#249: Life Is Happening; Tune In (Friday, October 7)

Last week, I was watching an episode of The T.O. Show, a reality series about football player Terrell Owens. He has been having some financial issues after a "friend" stole his debit card and going to town with it. He's also been having some difficulty locating his financial advisor, who seems to have just disappeared off the face of the earth. And to top it off, he hurt his knee; with the NFL lockout, his age and (let's face it) his controversial history, he's not exactly first pick for many teams.

In this episode, he was selling one of his homes and breaking the news of his financial struggle to his family. My first reaction to hearing the story was disbelief. I just couldn't understand how someone, especially in his position could a) let another person have such unlimited access to his bank card; b) not realize that so much money was being taken from his account; c) not have a person around him who would catch this situation before it became so huge.

And then I got it. When you're surrounded by people that you trust, you let your guard down. You become careless. You assume that if you don't catch it, others around you will. The problem is that many of those "others" are making the same assumption so it becomes a case of diffusion of responsibility. But you have to tune in. Be alert and don't be afraid to ask questions. And check the backgrounds of EVERYONE who manages your money:

• For accountants: Check your state's board of accountancy, or check the IRB List published by the IRS' Office of Professional Responsibility for a list of disbarments, suspensions, resignations, censures for attorneys, CPAs, enrolled agents and enrolled actuaries.
• For investing: the Financial Industry Regulatory Authority (FINRA) has a wealth of resources for investors. From education materials to investor alerts to pre-investment tips; you should definitely go here first. There is also a BrokerCheck feature that allows you to see your financial advisor's licenses, customer complaints history etc.

Please use your resources and be alert!