Current Events in May 2022

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    T Fresh recalls Yes! enoki mushrooms

    The product may be contaminated with Listeria monocytogenes

    T Fresh Company of City of Industry, Calif., is recalling 7.5 oz-packages of enoki mushrooms grown in China.

    The product may be contaminated with Listeria monocytogenes. No infections or illnesses have been reported.

    The recalled product, which is white and stringy with small caps, was covered under lot #6021053 and UPC barcode 825382736947. It was sold in California and Texas to retail stores through produce distributors.

    What to do

    Customers who purchased the recalled product should not consume it. Instead, they should return it to the place of purchase for a full refund.

    Consumers with questions may contact the company at (626) 968-2088 Monday through Friday from 9 a.m. to 3 p.m. (PST).

    T Fresh Company of City of Industry, Calif., is recalling 7.5 oz-packages of enoki mushrooms grown in China.The product may be contaminated with Lister...

    Monti Kids recalls wooden push toys

    The toy’s rolling cylinder can separate, exposing the balls inside

    Monti Kids of Orinda, Calif., is recalling about 1,375 Monti Kids wooden push toys.

    The toy’s rolling cylinder can separate, exposing the balls inside and posing a choking hazard to children.

    The firm has received 145 reports of the toy’s rolling cylinder separating. No injuries have been reported.

    This recall involves push toys that are included with Level 7 of the Monti Kids program subscription box. The Push Toy consists of a wooden handle attached to a rolling cylinder, which contains wooden balls.

    The lot numbers (0D41 and 1A41) and “Montessori designs, Ethically Made in Vietnam, and ASTM CPSIA Safety Certified” are printed on the underside of the handle, facing the rolling cylinder.

    The toys were sold online at Montikids.com from April 2021, through January 2022, as one item Level 7 of the Monti Kids Program subscription box for about $300.

    What to do

    Consumers should immediately take the recalled toy away from children, dispose of the toy, and contact Monti Kids to receive a $40 refund. The firm is contacting all known purchasers directly.

    Consumers may contact Monti Kids at (800) 674-3845 between 9 a.m. and 5 p.m. (PT) Monday through Friday, by email at customercare@montikids.com, or online for more information.

    Monti Kids of Orinda, Calif., is recalling about 1,375 Monti Kids wooden push toys.The toy’s rolling cylinder can separate, exposing the balls inside a...

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      Officials warn seniors of scams during Older Americans Month

      The FTC and CFPB say to be wary of requests to be paid in cryptocurrency

      Out of all the tricks scammers like to pull -- narratives about a million-dollar prize, a romantic future, or a lucrative business deal -- many are targeted at unsuspecting older Americans. 

      Fleecing consumers of any generation has gotten pretty stealthy. Scammers are well-versed in a number of ways to leverage a payoff from wire transfers, gift cards, and cryptocurrency — all methods that transfer funds anonymously and expeditiously.

      During Older Americans Month, the Consumer Financial Protection Bureau (CFPB) and the Federal Trade Commission (FTC) have joined together to help seniors and their families and friends know what to do if someone requests one of those types of payments. It's also letting victims of scams know what to do and where to report fraud.

      The list of don’ts

      The agencies have three “don’ts” that they think everyone should know about. They are:

      Don’t wire money. Wiring money isn’t something that most people ever do, but it’s almost the same as sending cash to a scammer. Unlike stopping payment on a check, once you wire the money, you usually can’t get it back.

      “Don’t wire money even if someone sends you a check, tells you to deposit it, and wire some of the money back to them,” the agencies said. “That’s a fake check scam, and the bank will want you to repay the money you withdrew and sent.”

      The FBI also warns that there may be a “money mule scam” wrapped up in a request for a wire transfer. Consumers who get involved in that kind of scheme could be involved in moving stolen money.

      Don’t pay with a gift card. Officials are reminding consumers that gift cards should only be used for gifts. If someone asks you to buy a gift card and read off the numbers on the back of the card, you’re essentially giving them control of that money. That means the money you spent to buy the card is gone forever. The agencies also want the public to know that no legitimate business or government agency will ever insist that you pay with a gift card.

      Don’t pay with cryptocurrency. Cryptocurrency is king to some scammers, mainly because there are no legal protections and a victim can’t get their assets back unless the scammer actually gives them back. In fact, it works so well that not too long ago the BBB said it was the second riskiest of all scams.

      “If someone requires you to pay for something with Bitcoin, Ether, or some other type of cryptocurrency, they’re probably a scammer,” the FTC and CFPB said.

      One thing that officials do recommend is reporting any fraud to the FTC. The agency will do what it can to help consumers who have been scammed, but the most important reason to report the fraud is that the information you share can help protect your community from fraud, scams, and bad business practices.

      If you’re contacted by someone telling you to pay or send money using these methods, please tell the FTC about it at ReportFraud.ftc.gov. Americans can learn more about recognizing and avoiding scams that affect older adults from Money Smart for Older Adults and Pass it On.

      Out of all the tricks scammers like to pull -- narratives about a million-dollar prize, a romantic future, or a lucrative business deal -- many are targete...

      Illegal car repossessions and credit report disputes plague consumers, report finds

      CFPB officials have released findings that provide details on recent consumer abuses

      The Consumer Financial Protection Bureau (CFPB) has released its Supervisory Highlights report on legal violations that the agency identified during the second half of 2021. The report details key findings across consumer financial products and services.

      “While most entities act in good faith to follow the law, CFPB examiners are identifying law violations that lead to real harm,” said CFPB Director Rohit Chopra. “We will continue to examine firms to proactively identify and mitigate harmful practices before they become widespread.”

      Supervisory examinations are one way that the CFPB determines whether companies are complying with federal consumer financial laws.

      Unfair vehicle repossessions

      In its most recent report, the CFPB focused on alleged illegal practices in auto loan servicing and consumer credit reporting.

      The agency said its investigators found that some auto loan servicers were engaging in unfair acts or practices by repossessing vehicles, even after consumers took intentional actions to prevent repossessions. According to the report, consumers were almost always taken by surprise when the tow truck arrived to repossess their car or truck.

      When consumers lost vehicles to unfair repossessions, investigators found there were other negative effects. They sometimes incurred fees related to the repossession and almost always received negative marks on their credit reports.

      Investigators traced many repossessions to what they called poor communication. In some cases, consumers were behind on their payments because the loan servicer misled them about the amount they owed after payments were suspended during the pandemic.

      Credit reporting issues

      Credit reporting companies are required to comply with several regulations to help ensure that their reporting is fair and accurate, but CFPB examiners say they found cases where that didn’t happen.

      The Fair Credit Reporting Act specifies that when a person disputes a debt on their credit report, the credit reporting agency must conduct a “reasonable” investigation into the accuracy of the information. But the CFPB’s report highlights instances in which these investigations didn't take place in a timely manner, if they even occurred at all.

      Agency officials expressed the concern that a disputed item on a consumer’s credit report has been used to coerce them into paying money they may not legally owe. In fact, when it comes to medical bills, federal law requires credit reporting agencies to ensure the information is accurate.

      When CFPB examiners find problems negatively affecting consumers, they share their findings with companies to help them correct the situation. For more serious violations or when companies fail to correct violations, the CFPB opens investigations for potential enforcement actions.

      The Consumer Financial Protection Bureau (CFPB) has released its Supervisory Highlights report on legal violations that the agency identified during the se...

      Nearly two-thirds of Americans live paycheck to paycheck, study shows

      Personal finance experts offer some advice for getting spending under control

      If you break into a cold sweat at the end of each month, hoping you have enough in your checking account to get to the next payday, you are not alone. A new study from LendingClub Corporation found that nearly two-thirds of the U.S. population lives paycheck to paycheck.

      The authors describe living paycheck to paycheck as “the dominant way people manage their cash flow” in the U.S. The practice is common among all income groups.

      By its very definition, living paycheck to paycheck means you aren’t putting any money in savings or building an investment portfolio. As long as they pay their bills on time, these consumers remain creditworthy, but it just takes one unexpected car or home repair bill to change that.

      The problem with debt

      Jay Zigmont, a certified financial planner (CFP) and founder of Live, Learn, Plan, says many people find themselves in a paycheck to paycheck pattern after they run up large credit card balances.

      “The challenge for many people who live paycheck to paycheck is that they are spending too much and are stuck in the debt cycle,” Zigmont told ConsumerAffairs. “Debt steals from your future and it is never more obvious than when you are living paycheck to paycheck. Debt is used to 'make it through' week to week, but each time you use it the result is the next week is harder.”

      Clark Howard, personal finance author and host of the Clark Howard Podcast, says most people living from payday to payday choose to live that way. They could probably save if they wanted to.

      “Never was there more clear proof than two years ago when a lot of places in the country were on lockdown,” Howard told us. “The savings rate in the U.S. went to historical levels and people were saving $1 for every $3 they made. Spending dropped like a rock and people paid down debt.”

      That’s because movie theaters and restaurants were closed and people weren’t taking trips. For a while, they weren’t even commuting to the office and spending money on gas and lunches.

      Back to pre-pandemic spending

      The savings rate is now back down to pre-pandemic levels, and debt is increasing. Beyond increasing financial security, Howard says saving money provides a “cushion” in life that can give people greater flexibility.

      “People can choose to live their own lives however they please, but the goal is to have more choice and more freedom in life,” Howard said.

      Both Howard and Zigmont have advice for people who would like to put a little money away each month. Both say it starts with cutting back on debt.

      “Lock your credit cards and stop taking out any new loans,” Zigmont said. “When you don't have debt as an option, you are required to live within your means.”

      “I advise that people should take a time out and try to get spending, borrowing, and saving all going in the right direction again,” Howard said. “If you are feeling the stress of the bills and feel out of control, create a budget. It's not about obsessing over a spreadsheet. It's about assessing where you are with the money you have coming in, the expenses going out, and thinking through the spending.”

      If you break into a cold sweat at the end of each month, hoping you have enough in your checking account to get to the next payday, you are not alone. A ne...

      SEC goes on hiring spree to bolster cryptocurrency fraud division

      The agency vows to protect investors to the best of its ability

      The Securities and Exchange Commission (SEC) announced on Tuesday that it is going on a hiring spree for its unit tasked with protecting investors in cryptocurrency markets and from cyber-related threats. The newly renamed Crypto Assets and Cyber Unit will add 20 new hires, growing the Unit to 50 dedicated positions.

      "The U.S. has the greatest capital markets because investors have faith in them, and as more investors access the crypto markets, it is increasingly important to dedicate more resources to protecting them," said SEC Chair Gary Gensler.

      "The Division of Enforcement’s Crypto Assets and Cyber Unit has successfully brought dozens of cases against those seeking to take advantage of investors in crypto markets. By nearly doubling the size of this key unit, the SEC will be better equipped to police wrongdoing in the crypto markets while continuing to identify disclosure and controls issues with respect to cybersecurity."

      A heightened focus

      Ever since the SEC formed the unit five years ago, its efforts have resulted in more than 80 enforcement actions related to fraud and unregistered asset offerings on platforms in the cryptocurrency world. Those actions have protected consumers and resulted in monetary relief of more than $2 billion. With the unit's expansion, the agency said it will continue to focus on investigating violations related to:

      • Crypto asset offerings;

      • Crypto asset exchanges (aka digital asset trading platforms);

      • Crypto asset lending and staking products;

      • Decentralized finance ("DeFi") platforms;

      • Non-fungible tokens ("NFTs"); and

      • Stablecoins, a digital currency tied to the U.S. dollar to minimize volatility.

      According to a report by Cornerstone, the SEC has brought forward a total of 97 enforcement actions since its founding in 2013 through December 31, 2021. Going forward, the public can expect that number to grow as the group continues to tackle widespread cyber-related threats to the nation’s markets.

      "Crypto markets have exploded in recent years, with retail investors bearing the brunt of abuses in this space. Meanwhile, cyber-related threats continue to pose existential risks to our financial markets and participants," said Gurbir S. Grewal, Director of the SEC’s Division of Enforcement. "The bolstered Crypto Assets and Cyber Unit will be at the forefront of protecting investors and ensuring fair and orderly markets in the face of these critical challenges."

      The Securities and Exchange Commission (SEC) announced on Tuesday that it is going on a hiring spree for its unit tasked with protecting investors in crypt...

      Cutting down on sedentary time may lower risk of heart disease and diabetes, study finds

      Experts say being more active can help consumers’ long-term health outcomes

      A new study conducted by researchers from the University of Turku explored how consumers can work to lower their risk of serious health conditions. According to their findings, replacing at least one hour per day of sitting with physical activity can help lower the risk of heart disease and type 2 diabetes. 

      “It’s an encouraging thought that health benefits can be achieved by reducing the time spent sitting and increasing the amount of even light-intensity physical activity,” said researcher Taru Garthwaite. “For many, this may be an easier starting point than increasing actual exercise.” 

      Benefits of staying active

      The researchers had 64 middle-aged adults who were mostly sedentary and had metabolic syndrome participate in the study. While one group carried on with their usual routines, the other group was instructed to swap one sedentary hour of their days with more standing and light-intensity physical activity. The participants kept this up for three months and wore accelerometers to accurately measure their sedentary time, standing time, and active time. They also gave blood samples at the start and end of the study. 

      “What makes our research design unique is that sedentary time and physical activity of both groups were measured with accelerometers throughout the entire three-month period, whereas in earlier studies activity has typically been measured only for a few days at the beginning and end of the study period,” Garthwaite said. “This makes it possible to receive more information on the actual behavior changes over a longer time period.” 

      The researchers learned that swapping sedentary time for standing or active time was beneficial for the participants’ long-term health. The study showed that the participants in the activity group had lowered their total sitting time by about 50 minutes each day, and they were successful at being more active. 

      This, in turn, improved their health in several key areas. The team reported improvements in insulin sensitivity, blood sugar regulation, and overall liver health. Because these participants had metabolic syndrome, they already had a higher risk for several health conditions, including cardiovascular disease and diabetes. Based on these findings, being more active and sitting less during the day can be effective at improving consumers’ health. 

      While these findings are an important step in the right direction, the researchers hope consumers know that living a healthy lifestyle is key to improving long-term health outcomes. 

      “Reducing the time spent sitting might still slow down the development of these diseases, but greater benefits can of course be gained by increasing the amount or intensity of physical activity in addition to sitting less,” Garthwaite said. 

      A new study conducted by researchers from the University of Turku explored how consumers can work to lower their risk of serious health conditions. Accordi...

      Mental health struggles during pregnancy affects toddlers' development, study finds

      The researchers hope their work helps identify at-risk kids

      A new study conducted by researchers from Children’s National Hospital explored how women’s mental health during pregnancy may impact their children’s development. According to their findings, women who struggle with anxiety, depression, or high levels of stress during pregnancy may be more likely to have toddlers who struggle with cognitive development. 

      “By identifying the pregnant women with elevated levels of psychological distress, clinicians could recognize those babies who are at risk for later neurodevelopmental impairment and might benefit from early, targeted interventions,” said researcher Catherine Limperopoulous, Ph.D. 

      How mental health impacts children’s cognition

      For the study, the researchers analyzed data from healthy mothers and infants involved in a cohort study from January 2016, to October 2020, at Children’s National Hospital. The mothers completed questionnaires that assessed their mental health during pregnancy. Their babies had MRI scans and then underwent a cognitive assessment at 18 months old. 

      Ultimately, the researchers identified a link between mental health struggles during pregnancy and toddlers’ cognitive development. Mothers who had stress, anxiety, or depression while pregnant were more likely to have toddlers with poorer cognitive skills. 

      The researchers observed this effect on the infants’ brain scans while they were still in the womb. They noticed that the infants struggling with cognitive development were more likely to have a smaller left hippocampus region of their brains. The team attributes this to exposure to maternal stress while in the womb. 

      They explained that this is likely to have an effect on toddlers’ ability to establish relationships as they continue to grow and develop. This may hinder their social-emotional skills long-term. 

      Because of how strongly stress can affect pregnant women and their babies, the researchers hope these findings continue to highlight the importance of consumers taking care of their mental health. 

      “We’re looking at shifting the health care paradigm and adopting these changes more broadly to better support moms,” said Dr. Limperopoulos. “What’s clear is early interventions could help moms reduce their stress, which can positively impact their symptoms and thereby their baby long after birth.” 

      A new study conducted by researchers from Children’s National Hospital explored how women’s mental health during pregnancy may impact their children’s deve...

      Tennessee Brown Bag recalls beef jerky

      The products did not undergo USDA inspection

      Tennessee Brown Bag of Hixson, Tenn., is recalling approximately 4,590 pounds of beef jerky.

      The products did not undergo USDA inspection. There have been no confirmed reports of adverse reactions

      The following ready-to-eat items, produced from January 2020, through April 2022, are being recalled:

      • 3.0 oz. and 1.5 oz. brown zippered packages containing "TENNESSEE BROWN BAG ORIGINAL" and "Best by" dates through April 2023.
      • 3.0 oz. and 1.5 oz. brown zippered packages containing "TENNESSEE BROWN BAG PEPPERED" with "Best by" dates through April 2023.
      • 3.0 oz. and 1.5 oz. brown zippered packages containing "TENNESSEE BROWN BAG Spicy" with "Best by" dates through April 2023.
      • 3.0 oz. and 1.5 oz. brown zippered packages containing "TENNESSEE BROWN BAG TERIYAKI" with "Best by" dates through April 2023.
      • 3.0 oz. and 1.5 oz. brown zippered packages containing "TENNESSEE BROWN BAG HOTIYAKI SWEET HEAT" with "Best by" dates through April 2023.
      • 3.0 oz. and 1.5 oz. brown zippered packages containing "TENNESSEE BROWN BAG DILL PICKLE" with "Best by" dates through April 2023.
      • 3.0 oz. and 1.5 oz. brown zippered packages containing "TENNESSEE BROWN BAG JALEPENO DILL" with "Best by" dates through April 2023.

      The recalled products do not bear the USDA mark of inspection because Tennessee Brown Bag is not a federally inspected establishment.

      The seven beef jerky varieties were sold directly to consumers nationwide through websites and through retail locations in Alabama, Georgia, South Carolina, Tennessee, and Virginia.

      What to do

      Customers who purchased the recalled products should not consume them. Instead, they should discard or return them to the place of purchase.

      Consumers may contact Tennessee Brown Bag at (833) 862-7696, ext. 701, or by email at tnbrownbag@gmail.com.

      Tennessee Brown Bag of Hixson, Tenn., is recalling approximately 4,590 pounds of beef jerky.The products did not undergo USDA inspection. There have be...

      Several factors are driving diesel fuel prices to record highs

      More than gasoline, higher diesel fuel costs are fueling inflation

      Motorists have kept an eye on rapidly rising gasoline prices over the last couple of months, but they may not have paid much attention to the price of diesel fuel, which has soared to a record high.

      But even if you aren’t filling your tank with diesel fuel, the nation’s truckers are. That means rising fuel costs are adding to inflation since higher costs for truckers make it more expensive to deliver products.

      According to AAA, the national average price of diesel fuel is $5.32 a gallon, a 25 cents per gallon increase in the last week. One year ago, the average diesel price was $3.09.

      While the price change may seem sudden, Benjamin Dierker, director of public policy at Alliance for Innovation and Infrastructure, says economic forces affecting the price have been gathering for some time.

      “Obviously, federal limitations on exploration and production and a ban on Russian imports – diesel in particular – are adding pressure right now, but domestic distillate inventories have been falling since 2020,” Dierker told ConsumerAffairs.

      Other government policies

      Other government policies have also contributed to the price spike. Dierker says environmental and climate policies have forced some refineries to close. Since the distillate inventory is separate from gasoline, lower supply for the same or higher demand is pushing prices for diesel up faster relative to the gasoline market.

      “It's also important to note that gasoline and diesel are different markets,” Dierker said. “The price is determined the same way, through supply and demand, depending on crude production, refining capacity, inventory, and demand. But refineries also respond to market signals to determine whether to produce more gasoline or distillates.”

      Kunal Sawhney, CEO of Kalkine Group, agrees that the problem with diesel fuel is multi-fold.

      "First, there have been persistent supply issues due to low inventories," Sawhney told us. "Second, the demand has picked up over the past some months after countries have progressed from COVID-induced lockdowns. This is a double whammy." 

      Right now, diesel fuel supplies are down and truckers feeding the supply chain are adding to demand. With COVID-19 cases in retreat in the U.S., more Americans are traveling again. The airlines are busy and using more jet fuel.

      According to the Department of Energy’s Energy Information Administration (EIA), retail gasoline prices have risen 26% since the start of the year. During that same period, the price of diesel fuel has risen by 42.8%. 

      Motorists have kept an eye on rapidly rising gasoline prices over the last couple of months, but they may not have paid much attention to the price of dies...

      Coronavirus update: Groups with highest severe COVID-19 risk identified

      Pfizer says there are limits to its drug Paxlovid

      COVID-19 ‌tally‌ ‌as‌ ‌‌compiled‌‌ ‌by‌ ‌Johns‌ ‌Hopkins‌ ‌University.‌ ‌(Previous‌ ‌numbers‌ ‌in‌ ‌parentheses.)‌

      Total‌ ‌U.S.‌ ‌confirmed‌ ‌cases:‌ 81,382,356 (81,349,665)

      Total‌ ‌U.S.‌ ‌deaths:‌ 993,767 (993,312)

      Total‌ ‌global‌ ‌cases:‌ 514,943,304 (514,497,665)

      Total ‌global‌ ‌deaths:‌ 6,236,985 (6,235,580)‌

      Study identifies groups most at risk from severe COVID-19

      A study involving 2.3 million adults, published in the journal Nature Communications, has identified groups of people who may be the most vulnerable to severe symptoms of COVID-19.

      In the largest study of its kind, researchers at Imperial College London identified several factors that increase the risk of hospitalization and death from the virus. Those groups are older people, males, and people from Asian and Black ethnic backgrounds.

      Among those groups, the people at the highest risk of severe illness and death from COVID-19 were those with long-term conditions, including learning disabilities and mental illness.

      Paxlovid more effective at treating than preventing COVID-19

      While there are high hopes for Pfizer’s antiviral drug Paxlovid, the drugmaker says recent trials show that there are limits. While the drug is an effective treatment for mild to moderate symptoms, Pfizer says it’s less effective at preventing infection.

      In the trial, compared to a placebo, Pfizer observed risk reductions of 32% and 37% in adults who received Paxlovid for five and ten days, respectively, to prevent infection. But the company said those results were not statistically significant. As such, the company stated that the primary endpoint of reducing the risk of confirmed and symptomatic COVID-19 infection in adults who had been exposed to the virus through a household contact was not met. 

      “While we are disappointed in the outcome of this particular study, these results do not impact the strong efficacy and safety data we’ve observed in our earlier trial for the treatment of COVID-19 patients at high risk of developing severe illness, and we are pleased to see the growing global use of PAXLOVID in that population,” said Pfizer CEO Albert Bourla.

      Inflammation may cause loss of sense of smell, study finds

      Some people infected with COVID-19 lose their sense of smell while others don’t. Scientists are trying to determine why that is.

      New research conducted at Johns Hopkins University suggests that there is a fairly simple reason. They have concluded that inflammation caused by the virus, not the virus itself, is responsible for sensory loss.

      The condition is known in medical circles as anosmia. The loss of smell is a frequent and often long-term symptom associated with COVID-19 that can severely burden a person’s quality of life, making it extremely difficult to taste foods, detect airborne hazards in the environment, and carry out other functions.

      Around the nation

      • New York: The masks are back on in wide areas of New York State. The Centers for Disease Control and Prevention (CDC) has classified 37 New York counties as areas of moderate to high transmission of COVID-19, the most of any state.

      • Colorado: The number of people hospitalized for COVID-19 treatment continues to go down, but health officials say there has been a change in which people get severely ill. The Colorado Department of Public Health reports that 57% of hospital patients have been vaccinated, while only 43% are unvaccinated.

      • Florida: Thanks to the fast-spreading BA.2 subvariant, cases of COVID-19 are rising again in Florida. However, one important number is going down. The number of patients admitted to intensive care units (ICU) as a result of the virus fell to 88 last week, the lowest amount since the beginning of the pandemic.

      • Connecticut: State health officials reported a sharp rise in new cases of COVID-19 last week. They say the rate of positive tests jumped to nearly 10%. Despite the sudden rise in cases, hospitalizations remain fairly low, suggesting many of the new cases are less severe.

      • Tennessee: Gov. Bill Lee refused to sign a new law passed by the state legislature that gives “acquired immunity” from a previous COVID-19 infection the same status as a vaccination. The measure became law without the governor’s signature, requiring governments and businesses to treat immunity from a previous COVID-19 infection as equal to getting vaccinated. 

      COVID-19 ‌tally‌ ‌as‌ ‌‌compiled‌‌ ‌by‌ ‌Johns‌ ‌Hopkins‌ ‌University.‌ ‌(Previous‌ ‌numbers‌ ‌in‌ ‌parentheses.)‌Total‌ ‌U.S.‌ ‌confirmed‌ ‌cases:‌ 81...

      Self-directed investors express frustration with online trading platforms

      The drop in satisfaction coincides with the market’s recent losses

      April was the cruelest month for Wall Street, as stocks plunged day after day and wiped out much of the huge gains earned during the previous two years. Not surprisingly, many investors aren't very happy.

      But J.D. Power reports self-directed investors using online trading platforms may be the least satisfied of all. It reports that investors who opened accounts for the first time at the start of the pandemic have reported “significantly more problems” with their accounts and lower levels of customer satisfaction.

      Robinhood attracted a legion of new investors in 2020 who traded stock advice on forums like Reddit and bid up the price of beaten-down stocks like AMC and Gamestop. But fortunes began to change in late 2021. When it reported first-quarter earnings last week, Robinhood said revenues were down and there were fewer active users.

      Bob, of Port Jefferson Station, N.Y., is a Robinhood user who expresses frustration with the platform’s system.

      "They will take your money without asking for anything except your bank account but when you try to buy stock or to get your money out they will require all sorts of verification and proof including govt. photo ID," Bob wrote in a ConsumerAffairs review.

      ‘Heightened expectations’

      “Pandemic-era investors who entered the financial markets during a real gold rush period of heightened expectations, significant disruption, and extreme volatility represent a unique set of challenges for retail brokerage firms,” said Michael Foy, senior director and head of wealth intelligence at J.D. Power. 

      A wave of retail investors entered the market in mid-2020. They opened about 25 million new accounts and helped drive stock prices higher after a huge drop at the start of the pandemic.

      Foy said these new investors tended to be young, less financially secure, and more apt to experience problems that are not currently being addressed effectively by their brokerage firms. 

      “Right now, most firms are missing the mark when it comes to delivering the level of tailored customer experience that will help them convert this next generation of investors into loyal and profitable clients,” Foy said.

      Satisfied investors

      But not all self-directed investors are unhappy. Sheila, of Hattiesburg, Miss., says she is a longtime trader using TD Ameritrade and is satisfied enough to give the firm a 5-star rating at ConsumerAffairs.

      “The website is user-friendly,” she told us. “The support is always immediate no matter how they are contacted. The agents are knowledgeable and friendly. The trades could not possibly go more smoothly.” 

      In J.D. Power’s survey, T.Rowe Price has the most satisfied users. Vanguard ranks second, and Charles Schwab ranks third.

      April was the cruelest month for Wall Street, as stocks plunged day after day and wiped out much of the huge gains earned during the previous two years. No...

      Spirit Airlines rejects merger offer made by JetBlue

      Spirit’s board of directors expressed concern over legal hurdles

      Back in February, Spirit Airlines announced that it would be merging with Frontier Airlines to create a larger, combined carrier. However, JetBlue recently made an offer for Spirit to break up that previous deal and merge with it instead.

      Unfortunately for JetBlue, it seems that Spirit is staying with the deal it originally cut with Frontier Airlines. After consulting with outside financial and legal advisors, Spirit officials announced Monday that the company's board of directors unanimously determined that JetBlue’s “unsolicited proposal” did not constitute a 'Superior Proposal' as defined in Spirit's merger agreement with Frontier. 

      “The Board continues to believe that the pending transaction with Frontier represents the best opportunity to maximize value and recommends that Spirit shareholders adopt the merger agreement with Frontier,” the announcement read. 

      Potential legal issues

      It wasn’t that becoming part of the JetBlue family didn’t have upside potential -- like "creating the most compelling national low-fare challenger to the U.S. major airlines" -- but changing partners in the middle of Spirit’s walk down the aisle with Frontier apparently raised legal concerns. 

      “After a thorough review and extensive dialogue with JetBlue, the Board determined that the JetBlue proposal involves an unacceptable level of closing risk that would be assumed by Spirit stockholders,” said Mac Gardner, Chairman of Board of Directors for Spirit Airlines.

      The board stated that the JetBlue-Spirit combination has a “low probability of receiving antitrust clearance so long as JetBlue's Northeast Alliance with American Airlines remains in existence.” 

      The U.S. Department of Justice has sued to block that very alliance, alleging that it "will not only eliminate important competition in [Boston and New York City], but will also harm air travelers across the country by significantly diminishing JetBlue's incentive to compete with American elsewhere, further consolidating an already highly concentrated industry."

      Back in February, Spirit Airlines announced that it would be merging with Frontier Airlines to create a larger, combined carrier. However, JetBlue recently...

      Older and middle-aged consumers should strive for seven hours of sleep, experts say

      Experts say getting too much or too little sleep can negatively affect mental health

      Getting the right amount of sleep each night is something many consumers struggle with. Now, researchers from the University of Cambridge explored what we should be aiming for in terms of healthy sleep

      According to their findings, older and middle-aged consumers should be trying for seven hours of sleep each night. This is especially important when thinking about long-term cognitive and mental health. 

      “While we can’t say conclusively that too little or too much sleep causes cognitive problems, our analysis looking at individuals over a longer period of time appears to support this idea,” said researcher Jianfeng Feng. “But the reasons why older people have poorer sleep appear to be complex, influenced by a combination of our genetic makeup and the structure of our brains.” 

      Healthy sleep impacts cognitive and mental health

      For the study, the researchers analyzed data from nearly 500,000 people between the ages of 38 and 73 who were part of the U.K. Biobank. Participants completed several cognitive assessments and answered questions about their mental health, well-being, and general sleeping patterns. 

      Ultimately, the team learned that there is a sweet spot when it comes to sleep. Based on this study, getting seven hours of sleep each night was found to be the best for the participants in terms of cognitive and mental health. 

      Participants who slept too much and those who didn’t sleep enough had a higher risk for cognitive deficiencies and mental health struggles. They experienced difficulties with problem-solving, processing speed, visual attention, and general memory abilities. They were also more likely to struggle with overall well-being and report more symptoms related to anxiety and depression. 

      Participants who were able to average seven hours of sleep each night had better cognitive and mental health outcomes. This healthy and consistent sleep routine helped improve overall well-being and was linked with better cognitive function and mental health.

      The team explained that skipping or disrupting the deep sleep phase could explain this link between sleep and cognitive function. Without this phase of the sleep cycle, the brain may have a harder time releasing toxins. It could also cause a build-up of the amyloid protein, which is linked with several types of dementia. 

      “Getting a good night’s sleep is important at all stages of life, but particularly as we age,” said researcher Barbara Sahakian. “Finding ways to improve sleep for older people could be crucial to helping them maintain good mental health and well-being and avoiding cognitive decline, particularly for patients with psychiatric disorders and dementias.” 

      Getting the right amount of sleep each night is something many consumers struggle with. Now, researchers from the University of Cambridge explored what we...

      Certain types of new doctors have higher risk for depression, study finds

      The stress and intensity of the profession may make the condition more common

      A new study conducted by researchers from Michigan Medicine explored mental health struggles among professionals in the medical community.

      According to their findings, certain types of first-year doctors – surgical residents and members of sexual minorities – may have a higher risk of developing depression. The report pulled data from two recent studies, both from teams at the University of Michigan, that explored medical professionals’ mental health struggles. 

      Surgical interns have higher depression risk

      The first study looked at first-year surgical interns. The researchers analyzed data from 12,400 interns involved in the Intern Health Study between 2016 and 2020. Interns were surveyed about their mental health at the start of their training and then at several points throughout their journeys. 

      While the surgical interns started their programs with lower average rates of depression than other medical professionals, this trend didn’t last long. Even for those with no mental health struggles at the start of intern training, depression symptoms popped up in more than 30% of the surgical interns. For those who had developed depression during this time, they were nearly 65% as likely to maintain those symptoms beyond their first year of training. 

      Despite rising cases of depression, the interns weren’t likely to seek professional mental health services. Just 26% of those with depression reported taking care of their mental health during this time. Overall, the researchers found that surgical interns were the most likely medical specialty to develop depression during this first year of training. 

      “Surgical training, especially in the United States, can be a period of intense stress, which we find is linked to new onset of depression,” said researcher Dr. Tasha Hughes. “These findings suggest a need for surgical program directors, leaders, and health systems to continue to find ways to mitigate the effects of surgical training, normalize help-seeking, make mental health support easily available, and pay special attention to those with characteristics that might put them at an increased risk.”

      Higher stress for LGTBQ members

      The second study analyzed data from more than 7,000 interns in the Intern Health Study from 2016 through 2018. Participants were surveyed on their mental health and also reported on their sexual orientation. 

      While just over 7% of the participants reported being a member of a sexual minority -- including gay, bisexual, lesbian, or another non-heterosexual group -- depression rates were high among these interns. First-year interns who weren’t heterosexual were more likely to have high depression scores, which only got higher over time. The researchers found that the second half of the intern year was the hardest for non-heterosexual doctors. 

      “These results indicate that interns who are part of sexual minority groups may experience unique workplace stressors leading to a widening disparity in mental health,” said researcher Tejal Patel.

      “This is important to note because as physicians become more depressed, this can lead to greater risk of medical errors and attrition from medicine. As a result, it may be hard for sexual minority patients to find a physician with whom they can relate, and who will be the right fit for them.” 

      A new study conducted by researchers from Michigan Medicine explored mental health struggles among professionals in the medical community.According to...

      Mercedes-Benz recalls S580 4Matics and S500 4Matics

      The electrical connector to the steering column module may not be secured properly

      Mercedes-Benz USA (MBUSA) is recalling four model year 2021 S580 4Matics and S500 4Matics.

      The electrical connector to the steering column module may not be secured properly, which can disable gear shifts and/or safety features, including the electronic stability program, the driver's air bag, and turn signal indicators.

      Disabled safety features or the inability to shift gears can increase the risk of a crash or injury.

      What to do

      Dealers will inspect and reinstall the cover for the electrical connector -- as necessary -- free of charge.

      Owner notification letters are expected to be mailed on May 31, 2022.

      Owners may contact MBUSA customer service at (800) 367-6372.

      Mercedes-Benz USA (MBUSA) is recalling four model year 2021 S580 4Matics and S500 4Matics.The electrical connector to the steering column module may no...