News Direct

Author: Jessica Wong

  • Some Las Vegas resorts are rolling out deals and packages to entice tourists in an effort to offset sticker shock on the Strip — but is it enough of a pull for today’s thrifty travelers?

    Some Las Vegas resorts are rolling out deals and packages to entice tourists in an effort to offset sticker shock on the Strip — but is it enough of a pull for today’s thrifty travelers?

    Sin City is sweetening the pot for tourists.

    Visitor numbers fell by 6.5% to start 2025 as of April compared to last year, according to the Las Vegas Conventions and Visitors Authority (LVCVA). This decline in tourism has led some resorts to shift gears by rolling out wallet-friendly perks aimed at travelers looking to stretch their dollars.

    “The days of the $1.99 breakfast, $7.99 steaks, that’s all gone,” Randy Luedtke from Wisconsin told Channel 13 Las Vegas in a story published June 16. “I see a lot of minimums at the tables are $25, $20, so I’m going to probably do most of my gambling downtown.”

    Don’t miss

    He’s not alone. The Strip’s glitzy casinos experienced a small dip in gaming revenue at the start of start 2025, while budget-friendly downtown quietly cashed in with a modest uptick, per the LVCVA. In addition, hotel occupancy on the Strip was also down, while daily room rates increased to $203.17 in April from $194.42 a year ago.

    Economic realities may be reshaping visitor behavior, and resorts are taking notice.

    Deals are on for visitors

    Some Las Vegas staples are turning up the value to try to get people back into the city.

    For example, The Strat launched a summer deal with weekday rooms starting at $49, weekends at $99, plus a $25 daily dining credit. Resorts World is offering free parking until Aug. 28.

    Downtown, The Plaza is offering an all-inclusive food and drink package starting at just $125 per person until Aug. 30. Circa is also offering a two-night stay for $400, including $100 in dining credits and $100 in beverage credits, through Sept. 4.

    The LVCVA has also launched a campaign called “Locals Unlocked,” aggregating deals from major resorts for residents.

    “All of our resort partners have locals programs,” LVCVA CEO Steve Hill told Channel 13.

    Luedtke says the deals are out there, but you may have to look for them.

    “They’re working with people to get them here. I will say that, they’re trying,” he said. “I can’t tell you that they’re getting the word out enough that there’s these options available.”

    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

    Are the savings worth it?

    So, do the deals being offered really make a difference in terms of savings? The short answer is, sometimes.

    It can be worth it if you make use of all the included perks, including drink credits, meal vouchers and resort amenities. All the better if you’re able to avoid resort fees. On the other hand, it may not end up being a great deal if you’re paying for bundled items you wouldn’t normally use. Gambling without a budget can also eat into your savings.

    Still want to hit up Sin City? Here are some other savings tips for travelers:

    Timing is everything: Visiting on weekdays can cut your hotel bill by a significant amount and also help you dodge the crowds.

    Sign up for loyalty programs: Many casino brands offer perks like discounted stays, complimentary parking and food or gaming credits just for joining.

    Ditch the taxis and rideshares: Las Vegas’s Deuce bus and monorail systems are budget-friendly and cover a good portion of the city.

    Pack your own basics: Small expenses add up fast, so pack snacks, reusable water bottles and other essentials to avoid paying hotel gift shop prices.

    Set a gambling budget: Gambling always has the potential to derail your finances. You can still have fun if you pick a limit and stay within it.

    For entertainment: Book tickets for shows early or maybe you’ll get lucky finding last-minute deals online.

    Las Vegas is always ready to deal visitors in, but it’s up to you to figure out how to make the deals work for your wallet.

    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 Naples couple was duped into handing over $2M in gold: How to stay safe against precious metal scams

    This Naples couple was duped into handing over $2M in gold: How to stay safe against precious metal scams

    In a heartbreaking scam that’s left a Naples couple reeling, two fraudsters tricked the 72-year-old couple into handing over more than $2 million worth of gold.

    The ordeal has left the elderly couple shattered. The gold is nearly impossible to trace, making it unlikely they will get their stolen assets back.

    Don’t miss

    “They took money from their accounts and purchased gold,” Lt. Bryan McGinn of the Naples Police Department explained to Gulfcoast News Now, “Once they had the gold, the fraudsters sent a courier to pick it up, telling the victims that the gold would be safely stored and eventually returned to them.”

    For several months, the couple was under the impression that the gold was being safely held and stored. Later, they discovered they had been duped and contacted local authorities for help. By then, the fraudsters had vanished with their precious assets.

    Couple duped into believing gold was safely stored

    According to McGinn, the scam began when the couple was contacted multiple times by the fraudsters.

    The scammers claimed they had a warrant for the couple’s arrest and threatened they would be detained unless they purchased gold and handed it over. They were instructed to buy gold in coins or small bars, with the promise that it would be safely stored and returned later.

    Authorities intercepted Soyeb Rana, one of the suspects, as he arrived to pick up gold from the couple. He faces several charges, including conspiracy, scheme to defraud, fleeing and eluding, and possession of marijuana.

    “This is a sad situation,” McGinn said, offering advice to others who might find themselves in similar circumstances. “Law enforcement is never going to request money. There’s never going to be an exchange of assets for your freedom or anything like that in this country. Just take a second, take a breath, contact local law enforcement. And we don’t mind figuring out together whether something is legitimate or not.”

    The arrest is a step forward in the case, but the recovery of the gold remains unlikely.

    With precious metals frauds like this on the rise, here are some tips to keep your assets protected.

    Top red flags to look for with precious metal frauds

    The precious metals sector has become a magnet for scams. Gold, silver and other precious metals often bring out the worst in fraudsters who target unsuspecting investors. Whether you’re a seasoned investor or just beginning to explore this market, stay vigilant so you don’t fall for scams. Here’s how you can spot the warning signs of potential fraud and take steps to safeguard your investments.

    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

    Be wary of high-pressure sales tactics

    If you’re being rushed into making a decision without time to think, that’s a huge red flag. You might hear phrases like “this deal won’t last long” or “you need to act now.” Legitimate dealers, on the other hand, will give you time to research and consider your options. Be wary of any dealer or salesperson who guarantees profits or pitches an investment opportunity that seems too good to be true. While precious metals can be an effective hedge against inflation and market volatility, no investment is risk-free, and no one can guarantee returns. If someone claims they can, it’s almost certainly a scam.

    Avoid unlicensed or unregulated dealers

    Before you buy, ensure the company or individual you’re dealing with is properly licensed and regulated by government bodies like the Commodity Futures Trading Commission (CFTC) or the Securities and Exchange Commission (SEC). Research the company thoroughly, check reviews on trustworthy sites like the Better Business Bureau (BBB) and consult a financial advisor before you make big decisions.

    Always ask for documentation

    Every precious metals transaction should include a receipt, contract, or invoice. Be sure to read everything carefully and never sign anything you don’t fully understand. Some scams also involve too much focus on the physical possession of metals. While it’s common for investors to want to hold their gold or silver, some shady dealers push the idea that physical possession is the only way to safely store your investment. Legitimate dealers typically recommend secure, regulated storage options to ensure your assets are well-protected.

    Steer clear of unsolicited calls

    If you’ve received an unsolicited call, email, or social media message offering an "exclusive" investment opportunity, that’s another potential red flag. Scammers often reach out cold, offering deals that seem too good to pass up, or in the case of the Naples couple, scaring them into acting in a hurry. Scams like this are unfortunately on the rise, but the more you know, the better equipped you’ll be to avoid being a victim.

    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 Houston man found out his ‘funny’ vanity license plate had been illegally cloned — leaving him being charged almost daily for another driver’s habits

    This Houston man found out his ‘funny’ vanity license plate had been illegally cloned — leaving him being charged almost daily for another driver’s habits

    Jason Sung thought it was all fun and games when he bought a custom license plate "5.0 GPA" for his white Ford Mustang.

    "I’m not a good student, or I don’t have a good grade, but I just thought it’s a funny plate," Sung told ABC13 News.

    "I really liked it."

    But what started as a lighthearted joke turned into a frustrating financial headache.

    Don’t miss

    Sung noticed his Harris County Toll Road Authority (HCTRA) account auto-replenished unexpectedly, even though he rarely uses toll roads.

    Diving deeper into his account, Sung was shocked to find dozens of toll charges, many racked up during a period when he was out of the country and his white Ford Mustang was parked safely in his garage.

    Someone had a duplicate plate, down to the exact phrase, and had slapped it on a black Ford Mustang.

    Toll charges ‘pretty much every day’

    Sung found toll charges dating back to at least January that he knows he is not responsible for.

    "It’s just pretty much every day," he said.

    When he contacted HCTRA for answers, he said the toll authority checked transaction photos. A representative asked him if his vehicle was black with yellow lightning bolts on the back, but Sung’s response was immediate: “No, my car is completely white.”

    The photo HCTRA sent him showed a different vehicle altogether, but it had the same "5.0 GPA" license plate.

    "Even a person who doesn’t even have a driver’s license can tell you that’s not a Texas plate," Sung said.

    The photo included the other driver’s Instagram handle. ABC13 tracked down the individual behind the duplicate plate via social media.

    The driver admitted that the plate was a fake, ordered online from Arizona. He told reporters that he had no idea the plate phrase was officially registered and said he had been pulled over multiple times for the bogus tag. When asked if he would consider obtaining a legal plate, he instead asked if Sung might change his.

    Eventually, the driver said he would remove the fake plate from his vehicle.

    Meanwhile, Sung filed a report with the Harris County Precinct 4 Constable’s Office. Authorities told ABC13 the case is still under investigation.

    As for the wrongful charges, HCTRA confirmed to the news channel that they are reviewing all the transactions linked to Sung’s account and will issue him a credit for tolls incurred by the other driver.

    For Sung, it’s an expensive lesson in how a vanity plate can make you stand out, even to the wrong people.

    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 protect yourself from license plate cloning

    License plate cloning is becoming a growing problem in the U.S., where criminals copy legitimate license plates to commit illegal activities, leaving innocent vehicle owners, like Sung, on the hook for fines, tolls and even criminal offenses.

    In New York City, the police impounded more than 4,000 vehicles with fake plates in the 12 months after a task force was established in March 2024, while nationwide scams, like one in Tampa involving more than 1,000 cloned cars, have racked up losses exceeding $25 million, according to the FBI. States like Virginia and Texas are seeing rising thefts and enforcement efforts, with automated license plate readers (ALPRs) recovering hundreds of stolen vehicles.

    Victims of license plate cloning may have to deal with problems like toll charges, parking and traffic fines, wrongful administrative fees, and in severe cases, the issues can impact credit scores.

    So, what can you do to protect your vehicle from cloning? Here are some strategies you can use:

    • Regularly monitor toll accounts. Log into toll authority portals, like TxTag and E-ZPass, monthly to review trip logs and check for unauthorized trips.

    • Use antitheft screws. Install tamper-resistant screws to make it harder for thieves to remove your plates.

    • Don’t overshare online. Don’t post images of your license plate on social media or public forums.

    • Be careful where you park. Choose well-lit areas with security cameras to help avoid theft.

    • Use plate-monitoring services. Consider services that alert you if your plate appears in enforcement databases or is flagged.

    Regular monitoring and taking proactive steps like these can help protect you from the financial and legal repercussions of license plate cloning. If you do run into a stolen plate, report it to authorities immediately.

    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.

  • Nearly 3 years after the largest heist in US history, California police arrest 7 suspects accused of stealing 24 bags of gold, diamonds and other gems worth $100M

    Nearly 3 years after the largest heist in US history, California police arrest 7 suspects accused of stealing 24 bags of gold, diamonds and other gems worth $100M

    It’s been called the largest jewelry heist in U.S. history. In 2022, thieves made off with approximately $100-million worth of gold, diamonds, rubies, emeralds, and luxury watches.

    For three years, authorities tried to track the criminals — and the loot — down. As KTLA 5 reports, federal officials got a big break this June when they pulled over a vehicle en route from one jewelry show near San Francisco to another in Pasadena.

    Don’t miss

    In the process, they recovered some of the stolen goods.

    Seven men are indicted on federal charges in connection with the heist. If found guilty on all counts, they each face prison sentences of 20 years or more.

    One of them — Jazael Padilla Resto, 36, of Boyle Heights (alias Ricardo Noel Moya, Ricardo Barbosa and Alberto Javier Loza Chamorro) — is already an inmate in Arizona state prison.

    His co-accused are:

    • Carlos Victor Mestanza Cercado, 31, of Pasadena
    • Pablo Raul Lugo Larroig, (alias Walter Loza), 41, of Rialto
    • Victor Hugo Valencia Solorzano, 60, of Rampart Village, Los Angeles
    • Jorge Enrique Alban, 33, of South Los Angeles
    • Jeson Nelon Presilla Flores, 42, of Upland
    • Eduardo Macias Ibarra, 36, of Westlake, Los Angeles.

    ‘Kind of stuff you see at the Oscars’

    While authorities are still trying to locate the remainder of the stolen gems and watches, they do know how criminals carried out the heist.

    As KTLA 5 reports, on July 10, 2022, criminals followed a Brinks truck — loaded with priceless gems and luxury goods — 300 miles from a jewelry show in San Mateo to a rest stop in Lebec, California.

    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

    One of the Brinks crew went inside the rest stop for a 27-minute break while his colleague slept.

    It was enough time for thieves to break into the truck and make off with 24 out of 73 bags of jewelry bags of priceless gems and luxury goods, described by the Los Angeles Times reveals as “the kind of stuff you see at the Oscars.”

    Authorities also accuse Mestanza, Padilla, Lugo, and Valencia of allegedly stealing $240,573 worth of Samsung electronics from an interstate cargo shipment in Ontario, California on March 2, 2022.

    The same seven suspects are accused of attempting a brazen crowbar break-in at a Fontana rest stop. Though that job failed, they bounced back, making off with about $14,081 worth of Samsung electronics from another interstate shipment in Fontana, according to federal officials.

    Why jewelry heists are big business for thieves

    Industry experts say high-value jewelry thefts are surging, and that thieves are outpacing security measures with sophisticated criminal tactics. Jewelry’s compact size and high value make it an attractive target for thieves.

    In 2023, reported losses reached $133.2 million, a 2.9% increase from 2022, according to the Jewelers Security Alliance.

    “The increase in dollar losses can be attributed to highly professional criminals and organized gangs carrying out high-dollar crimes resulting in large losses,” the alliance reports.

    High-tech methods

    Jewelers Mutual reports that today, jewelry thieves use mobile hunting cameras for surveillance, Wi-Fi jammers to disable alarms and tools like torches and angle grinders to break into safes. They exploit jewelry stores with outdated security systems by gaining access through rooftops and shared walls.

    Organized and sophisticated crime

    The FBI links the rise in jewelry thefts to organized criminal rings, some from Columbia. These groups work out detailed plans to pull off big heists. They use big cities like Los Angeles, Miami and New York as ‘fencing cities’ to convert stolen jewels into cash.

    Industry response

    Now industry groups like Jewelers Mutual and the Jewelers Security Alliance are sounding the alarm. They recommend that jewelry businesses update alarm and other security systems, train staff in security measures and conduct regular security audits.

    The stakes are sky-high, and the race between law enforcement and sophisticated crime rings is far from over. For now, the glittering haul from that Lebec rest stop is a reminder that in the world of jewelry theft, the thieves still hold the cards — and the diamonds.

    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 Rolls-Royce was brazenly nicked from a Texas valet stand — and police say it led them to a $1.5M luxury car theft ring. How to protect your ride from those looking for ‘an opportunity’

    A Rolls-Royce was brazenly nicked from a Texas valet stand — and police say it led them to a $1.5M luxury car theft ring. How to protect your ride from those looking for ‘an opportunity’

    In a high-stakes bust, local and federal authorities swooped in on a suspected Dallas-area luxury car theft ring on June 11, recovering nearly $1.5 million worth of stolen high-end vehicles, including two Rolls-Royces, police say.

    Home surveillance footage obtained by NBC DFW shows Dallas SWAT, Plano officers and the FBI executing a search warrant on one of two properties that were raided, according to the broadcaster. It was the conclusion of a multi-agency investigation spanning several Texas cities.

    Don’t miss

    As a result, police say, six stolen luxury vehicles were recovered, along with firearms, body armor and car theft tools. Three suspects were also arrested for theft over $300,000.

    Plano police were only looped into the larger investigation after the brazen theft of a Rolls-Royce at a local restaurant days earlier, reports NBC DFW. Here’s what happened, along with more details of the investigation.

    Haul of high-end cars

    On June 6, a 2024 Rolls-Royce Spectre was stolen from the valet stand of a restaurant in an upscale neighborhood, Plano detective Jerry Minton says, after the vehicle owner handed the keys over to staff.

    “The suspect saw a targeted opportunity,” Minton explained to NBC DFW in a story published July 2. “They drove up in another vehicle, a white Mercedes, saw where the vehicles were parked and was able to obtain a set of keys.”

    As Plano detectives began their investigation, they were alerted by the Texas Department of Public Safety that the 2025 Mercedes S63 AMG at the scene was linked to other car thefts reported in Dallas and Grapevine, according to NBC DFW. Minton says the Mercedes was also stolen, and PPD joined the ongoing case.

    “We got in on the tail end of it, after they had already planned for the search warrants,” Minton said.

    The six vehicles recovered include a Rolls-Royce Spectre, Rolls-Royce Cullinan, Cadillac Escalade-V, Maserati Levante and Audi RS7 — valued at nearly $1.5 million — police say.

    Minton says there was no pattern to how the vehicles were stolen. One more was taken from a valet stand, he says, but another came from a vehicle transport, while the second Rolls-Royce may have been lifted from a gas station.

    “They weren’t targeting one specific method of stealing,” Minton said. “It was: they see an opportunity, they took it if they liked the car.”

    The arrested were Oscar Valdez, 28, Miguel Hernandez, 27, and Salvador Hernandez, 29, reports NBC DFW. Plano police say Valdez is a repeat offender with 15 active felony warrants, per the broadcaster, and remained in custody without bond. Meanwhile, both Hernandez men, who Minton says are not related, posted bond.

    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

    Drivers of all vehicles must stay vigilant

    Even if you don’t drive a swanky vehicle, Minton urged car owners to stay vigilant with regard to potential auto theft.

    “If you leave your vehicle, or even if you just get out, don’t leave it running, don’t leave the keys in it,” he warned. “A Honda Civic is as important to that person as the Rolls-Royce is to that owner,” he said.

    It’s also a good idea to park in well-lit areas, or even behind a fence or in a garage. Don’t leave any valuables inside a vehicle.

    There are also several devices drivers can purchase to deter would-be thieves:

    GPS tracker: Hardwired or plug-in, a GPS tracker can be helpful at locating your vehicle if it gets stolen. Be warned these devices may come with a monthly service fee.

    Kill switch: Want a thief to sit confused while they try to start your car? A kill switch can interrupt vehicle ignition until toggled.

    Visible deterrents: Old-school methods still work in many cases. Steering wheel locks, brake locks and window stickers that warn of GPS tracking or other tech are some traditional methods of theft deterrent. A determined thief may still find a way past them, or they may opt for an easier target.

    Opportunity for thieves can be found anywhere, whether it’s a valet stand, a car transporter or even a gas station. Regardless of whether you drive a Bentley or a Buick, the right tech and habits can make all the difference.

    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.

  • These Ohio homeowners were shocked to discover a massive telecommunications tower being built just feet from their backyards ‘without any notice’ — and now they say they want it gone

    These Ohio homeowners were shocked to discover a massive telecommunications tower being built just feet from their backyards ‘without any notice’ — and now they say they want it gone

    Imagine waking up, sipping your morning coffee, and looking outside to see a massive tower being built just feet from your backyard.

    Don’t miss

    Several homeowners in Lorain County, Ohio claim they were blindsided by the construction of a state telecommunications tower.

    “Without any notice, we saw a tower being built just feet away from our property line. We had to really do some digging to figure out what it even was, who was doing it,” Krysta Tassone, whose home sits just seven feet and 10 inches from the tower’s base, told 19 News.

    For residents like Jay Strauss, it’s not just that the sightline is offensive, it’s a matter of principle.

    “I was putting up a barn in my backyard and was told I could not get a permit. I had to be 100 feet, and I was 82 feet,” Strauss said. “Yet, they can put a tower eight feet from their property line?”

    ‘To be pushed out by something like that’

    According to the report, the structure is part of Ohio’s Multi-Agency Radio Communication System (MARCS), a statewide initiative to upgrade communication networks for law enforcement and emergency services. It’s one of several being built across Lorain County and is slated for completion by August when it is expected to stand 350 feet tall.

    The tower is being built on land owned by Northern Ohio Rural Water.

    But local leaders say they were left out of the loop.

    The Brownhelm Township Trustees told 19 News, “The county cut the township out of the project and followed Ohio Revised Code 519.211 … All township officials will have no further comment at this time.”

    According to Lorain County Commissioner Jim Riddell, the location was selected by engineers. He insists the township had been looped into discussions over the past year and that it was their responsibility to alert nearby property owners.

    The plans were reportedly listed on public agendas and open for discussion.

    The news report notes that state code says, “Any person who plans to construct a telecommunications tower within one hundred feet of a residential dwelling shall provide a written notice to the owner.”

    The residents 19 News spoke to said they never received anything. The news station said it is waiting to hear if the tower could or would come down.

    “To pick somewhere to settle your family. Raise your family and hope to never leave. And, to be pushed out by something like that, you never even got a choice in,” said Tassone about the prospect of the tower staying.

    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 stay informed and get involved

    Here’s how savvy homeowners across the U.S. can stay ahead of unwanted property developments.

    The best way to know what is going on is to be active in your community.

    Make sure you see all published, mailed or posted notices. Stay informed about and attend public meetings. You will have the right to comment and oppose during open discussions. Show up and speak out at hearings because organized and informed residents can make a difference. You can check the official county websites for schedules and online livestreaming links. Subscribe to city council newsletters.

    Official information is powerful, but nothing beats word-of-mouth from your fellow residents. Join your HOA, neighborhood group, or local forum. Nextdoor, Facebook Groups, and Reddit are buzzing with locals spotting surveyors, “zoning change” signs and construction trailers. Walking your neighborhood? Keep an eye out for construction signs, survey markers, or stakes and take photos.

    There are also tech-savvy tactics to stay informed. Sign up for news alerts by setting Google Alerts for your street name or city and “zoning” or “development.” Use Zillow or Realtor.com to track if a neighbor’s property goes on the market or gets listed for commercial use.

    Lastly, know your rights. Each state has different rules, but many require notice to neighbors if a major development is within a certain distance of their home. Didn’t get notice? You might have grounds to challenge it. Hire a land-use attorney if you need guidance. They can help prove that a project violates zoning laws or wasn’t properly disclosed.

    You don’t need to be blindsided by bulldozers. Today’s homeowners have more tools than ever to stay informed, get involved, and take action. Being the first to know can help protect your home.

    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 was misinformed’: Washington State man just found out he owes the IRS $140,000 after withdrawing funds from his 401(k) to buy a house — how The Ramsey Show hosts advise he tackle it ASAP

    ‘I was misinformed’: Washington State man just found out he owes the IRS $140,000 after withdrawing funds from his 401(k) to buy a house — how The Ramsey Show hosts advise he tackle it ASAP

    Marty from Spokane, Washington, thought he was taking a smart step toward debt-free homeownership. But pulling $400,000 from his 401(k) to buy a house left him with a staggering $140,000 tax bill.

    “I just recently found out that when I go to file my taxes, I am going to owe roughly $140,000,” he said, calling into The Ramsey Show. “I really don’t want to do a payment plan with the IRS, but I just don’t know the best path forward.”

    Don’t miss

    Marty thought he had paid all the fees and taxes when he withdrew the money, but said, “I was misinformed that it had been paid… and I didn’t realize it hadn’t been done until I went to file my taxes.”

    The Ramsey Show says it’s better to owe a bank than the IRS

    Marty has a few ways to come up with the money: He could use a line of credit like a HELOC or credit card, dip into his $60,000 in savings, or take out a personal loan from a bank. But The Ramsey Show co-hosts Jade Warshaw and Rachel Cruze were clear: some of those options could make things worse.

    They advised against using a home equity line of credit (HELOC) or a credit card.

    “I would not do a HELOC,” Cruze said. “I would not put your home at risk. With HELOCs, the interest rates are sometimes insane.” As for credit cards, the interest rates tend to be even higher and more volatile, and the debt can spiral fast. That’s a dangerous mix when dealing with a large IRS bill.

    Instead, Warshaw and Cruze recommended pulling from Marty’s savings and using a personal loan from a bank to cover the remainder.

    “Use your savings, then get a personal loan to pay the IRS off as quickly as possible,” Warshaw advised.

    “Because I’d rather owe a bank than the IRS at this point,” Cruze added.

    IRS debt can lead to aggressive penalties, interest and long wait times when trying to resolve issues — which is why they emphasized handling it quickly, cleanly, and without risking other key assets like retirement accounts or home equity.

    “You’re already in the hole,” Cruze said, adding “…be in the hole with a bank.”

    The consequences of tapping into your 401(k) early

    Marty’s story serves as a reminder to avoid dipping into retirement accounts, especially if you don’t fully understand the tax implications.

    As Warshaw concluded, “No more leveraging very important things for debt.”

    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

    In a financial emergency, your 401(k) might look like a tempting source of fast cash, especially when you see a hefty six-figure balance just sitting there. But taking money out of your 401(k) before age 59½ can come with serious consequences that extend far beyond the immediate tax year. You’re typically hit with a 10% early withdrawal penalty and ordinary income tax on the total amount that you’ve withdrawn.

    For example, let’s say you withdraw $20,000 from your 401(k) before age 59½:

    • $2,000 goes straight to the IRS as a penalty (10%)
    • Assuming a 22% tax bracket, you’ll owe another $4,400 in income taxes
    • Total cost in fees and taxes: $6,400, or 32% of your withdrawal
    • The amount you’ll actually keep: $13,600

    Aside from the fees and taxes, there are long-term implications, too.

    Lost investment growth: Money withdrawn from your 401(k) isn’t just taxed, it’s no longer growing. A $20,000 withdrawal today could have grown to $80,000 or more over 25 years with compounding returns (assuming an average of 7% annual growth).

    Tax time shock: Many people think taxes and penalties are deducted automatically. But if you don’t withhold the right amount when you take the distribution, you may owe thousands when you file, with penalties and interest if you can’t pay on time.

    When a 401(k) withdrawal might make sense

    There are some exceptions where tapping into your 401(k) early may be the only option:

    • Avoiding foreclosure or eviction
    • Job loss with no savings or access to credit
    • Disability or death (in which case, penalties may be waived)
    • Hardship withdrawals, like for terminal illness (may be exempt from the 10% penalty, but you’ll still owe income taxes)

    Before dipping into your retirement funds, consider other options:

    • Emergency savings
    • Personal loans or credit union options
    • Home equity loans, if your income supports repayment
    • Selling non-retirement investments, like brokerage accounts

    Pulling from your 401(k) early can feel like a quick fix, but with taxes, penalties and lost future growth, you could lose 30% to 40% of what you take out, so it should be treated as a last resort rather than an easy solution.

    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.

  • ‘Scared to go out in my yard’: Georgia homeowner says she’s spent over $70K replacing windows thanks to errant balls from nearby golf course — and she wants the club to ‘pay now’

    ‘Scared to go out in my yard’: Georgia homeowner says she’s spent over $70K replacing windows thanks to errant balls from nearby golf course — and she wants the club to ‘pay now’

    Some homeowners in Marietta, Georgia, got more than they bargained for after moving into their picturesque neighborhood across the street from a private country club, dealing with tens of thousands of dollars in property damage over the years.

    The culprits? Rogue golf balls from the course across the street.

    Don’t miss

    “I came out with my baby in the garage and glass was all over my car,” Jewel Montgomery recalled to Atlanta News First about a golf ball previously shattering her garage door window in a story published May 21.

    On top of damage like broken windows and dented vehicles, neighbors shared with the broadcaster they’ve had close calls with golf balls nearly hitting them while mowing the lawn or simply sitting on their deck.

    “All of a sudden, a ball hit the bill of my hat,” Ronnie Pope told Atlanta News First, adding the hat protected his face.

    “If they hit my daughter. I’m not going to tolerate it,” Montgomery said, referring to her 9-year-old daughter who sometimes plays in the backyard.

    Montgomery and Pope have lived across from one of Marietta Country Club’s par-4 holes for nearly 25 years, per Atlanta News First. Both were aware of the nearby golf course when they moved in, but they “didn’t have a clue of what was going to be happening after,” Pope said.

    “I’m scared to go out in my yard,” Montgomery said.

    Who foots the bill for the damage?

    Montgomery and Pope say the Marietta Country Club’s insurer paid for the very first broken windows over a decade ago, but nothing else since, the broadcaster reports. Montgomery alone says she’s paid over $70,000 out of pocket to replace multiple windows because she doesn’t want her home insurance premiums to go up for filing claims.

    “The biggie was the picture frame window and my office windows again,” Montgomery said. “I called and called; I sent a certified letter, and then I got a voice message on Dec. 20, 2024, saying they’re not responsible.”

    Atlanta News First says the club did not respond to multiple inquiries about their protocols.

    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

    Laws vary by state, but “Georgia recognizes the assumption of risk doctrine,” Ronnie Miles, senior director of advocacy with the National Golf Course Owners Association, told Atlanta News First. This means if you knowingly buy a home near a golf course, you do so understanding the risks involved.

    Miles advises homeowners in this situation to reference land records called easements, which can spell out legal rights attached to the land around a golf course.

    “There’s an easement that goes around the perimeter so many feet out from the property line of the golf course,” he said. “So balls can penetrate and travel into that area.”

    Atlanta News First reports it found documents stating Marietta Country Club’s easement from 1989 protects it from ball-related liability within 30 feet of the property. Montgomery and Pope’s properties, however, are more than 60 feet away. Montgomery says she’s called lawyers but was told they’ll only take on a case if there are injuries.

    “They need to pay now,” Montgomery said of the club. “They need to move the tee box. They need to put up a net and not have the balls coming over here in this neighborhood because we don’t live on the golf course.”

    What to do if you live near a golf course

    Finding yourself on the receiving end of a barrage of golf balls? Here’s how to protect your investment if your home is near a golf course:

    • Look into land records: Check county deeds for any easements that could affect your rights.
    • Track any incidents: Keep photo evidence and records of property damage.
    • Seek legal counsel: Especially if the golf ball frequency has escalated or caused injury.
    • Ask the club to act: Netting, tee box realignment or tree buffers are options, though not always welcomed by neighbors who live on the course.

    The National Golf Course Owners Association reminds golfers it’s possible they can be held liable for property damage from errant shots.

    Whether you’re buying near a course, teeing off on the weekend or watching balls fly through your deck screen, the financial and legal stakes can be very real. If you’re a homebuyer eyeing that fairway view, read the easement and understand the risks.

    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.

  • ‘Grateful to walk away’: 2 houses in this Florida county were recently engulfed in flames caused by popular lithium-ion batteries — but are battery fires covered by insurance?

    ‘Grateful to walk away’: 2 houses in this Florida county were recently engulfed in flames caused by popular lithium-ion batteries — but are battery fires covered by insurance?

    It started with a lithium-ion battery left charging on a workbench.

    That single battery caused a raging fire that tore through the Odonnell family’s garage in Spring Hill, Florida.

    Don’t miss

    “Absolutely it was sitting on his work bench, which is wooden. Probably had some oil and WD-40 and things on it and I think it just went up,” homeowner Cindy Odonnell told WFLA.

    The fire erupted without warning, gutting the entire garage of the home in Hernando County. “And there were fire trucks all up and down the road and there was smoke pouring out of the house and water running down the sides, from all sides from everywhere I could see,” she added.

    The incident makes clear the risk posed by lithium-ion batteries — and it’s a risk that fire departments across the country are sounding the alarm on.

    ‘We’re just grateful to walk away’

    “Lithium-ion batteries and electric vehicles, that’s a hot topic in the fire services across the country,” said Hernando County Fire Chief Paul Hasenmeier. “There are a large number of fires. Probably right now our leading cause of fires in residential houses is from lithium-ion batteries.”

    Hasenmeier confirmed this is the second lithium-ion battery fire within a few weeks in Hernando County alone.

    Just two weeks before the Venetia Drive garage blaze, Hernando County Fire Rescue responded to another lithium-ion battery fire, this time in Brookridge, at a mobile home on Moriah Avenue, according to a report by WFLA.

    The blaze had started while a golf cart was charging inside a side garage, then quickly spread and engulfed the mobile home. Though firefighters extinguished the fire in about 30 minutes, the property was a total loss. Fortunately, no injuries were reported.

    While the Odonnells lost much of their property, they’re counting their blessings.

    “We’re just grateful to walk away from it all,” Steve Odonnell said. He and their beloved three-legged squirrel, Flash, escaped unhurt.

    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

    What are lithium-ion batteries, and where are they used?

    Lithium-ion batteries are everywhere, from smartphones and laptops to drills, e-bikes, electric scooters and Teslas. They’re small, lightweight, and pack a lot of energy.

    These batteries store energy using highly reactive chemical compounds. If damaged, overheated or improperly charged, the internal components can trigger a phenomenon known as “thermal runaway,” where the battery self-heats, ignites and explodes.

    As these batteries become cheaper and more widespread, especially in off-brand e-bikes, hoverboards and power tools, fires are becoming a national crisis. Even name-brand batteries can catch fire if left charging too long, stored improperly or paired with incompatible chargers.

    Most standard homeowners’ insurance policies cover fire damage. But if the fire was caused by misuse, like charging a battery overnight on a flammable surface or using a non-certified charger, your claim could be denied, delayed or reduced.

    If you have a “named perils” policy, only specific causes of damage, like lightning, theft or vandalism, are covered.

    If battery fires aren’t listed, you may not qualify for coverage. On the other hand, “open perils” (also called “all-risk”) policies offer broader protection, covering any damage not explicitly excluded. Even these can contain fine print around personal electronics or third-party devices, so always read the fine print.

    Don’t forget to think about policy caps. Your coverage may be limited to a percentage of your home’s value, regardless of what the repairs actually cost.

    How to protect your home and your wallet

    Fire safety officials are warning homeowners to treat lithium-ion batteries with the same caution as gas-powered appliances or open flames. That means not charging batteries unattended, especially overnight, and always using Underwriters Laboratories (UL) certified products.

    Keep charging stations away from anything flammable. Avoid leaving batteries plugged in after they’re fully charged. And if a battery ever feels hot, starts to swell, or emits a weird smell, get rid of it properly and immediately. Improper disposal can lead to fires in garbage trucks and recycling centers.

    Protect your wallet and check your policy. Make sure you understand the difference between open and named peril coverage, review any exclusions for personal electronics, and ask your agent about endorsements for high-risk items like EV chargers or large-capacity battery packs.

    As fires like the ones in Spring Hill and Brookridge make headlines, it’s clear that lithium-ion batteries are a household risk and an insurance wild card. For now, the best protection is a mix of fire-safe habits and a clear, up-to-date insurance policy.

    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.

  • NYC man lost $114K — his entire 401(k) — after his physical check from Paychex was stolen. So why do 43% of retirement savers still have to deal with this ‘outdated’ and ‘insecure’ method?

    NYC man lost $114K — his entire 401(k) — after his physical check from Paychex was stolen. So why do 43% of retirement savers still have to deal with this ‘outdated’ and ‘insecure’ method?

    Dylan Handy did everything right — or so he thought.

    Two years ago, when he was 33, Handy tried to roll over his $114,000 401(k) after switching jobs. Instead of a secure digital transfer, Paychex sent paper checks.

    Don’t miss

    Unfortunately for Handy, those checks were intercepted and fraudulently cashed.

    “This outdated and insecure method remains standard practice in the retirement industry,” Handy told The New York Times. The kicker? Handy wasn’t even told electronic transfer was an option. And more importantly, he may now owe taxes on a stolen account.

    So why are retirement plan administrators still using physical checks? And how can you protect your money and avoid ending up in a situation similar to Handy’s?

    The risks of paper-based rollovers

    A 2024 survey by Capitalize revealed just how many people still deal with paper checks during rollovers — a whopping 43%.

    Americans are running out of patience. More than 80% of savers say rolling over a 401(k) should be as simple as making a bank transfer. But for those stuck with the manual process, it often means phone calls, long wait times and a lot of uncertainty.

    So why are plan administrators holding on to this outdated method?

    Physical checks persist because of legacy systems, regulatory concerns and a lack of standardized digital options.

    In Hardy’s case, he’s now in federal court suing Paychex after months of getting nowhere with banks and no reimbursement for the bulk of his lost savings. His lawyer argues Paychex is responsible.

    Paper checks in 401(k) rollovers expose savers to serious risks, including:

    • Fraud and theft: Physical checks are easier to intercept, alter or cash without authorization.
    • Delays and inconvenience: Mailing checks, waiting for them to clear and making sure they reach the right hands can take weeks — sometimes months. Capitalize found that 42% of savers experienced rollovers that took two months or more.
    • Lack of transparency: Tracking paper checks and resolving problems can be a nightmare. In fraud cases, figuring out who’s responsible and recovering money is often a complex, drawn-out process.

    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

    Limited protections: How to stay safe

    While protections like the Employee Retirement Income Security Act (ERISA) exist, they are limited.

    There’s only so much liability coverage. If a check is stolen and cashed by someone else, blame may fall on the issuer, the accepting bank or the account holder. Sorting that out can take a long time.

    And even when a claim is valid, banks may take up to 90 days to respond. That you could be without your retirement funds for months.

    With check fraud and scams on the rise, protecting your money during a 401(k) rollover is more important than ever. Here are a few smart steps to keep your savings safe:

    • Work with a qualified advisor: Make sure any financial advisor you consult is a Certified Financial Planner™ who’s legally required to act in your best interest. The right advisor can help you avoid shady products and high-pressure sales tactics.
    • Opt for direct transfers: Whenever possible, ask your 401(k) provider to transfer funds directly to your new retirement account. It’s faster and more secure.
    • Use secure mail: If a paper check is your only option, request certified mail with tracking. This cuts down the chance of interception.
    • Monitor your accounts: Check your accounts regularly for suspicious activity. If something looks off, report it immediately.
    • Stay informed: New scams pop up all the time — from fake self-directed IRAs to bogus investment platforms. The more you know, the easier it is to spot red flags.

    Check fraud isn’t going away, so it’s up to people saving for retirement to stay alert and take action. Even though some protections are in place, being proactive is your best defense.

    Your retirement money deserves better than a risky, outdated process, it deserves your full attention.

    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.