If you’re like most people, you’ve felt your money burning a hole in your pocket at one time or other. We often notice this sad phenomenon during childhood. Whether you had allowance or made money through some childhood side-hustle, you probably learned that money isn’t easy to hold onto. It’s exciting to spend it, and fun to use the stuff you spend it on. As you’ve gotten older, perhaps you’ve learned a bit about budgeting and spending-control. But it can still seem like your money just disappears. We’re taught to think that this is still the result of our poor spending habits and impulse-control. But sometimes it’s not – your money may be actually disappearing.
Money can be siphoned, skimmed, or snatched from your bank account in many ways. One of the most interesting and relevant, however, is the case of Payment Protection Insurance – an ongoing financial catastrophe in the United Kingdom. Haveigotppi.org.uk can give you more details about what to do about PPI (if you have it yourself), but for the rest of us a simple explanation of the problem will do just fine.
The problem started when certain financial lenders worked with insurance sellers to hide insurance plan documentation in complex lending documents. People inadvertently signed up for Payment Protection Insurance when they bought houses or cars or motorcycles. In almost every case, the buyer made the purchase without realizing that he or she had done so. Left for months or even years in many cases, people lost thousands, and all for a service they didn’t want. The great irony of this situation is that PPI was meant to protect these customers in the event that they could not afford to continue paying back their loan, BUT the service was taking away their money so that was exactly the financial state these people were more likely to experience.
You may not be able to relate to this situation specifically. Fraudulent insurance marketing isn’t something that’s a huge problem in every part of the world. But there are so many similar kinds of practices which deprive people of their funds, often without their knowledge. Think for instance of the huge wave of subscription goods that have hit the marketplace through retailers like Amazon. It’s so easy to subscribe to goods or services, thinking that the act will make life so much more convenient and interesting. The problem comes later when we forget about the service and it goes disused. We’re still paying $14.99 for your elite online entertainment account, but we haven’t actually watched anything in half a year.
The problem is the same regardless of the source of your fund depletion – you have less money in your account than you expect, and you never get it back. The only way to address this concern is to get to know the problem. Look closely at your monthly bank statements, and observe any unusual actions that may surprise you. If you don’t recognize regular payments (or if you do, and you realize you don’t want to go on paying them) follow up with your financial institution and get your finances in order.