All investing comes with some threat. However that threat needs to be based mostly available on the market, not your dealer. That’s why we safeguard each your Betterment account and your investments with a number of safety measures, all so you may log in and make investments or save with peace of thoughts. Right here’s a sampling.
4 methods we maintain your Betterment account secure
Two-factor authentication
Two-factor authentication (2FA) provides an additional layer of safety to your account, like an additional lock on a door. Apart from your common password, 2FA requires a second type of verification reminiscent of a code texted to your telephone (good) or one served up by an authenticator app like Google Authenticator (much more safe). This helps make sure that even when somebody manages to pay money for your Betterment password, they nonetheless cannot entry your account with no second type of verification.
Encryption
Each time you work together with us, whether or not on our web site or our app, your information is protected by encrypted connections. Because of this the data transmitted between your system and our servers is scrambled in a means that solely we are able to perceive.
Password hashing
While you create a password on your Betterment account, it is not saved in plain textual content. As a substitute, we use a course of referred to as hashing, which converts your password into a singular string of characters. This fashion, even when our techniques have been breached, your precise password would stay unknown and unusable by unauthorized events.
App-specific passwords
Connecting third-party apps to 1 one other unlocks all types of advantages. You may see your web price if you log in to Betterment. You may rapidly import your Betterment tax varieties to your tax prep software program. To allow these connections securely, we provide app-specific passwords. If any one in every of these connections is compromised, you may simply revoke entry with out affecting the safety of your fundamental Betterment account.
4 methods we maintain your investments secure
Simple verification of holdings
Transparency is one in every of our key ideas, so we make it simple to confirm every thing is in its proper place. We not solely present every commerce made in your behalf and the exact variety of shares wherein you’re invested, we additionally listing every fractional share offered and the respective gross proceeds and value foundation for every. Yow will discover all this info within the Holdings and Exercise tabs for every of your targets.
Unbiased oversight
We often endure assessment by unbiased auditors. This implies auditors reconcile each share and each greenback we are saying now we have in opposition to our precise holdings. Additionally they spot examine random buyer accounts and confirm that account statements match our inner data. They usually ask questions if something is even a penny off.
No commingling of funds
Your funds are stored separate from Betterment’s operational funds. Because of this your investments are held in your title and are by no means blended with our firm funds. Within the unlikely occasion we face monetary difficulties, your belongings stay safe and untouched.
SIPC insurance coverage
So as to add one other layer of safety, your Betterment securities are insured by the Securities Investor Safety Company (SIPC). This insurance coverage covers as much as $500,000 per buyer, together with a $250,000 restrict for money claims. Whereas SIPC doesn’t shield in opposition to market losses, it does present a security web in case of a brokerage failure. An explanatory brochure is out there upon request or at sipc.org.
How one can assist
Ultimately, an important safety measure is you. Be looking out for suspicious telephone calls, texts, and emails (odd-looking URLs, typo-riddled messages, and so forth.) and know that Betterment won’t ever ask you on your password or 2FA code besides when logging in or modifying your private info within the app. Use a robust, distinctive password on your account, and don’t hesitate to contact us straight for those who suspect a rip-off message and must confirm that we’ve reached out. We’ve bought your again, and between the 2 of us, we can assist maintain dangerous actors at bay.
