Current Events in October 2019

Ford Motor Company is recalling 17,965 model year 2019 Ranger vehicles.

The Heating, Ventilating and Air Conditioning (HVAC) blower motor may electrically short, increasing the risk of a fire.

What to do

Ford will notify owners, and dealers will inspect the HVAC blower motor production date, replacing it as necessary, free of charge.

The recall is expected to begin November 4, 2019.

Owners may contact Ford customer service at (866) 436-7332. Ford's number for this recall is 19S34.

ConsumerAffairs recently took a first look at a new report the Federal Trade Commission (FTC) presented to Congress -- Protecting Older Consumers 2018-2019 -- and it showed that the world of senior scammers is alive and well. In fact, the older demographic is as vulnerable as ever, reporting a median loss of $1,700 -- four times greater than the median loss of consumers in their 20s and 30s. 

Taking a deeper dive into the report, ConsumerAffairs found some realities older consumers should pay even closer attention to. In particular, it appears that many scammers are masquerading as government officials to great effect.

“First, and not surprisingly, the fact that the scammers presented themselves as representing a federal agency made a difference in how the consumers reacted,” the report said. “The consumers said they believed they were less likely to be scammed by a person from a government source as opposed to a company. Some scammers went to great lengths, making up details about the FTC, to make themselves seem authentic.”

“Second, even after conversation with real FTC staff, many of these consumers still wondered whether the person who had called them was, in fact, an FTC employee. Further conversation was required in many cases to help them understand that the calls – and the information the scammer had provided – were false.”

“Third, consumers reported that these types of scams were often a long, drawn out process. In numerous instances, the scammers contacted the consumers daily, building relationships and creating trust. Frequently, large money losses occurred through multiple contacts over the course of weeks or months.”

Feeling lonely?

The report found that fraudsters find particular joy in ripping off seniors who might be looking for a little romance. 

“In fact, consumers in their 60s reported far higher aggregate losses on romance scams than on any other fraud in 2018, and the vast majority of those dollars were sent by wire transfer,” the report found. 

Wire transfers also took home the prize as the top payment method for sweepstakes and lottery frauds, and it also had the highest aggregate reported losses for consumers 70 and older. 

Why reporting fraud is important

As the older adult segment continues to grow, so does the FTC’s pursuit of the scammers. The agency says sharing any fraud-related information with friends is more important than ever. Why? Because people are much less likely to lose money on a scam they encounter if they’ve heard about it before. 

To that end, the FTC has created the Pass It On campaign, which focuses on helping older adults protect themselves and their network of friends. The FTC explains the essence of the effort in the video below.

General Motors (GM) said Tuesday that the worker strike that idled production for 40 days will cost it about $2.9 billion. 

The strike started in mid-September after contract negotiations reached an impasse, and it ended just a few days ago after an acceptable deal was hashed out. Under the new deal, workers will get increased annual raises or lump-sum bonuses. The contract also sees to it that temporary workers are offered a shorter path to achieving permanent positions. 

While roughly 50,000 hourly workers were out of work during the strike, GM was unable to build any cars at U.S. factories. However, the automaker said it was able to rely on an inventory of vehicles it had already built up to keep supplying dealers with vehicles during the strike. 

Lost money

The company said it still lost money because dozens of its factories were closed down for nearly six weeks. GM estimates that the total loss from the walk-out will come out to $2 a share, or about $2.9 billion.

In a statement, GM expressed optimism about its ability to bounce back from the financial impact of the strike. Although the strike erased about $1 billion in profit from the company’s third quarter earnings, GM still posted a $2.3 billion profit for the quarter. 

“Our underlying third-quarter performance demonstrates the ongoing resilience and earnings power of our company,” GM Chief Financial Officer Dhivya Suryadevara said in a statement.

The automaker said the new four-year labor contract with its workers “maintains our competitiveness, preserves our operating flexibility and allows us to continue improving our quality and productivity.” 

Amazon announced on Tuesday that it’s giving Prime members free grocery delivery through its Amazon Fresh service, which previously cost $14.99 per month. 

The food delivery service is currently offered in 2,000 cities, and Amazon says “even more cities” will get the service in the near future. Prime members who use it get fresh groceries -- including produce, meat, snacks, and household essentials -- delivered within a two-hour window. 

Going forward, the service will be free for those who pay $119/year for Amazon Prime. Initially, Amazon will be launching the free program on an invite-only basis, beginning with Prime members who already use Amazon Fresh or who have previously ordered deliveries from Whole Foods. Other Prime members can gain access by requesting an invitation.  

“Prime members love the convenience of free grocery delivery on Amazon, which is why we’ve made Amazon Fresh a free benefit of Prime, saving customers $14.99 per month,” said Stephenie Landry, VP of Grocery Delivery. “Grocery delivery is one of the fastest growing businesses at Amazon, and we think this will be one of the most-loved Prime benefits.”

Amazon, which acquired Whole Foods in 2017, has been striving to grow its network of grocery stores in the U.S. through the launch of a new line of grocery stores separate from Whole Foods. The company has also been speeding up its delivery times, which has prompted competitors like Walmart and Target to follow suit. 

T-Mobile has announced that it will be offering firefighters, police, and other first responders the same discount it gives military veterans. 

Starting November 1, the Magenta First Responder plan will be open to eligible "state and local law enforcement officers, firefighters and EMS personnel” and their families. First responders can get 50 percent off family lines by enrolling in the plan, which is the same discount the carrier began offering active military members and veterans last year. 

T-Mobile says its military plan saves families over $1 billion annually, and it wants to help first responders “and everyone who counts on them” save just as much while staying connected. 

"At T-Mobile, we're on an unrelenting mission to change wireless for good. With Magenta First Responder, we'll put money right back in the pockets of our nation's first responders and their families," said T-Mobile CEO John Legere in a statement. 

“Magenta Military forced AT&T and Verizon to respond and altogether created a wave of change that we estimate saves military families more than a billion dollars every year,” Legere added. “This is what we do. We spark a reaction. And Magenta First Responder will do the same.”

Four lines for $100 

Those who subscribe to T-Mobile’s Magenta plan can get four lines for $100 with taxes and fees included, which is a savings of $60 off the company’s normal price. A single line costs $55 per month, two lines cost $40 each, and three lines cost $30 each.

The cheaper plan includes the same features offered under the standard Magenta plan, including unlimited texting and data, a basic Netflix subscription, and 3GB of high-speed mobile hotspot connectivity.

To qualify for any of the plans, the first responder must be the account holder and have a valid first responder line. T-Mobile added that, for a limited time, first responders, active duty military, and veterans can also get 50 percent off the latest Samsung smartphones with bill credits.

Though consumer confidence around autonomous vehicles has been shaky, a new study conducted by researchers from the University of Exeter found that a change of heart could be possible. The findings revealed that drivers are more likely than their autonomous vehicles to get the blame in instances where both have made mistakes. 

“We find that when only one driver makes an error, that driver is blamed more regardless of whether that driver is a machine or human,” the researchers wrote. “However, when both drivers make errors in cases of human-machine shared-control vehicles, the blame attributed to the malfunctioning is reduced.” 

Ultimately, the researchers believe that these findings are important, as they could shape the future of autonomous vehicle manufacturer regulations or potential liability outcomes in court cases.   

Pointing fingers

As autonomous vehicle technology continues to advance, the researchers conducted this study to get a better gauge on how consumers would respond to hypothetical scenarios involving a combination of human drivers and autonomous vehicles. For the purposes of this study, the researchers associated autonomous vehicles as ones that had human drivers but were controlled and maneuvered by a setting similar to autopilot on airplanes. 

The researchers posed several scenarios to consumers and asked them to consider who would be at fault in various instances. In some cases,  the drivers were at fault; in others, the cars were at fault; in still others, both were at fault. Many of these hypotheticals could be expected with the introduction of semi-autonomous vehicles. 

Ultimately, the researchers learned that consumers are more willing to place the blame for accidents or mishaps on human drivers over autonomous vehicles, particularly when both had messed up. These findings are interesting because several recent studies have touted consumers’ skepticism surrounding autonomous vehicle technology, but that doesn’t seem to be the case in this most recent study. 

In instances where both drivers and cars made mistakes on the road, the study participants pointed fingers at the human drivers more often and let the autonomous vehicles off the hook. According to the researchers, this could potentially affect future safety features on these vehicles and sway the public perception should cases like these be put in front of a jury. 

“It seems like if we leave it to the general public, they may unintentionally go soft on [autonomous vehicle] manufacturers to improve their safety standards,” said researcher Dr. Edmond Awad. 

Jenny Craig (an Authorized Partner) is raising the profile of its weight-loss program by teaming up with Walgreens to offer products and services within select Walgreens locations.

Initially, the two companies said there will be a Jenny Craig (an Authorized Partner) presence in 100 Walgreens stores before the end of January 2020. The store locations will offer private one-on-one consultations, a customized menu plan, and meal delivery.

It will be the first time the diet-control company will use a national drugstore chain as a venue and the first time Walgreens will offer a weight control program as part of its health services.

“Jenny Craig (an Authorized Partner) has a long-standing history of changing lives through personal one-on-one support and lifestyle management,” said Jim OConor, senior vice president of neighborhood health destination at Walgreens. “We found Jenny Craig (an Authorized Partner) to be a strong fit with our shared mission to provide trusted, proven, and personalized care.”

The first 100 Jenny Craig (an Authorized Partner) Walgreens locations are in 20 states in markets that include Dallas, Houston, Philadelphia, and Phoenix, among others. Once they are open, the companies have left open the possibility of other potential in-store and digital initiatives.

Walk-in clinics are closing

At the same time, Walgreens is closing and scaling back its walk-in clinics located in some Walgreen stores. The move is aimed at trimming costs.

In some locations, the pharmacy retailer will turn over clinic operations to third-party providers. For example, in the Cincinnati market, Walgreens has signed an agreement with TriHealth to operate seven of its in-store clinics. TriHealth is a comprehensive not-for-profit health system with six hospitals and 130 sites of care.

"Today's announcement demonstrates our ongoing commitment to collaborate with community health systems, like TriHealth, to offer convenient access to affordable healthcare services while helping to ensure a true continuum of care for our patients," said Dr. Chet Robson, Walgreens acting chief medical officer. "We look forward to working with TriHealth as it shares our commitment to delivering exceptional and personalized patient care."

TriHealth CEO Mark Clement says the deal with Walmart will allow it to meet the evolving needs of healthcare consumers by offering care “when, where and how consumers are seeking it.”

If it’s possible to be a victim of one’s own success, Popeye’s chicken sandwich might be a prime example.

When the sandwich debuted in August, consumers went wild for it, causing most stores to quickly sell out. Popeye’s suspended the menu item two weeks later. Now, the Popeye’s chicken sandwich is returning Sunday, Nov.3, and the fast-food chain says it’s better prepared this time.

In August, company officials had no idea how popular the fried chicken sandwich would be. The company had what it believed to be the ingredients for three months worth of these sandwiches. 

But when consumers took to social media to rave about the product, Popeye’s locations were overrun by customers ordering not one, but multiple chicken sandwiches. According to Business Insider, most restaurants were understaffed at the time and the workers were overwhelmed. One employee reportedly quit in the middle of a shift.

Industry sources report that Popeye’s traffic increased 100 percent during the month of August. When the company recently reported its third-quarter earnings, it said same-store sales increased by nearly 10 percent.

“This has been the biggest launch in the history of Popeyes, if not QSR,” Popeyes America’s President Felipe Athayde previously told Yahoo Finance in an interview. “It’s going to be a cultural phenomenon. We just launched the iPhone of chicken sandwiches.”

Just a sandwich?

What’s behind the craze? After all, it’s just a sandwich. According to Reader’s Digest, the sandwich starts with “perfect buns” and adds a special sauce on top of a fried chicken filet that many consumers describe as juicer than the chicken offered at rival Chick Fil A.

Indeed, the competition with Chick Fil A may have something to do with the hype surrounding the so-called “chicken sandwich wars.” Chick Fil A has been wildly popular for years, and Popeye’s undoubtedly sees its chicken sandwich as a way to score points with consumers and grab some market share. 

The two companies traded jabs on social media during those hectic two weeks in August. The fact that Popeye's sandwich returns on a Sunday may be no accident since Chick Fil A famously closes its stores on that day.

Will the competition remain as heated now that the Popeye’s sandwich is returning, or will it become a victim of the internet’s short attention span? We’ll soon find out.

As the stock market reaches new highs, Bitcoin has mustered an impressive rally, rising 25 percent since last week. 

On Friday, the digital currency traded at close to $7,500. By Monday, it surged past the $9,300 mark after briefly topping $10,000 over the weekend. It’s far from the high for the year -- Bitcoin hit $12,000 back during the summer.

And therein lies the attraction -- and the danger -- of Bitcoin. It is extremely volatile and can make investors rich very quickly and poor just as fast.

Analysts suggest this latest rally has to do with growing optimism that the currency will be exposed to new markets in the months ahead. Over the weekend Chinese President Xi Jinping said China should “seize the opportunity” to adopt blockchain, which sent the message that bitcoin could gain a stronger foothold in the world’s most populous country. 

Also last week, Facebook CEO Mark Zuckerberg alluded to the same thing. In an appearance before a hostile House committee, Zuckerberg defended Facebook’s proposed Libra venture, saying if Facebook didn’t do it China probably would.

None of this means China is poised to back the digital currency. In fact, the government has not encouraged its use. For China, investing in blockchain might have other uses, motives, and objectives.

Other uses for blockchain technology

In his speech, Xi praised blockchain as a way to enhance a number of industries, such as finance, health care, and education. Bitcoin uses blockchain as a way to maintain a record of financial transactions but the technology has other applications.

To date, China has viewed cryptocurrency with much the same skepticism Congress has shown toward Facebook’s Libra project. Governments fear the possibility of systemic risk they don’t control, as well as untraceable financial transactions.

However, in recent months, China’s People’s Bank of China has reportedly been researching the possibility of launching its own digital currency. The bank’s efforts reportedly increased after Facebook rolled out its Libra project.

A new study conducted by the American Academy of Pediatrics found that children who experience traumatic events, known as adverse childhood experiences (ACEs), are more likely to either get bullied or bully others. 

While this can be challenging to deal with when children are younger, the researchers also found that having a supportive family unit that can help reduce this bullying risk. 

“Bullying is a widespread problem, especially among children experiencing other forms of trauma,” said researcher Elizabeth Li. “It can lead to mental health problems later on, affecting those who are bullied, those who do the bullying, and those witnessing it.” 

Family resilience helps counter bullying

To get a better understanding of ACEs and how bullying can manifest in young children, the researchers looked at responses from the National Survey of Children’s Health. 

Analyzing responses from the 2016-2017 iteration of the survey, the researchers were able to assess parents’ response to their child’s home life, school atmosphere, physical and mental health, and participants’ relationship with health care. 

The researchers learned that while traumatic events during childhood can increase the likelihood of getting bullied or bullying others, they also determined that home and family life can be a big indicator of how children handle adversity after trauma, which the researchers classify as “family resilience.” 

Family resilience has four primary components, which are most effective in helping children overcome traumatic moments when used in combination with each other: 

• Reminding children to stay hopeful, despite difficult times; 

• Solving problems together by reinforcing that children aren’t alone in their struggles; 

• Having children call on their strengths by naming them and reminding them to always remember them during hard times; and 

• Keeping an open conversation with children about what to do. 

When parents incorporated these components into children’s daily lives, they effectively reduced the likelihood that their children bullied others. With these things in mind, it’s important for parents to remember how their actions and comments can affect children and just how influential they can be in their kids’ attitudes, beliefs, and behaviors. 

“Parents should be aware of how they handle adversity and consider both the direct and indirect impact these events may have on their children,” said researcher Dr. Andrew Adesman. 

“Maybe I shouldn’t have bought a triple grande latte with soy milk every day, or all those new shoes, or that electric car I can’t seem to find a charging station for, or…”

New warning signs are popping up for millennials which suggest that they’ve got some serious savings work to do if they want to retire by age 65.

While their baby boomer parents were able to prepare for the future by setting aside 15-20 percent of their paychecks, millennials are going to have to almost triple that in order to get it done in the next 30 years, says Olivia S. Mitchell, executive director of Wharton’s Pension Research Council at the University of Pennsylvania.

“The mantra for the future – Millenials and the rest – is ‘Work Longer, Save More, and Expect Less,’” Mitchell told ConsumerAffairs. 

Mitchell’s not alone in this forecast. “Although they have frequently been labeled as materialistic, spoiled and saddled with a sense of entitlement, many millennials feel that they will not be able to achieve material goals like finding their dream job, buying a house or retiring until much later in their lives than their parents did,” said certified financial planner Mark P. Cussen. 

Unfortunately, millennials are facing a big, fat “if.” They’re looking at an economic tunnel where there are no lights on -- green or red -- and they face the most uncertain economic future of perhaps any generation in America since the Great Depression.

“Paying off student loan debt has become increasingly difficult for many who are struggling with unemployment and low-paying jobs,” said Cussen. “The recession left over 15 percent of Millennials in their early 20s out of work, many of whom are still struggling to get their feet on the ground. This will hurt them long after they do get work. Economic studies of those who were unemployed during the recession in the early 1980s revealed that they were still behind schedule financially 20 years later.”

Doing the math

Let’s say you’re age 40, live in Atlanta, and earn $35,592 a year -- the average according to the Bureau of Labor Statistics. After taxes, your annual take-home pay will be $28,583 or $2,382 a month.

Now, taking that $2,382 a month and investing half of that -- $1,191 -- expecting the low end of Vanguard’s estimated 3.5 percent rate-of-return -- comes out to $571,636.41 as the end result after 30 years of saving.

Mind you, the remaining $1,191 out of the paycheck will need to pay for your rent, mortgage, car payment, insurance, etc. For many millennials, that may be a stretch thanks to their list of “wannas” -- the sorts of things that aren’t necessary and avoidable.

″$4 coffee. Incredibly stupid,” Shark Tank’s Kevil O’Leary told CNBC at the World Government Summit earlier this year. “Look, I know I’m going to get hate mail from all the coffee brands, but coffee costs 18 cents to make yourself. Until you have savings and have paid off your college debt, do not buy a $4 coffee, I forbid you.”

Saving money and investing in the future

As is his nature, O’Leary didn’t stop with that cup ‘o joe, either. Shoes were next on his list of extravagances -- a particular problem for female millennials who spend an average of $25,000 on footwear over the course of their life. 

“You don’t need more than four pairs of shoes,” said O’Leary. “You need flip flops, something to work out in, and two pairs of dress shoes — everything else, you’re an idiot if you’re buying more shoes. Because you’ll never wear them, and they’ll be sitting there for years.”

O’Leary also took jeans to the woodshed. “I forbid buying any more than three pairs of jeans. That’s it.”

While O’Leary is tackling the millennials save-for-tomorrow plan differently than Mitchell, he thinks a saver can tack on an extra 10 percent abiding by his rules. 

“Then you invest that and the market gives you 7 percent a year,” he added. “The average salary in America is $58,000, you save 10 percent a year, you have $1.25 million in the bank when you’re 65.”

E-cigarettes have dominated the headlines recently, as more and more consumers are being diagnosed with vaping-related illnesses that healthcare professionals have been struggling to get to the root of. 

Health experts have pointed to additives in electronic cigarettes that can cause any number of health issues, and the sale of flavored e-cigarettes has been halted. However, the vaping death toll only continues to rise, and many young consumers continue to use e-cigarette devices.

Now, a new study conducted by researchers from the University of Southern California discovered that teens are more likely to stick to their vaping habits because of flavored e-cigarettes. 

“While many children try e-cigarettes, not all become regular users,” said researcher Adam Leventhal. “Teens who use e-cigarettes may be more inclined to continue vaping rather than just temporarily experiment with e-cigs. Whether or not children continue vaping is important -- the longer and more frequently you vape, the more you’re exposing yourself to toxins in e-cigarette aerosol and put yourself at risk of nicotine addiction.” 

How flavors play a role

The researchers created a survey to gauge teens’ vaping habits. They surveyed nearly 500 tenth graders every six months through their senior years of high school to see what changes -- if any -- took place over that time span. 

While a large majority of the students reported vaping at some point over the course of the study, the fruity or candy flavored e-cigarettes proved to be more popular and were often successful at getting students to stick with the habit long-term. While under 43 percent of students who vaped with the regular tobacco flavor continued the habit for an additional six months, over 64 percent of vapers who opted for sweeter flavors did the same. 

Overall, the researchers learned that 90 percent of the students had taken advantage of the wide variety of flavors available for e-cigarettes, and doing so often upped their typical day-to-day vaping habits. 

Federal regulation needed

As e-cigarettes remain unregulated by the government, the researchers are calling for federal intervention in an effort to keep young people healthy and reduce overall e-cigarette usage. 

“Regulations that reduce youth exposure to flavored e-cigarettes may aid in preventing young people who try e-cigarettes from becoming long-term e-cig users, and also from inhaling more aerosol into their lungs,” said Leventhal. “Regulations like these could also encourage the millions of U.S. adolescents who already use e-cigarettes to quit vaping, especially if they can no longer access e-cigs in the flavors they like.” 

Members of the United Auto Workers (UAW) union reached an agreement with General Motors on Friday, putting an end to a strike that idled vehicle production for 40 days. The organization now says it will use the GM deal as a template for negotiations with Ford Motor and Fiat Chrysler, CNBC reports. 

The new four-year deal includes a mix of wage increases and one-time bonuses, as well as a shorter path for temporary employees to achieve permanent positions. It also involves the shuttering of four U.S. facilities. 

The deal is expected to add around $350 million in annual labor costs by the end of the contract. Because Ford and Fiat Chrysler will likely have a harder time dealing with such a steep increase, the two automakers are expected to push to lower costs elsewhere. 

"Ford and Chrysler are going to think this is a little expensive," Arthur Schwartz, president of Labor and Economics Associates in Ann Arbor and the former general director of labor relations at GM told The Detroit News. "But the UAW's been known to adjust."

Analysts say Fiat -- which has more temporary workers than Ford -- may “push back on GM’s commitment to ensure all ‘in-progression’ workers achieve top pay in the next four years instead of eight,” according to CNBC. Meanwhile, Ford is expected to push to resolve issues related to health care costs, among other things. 

“We can confirm the UAW today notified Ford it plans to negotiate with us next,” Ford said in a statement. “As America’s No. 1 producer of vehicles and largest employer of UAW-represented autoworkers, we look forward to reaching a fair agreement that helps Ford enhance its competitiveness and preserve and protect good-paying manufacturing jobs.”

Uber announced on Monday that it’s delving deeper into the financial services sector through the launch of a new division called Uber Money. 

Peter Hazlehurst, who’s heading up the new team, said Uber Money will be dedicated to handling all financial products and technologies designed to support drivers. Initially, the division will focus on expanding Uber’s efforts to give its drivers access to a mobile bank account so they can get paid quickly, track their earnings, and manage their money. 

“Instead of waiting for weekly payments or cashing out through Instant Pay, drivers and couriers will have real-time access to their earnings after every trip through the Uber Debit account,” Hazlehurst wrote in a blog post. 

“With Uber Wallet, earners and spenders will now be able to easily track their earning and spending history, manage and move their money, and discover new Uber financial products all in one place,” the post continued. 

Uber Wallet will start rolling out in the Uber Driver app “in the coming weeks” before being integrated into the Uber and Uber Eats apps. Eventually, Uber may expand the service to include a bank account for riders as well, Hazlehurt said. 

Expanding financial offerings

The ride-hailing giant is currently exploring different ways to achieve profitability while dealing with competition from new ride-sharing firms. By bolstering its financial services offerings, Uber is likely aiming to maintain driver and rider loyalty. 

However, the addition of Uber Money won’t do anything to mitigate the current dispute over whether drivers should be classified as employees rather than independent contractors. Some drivers have lamented the lack of benefits offered to them under their status as a gig worker, but Uber has said it doesn’t believe its drivers should be classified as employees. 

CNBC notes that Uber’s latest payment innovations “highlight the reality that many in the gig economy are struggling to make ends meet.” Hazlehurst told the publication that riders may also one day be offered an account to manage their money. 

“The reality is that the needs of our partners in the U.S. and in Brazil and in Australia and in India mirror in many ways the needs of consumers as well, particularly in the cash-heavy economies,” he said. “And the opportunity that we have is to expand to help all of those people have access to financial services.”

Apple is urging all iPhone 5 owners to update their device to the latest software within the next few days or risk losing core online features, including web browsing, email, and more. 

In full-screen alerts on the devices of affected owners, as well as in a support document on its website, the tech giant advised iPhone 5 owners to update to iOS 10.3.4 before 12AM UTC on November 3 in order to “maintain accurate GPS location and to continue to use functions that rely on correct date and time including App Store, iCloud, email, and web browsing.” 

Apple added that the update requirement stems from a GPS time rollover issue that began affecting GPS-enabled products from other manufacturers on April 6 of this year. 

Users who don’t update their device by the specified date will no longer be able to get over-the-air software updates or use iCloud backup, so they will need to connect to a computer to restore. 

To verify that a device is up to date, users can tap on Settings and then on Software Update. 

Problems reported among new iPhone owners

Apple's warning to iPhone 5 owners comes on the heels of user complaints from those who downloaded the company's iOS 13.1.2 update for their newer iPhone, iPad, and iPod. 

While the software update was supposed to fix a number of issues, users complained of issues ranging from battery drain, call dropping, and web pages shutting down for no apparent reason. 

“This 13.1.2 version is a disaster,” posted one Facebook user. “[It] has ruined the ease of correcting text character by character. Have had to reboot twice to attempt to correct.” Singing to the choir of disgruntled users, another wrote “Apple iOS 13.1.2 downloaded, and I regret it. Very little seems to work right.” 

Users who hadn't yet installed the update were urged to hold off on downloading it, while those who had already downloaded it were left simply to wait for Apple to roll out a fix for the issues.

As new reports continue to reveal the potential environmental threats consumers could face if real change isn’t made, researchers from the Georgia Institute of Technology have conducted a study that predicts what could happen if regulations designed to protect the environment are reversed. 

The researchers focused on the fight against ozone, which is incredibly harmful to consumers’ breathing and overall respiratory health. They found just how difficult it would be to reverse the effects of perpetuated environmental damages if current regulations were rolled back. 

“Ozone can occur hundreds of miles away, so if controls are loosened in one state to save industry money there, a state downstream may have to spend even more to try to meet ozone targets,” said researcher Ted Russell. “You transfer the problem and the costs. Most U.S. cities are already not in attainment, and this will likely make it harder for them to get there.” 

The wide-reaching effects of ozone

The researchers’ study is thorough in identifying the wide range of effects that increased ozone can have on the environment and consumers’ health more generally. The research team says prominent policy decisions are at the core of these negative consequences. 

For starters, they explain how the struggle between government officials to get on the same page about climate change, and implement policy that reflects those attitudes, has the potential to derail positive efforts. Specifically, they point to attempts by the Trump Administration to pass legislation that would make it easier to burn fossil fuels, while also continuing to fight regulations that would reduce the overall ozone production. 

Moreover, governmental incentives to go green -- like opting for solar panels or using more wind-powered energy sources -- are being cut, which can contribute to an increase in pollution while also making it harder for consumers to do their part for the environment. 

“Incentives are being retired like production and investment tax credits, which have been very influential in solar and wind,” said researcher Marilyn Brown. “The Investment Tax Credit gives a 30 percent tax reduction for investments in solar or wind farms or the purchase of solar rooftop panels by homeowners. The Production Tax Credit for utilities reduces tax liabilities by 23 cents for each kilowatt-hour of electricity generated by solar, wind, or other renewable energy sources.” 

The researchers used this information to create a model that predicts how different parts of the world would be affected by rising ozone levels. They project that rising temperatures worldwide and the continued production of fossil fuels will cause ozone levels to continue to rise. The cost of caring for such side effects may also increase, while the overall health of consumers is projected to worsen. 

“Additional ozone is tough to control technologically,” said Russell. “The costs would be very high -- tens of billions of dollars. In the meantime, more people than would die than otherwise would have.” 

When 34-year-old Peter Gunst had a close call with a sophisticated new phishing scam, he was alarmed enough to warn others. In interviews with CBS News and CNN Gunst, the technology lawyer explained how the scam works and why he almost fell for it.

It started with a phone call from someone who claimed to be from the fraud department at Gunst’s bank. She said there had been a series of attempted withdrawals from his account and asked if any were his. When he said they weren’t, the woman asked for his bank ID number and moments later Gunst received a text from his actual bank with a verification code, all of which seemed legitimate. 

But the verification code allowed the scammer to reset Gunst’s password, and when he read it to her over the phone, it gave her access to his bank account. The woman was ready to set the hook and ask Gunst for his four-digit PIN. 

Red flag

That’s when he realized he was dealing with a scammer. Gunst hung up, called his bank’s real fraud department, and placed a freeze on his account.

Gunst had avoided a costly loss to a scammer, but he was one of the lucky ones. The Federal Trade Commission (FTC) reported last week that scam victims are getting younger and their losses are getting bigger.

Adults aged 60 and older were less likely than younger consumers to lose money to scammers, but their losses were bigger when they did . They also were more likely to report losing money to certain types of scams. 

Older consumers were nearly five times more likely to report losing money to tech support scams than younger consumers. They were also more likely to fall for impostor fraud like the grandparent scam, where someone impersonates a friend or family member. Prize, sweepstakes, and lottery scams showed a more than two-fold difference as well.

Phone scams particularly dangerous

Older consumers were also the most likely victims of phone scams, with online scams a close second. But overall, younger consumers were victimized more times in the last 12 months than the older generation.

To avoid becoming a victim of increasingly sophisticated phishing scams, remember that your bank or credit card company will have no need to ask you for confidential information since they already have access to your account.

Someone asking for a PIN or password is clearly an imposter, and the thing to do is immediately hang up and call your bank or credit card company’s fraud department to report the encounter.

The U.S. government’s budget deficit is on a path to reach $1 trillion, according to a statement from the Treasury Department.

The deficit -- a measure of how much more the government spends than it takes in -- reached $984 billion for the fiscal year that ended September 30. That’s an increase of $205 billion over the previous fiscal year.

The Washington Post reports the federal deficit has risen 50 percent since President Trump took office, as Republicans in Congress joined Democrats in voting for large spending increases ranging from the military to social programs. But Treasury Secretary Steven Mnuchin suggests the big spending increases are temporary.

“In order to truly put America on a sustainable financial path, we must enact proposals—like the President’s 2020 budget plan—to cut wasteful and irresponsible spending,” Mnuchin said.

Easier said than done

But that’s easier said than done. There have been many attempts over the years to rein in government spending, such as House Republicans’ effort in 2011 to pass a balanced budget amendment to the Constitution.

In the latter half of the Obama administration, the president appointed a deficit commission to find ways to slow the growth in the government’s debt but little came of it. The deficit was $665 billion in 2017 after peaking at $1.4 trillion in 2009 as the nation was dealing with the financial crisis. The most recent deficit is the largest in seven years.

The deficit adds to the government’s total national debt each year, which is now more than $21 trillion, according to the Government Accountability Office (GAO). The government has been able to finance that debt thanks to extremely low interest rates. Because there is so much demand for U.S. Treasury bonds the yield, or interest rate, is very low.

The threat from deficits

If demand for these bonds were to decline, those interest rates would rise, leading to higher rates throughout the banking system. Economists have warned in the past that rising deficits increase the threat of waning enthusiasm to invest in U.S. debt.

So far that hasn’t happened, but some in the financial industry worry that the ongoing issues in the “repo” market, requiring the Federal Reserve to pump billions of dollars into the overnight lending market to stabilize interest rates, could be the first sign of trouble.

The overnight lending market relies on bond dealers to purchase bonds to provide capital for overnight loans. Starting last month, banks and dealers have been buying fewer of these bonds, requiring the Fed to step in to make up the difference. So far, the Fed has pumped more than $180 billion into the system.

The Commerce Department reports that new home sales fell last month. At first glance, the 0.7 percent sales dip -- the largest monthly decline in five years -- could be taken as yet another sign that the economy is slowing.

While it may be that, the second part of the report is actually encouraging for those consumers who would like to become homeowners but can’t find a house that they can afford. The report shows the median price of new homes sold last month went down, falling below $300,000 for the first time in years.

Robert Frick, corporate economist at Navy Federal Credit Union, says that doesn’t mean builders are cutting prices. It simply means they are building more of the less-expensive homes that first-time buyers can afford.

“Hopefully this shows that builders are working to construct more affordable housing and that median price will continue to drop,” Frick told ConsumerAffairs. “Recent studies show half of prospective home buyers can't afford a home above $300,000, so for the industry to engineer a strong revival it must build more affordably-priced houses.”

Housing shortage

Sales of existing homes also fell in September and dropped at a steeper rate -- 2.2 percent. Lawrence Yun, chief economist at the National Association of Realtors (NAR), has spent the last few years urging the industry to build more entry-level homes.

“We must continue to beat the drum for more inventory,” Yun said last week. “Home prices are rising too rapidly because of the housing shortage, and this lack of inventory is preventing home sales growth potential.”

The shortage of existing homes pushed the median sale price up 5.9 percent in September, to $272,100, a factor that may have contributed to declining sales.

Since the housing market crash of 2009, the construction industry has produced new homes at about half the rate it did before the market collapsed. It has also focused on building more expensive luxury homes, not the kind of house most first-time buyers can afford.

Higher costs

When pressed on the issue, builders have complained about rising costs for materials and labor, as well as more stringent regulations. But location may also be a factor.

Strong Towns, a non-profit focused on community-building, points out that homes in hot markets with lots of high-paying jobs sell for more, and builders in recent years have focused on those areas.

Recent industry surveys show more people are moving out of expensive coastal markets and moving to smaller interior cities where real estate is a lot more affordable. The most recent new home sales report suggests builders may be following them.