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Consumer Daily Reports

Bankruptcy inquiries are still way down from 2008 financial crisis

By Dieter Holger of ConsumerAffairs
April 17, 2025

Key takeaways:

  • Americans making legal inquiries for declaring bankruptcy reached their highest levels in the first quarter of 2025 since 2020.
  • Tariffs, sky-high debt, costlymortgages and a weak housing market are driving more Americans to bankruptcy.
  • There is a high risk of a surge of bankruptucies this summer.

There aremore Americans considering filing for bankruptcy than since the pandemic, following debt and tariffs reaching new heights.

An indexfrom legal-service provider LegalShield reached a level of 36.4 in the first quarter of 2025, compared with the previous highest level of 42.2in the first quarter of 2020.

The index is based on a survey of more than 35 million legal requests.

Still, the index is way down from the bankruptcies during the 2008 financial crisis.

Consumer News: Americans considering bankruptcy reach highest levels since pandemic

"Consumer bankruptcy concerns are rising not because of short-term volatility, but due to sustained financial pressure on household budgets,"Matt Layton, LegalShield senior vice president of consumer analytics, told ConsumerAffairs.

A combinationof high debt, costly mortgages, tariffs and a weakening housing market are driving Americans to consider filing for bankruptcy.

The share of households more than 90 days late on credit cards and car loans hit a 14-year high at the end of 2024, according to The Federal Reserve Bank of New York, and delinquencies are still climbing.

Credit card balances also hit a record high of $1.21 trillion, the New York Fed said.

"When inflation remains high and credit tightens, bankruptcy becomes the last resort for more and more households," Layton said.

Job growth has been strong and tax refunds have been higher in 2025, but rising pricesfrom tariffs may lead to more bankruptcies.

"Tariffs are amplifying that pressure by driving up costs on everything from food to construction materials," Layton said.

Sign up below for The Daily Consumer, our newsletter on the latest consumer news, including recalls, scams, lawsuits and more.




Posted: 2025-04-17 20:25:20

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More News From This Category

Consumer News: BJ’s Wholesale Club releases 2025 top toys list

Wed, 08 Oct 2025 19:07:08 +0000

The retailer is helping shoppers prepare for the holiday season early

By Kristen Dalli of ConsumerAffairs
October 8, 2025
  • BJs is kicking off the holiday season early with a curated list of 2025s top toys many of them BJs exclusives backed by attractive pricing and deals.

  • Shoppers can take advantage of free shipping on all toys, plus flexible fulfillment options like curbside pickup, in-club pickup, and same-day delivery.

  • The list features a mix of familiar brands (LEGO, Hot Wheels, Barbie) and trending toys like Little Live Pets and Bluey playsets.


The holiday toy hunt is officially underway at BJs Wholesale Club, and this years lineup is something to watch especially if youre looking to get ahead of the crowds.

BJs has released what it calls the Must-Have Toys of 2025, mixing exclusive items with fan favorites all sold at competitive prices, with free toy shipping included.

Holiday shoppers are beginning earlier than ever this year, and BJs is offering unbeatable savings so members can beat the crowds and make sure they get the seasons hottest toys, Dion Evans, Senior Vice President, General Merchandise, BJs Wholesale Club, said in a news release.

We know our members will love our assortment, along with the incredible value and convenience BJs offers.

Whats on the list?

As for the toys themselves, the offerings are generous and wide-ranging. The list includes both staples and surprises:

  • BJs exclusive picks like Little Live Pets: Mama Surprise Families, Disney Princess Cinderella Carriage & Doll, Play-Doh Fridge Fun Kitchen Playset, GUND PAW Patrol 6-Inch Plush Multipack, and Barbie Dream Closet Playset.

  • Popular non-exclusive staples such as LEGO Botanical Collection Hibiscus Flower and Hot Wheels Loop & Launch Track Set also make the cut.

  • Family-friendly choices like Bluey Ice Cream Truck Vehicle & Figures Playset and Maisto F1 RC Car with Bonus Track bring fun for different age groups.

BJs isnt just positioning itself as a toy seller its framing itself as a one-stop holiday shop. Seasonal dcor, groceries, home essentials, and gifts are all part of the mix.


Read More ...


Consumer News: Tesla’s “Affordable” Model 3 and Model Y may fail to hit price point

Wed, 08 Oct 2025 19:07:07 +0000

Falling short of Musks promise of a sub-$30,000 car

By Truman Lewis of ConsumerAffairs
October 8, 2025
  • Tesla's new stripped-down models don't achieve Musk's goal of a sub-$30,000 price.
  • Competition from Chinese manufacturers is cutting into Tesla sales.
  • U.S. government's elimination of the $7,500 tax credit doesn't help either.

Tesla Inc.has introduced new Standard versions of its Model Y SUV and Model 3 sedan in a bid to appeal to budget-conscious buyers. But with starting prices of $39,990 and $36,990, the vehicles remain out of reach for many, falling short of CEO Elon Musks long-promised sub-$30,000 mass-market car.

Musk has long argued that the key to unlocking mass adoption is an EV priced below $30,000 after incentives. Last year, however, Tesla scrapped plans for an all-new $25,000 vehicle and instead opted to pare down existing models.

The Standard versions reduce costs by eliminating features like Autosteer, rear-seat heating, and premium finishes. They do, however, maintain driving ranges of over 300 miles (480 km). Deliveries are scheduled to begin between December 2025 and January 2026.


Should You Buy a Tesla Now?

With Teslas latest affordable trims rolling out, heres what to keep in mind:

Pros:

  • More than 300 miles of driving range

  • Immediate availability for order

  • Lower entry price compared to Premium trims

  • Eligible for software updates and upgrades over time

Cons:

  • Still above $35,000 before taxes and fees

  • No U.S. federal tax credit currently available

  • Missing key features (Autosteer, rear-seat heating, LED accents)

  • May lose resale value if a true sub-$30k Tesla arrives in coming years

Investor disappointment

Tesla shares slid 4.5% on the announcement. Wedbush analyst Dan Ives called the discounts underwhelming, noting that the new trims are only about $5,000 cheaper than the Premium versions.

This is basically a pricing lever, not a product catalyst, said Shay Boloor, chief strategist at Futurum Equities. Running Point CIO Michael Ashley Schulman was harsher: Its Tesla taking off its Steve Jobs turtleneck and slipping into a Walmart hoodie.

Competitive pressures

The new pricing comes as Tesla faces steep competition from Chinese automakers and upcoming U.S. rivals such as Chevrolets Equinox, Hyundais Ioniq 5, and Kias EV4 many expected below $30,000. In Europe, Tesla is competing with more than a dozen electric and plug-in hybrids already priced under that mark.

The expiration of the $7,500 U.S. federal EV tax credit in September makes the new models more expensive than Teslas cheapest offerings just weeks ago.

Whats at stake

Teslas record September sales were fueled by buyers rushing to capture the tax credit. Analysts warn demand could weaken sharply without a true mass-market vehicle. Tesla still needs a sub-$30k EV, said Shawn Campbell of Camelthorn Investments.


Consumer Checklist

  1. Compare rivals Chevrolet, Hyundai, and Kia are expected to release lower-priced EVs in 2026.

  2. Check state incentives Some states still offer EV rebates even without the federal tax credit.

  3. Consider timing Teslas deliveries are set for late 2025 into early 2026. If you can wait, cheaper competitors may arrive.

  4. Think resale Models without premium features could depreciate faster.

  5. Evaluate total cost of ownership Factor in insurance, charging, and home charging installation.


Read More ...


Consumer News: How to avoid during Amazon’s Prime Big Deal Days promotion

Wed, 08 Oct 2025 19:07:07 +0000

The online retailer offers tips for identifying real messages from fakes

By Mark Huffman of ConsumerAffairs
October 8, 2025
  • Be cautious of unexpected messages claiming to be from Amazon about your orders or account.

  • Never share personal or financial information outside of Amazons official website or app.

  • Report suspicious messages immediately to help Amazon stop scammers before they strike.


Millions of consumers will look for deals during Amazons two-day Prime Big Deal Days promotion, but beware scammers are lying in wait.

Amazon is reminding consumers to stay alert for impersonation fraudulent attempts to trick people into sharing sensitive information like Social Security numbers, banking details, or Amazon account credentials.

In 2023, more than two-thirds of reported to Amazon globally involved fake claims about order or account issues. These often start with a call, text, or email saying something like, You bought something on Amazon that you didnt order. The scammer then asks for personal or account information to fix the issue.

Scammers who attempt to impersonate Amazon put consumers at risk, said Dharmesh Mehta, Amazons vice president of Selling Partner Services. Although these take place outside our store, we will continue to invest in protecting consumers and educating the public on how to avoid .

What Amazon is doing

Amazon said it has implemented several key measures to help customers stay safe:

  • Secure email authentication: Customers using Gmail, Yahoo!, and similar services will now see Amazons signature smile logo beside legitimate emails from the companyhelping distinguish real messages from fakes.

  • Cracking down on scammers: In 2024 alone, Amazon initiated the takedown of over 55,000 phishing websites and 12,000 phone numbers linked to impersonation schemes.

  • Education and awareness: Amazon continues to share safety tips and resources to help consumers recognize and avoid .

Six tips to avoid impersonation

  1. Verify purchases on Amazon. If you get a suspicious message about a purchase, dont click any links. Instead, log into your Amazon account or app to verify.

  2. Use only Amazons app or website for payments. Amazon will never ask for payment over the phone or by email, nor request a bank transfer.

  3. Beware of urgency tactics. Scammers often claim that immediate action is required to pressure you into responding.

  4. Never buy gift cards to resolve a problem. Amazon will not ask you to make a payment using gift cards.

  5. Contact Amazon directly. If something feels off, stop interacting with the sender and reach Amazon through its app or websitenot through links or phone numbers in messages.

  6. Check Amazons Scam Tracker. In partnership with the Better Business Bureau, this tool allows you to search for reports of similar by email, URL, or phone number.

Report suspicious messages

If you suspect a scam, Amazon asks that you report it right away. Amazon offers a self-service tool for customers to flag suspicious messages quickly. Non-customers can also forward scam attempts to reportascam@amazon.com. Each report helps Amazon identify bad actors and prevent others from falling victim.


Read More ...


Consumer News: Gold prices are at a record high: Now what?

Wed, 08 Oct 2025 16:07:07 +0000

Heres what some market analysts are saying

By Mark Huffman of ConsumerAffairs
October 8, 2025
  • Gold this week surged to all-time highs, crossing the $4,000 per ounce mark, as investors seek refuge in safe-haven assets.

  • The rally is being fueled by a mix of inflation fears, expectations for future rate cuts, central bank purchases, and geopolitical uncertainty.

  • Financial institutions and analysts are split: some see room for further gains toward $5,000+, while others warn of technical overbought risks or timing corrections.


The price of gold did something this week it has never done before: It closed above $4,000 an ounce. Spot and futures markets alike have registered new highs, propelled by strong inflows into gold ETFs and intensifying demand from institutional and central bank buyers.

So far in 2025, gold has rallied by more than 50 %, ranking among the best-performing major assets across equity, bond, and commodity markets. But the question is, where does it go from here?

Golds relentless rally this year is no longer just a general flight to safety, Kevin Rusher, founder of RAAC, said in an email to ConsumerAffairs. Its also a clear sign that investors are losing faith in the US dollar, whose reserve currency dominance is rapidly diminishing.

What analysts are saying

But, is it too late to safely purchase the precious metal? Heres what some market experts are saying about the path ahead:

Outlook

Viewpoint

Key Takeaways

Bullish / Continued Upside

Goldman Sachs has raised its 2026 target to $4,900/oz in light of sustained ETF inflows and central bank demand. HSBC also sees room for gold to exceed $4,000 in the near term, citing fiscal uncertainty and institutional demand.

If central banks maintain steady buying and rate cuts materialize, gold could continue climbing.

Some analysts at Citi and other firms argue that the ongoing dollar weakness and elevated inflation risks point to potential new highs beyond current levels.

Golds ceiling may not be fixed.

Cautious / Risk of Pullbacks

Bank of America cautions the rally may be nearing exhaustion: gold has risen for seven straight weeks (a pattern that often precedes a pause), and technical indicators hint at overbought conditions.

Short-term corrections are possible, even amid a broader uptrend.

Some market watchers warn that if the Fed holds rates higher for longer or surprises markets with hawkish rhetoric, golds momentum could stall or reverse.

Monetary policy missteps remain a key risk.

Balancing Views

Precious metals specialists note that while the recent momentum may cool, structural driversespecially central bank demand and macro uncertaintystill support higher gold prices in the medium term.

Investors should remain selective and consider phased entries.

Investor implications and strategy considerations

Before investing in gold, its a good idea to consult a trusted and objective financial advisor. Prices can go down just as quickly as they have gone up. Here are some things to consider:

  • Diversification & hedging: Many experts view gold not as a core return engine but as a portfolio hedgeparticularly in volatile or inflationary regimes.

  • Timing matters: Because gold is already at lofty levels, some suggest dollar-cost averaging or waiting for meaningful pullbacks before adding exposure.

  • Relative signals: Watch indicators like real interest rates, inflation surprises, central bank buying trends, and technical momentum (e.g. RSI, trend channels).

  • Risk controls: Given golds volatility, investors should set stop-losses or caps on exposure sizeespecially for speculators.

  • Stay informed on policy shifts: Golds fate in the near term is tightly linked to central bank communications and economic surprises, so monitoring macro data and Fed signals will be crucial.


Read More ...


Consumer News: How to avoid during Amazon’s Prime Day promotion

Wed, 08 Oct 2025 13:07:07 +0000

The online retailer offers tips for identifying real messages from fakes

By Mark Huffman of ConsumerAffairs
October 8, 2025
  • Be cautious of unexpected messages claiming to be from Amazon about your orders or account.

  • Never share personal or financial information outside of Amazons official website or app.

  • Report suspicious messages immediately to help Amazon stop scammers before they strike.


Millions of consumers will look for deals during Amazons two-day Prime Day promotion, but beware scammers are lying in wait.

Amazon is reminding consumers to stay alert for impersonation fraudulent attempts to trick people into sharing sensitive information like Social Security numbers, banking details, or Amazon account credentials.

In 2023, more than two-thirds of reported to Amazon globally involved fake claims about order or account issues. These often start with a call, text, or email saying something like, You bought something on Amazon that you didnt order. The scammer then asks for personal or account information to fix the issue.

Scammers who attempt to impersonate Amazon put consumers at risk, said Dharmesh Mehta, Amazons vice president of Selling Partner Services. Although these take place outside our store, we will continue to invest in protecting consumers and educating the public on how to avoid .

What Amazon is doing

Amazon said it has implemented several key measures to help customers stay safe:

  • Secure email authentication: Customers using Gmail, Yahoo!, and similar services will now see Amazons signature smile logo beside legitimate emails from the companyhelping distinguish real messages from fakes.

  • Cracking down on scammers: In 2024 alone, Amazon initiated the takedown of over 55,000 phishing websites and 12,000 phone numbers linked to impersonation schemes.

  • Education and awareness: Amazon continues to share safety tips and resources to help consumers recognize and avoid .

Six tips to avoid impersonation

  1. Verify purchases on Amazon. If you get a suspicious message about a purchase, dont click any links. Instead, log into your Amazon account or app to verify.

  2. Use only Amazons app or website for payments. Amazon will never ask for payment over the phone or by email, nor request a bank transfer.

  3. Beware of urgency tactics. Scammers often claim that immediate action is required to pressure you into responding.

  4. Never buy gift cards to resolve a problem. Amazon will not ask you to make a payment using gift cards.

  5. Contact Amazon directly. If something feels off, stop interacting with the sender and reach Amazon through its app or websitenot through links or phone numbers in messages.

  6. Check Amazons Scam Tracker. In partnership with the Better Business Bureau, this tool allows you to search for reports of similar by email, URL, or phone number.

Report suspicious messages

If you suspect a scam, Amazon asks that you report it right away. Amazon offers a self-service tool for customers to flag suspicious messages quickly. Non-customers can also forward scam attempts to reportascam@amazon.com. Each report helps Amazon identify bad actors and prevent others from falling victim.


Read More ...


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