Before you do, take a moment to ask yourself these questions:

1. Have you developed and maintained an ongoing business relationship with your banker? To effectively serve customers, bankers need to . . . → Read More: Small Business Loan Tips]]> Today’s low interest rates make this an especially good time for small business owners to consider applying for a loan to grow or expand their business.

Before you do, take a moment to ask yourself these questions:

1. Have you developed and maintained an ongoing business relationship with your banker? To effectively serve customers, bankers need to understand their customers’ goals, anticipated financial needs and current financial situation. This level of understanding can only come from a continuous dialogue between the banker and the customer. Many times, the advice a banker gives is far more important than the product or service they offer. Your banker’s advice can be more targeted and focused on your business’s needs if he or she knows your current financial situation and plans for the future.

2. Does your business need a loan — or an equity infusion? It’s important to understand the difference between loans and equity. Loans need to be repaid over a defined time period. Equity investments are permanent funds that serve as “shock absorbers” so businesses can weather both good times and bad. Banks are in business to make loans. Equity funds should come from the business owners.

3. Can you clearly explain your firm’s “value proposition?” You should be able to explain why customers should do business with you and how you’ll compete effectively in your chosen target market segments.

4. Do you have a business plan that covers best, most likely, and worst case scenarios? We all know that things in life don’t always work as planned. Your banker should understand all three scenarios since you’re asking for the bank’s support through good times and bad. Developing alternative business plans shows your banker that you understand both the risks and opportunities of operating in your industry. It’s better to understand risks upfront and develop a game plan to deal with them before applying for a loan. Since your banker deals with many small businesses, he or she may have helpful ideas to help you survive and thrive in today’s challenging economy.

5. Have you developed at least two ways to repay the loan? Bankers look for both a primary and secondary source of loan repayment. Primary sources of repayment relate to how much cash your business or investment is capable of generating. Secondary repayment sources could include pledging business or personal collateral, or a loan guarantee by the firm’s owners, suppliers or customers. The more certainty that the banker has that the loan will be paid “as agreed,” the more likely that you will not only receive a favorable loan decision, but also the best interest rate.

This information is provided in partnership with the American Bankers Association and Iowa Bankers Association for Iowa banks.

• Review your finances. A thorough analysis of your financial situation is central to the decision to . . . → Read More: Tips Every Homebuyer Should Know]]> With housing prices and mortgage interest rates at record lows, now is a good time to explore buying a home. Preparation is the key to navigating today’s market. Consider these tips to help your household prepare for buying a home:

• Review your finances. A thorough analysis of your financial situation is central to the decision to buy. Calculate all of your monthly expenses, in addition to your potential mortgage payment, homeowner’s insurance, taxes and condo fees. Factor in other obligations like car payments, credit card debt and living expenses. Budget for home maintenance costs as well. Aim to keep the mortgage payment and all other obligations below 40 percent of your monthly income and stay within your budget when considering homes.

• Check your credit score. Your credit history is an important factor when applying for a loan. Most lenders rely on the Fair Isaac Corporation (FICO) credit score when reviewing your loan application. The score reflects how well you manage your debt and is calculated using data from your credit report. A lower credit score will result in a higher interest rate on your loan.

If your score is too low, you may not be approved for a loan at that time. There are a number of steps you can take to improve your credit score, including paying your bills on time, only opening lines of credit you need and keeping your credit card balances below half of your available credit.

• Organize your finances before you go to the bank. Getting a loan requires a few different documents including, but not limited to, pay stubs, tax returns and financial statements that are less than 60 days old. Provide copies of additional monthly payments such as car loans, credit cards and student loans. You should also bring any additional information you think will help your banker positively evaluate your financial situation.

• Factor in closing costs. Once you have found a home within your budget and agreed on a purchase price, there will be costs associated with closing the sale. These costs can vary. By law, lenders are required to give you a written estimate of closing costs within three days of accepting your loan application.

This article is provided in partnership with the American Bankers Association and Iowa Bankers Association for Iowa banks.

“Small businesses are a growing target for account takeover,” said . . . → Read More: Tips for Small Business: How to Combat Fraud]]> Cybercriminals can target small businesses to transfer funds from accounts and steal private information, a fraud referred to as “corporate account takeover.” Criminals use spoofed emails, malicious software and online social networks to obtain login credentials to businesses’ accounts, which they then use to make illicit transactions.

“Small businesses are a growing target for account takeover,” said Sharon Marty, Vice President – Information Systems. “Yet, a strong partnership with Iowa State Bank will give you the tools needed to help shield yourself from cyber attacks.”

Combating account takeover is a shared responsibility between businesses and financial institutions. Bankers can explain the safeguards small businesses need and the numerous programs available that help ensure fund transfers, payroll requests and withdrawals are legitimate and accurate. Employees should be trained about safe Internet use and the warning signs of this fraud, as they are the first line of defense.

“We’re far more effective at combating account takeover when we combine resources than going at it alone,” said Marty.

Here are a few tips to help small businesses prevent account takeover:

• Protect your online environment. It is important to protect your cyber environment just as you would your physical location. Do not use unprotected Internet connections. Encrypt sensitive data and keep an updated security suite on your computers. Change passwords from the default to something complex, including at point-of-sale terminals.

• Partner with your bank for payment authentication. Talk to your banker about services that offer call backs, device authentication, multi-person approval processes, batch limits and other tools that help protect you from unauthorized transactions.

• Pay attention to suspicious activity and react quickly. Put your employees on alert. Look out for strange network activity, do not open suspicious emails and never share account information. If you suspect a problem, disconnect the compromised computer from your network and contact your banker. Keep records of what happened.

• Understand your responsibilities and liabilities. The account agreement with your financial institution will detail what commercially reasonable security measures are required in your business. It is critical that you understand and implement the security safeguards in the agreement. Talk to your banker if you have any questions about your responsibilities.

This information is provided in partnership with the American Bankers Association and Iowa Bankers Association for Iowa banks.

Take a common . . . → Read More: Safe and Convenient Mobile Banking Tips]]> Convenience is the driving factor in the rise of mobile banking. It opens the doors to consumer choice and access to banking options. But, as mobile devices, like smart phones and tablets, become more popular, hackers are finding savvy ways to steal information. Be cautious when using mobile devices to do their banking.

Take a common sense approach to mobile banking. Follow a few simple steps to protect your information:

• Avoid storing sensitive information like passwords and social security numbers on your mobile device.
• Password protect your mobile device and lock it when you’re not using it.
• Be aware of your surroundings. Don’t type any sensitive information if others around you can see.
• Log out completely when you complete a mobile banking session.
• Protect your phone from viruses and malware just like you do for your computer by installing mobile security software.
• Download the updates for your phone and mobile apps.
• Use discretion when downloading apps.
• If you change your phone number or lose you mobile device, let your financial institution know right away.
• Monitor your accounts regularly and report suspicious activity to your financial institution immediately.

This article is provided in partnership with the American Bankers Association and Iowa Bankers Association for Iowa banks.

Scammers leverage every means at their disposal to separate you from your money, your identity, or anything else of value they can get. They may offer seemingly legitimate “tax services” designed to steal your identity and your tax refund, . . . → Read More: Tax Time is Crime Time]]> It’s tax season and criminals are seizing the opportunity for scams. Don’t become the next victim.

Scammers leverage every means at their disposal to separate you from your money, your identity, or anything else of value they can get. They may offer seemingly legitimate “tax services” designed to steal your identity and your tax refund, sometimes with the lure of bigger write-offs or refunds. Scams may include mocked up websites and tax forms that look like they belong to the IRS to trick you into providing your personal information.

Scam artists can prey on users by promising refunds that are fraudulent, a scam the IRS says has been rampant in previous years. In these scams, notices are posted on bulletin boards, in libraries, and at other community sites where people visit either in person or online. Scammers make money from this trick in two ways: first, they collect a fee for helping to “file” for a refund on behalf of their victims, and then they steal the victim’s identity for further exploitation. The victims are left paying a fee for a fraudulent service, not getting a refund they thought they would, and are potentially in a position to face charges for failing to file a return or for committing fraudulent reporting.

How to Recognize an Email Tax Scam
According to the IRS, below are the key ways to recognize an email tax scam. The email:

• requests personal and/or financial information, such as name, SSN, bank or credit card account numbers or security-related information, such as mother’s maiden name, either in the email itself or on another site to which a link in the email directs you;

• includes exciting offers to get you to respond, such as mentioning a tax refund or offering to pay you to participate in an IRS survey;

• threatens a consequence for not responding to the email, such as additional taxes or blocking access to your funds;

• has incorrect spelling for the Internal Revenue Service or other federal agencies;

• uses incorrect grammar or odd phrasing;

• discusses “changes to tax laws” that include a downloadable document (usually in PDF format) that purports to explain the new tax laws (these downloads are populated with malware that, once downloaded, may infect your computer).

How To Avoid Becoming A Victim

To stay safer this tax season, follow these five steps:

• Secure your computer. If your computer does not have proper security controls, it is vulnerable to access by criminals, who may be able to steal information stored on it. Make sure your computer has the latest security updates installed. Check that your anti-virus and anti-spyware software are running properly and are receiving automatic updates from the vendor. If you haven’t already done so, install and enable a firewall.

• Carefully select the sites you visit. Safely searching for tax forms, advice on deductibles, tax preparers, and other similar topics requires caution. Know the site. Know the company. Do not visit a site by clicking on a link sent in an email, found on someone’s blog, or on an advertisement. The website you land on may look just like the real site, but it may be a well-crafted fake.

• Don’t fall prey to email, web, or social networking scams. Common scams tout tax rebates, offer great deals on tax preparation or offer a free tax calculator tool. If you did not solicit the information, it’s likely a scam. If the email claims to be from the IRS, it’s a scam – the IRS will not contact you via email, text messaging or your social network, nor does it advertise on websites. If the email appears to be from your employer, bank, broker, etc. claiming there is an issue with what they reported for you and you need to verify some information, it might be a scam. Do not respond to the email. Contact the entity directly before responding.

• Never send sensitive information in an email. It may be intercepted and read by criminals.

• Use strong passwords. Cyber criminals have developed programs that automate the ability to guess your passwords. To protect yourself, passwords must be difficult for others to guess, but at the same time, easy for you to remember. Passwords should have a minimum of nine characters and include upper case (capital letters), lowercase letters, numbers, and symbols. Make sure your work passwords are different from your personal passwords.

For More Information:

For additional information about tax related scams and identity theft, please visit:

• Taxpayer Guide to Identity Theft: www.irs.gov/uac/Taxpayer-Guide-to-Identity-Theft

• Tax Scams/Consumer Alerts: www.irs.gov/uac/Tax-Scams-Consumer-Alerts

• IRS Releases the Dirty Dozen Tax Scams for 2012: www.irs.gov/uac/IRS-Releases-the-Dirty-Dozen-Tax-Scams-for-2012

• What’s Hot – IRS: www.irs.gov/uac/What’s-Hot

• Report Phishing: www.irs.gov/uac/Report-Phishing

This information is courtesy of MS-ISAC Monthly Cyber Security Tips Newsletter for March 2013. The information provided in the Monthly Security Tips Newsletters is intended to increase security awareness and to help consumers behave in a more secure manner. Organizations have permission and are encouraged to brand and redistribute this newsletter in whole for educational, non-commercial purposes.

1. Think twice before you click. Just like links in Phishing emails, links on websites or in search engine results are opening a website or document. If that website . . . → Read More: Safe Surfing]]> As your bank, we take information security very seriously. Take a few moments to remind yourself to stay safe when browsing the internet. Many of these are simple reminders.

1. Think twice before you click.
Just like links in Phishing emails, links on websites or in search engine results are opening a website or document. If that website or document is malicious, this can lead to a quick infection of your system. Unfortunately, antivirus software doesn’t catch everything. Try to make a habit of slowing down when browsing and using the same healthy skepticism you apply to email links.
2. Where does the link go?
Just like in email, when you hover your mouse over a link on a website it will tell you where it is going. Most browsers will show the actual URL in the Status bar at the bottom of the browser window. Again, if the URL at the bottom of the window doesn’t look anything like where it should go, be very cautious.
3. Sites that were safe yesterday may not be today.
It is common for legitimate sites to be compromised or modified in a way to present malicious content the next time you visit. There is no way to know ahead of time, so the best way to protect yourself is to be wary of any new behavior of a site you frequent. If you were to go to a trusted site that you frequently visit and were presented with a prompt to install software or enter sensitive information, this is a big red flag.
4. Casual browser beware.
This is common sense but bears repeating. Many users get in trouble on the web when visiting sites they probably shouldn’t be at anyway. Searches for “free” anything, song lyrics, videos, or “workplace inappropriate” content are surefire ways to get into trouble. Forums or places where users post questions and answers can also be dangerous, because they allow anyone to edit them and malicious content can be uploaded.
Many of these are common sense, but it is easy for anyone to be in a hurry and click on something they will regret. It is important to remember that links will open a webpage or content that could be on a server in New York, a server in Russia, or on a PC sitting in a hacker’s basement. All of it can look the same if you don’t take a closer look. Just like an ocean surfer, be careful out there!

These tips are provided thanks to 10D Security.

1. Create a system for organizing tax documents . . . → Read More: 10 Timely Tax Time Tips]]> The income tax filing season has begun and important tax documents should be arriving in your mailbox. Although your return is not due until April 15, you can make tax time easier on yourself with an early start. Here are 10 tips to help ensure a smooth tax-filing process.

1. Create a system for organizing tax documents as they arrive.

There is nothing worse than sitting down to finally do your taxes and realizing that you can’t find an important document. A little organization from the get-go is all you need to avoid that situation. Your system can be as simple as a large envelope or an accordion file. Just designate a specific spot, and make sure that everyone in the house knows about it.

2. Review your tax documents early.

As tax documents show up, don’t just stuff them into your great new organization system. Take a moment to review each document as it arrives so you can correct any discrepancies well before you start preparing your return. If there is a mistake, getting a corrected form can take time, so don’t wait until you are down to the wire on your filing deadline.

3. Gather your tax information now.

There’s no reason to wait until the heat of the battle to start organizing the tax information you already have. Even before you receive a single tax document, here’s how you can get a head start:
• Make a list of all your 2011 tax payments and tax refunds
• Gather all your receipts that have piled up throughout the year
• Comb through your credit card bills and checkbook to look for possible deductions
• Tally up charitable donations

4. Remember the number 17.

Check out IRS Publication 17, “Your Federal Income Tax” at www.irs.gov. It’s a comprehensive collection of information for taxpayers highlighting everything you’ll need to know when filing your return.

5. Decide whether you are going to prepare your own taxes or hire a pro.

There are many different options for filing your tax return. Give yourself time to weigh all the options and find the one that best suits your needs. If you think your tax return will be too complicated to prepare yourself and you hire a professional, make your appointment early. If you are going to do your taxes yourself, decide whether you are going to use tax software. If so, you can get ahead of the game by purchasing your tax software now. Tax software can help you find every deduction to which you are entitled and helps you avoid common mistakes, such as simple math errors.

6. Let Free File do the hard work for you.

Using IRS Free File, you can prepare and e-file your federal return for free. If you made $57,000 or less, you qualify to use free tax software offered through a private-public partnership with manufacturers.　If you made more or are comfortable preparing your own tax return, there’s Free File Fillable Forms, the electronic versions of IRS paper forms. Visit www.irs.gov/freefile to review your options.

7. Try IRS e-file.

IRS e-file is safe, easy and the most common way to file a tax return. Last year, 79 percent of taxpayers — 106 million people — used IRS e-file. Many tax preparers are now required to use e-file. If you owe taxes, you have payment options to file immediately and pay by the tax deadline. Best of all, the IRS issues refunds to 98 percent of electronic filers by direct deposit within 14 days, if there are no problems, and some may be issued in as few as 10 days.

8. Consider direct deposit.

If you elect to have your refund directly deposited into your bank account, you’ll receive it faster than a paper check in the mail.

9. Review, Review, Review.

Don’t rush. Mistakes will slow down the processing of your return. Be sure to double check all the Social Security Numbers and math calculations on your return, as these are the most common errors made by taxpayers.

10. Don’t panic!

If you run into a problem, remember the IRS is available to help. Use the Interactive Tax Assistant available at www.irs.gov to find answers to your tax questions or call toll-free (800) 829-1040.