Influencers
This type of influence may use a celebrity or other well known figure to endorse a product.
What is liking bias?
These are website design features intended to trick users into doing things they might not want to do, but will benefit the business in question.
What are Dark Patterns?
It is an attempt to use an individuals personal information for financial gain. Could include filing a false tax return, signing up for credit cards, etc.
What is identity theft?
An employer sponsored retirement plan that offers a contribution match.
What is a 401(k)?
In an opportunity cost scenario, the choice not made is known as this. It has been sacrificed.
What is the trade-off?
Others are doing it or buying it so why aren't you?
What is the social proof bias?
This organization will NOT call you when they have not received their payment. They will instead send you forms through the mail.
Who is the IRS?
It relies on the recruitment and money of others who then recruit for themselves in order to maintain any level of success. Money always moves back to the top.
What is a pyramid scheme?
These are reliable companies with a history of stability and growth.
What are Blue Chip Companies/Stocks?
The federal government establishes these policies which impact government spending and taxes.
What are fiscal policies?
Booking sites like hotels.com really like to tell you that there are only 2 rooms left, or amazon telling you that they only have 5 of an item in stock. They are using this tactic.
What is scarcity bias?
This group of people is statistically most likely to fall victim to a financial scams.
Who are young people (Millennials, Gen Z, etc.)?
What is a Ponzi scheme?
Retirement fund paid for with after-tax dollars. Grows tax free and is withdrawn at time of retirement tax free.
What is a Roth IRA?
This market structure tends to have multiple companies selling similar, but not identical products. Barriers to entry are still minimal.
What is monopolistic competition?
A commercial that has an "expert" in the field telling you that you should probably use this product is likely using this tactic.
What is Authority bias?
Phishing scams, attempting to gain personal information, are typically received through this.
KNOW THIS ONE
What is email?
Pampered Chef, Tupperware, Scentsy, etc. are all examples of this type of business that is sometimes considered a pyramid scheme.
What is an Multi-Level Marketing business (MLM)?
These are groups of stocks, bonds, and other investments managed by an investment firm. Because of this your holdings are diversified and monitored by professionals.
What are mutual funds?
With a Direct Unsubsidized Loan, it is their responsibility for paying the interest while in school.
Who is the borrower/the student?
This bias relies on you continuing to act a certain way. They get you to say yes a few times to increase the chances you say yes later on.
What is commitment and consistency?
If you have been scammed or the victim of fraud you can contact this organization for help.
What is the BBB?
What is the State Attorney General's office?
This chapter of bankruptcy is often considered "Liquidation" bankruptcy as it will require the sale of most assets before your debts are cleared.
What is Chapter 7?
This form is filled out to let your employer know how much money to withhold from you to pay your taxes.
What is a W-4?