A message from the FDIC on tax season
Tax season is here! This is the time to get organized, file your returns, and check if you qualify for valuable credits, such as the Earned Income Tax Credit (EITC). Plan how to use your refund wisely, whether for savings, paying debts, or investing.
At the same time, staying vigilant against scams and identity theft is essential. In recognition of Identity Theft Awareness Week (January 27 – January 31, 2025), the FDIC is highlighting ways Money Smart resources can help you protect your finances.
Join us on social media using the hashtag #FDICMoneySmart and show us how Money Smart products make tax time less taxing.
How Money Smart can help you stay safe
Tax identity theft occurs when someone uses your personal information to file a fraudulent return and steal your refund. Scammers may also impersonate the IRS to collect sensitive information.
To help combat identity theft, Money Smart offers free tools to help manage money and protect personal information. Organizations, educators, and community leaders can use these free resources and customizable modules to teach others how to build the skills they need to make informed financial decisions.
For tax season, the following Money Smart for Adults modules are especially helpful:
Module 1: Your Money Values and Influences
Learn to identify financial goals and prioritize them. This module can help you better understand how to safeguard your financial future during tax season.
Module 11: Protecting Your Identity and Other Assets
This module focuses on recognizing scams, protecting personal information, and recovering from identity theft. It also includes practical steps to prevent tax identify theft, such as:
- Filing your tax return early.
- Knowing the official IRS communication channels.
- Using secure online platforms to file.
FDIC's How Money Smart Are You? - Protecting Your Identity and Other Assets can also help you understand how to protect your identity and other assets.
This tax season, be proactive and informed. Use Money Smart tools to protect your finances, make the most of your refund, and build a secure financial future.
Success Story
This month, we are putting the spotlight on Erika Toriz-Kurkjian, Founder and Chief Executive Officer of Haven Neighborhood Services, a nonprofit financial and housing counseling organization based in Los Angeles and proud Money Smart Alliance member.
Q: How does Haven Neighborhood Services utilize the Money Smart program to meet community needs?
A: We tailor Money Smart content to fit the specific needs and demographics of our community. For example, we adapt the Spanish-language materials to better serve our Spanish speaking clients. The free and ready-to-use Money Smart curriculum and resources has allowed us to quickly build out our financial education programming without having to develop everything from scratch.
Q: Could you share a recent event where Money Smart played a key role?
A: Absolutely! Over 150 participants attended our first Financial Freedom Fair—an engaging community event that offered free tax preparation through our VITA program, financial counseling, and workshops built around Money Smart modules. We focused on Money Smart for Adults topics like credit planning, homeownership, and disaster recovery, with particular emphasis on Module 11: Protecting Your Identity and Other Assets because a lot of families that we serve in the community are victims of scams and predatory lending.
Q: What key outcomes were achieved from hosting the Financial Freedom Fair?
A: The fair led us to do a series of homeownership workshops in partnership with a local bank. We conducted four classes throughout the year in English and Spanish. We found the Money Smart module [Module 13: Buying a Home], which highlights the steps of homeownership, to be particularly impactful and well-received by clients who are interested in buying a home but feel uncertain about the process. The module effectively provides a clear starting point for understanding the steps involved in homeownership.
Q: You mentioned that you offer VITA tax prep services. How has the VITA program expanded your outreach and impact in the community?
A: The VITA program serves as a gateway to deeper engagement with our community by connecting clients to essential financial education resources. Through this program, we often identify individuals who can benefit from our financial education workshops, which are grounded in the Money Smart curriculum. A key focus is the Money Smart credit module, as credit health is a foundational step toward achieving financial stability and long-term goals. VITA is the best marketing time to promote our programs and services with our clients. By addressing credit issues early, we help clients lay the groundwork for improved financial well-being, empowering them to make informed decisions and work toward milestones like homeownership or debt reduction.
Please consider sending a success story on your Money Smart financial education sessions to ConsumerEducation@fdic.gov. We look forward to highlighting your programs in a future edition of this newsletter. Please include any tips you may have based on your use of the material. Pictures (ideally ones that do not show participants’ faces) are also welcome.
Upcoming Money Smart Events
The FDIC will host two webinars in January to help organizations prepare for tax time with valuable resources and insights:
- January 22: FDIC Hosts National Webinar – Tax Time & EITC: Bankable Moments & Resources for Banks and Consumers
- January 29: FDIC Programs and Resources to Help Consumers Build Savings During Tax Season | FDIC.gov
Latest FDIC Consumer News Edition
The January 2025 edition of FDIC Consumer News emphasizes the importance of saving for unexpected expenses and future goals. For more information, read the full article here.
Tips and Techniques
Take advantage of free assistance from IRS-certified Volunteer Income Tax Assistance (VITA) sites starting January 27, 2025. Protect your money by using an FDIC-insured account for secure and free direct deposit of your tax refund.
Next month you can find us at…
The 2025 US Hispanic Leadership Institute in Chicago, Illinois, February 13-16, 2025.
For more consumer resources, visit FDIC.gov, or go to the FDIC Knowledge Center. You can also call the FDIC toll-free at 1-877-ASK-FDIC (1-877-275-3342). Please send your story ideas or comments to ConsumerEducation@fdic.gov. You can subscribe to this and other free FDIC publications to keep informed!