By Marilee Veniegas-Essential Security Software

What types of information are shared? When accounts are opened or transferred as an individual or SMB, personal identifying information is inevitably transmitted between you and your financial services representative (and sometimes their support staff). This information includes and is not limited to:

* Name
* Address
* Social Security Number
* Account Numbers (e.g. when doing a rollover or transferring banks or credit cards)
* Date of Birth
* Employment History and Income
* Current Assets and Portfolio information

Much of this information is done in person or online via a secured website, but often SMBs and individual clients look to their brokers, account representatives and customer service personnel to answer specific questions to their accounts. More and more, these information transactions take place electronically.

How can client information be at risk if the paperwork is taken care of safely in person or via a secured web process? Personal financial information (PFI) can be compromised as a one-on-one relationship with your financial services professional grows and builds. Sometimes connecting with a financial services firm is done on the phone, other times via email. Its the security of email communication between client and firm/organization where your PFI is put at risk.

A quick question or message sent off to a financial services organization appears to instantaneously pass from your computer to the recipients inbox. In reality, email messages make transitory stops along the way. As emails are directed by proprietary servers to their final destination, messages which arrive at each of these stops are often stored, and sometimes copied or even scanned before being sent on to their final destination. Email security goes beyond being aware of the current phishing scheme, where unscrupulous data thieves pose as someone from your trusted financial institution. Information interception isnt just about who forwards your message on, but is also about who may seize that message when its en route.

Financial firms though guided by government acts, restrictions and guidelines sometimes dont appear to have concrete policies when dealing with email between client and the firms employee. Compliance and risk officers to who manage the firms policies must deal with nuances outlined by Sarbanes-Oxley, Gramm-Leach-Bliley Act, and Securities and Exchange Commission (SEC) regulations. Each of these governmental mandated policies dictate how your personal financial information (PFI) is handled digitally, but dont delineate the best method of PFI protection.

Andy Purdy, acting director of the National Cyber Security Division of the Department of Homeland Security in a February 2006 interview with CNet/News.com identifies the importance in protecting PFI and other important digital assets:

'I think consumers and small businesses and large enterprises and the government are all important when trying to reduce the cyber-risk. Were trying to raise awareness with partners of the responsibility and techniques consumers can use to help secure their systems.' (1)

A clients PFI is a commodity which can be bought and sold on black market data warehouses. Digital thugs look to harvesting email information in a variety of means. What can individual clients and SMBs do to ameliorate the situation while staying connected to their financial services firm? Data encryption easily facilitated process of securing sensitive information like PFI. If one of these black market digital thugs happens to intercept an encrypted message (unless they have somehow gotten the encryption keys) they will not be able to decipher the message. If the email thug attempts to break any one of the commonly used encryption algorithms, they likely wouldnt be able to do so within their lifetime.

Business owners and individual investors can work a lifetime to become financially successful and stable. Having sensitive information like ones PFI at risk via email can shatter that financial stability.

Risk in communicating with these services can be contained through being aware of email risks, phishing scams and using encryption tools to secure financial communiqué. Though quite broad in nature, Financial Services in each of its facets as lender, investment manager or funding arm can take an additional step in their clients economic success. Using encryption tools enables the individual client or SMB to stay in close contact with these stewards of their financial future.

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End Notes:

1.) Joris Evers, 'Newsmaker: Locking down Americas Net defenses' 16 February 2006, CNet New.com - http://news.com.com

Ms. Veniegas is an alumni of the University of Washington. Marilee joined the Marketing team at Essential Security Software, Inc. in 2005. She also serves as one of the ESS site editors for 'I Want My ESS!' a stolen work and Small/Meduim Business (SMB) resource site.

By Daniel Kane

The answer is 'yes' for some, and 'no' for others, depending on a number of variables.

But, it is sometimes possible to meet with a college admissions or financial aid counselor and come away with an improved scholarship or financial aid package.

To apply for financial aid, students most complete and submit a federal financial aid form (FAFSA) which consists of questions about family assets (including savings and investments) and earnings. Some colleges, primarily privates, ask students to complete a second such form.

The financial information on a students FAFSA is fed into a formula to determine whether or not he or she is eligible for federal grants and/or subsidized (low interest) student loans. Understand that other kinds of aid, including many scholarships and unsubsidized loans, do not require established need, but federal grants and subsidized loans do. You also need to realize that federal dollars can not be used to award more dollars than required to meet a students full need.

So, unless you make a mistake on your FAFSA, youll only be able to increase your federal financial aid if you can demonstrate to a financial aid counselor that you have suffered financial reversals since submitting your FAFSA or that you are the victim of special circumstances. Generally, a successful appeal requires solid documentation.

Colleges can be much more flexible with their own funds than they can with federal dollars. Many can and do offer academic, leadership and many other scholarships without regard to need. The Harvards, Yales, and Princetons of the world seldom offer any funds not based on need, but they meet the full financial need of every student they enroll.

Other colleges and universities, especially second and third tier privates, often use institutional scholarships to compete with more selective and/or less expensive colleges. Such schools are generally very comfortable using their own dollars to sweeten the pot for high-achieving students.

As a result, students bound for colleges in this category may have some luck in upping their financial aid package if they can point to other institutions which have offered them better packages or make a convincing case that the initial financial aid package presents a difficult financial challenge. These kinds of appeals should be made to an admissions counselor or to the Dean of Admissions.

When requesting more aid…need based or otherwise…remember that you are not buying a car. Ultimatums, rudeness, and aggressive behavior will surely be counter productive. And, you must remember that admissions and financial aid offers do not enjoy unlimited discretion. While I would not encourage anyone to try to save the last dollar on educational costs, there is no harm in requesting necessary help.

Daniel Kane, a veteran director and dean of admissions, has created and maintains websites on online colleges and online education degrees .Click here for other unique financial aid articles.