Scammers groom older adults using a technique known as pig butchering. They can pretend to be the victim’s friend and then entice them with can’t-miss investment opportunities.

    When older people are targeted in such schemes, the results can be devastating. Often the missing money was intended to fund a retirement plan, as was the case with the Dunaway’s.

    “You swear to God you’re talking to a real person. It’s that sophisticated now,” said Jerry. “And that’s dangerous.”

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    How to spot red flags and protect yourself

    According to the FBI and other experts in the field, there are steps you can take to protect yourself from cryptocurrency scams:

    • If you receive an unsolicited call or message from a stranger about an investment opportunity, your best bet is to disengage immediately. Schemes that promise massive returns should be a red flag.

    • If you’ve never met someone in real life, even if you’ve texted or chatted on the phone, be extremely cautious about accepting investment opportunities from them.

    • Never give out personally identifying information without first verifying the identity of the person asking for it.

    • Limit your financial advice to that which comes from a certified financial advisor who works for an institution you know and trust.

    • If you think someone is trying to scam you or someone you know, report the incident to the authorities. This could be local law enforcement or an agency like the Federal Trade Commission.

    Remember, if a stranger contacts you randomly with a fantastic investment opportunity, ask yourself whether it seems too good to be true — if so, it likely is.

    What to read next

    Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • I’m 51, recently divorced and now I’m $180,000 deep in debt. Would I be better off declaring bankruptcy — or should I be trying to dig myself out of this hole?

    I’m 51, recently divorced and now I’m $180,000 deep in debt. Would I be better off declaring bankruptcy — or should I be trying to dig myself out of this hole?

    Picture it. You are 51 years old, newly divorced and staring down $180,000 in debt. Many Americans face a situation just like this.

    Recent data from the Federal Reserve shows that the average U.S. household debt is more than $100,000. This includes mortgages, auto loans, student debt, credit cards and other forms of personal debt.

    Don’t miss

    But, what should you do if you find yourself with substantially more debt than average? Should you declare bankruptcy, or is there another viable option? The answer isn’t simple, but weighing the pros and cons can help determine the best course of action.

    Remember, the type of debt and the repayment terms will be important in charting a path back to solvency.

    Bankruptcy pros and cons

    Filing for Chapter 13 bankruptcy offers those with a regular income a way to repay their debt as part of a structured plan. This typically occurs over three to five years, and allows people to catch up on overdue payments and, unlike Chapter 7 bankruptcy, retain important assets like their home.

    Often, as soon as you file for bankruptcy you are granted an automatic stay. This halts foreclosures, wage garnishments, repossessions and other collection activity from most creditors. This can be crucial for saving your assets and helping you negotiate a manageable repayment schedule.

    A Chapter 13 bankruptcy repayment plan usually requires secured debt (for example, mortgages and auto loans) to be repaid eventually. However, unsecured debt (like credit cards) is often at least partially forgiven. This means you usually only pay back a portion of the outstanding debt. This is why the type of debt you have is important when considering whether to declare bankruptcy.

    There are big drawbacks to bankruptcy. According to Capital One, a bankruptcy can remain on your credit report for up to 10 years, dramatically lowering your credit score and restricting future credit opportunities.

    Obtaining loans in the future might be harder. A poor credit score could even affect your job prospects or ability to rent an apartment.

    In light of all these complex factors, consulting with a trusted financial advisor before making any decisions is strongly recommended.

    Read more: You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how

    Alternatives for digging out of debt

    It’s a good idea to explore all your debt relief options before deciding to declare bankruptcy. A debt management plan offered by a reputable credit-counseling agency is based on structured payments to your creditors in amounts you can manage.

    These are often financed at reduced interest rates. In many cases, you make a monthly payment to the agency, which then negotiates with your creditors to obtain lower interest rates.

    Negotiating directly with creditors to settle debts and refinancing high-interest loans can also reduce your monthly payments.

    Another option is debt consolidation, which means you roll several debts into one monthly payment. This has the psychological benefit of simplifying your repayments and it may help you obtain a lower overall interest rate than on individual cards or loans.

    There are a number of repayment strategies you can follow. The snowball method targets your smallest debts first and aims to generate quick wins to build repayment momentum. The idea is to create motivation to move onto your larger debts.

    In contrast, the avalanche method prioritizes the highest-interest debt in order to minimize the overall cost of paying back everything that you owe. Choosing between them depends on the type of debt accumulated and the personality of the individual.

    What not to do

    If you find yourself in a lot of debt, it’s likely not a good idea to tap into retirement funds like your 401(k). Early withdrawals before the age of 59 ½ can incur a 10% penalty on top of regular income tax. You’re also sacrificing gains from compound growth.

    In other words, a large withdrawal at a young age could mean you have substantially less money available when you’re ready to retire. Also be wary of high-interest payday loans. Yes, they are relatively easy to obtain, but if you’re already heavily in debt it’s not a good idea to pile on even more at sky-high interest rates.

    Be careful about cosigning a loan — this can be especially risky if you’re already in debt. According to the Federal Trade Commission, when you cosign a loan, you take on the risk. If the primary borrower misses payments or defaults, you are on the hook and your credit can be impacted.

    Rather than opting for risky, quick-fix solutions, seek out repayment strategies with a clear structure. And, get the guidance of a financial advisor you trust.

    What to read next

    Money doesn’t have to be complicated — sign up for the free Moneywise newsletter for actionable finance tips and news you can use. Join now.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • ‘A very scary situation’: This once-popular Florida hot spot now has properties languishing on the market for months — what’s behind the trend and what it could mean for the state

    The previously hot real estate market of southwest Florida has recently seen a worrying slowdown. Properties that would typically sell quickly are now sitting unsold for months, sparking concerns among homeowners and real estate professionals.

    Darleen Strange has been trying to sell her mother’s home in Fort Myers since last November.

    Don’t miss

    “It makes me wonder, is it ever gonna happen?” she told WINK News.

    “It’s been on the market for about 157 days. We’ve only had four people come look at it.”

    Data suggests the situation in southwest Florida may be an indicator of broader challenges in the real estate market across the state.

    Home sales stall

    Fort Myers homeowners face growing frustration as their homes are taking longer to sell than they expected.

    Local data shows properties are now sitting on the market for an average of almost 100 days — a sharp contrast to a couple of years ago when homes spent closer to 50 days on the market.

    “I had one property that was on the market for 10 months and it didn’t sell,” Fort Myers-area real estate agent Sue Christiano told Gulf Coast News Today.

    “We got offers, but they were all lowball.”

    This isn’t just a Fort Myers problem. Similar slowdowns are occurring in cities across Florida, including major metropolitan areas like Tampa Bay and Miami.

    In south Florida, homes are now taking 90 days to sell, according to CBS News Miami — compared to 60 days a few years ago. In Tampa Bay, the average number of days houses stay on the market has jumped as well, with ABC Action News reporting a rise in inventory and a shift to what agents are calling a buyer’s market.

    For Strange, who told WINK News that she needs the proceeds from selling her mother’s home to cover her mother’s assisted-living expenses, the market cooling couldn’t have happened at a worse time.

    “We’re getting into the point where if something doesn’t happen within the next year, it’ll be a very scary situation,” she said.

    Read more: You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how

    Soaring mortgage rates and insurance premiums drive trend

    The housing slowdown happening across Florida reflects national trends in the U.S., including high mortgage rates, soaring home insurance premiums and high listing prices.

    Treasury yields, which influence consumer borrowing costs, have risen. Fixed 30-year mortgage rates in the U.S. are close to 6.7%. Rising mortgage rates reduce prospective homebuyers’ purchasing power. For those thinking about buying a home, an increase in mortgage payments, by potentially hundreds of dollars per month, can mean the difference between deciding to buy a home or not.

    Insurance costs have also skyrocketed in Florida, where natural disasters like hurricanes and flooding have sharply driven up premiums. In fact, climate-driven disasters are driving up insurance premiums across the U.S. For example, in midwestern states, hail storms have caused premiums to rise rapidly and some insurers are even refusing to cover homes in vulnerable areas.

    According to the Wall Street Journal, severe storms cost insurers $58 billion in 2024. The Consumer Federation of America says U.S. homeowners have faced a 24% increase in home insurance premiums in the past three years. Additional insurance costs are another factor further deterring potential buyers from entering the market.

    Added to all of this are the inflated home prices still lingering from the housing boom during the pandemic. This combination of factors is creating a challenging environment for both buyers and sellers.

    Potential long-term impact

    The good news is that the housing slowdown in Florida seems to reflect a market correction rather than a crash. Yes, home prices in the state have fallen over the past year, but only around 3%, and they are stabilizing.

    The slowdown has triggered an inventory buildup in cities like Fort Myers in the southwestern part of the state, which could prolong the market correction in these areas.

    The more worrying long-term impact may be related to the rising cost of insurance. If premiums continue to rise at the current rate, it could put home ownership beyond the reach of first-time buyers.

    According to the Bipartisan Policy Center, some homeowners are choosing to forgo insurance altogether, potentially putting their No. 1 asset at huge risk. What’s more, as insurers exit some markets due to climate risks, it could also affect the equity of existing homeowners.

    So, while the housing market in Florida does not appear to be collapsing, there does appear to be an affordability crisis created by rising mortgage and insurance costs. This could transform who can afford to buy a home, in what areas they can do so and what degree of risk they incur.

    What to read next

    Money doesn’t have to be complicated — sign up for the free Moneywise newsletter for actionable finance tips and news you can use. Join now.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • This Atlanta couple says they lost $800K to a sophisticated crypto scam — now they worry ‘1 mistake’ will cost them their retirement dreams. And they urge others to learn from their nightmare

    This Atlanta couple says they lost $800K to a sophisticated crypto scam — now they worry ‘1 mistake’ will cost them their retirement dreams. And they urge others to learn from their nightmare

    Jerry and Mindy Dunaway were looking forward to spending their retirement traveling, golfing and spending time with their grandkids. They believed they had planned well for their financial future.

    However, those plans now lay in tatters. The Atlanta-area couple fell victim to a cryptocurrency scam that cost them $800,000 they had set aside for retirement.

    It started with an innocent-sounding WhatsApp message from a stranger about an investment opportunity. Jerry was encouraged to make small investments using a trading app.

    At first, the returns were good, so Jerry started investing larger amounts. But when he tried to access his money, he found that he couldn’t.

    Don’t miss

    “They show that you have money in, that you’ve made money,” he told WXIA 11Alive News. “This is a no-brainer. You invest more."

    The couple eventually called 911 but were told that it was unlikely they would ever get their money back. Now, they are determined to move forward — and have made it their mission to warn others about the risks of investing in cryptocurrency.

    Why is crypto so risky and who’s most vulnerable?

    Speaking to 11Alive News, Emory University Goizueta Business School professor Rajiv Garg said cryptocurrencies are not covered by the same regulations and government oversight as cash. While that may have its advantages, it also comes with risks.

    “The scams are very easy, because there’s no oversight,” Garg said. “You cannot go to a bank and say, ‘Look, my money is stolen. Can you give it back?’ Because the bank wasn’t even involved in those scenarios.”

    He says scammers use artificial intelligence to help build trust, communicating with and answering questions from many potential investors at once. What’s more, cryptocurrency transactions typically aren’t reversible unless the recipient agrees to send it back.

    According to the FBI, losses related to cryptocurrency fraud totaled more than $5.6 billion in 2023, a 45% increase from 2022. There were 69,000 complaints from the American public about cryptocurrency fraud in 2023.

    Those over the age of 60 reported the highest losses, at more than $1.2 billion. Scammers groom older adults using a technique known as pig butchering. They can pretend to be the victim’s friend and then entice them with can’t-miss investment opportunities.

    When older people are targeted in such schemes, the results can be devastating. Often the missing money was intended to fund a retirement plan, as was the case with the Dunaway’s.

    “You swear to God you’re talking to a real person. It’s that sophisticated now,” said Jerry. “And that’s dangerous.”

    Read more: You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how

    How to spot red flags and protect yourself

    According to the FBI and other experts in the field, there are steps you can take to protect yourself from cryptocurrency scams:

    • If you receive an unsolicited call or message from a stranger about an investment opportunity, your best bet is to disengage immediately. Schemes that promise massive returns should be a red flag.

    • If you’ve never met someone in real life, even if you’ve texted or chatted on the phone, be extremely cautious about accepting investment opportunities from them.

    • Never give out personally identifying information without first verifying the identity of the person asking for it.

    • Limit your financial advice to that which comes from a certified financial advisor who works for an institution you know and trust.

    • If you think someone is trying to scam you or someone you know, report the incident to the authorities. This could be local law enforcement or an agency like the Federal Trade Commission.

    Remember, if a stranger contacts you randomly with a fantastic investment opportunity, ask yourself whether it seems too good to be true — if so, it likely is.

    What to read next

    Money doesn’t have to be complicated — sign up for the free Moneywise newsletter for actionable finance tips and news you can use. Join now.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • I’m 51, recently divorced and now I’m $180,000 deep in debt. Would I be better off declaring bankruptcy — or should I be trying to dig myself out of this hole?

    I’m 51, recently divorced and now I’m $180,000 deep in debt. Would I be better off declaring bankruptcy — or should I be trying to dig myself out of this hole?

    Picture it. You are 51 years old, newly divorced and staring down $180,000 in debt. Many Americans face a situation just like this.

    Recent data from the Federal Reserve shows that the average U.S. household debt is more than $100,000. This includes mortgages, auto loans, student debt, credit cards and other forms of personal debt.

    Don’t miss

    But, what should you do if you find yourself with substantially more debt than average? Should you declare bankruptcy, or is there another viable option? The answer isn’t simple, but weighing the pros and cons can help determine the best course of action.

    Remember, the type of debt and the repayment terms will be important in charting a path back to solvency.

    Bankruptcy pros and cons

    Filing for Chapter 13 bankruptcy offers those with a regular income a way to repay their debt as part of a structured plan. This typically occurs over three to five years, and allows people to catch up on overdue payments and, unlike Chapter 7 bankruptcy, retain important assets like their home.

    Often, as soon as you file for bankruptcy you are granted an automatic stay. This halts foreclosures, wage garnishments, repossessions and other collection activity from most creditors. This can be crucial for saving your assets and helping you negotiate a manageable repayment schedule.

    A Chapter 13 bankruptcy repayment plan usually requires secured debt (for example, mortgages and auto loans) to be repaid eventually. However, unsecured debt (like credit cards) is often at least partially forgiven. This means you usually only pay back a portion of the outstanding debt. This is why the type of debt you have is important when considering whether to declare bankruptcy.

    There are big drawbacks to bankruptcy. According to Capital One, a bankruptcy can remain on your credit report for up to 10 years, dramatically lowering your credit score and restricting future credit opportunities.

    Obtaining loans in the future might be harder. A poor credit score could even affect your job prospects or ability to rent an apartment.

    In light of all these complex factors, consulting with a trusted financial advisor before making any decisions is strongly recommended.

    Read more: You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how

    Alternatives for digging out of debt

    It’s a good idea to explore all your debt relief options before deciding to declare bankruptcy. A debt management plan offered by a reputable credit-counseling agency is based on structured payments to your creditors in amounts you can manage.

    These are often financed at reduced interest rates. In many cases, you make a monthly payment to the agency, which then negotiates with your creditors to obtain lower interest rates.

    Negotiating directly with creditors to settle debts and refinancing high-interest loans can also reduce your monthly payments.

    Another option is debt consolidation, which means you roll several debts into one monthly payment. This has the psychological benefit of simplifying your repayments and it may help you obtain a lower overall interest rate than on individual cards or loans.

    There are a number of repayment strategies you can follow. The snowball method targets your smallest debts first and aims to generate quick wins to build repayment momentum. The idea is to create motivation to move onto your larger debts.

    In contrast, the avalanche method prioritizes the highest-interest debt in order to minimize the overall cost of paying back everything that you owe. Choosing between them depends on the type of debt accumulated and the personality of the individual.

    What not to do

    If you find yourself in a lot of debt, it’s likely not a good idea to tap into retirement funds like your 401(k). Early withdrawals before the age of 59 ½ can incur a 10% penalty on top of regular income tax. You’re also sacrificing gains from compound growth.

    In other words, a large withdrawal at a young age could mean you have substantially less money available when you’re ready to retire. Also be wary of high-interest payday loans. Yes, they are relatively easy to obtain, but if you’re already heavily in debt it’s not a good idea to pile on even more at sky-high interest rates.

    Be careful about cosigning a loan — this can be especially risky if you’re already in debt. According to the Federal Trade Commission, when you cosign a loan, you take on the risk. If the primary borrower misses payments or defaults, you are on the hook and your credit can be impacted.

    Rather than opting for risky, quick-fix solutions, seek out repayment strategies with a clear structure. And, get the guidance of a financial advisor you trust.

    What to read next

    Money doesn’t have to be complicated — sign up for the free Moneywise newsletter for actionable finance tips and news you can use. Join now.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • This couple says they lost $800K to a sophisticated crypto scam — they worry ‘1 mistake’ will cost them their retirement dreams

    This couple says they lost $800K to a sophisticated crypto scam — they worry ‘1 mistake’ will cost them their retirement dreams

    Jerry and Mindy Dunaway were looking forward to spending their retirement traveling, golfing and being with their grandkids. They believed they had planned well for their financial future.

    However, those plans now lay in tatters. The Atlanta-area couple fell victim to a cryptocurrency scam that cost them the US$800,000 they had set aside for retirement.

    It started with an innocent-sounding WhatsApp message from a stranger about an investment opportunity. Jerry was encouraged to make small investments using a trading app.

    At first, the returns were good, so Jerry started investing larger amounts. But when he tried to access his money, he found that he couldn’t.

    “They show that you have money in, that you’ve made money,” he told WXIA 11Alive News. “This is a no-brainer. You invest more."

    The couple eventually called 911 but were told that it was unlikely they would ever get their money back. Now, they are determined to move forward — and have made it their mission to warn others about the risks of investing in cryptocurrency.

    Why is crypto so risky and who’s most vulnerable?

    Speaking to 11Alive News, Emory University Goizueta Business School professor, Rajiv Garg, said cryptocurrencies are not covered by the same regulations and government oversight as cash. While that may have its advantages, it also comes with risks.

    “The scams are very easy, because there’s no oversight,” Garg said. “You cannot go to a bank and say, ‘Look, my money is stolen. Can you give it back?’ Because the bank wasn’t even involved in those scenarios.”

    He says scammers use artificial intelligence to help build trust, communicating with and answering questions from many potential investors at once. What’s more, cryptocurrency transactions typically aren’t reversible unless the recipient agrees to send it back.

    According to the Canadian Anti-Fraud Centre Canadians lost $638 million to fraud in 2024 and over $94 million of that was lost in crypto payments alone.

    Reports of crypto fraud were higher in those over the age of 60 as of 2021. Scammers groom older adults using a technique known as pig butchering. They can pretend to be the victim’s friend and then entice them with can’t-miss investment opportunities.

    When older people are targeted in such schemes, the results can be devastating. Oftentimes the missing money was intended to fund a retirement plan, as was the case with the Dunaway’s.

    “You swear to God you’re talking to a real person. It’s that sophisticated now,” said Jerry. “And that’s dangerous.”

    How to spot red flags and protect yourself

    According to the CAFC, there are steps you can take to protect yourself from cryptocurrency scams:

    • Be wary of unsolicited messages on social media or "wrong number" texts, especially if the sender tries to develop a bond
    • Avoid investing based solely on the advice of someone met online. Consult with registered financial professionals if needed
    • Exercise caution if an online connection suggests investing in crypto or transferring funds to specific platforms
    • Be skeptical of promises of large, quick, and low-risk returns
    • Report suspected investment fraud to the CIRO, CAFC, and local police

    Stay informed and exercise caution to avoid falling victim to investment frauds and romance scams. Visit the CAFC and CIRO websites regularly get more tips and information.

    Remember, if a stranger contacts you randomly with a fantastic investment opportunity, ask yourself whether it seems too good to be true — if so, it likely is.

    Sources

    1. 11Alive: Georgia couple loses $800,000 from their retirement fund (June 12, 2025)

    2. Canadian Anti-Fraud Centre: Fraud Prevention Month 2025

    3. CBC: Canadians are losing millions in crypto to fraudsters. Here is how to spot red flags by Brtinei Bilhete (Dec 27, 2024)

    4. Canadian Anti-Fraud Centre: Canadian Anti-Fraud Centre Annual Report 2022

    5. Canadian Anti-Fraud Centre: Warning on crypto and romance frauds (May 28, 2024)

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • I’m 51, recently divorced and now I’m $180,000 deep in debt. Would I be better off declaring bankruptcy — or should I be trying to dig myself out of this hole?

    I’m 51, recently divorced and now I’m $180,000 deep in debt. Would I be better off declaring bankruptcy — or should I be trying to dig myself out of this hole?

    Picture it. You are 51 years old, newly divorced and staring down $180,000 in debt. Many Americans face a situation just like this.

    Recent data from the Federal Reserve shows that the average U.S. household debt is more than $100,000. This includes mortgages, auto loans, student debt, credit cards and other forms of personal debt.

    Don’t miss

    But, what should you do if you find yourself with substantially more debt than average? Should you declare bankruptcy, or is there another viable option? The answer isn’t simple, but weighing the pros and cons can help determine the best course of action.

    Remember, the type of debt and the repayment terms will be important in charting a path back to solvency.

    Bankruptcy pros and cons

    Filing for Chapter 13 bankruptcy offers those with a regular income a way to repay their debt as part of a structured plan. This typically occurs over three to five years, and allows people to catch up on overdue payments and, unlike Chapter 7 bankruptcy, retain important assets like their home.

    Often, as soon as you file for bankruptcy you are granted an automatic stay. This halts foreclosures, wage garnishments, repossessions and other collection activity from most creditors. This can be crucial for saving your assets and helping you negotiate a manageable repayment schedule.

    A Chapter 13 bankruptcy repayment plan usually requires secured debt (for example, mortgages and auto loans) to be repaid eventually. However, unsecured debt (like credit cards) is often at least partially forgiven. This means you usually only pay back a portion of the outstanding debt. This is why the type of debt you have is important when considering whether to declare bankruptcy.

    There are big drawbacks to bankruptcy. According to Capital One, a bankruptcy can remain on your credit report for up to 10 years, dramatically lowering your credit score and restricting future credit opportunities.

    Obtaining loans in the future might be harder. A poor credit score could even affect your job prospects or ability to rent an apartment.

    In light of all these complex factors, consulting with a trusted financial advisor before making any decisions is strongly recommended.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Alternatives for digging out of debt

    It’s a good idea to explore all your debt relief options before deciding to declare bankruptcy. A debt management plan offered by a reputable credit-counseling agency is based on structured payments to your creditors in amounts you can manage.

    These are often financed at reduced interest rates. In many cases, you make a monthly payment to the agency, which then negotiates with your creditors to obtain lower interest rates.

    Negotiating directly with creditors to settle debts and refinancing high-interest loans can also reduce your monthly payments.

    Another option is debt consolidation, which means you roll several debts into one monthly payment. This has the psychological benefit of simplifying your repayments and it may help you obtain a lower overall interest rate than on individual cards or loans.

    There are a number of repayment strategies you can follow. The snowball method targets your smallest debts first and aims to generate quick wins to build repayment momentum. The idea is to create motivation to move onto your larger debts.

    In contrast, the avalanche method prioritizes the highest-interest debt in order to minimize the overall cost of paying back everything that you owe. Choosing between them depends on the type of debt accumulated and the personality of the individual.

    What not to do

    If you find yourself in a lot of debt, it’s likely not a good idea to tap into retirement funds like your 401(k). Early withdrawals before the age of 59 ½ can incur a 10% penalty on top of regular income tax. You’re also sacrificing gains from compound growth.

    In other words, a large withdrawal at a young age could mean you have substantially less money available when you’re ready to retire. Also be wary of high-interest payday loans. Yes, they are relatively easy to obtain, but if you’re already heavily in debt it’s not a good idea to pile on even more at sky-high interest rates.

    Be careful about cosigning a loan — this can be especially risky if you’re already in debt. According to the Federal Trade Commission, when you cosign a loan, you take on the risk. If the primary borrower misses payments or defaults, you are on the hook and your credit can be impacted.

    Rather than opting for risky, quick-fix solutions, seek out repayment strategies with a clear structure. And, get the guidance of a financial advisor you trust.

    What to read next

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    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • ‘A very scary situation’: This once-popular Florida hot spot now has properties languishing on the market for months — what’s behind the trend and what it could mean for the state

    The previously hot real estate market of southwest Florida has recently seen a worrying slowdown. Properties that would typically sell quickly are now sitting unsold for months, sparking concerns among homeowners and real estate professionals.

    Darleen Strange has been trying to sell her mother’s home in Fort Myers since last November.

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    “It makes me wonder, is it ever gonna happen?” she told WINK News.

    “It’s been on the market for about 157 days. We’ve only had four people come look at it.”

    Data suggests the situation in southwest Florida may be an indicator of broader challenges in the real estate market across the state.

    Home sales stall

    Fort Myers homeowners face growing frustration as their homes are taking longer to sell than they expected.

    Local data shows properties are now sitting on the market for an average of almost 100 days — a sharp contrast to a couple of years ago when homes spent closer to 50 days on the market.

    “I had one property that was on the market for 10 months and it didn’t sell,” Fort Myers-area real estate agent Sue Christiano told Gulf Coast News Today.

    “We got offers, but they were all lowball.”

    This isn’t just a Fort Myers problem. Similar slowdowns are occurring in cities across Florida, including major metropolitan areas like Tampa Bay and Miami.

    In south Florida, homes are now taking 90 days to sell, according to CBS News Miami — compared to 60 days a few years ago. In Tampa Bay, the average number of days houses stay on the market has jumped as well, with ABC Action News reporting a rise in inventory and a shift to what agents are calling a buyer’s market.

    For Strange, who told WINK News that she needs the proceeds from selling her mother’s home to cover her mother’s assisted-living expenses, the market cooling couldn’t have happened at a worse time.

    “We’re getting into the point where if something doesn’t happen within the next year, it’ll be a very scary situation,” she said.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Soaring mortgage rates and insurance premiums drive trend

    The housing slowdown happening across Florida reflects national trends in the U.S., including high mortgage rates, soaring home insurance premiums and high listing prices.

    Treasury yields, which influence consumer borrowing costs, have risen. Fixed 30-year mortgage rates in the U.S. are close to 6.9%. Rising mortgage rates reduce prospective homebuyers’ purchasing power. For those thinking about buying a home, an increase in mortgage payments, by potentially hundreds of dollars per month, can mean the difference between deciding to buy a home or not.

    Insurance costs have also skyrocketed in Florida, where natural disasters like hurricanes and flooding have sharply driven up premiums. In fact, climate-driven disasters are driving up insurance premiums across the U.S. For example, in midwestern states, hail storms have caused premiums to rise rapidly and some insurers are even refusing to cover homes in vulnerable areas.

    According to the Wall Street Journal, severe storms cost insurers $58 billion in 2024. The Consumer Federation of America says U.S. homeowners have faced a 24% increase in home insurance premiums in the past three years. Additional insurance costs are another factor further deterring potential buyers from entering the market.

    Added to all of this are the inflated home prices still lingering from the housing boom during the pandemic. This combination of factors is creating a challenging environment for both buyers and sellers.

    Potential long-term impact

    The good news is that the housing slowdown in Florida seems to reflect a market correction rather than a crash. Yes, home prices in the state have fallen over the past year, but only around 3%, and they are stabilizing.

    The slowdown has triggered an inventory buildup in cities like Fort Myers in the southwestern part of the state, which could prolong the market correction in these areas.

    The more worrying long-term impact may be related to the rising cost of insurance. If premiums continue to rise at the current rate, it could put home ownership beyond the reach of first-time buyers.

    According to the Bipartisan Policy Center, some homeowners are choosing to forgo insurance altogether, potentially putting their No. 1 asset at huge risk. What’s more, as insurers exit some markets due to climate risks, it could also affect the equity of existing homeowners.

    So, while the housing market in Florida does not appear to be collapsing, there does appear to be an affordability crisis created by rising mortgage and insurance costs. This could transform who can afford to buy a home, in what areas they can do so and what degree of risk they incur.

    What to read next

    Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • This Atlanta couple says they lost $800K to a sophisticated crypto scam — now they worry ‘1 mistake’ will cost them their retirement dreams. And they urge others to learn from their nightmare

    This Atlanta couple says they lost $800K to a sophisticated crypto scam — now they worry ‘1 mistake’ will cost them their retirement dreams. And they urge others to learn from their nightmare

    Jerry and Mindy Dunaway were looking forward to spending their retirement traveling, golfing and spending time with their grandkids. They believed they had planned well for their financial future.

    However, those plans now lay in tatters. The Atlanta-area couple fell victim to a cryptocurrency scam that cost them $800,000 they had set aside for retirement.

    It started with an innocent-sounding WhatsApp message from a stranger about an investment opportunity. Jerry was encouraged to make small investments using a trading app.

    At first, the returns were good, so Jerry started investing larger amounts. But when he tried to access his money, he found that he couldn’t.

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    “They show that you have money in, that you’ve made money,” he told WXIA 11Alive News. “This is a no-brainer. You invest more."

    The couple eventually called 911 but were told that it was unlikely they would ever get their money back. Now, they are determined to move forward — and have made it their mission to warn others about the risks of investing in cryptocurrency.

    Why is crypto so risky and who’s most vulnerable?

    Speaking to 11Alive News, Emory University Goizueta Business School professor Rajiv Garg said cryptocurrencies are not covered by the same regulations and government oversight as cash. While that may have its advantages, it also comes with risks.

    “The scams are very easy, because there’s no oversight,” Garg said. “You cannot go to a bank and say, ‘Look, my money is stolen. Can you give it back?’ Because the bank wasn’t even involved in those scenarios.”

    He says scammers use artificial intelligence to help build trust, communicating with and answering questions from many potential investors at once. What’s more, cryptocurrency transactions typically aren’t reversible unless the recipient agrees to send it back.

    According to the FBI, losses related to cryptocurrency fraud totaled more than $5.6 billion in 2023, a 45% increase from 2022. There were 69,000 complaints from the American public about cryptocurrency fraud in 2023.

    Those over the age of 60 reported the highest losses, at more than $1.2 billion. Scammers groom older adults using a technique known as pig butchering. They can pretend to be the victim’s friend and then entice them with can’t-miss investment opportunities.

    When older people are targeted in such schemes, the results can be devastating. Often the missing money was intended to fund a retirement plan, as was the case with the Dunaway’s.

    “You swear to God you’re talking to a real person. It’s that sophisticated now,” said Jerry. “And that’s dangerous.”

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    How to spot red flags and protect yourself

    According to the FBI and other experts in the field, there are steps you can take to protect yourself from cryptocurrency scams:

    • If you receive an unsolicited call or message from a stranger about an investment opportunity, your best bet is to disengage immediately. Schemes that promise massive returns should be a red flag.

    • If you’ve never met someone in real life, even if you’ve texted or chatted on the phone, be extremely cautious about accepting investment opportunities from them.

    • Never give out personally identifying information without first verifying the identity of the person asking for it.

    • Limit your financial advice to that which comes from a certified financial advisor who works for an institution you know and trust.

    • If you think someone is trying to scam you or someone you know, report the incident to the authorities. This could be local law enforcement or an agency like the Federal Trade Commission.

    Remember, if a stranger contacts you randomly with a fantastic investment opportunity, ask yourself whether it seems too good to be true — if so, it likely is.

    What to read next

    Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.