All investing comes with some threat. However that threat needs to be primarily based in the marketplace, not your dealer. That’s why we safeguard each your Betterment account and your investments with a number of safety measures, all so you possibly can log in and make investments or save with peace of thoughts. Right here’s a sampling.
4 methods we preserve your Betterment account protected
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 similar to a code texted to your cellphone (good) or one served up by an authenticator app like Google Authenticator (much more safe). This helps be sure that even when somebody manages to pay money for your Betterment password, they nonetheless cannot entry your account and not using a second type of verification.
Encryption
Each time you work together with us, whether or not on our web site or our app, your knowledge is protected by encrypted connections. Which means that the data transmitted between your system and our servers is scrambled in a approach that solely we are able to perceive.
Password hashing
Once you create a password in your Betterment account, it is not saved in plain textual content. As an alternative, we use a course of referred to as hashing, which converts your password into a novel string of characters. This fashion, even when our programs had been breached, your precise password would stay unknown and unusable by unauthorized events.
App passwords
Connecting third-party apps to your Betterment account (or vice versa) unlocks a number of advantages. You may simply monitor your web price on Betterment, for instance. Or rapidly import your Betterment tax types to sure tax prep software program.
When a third-party app asks in your Betterment credentials, as an alternative of utilizing your common login, we ask you to create a password particularly for that app. Within the state of affairs the third-party app’s connection is compromised, you possibly can simply revoke its read-only entry to your Betterment account.
Word that some apps might use the OAuth normal, which helps you to use your common login whereas sustaining the same stage of safety as an app password. TurboTax is one such instance.
4 methods we preserve your investments protected
Straightforward verification of holdings
Transparency is one in all our key ideas, so we make it straightforward to confirm every little thing is in its proper place. We not solely present every commerce made in your behalf and the exact variety of shares by which you’re invested, we additionally checklist every fractional share offered and the respective gross proceeds and value foundation for every. You’ll find all this info within the Holdings and Exercise tabs for every of your targets.
Impartial oversight
We recurrently endure overview by unbiased auditors. This implies auditors reconcile each share and each greenback we are saying we’ve in opposition to our precise holdings. Additionally they spot test random buyer accounts and confirm that account statements match our inner data. And so they ask questions if something is even a penny off.
No commingling of funds
Your funds are saved separate from Betterment’s operational funds. Which means that 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 accessible upon request or at sipc.org.
How one can assist
Be looking out for suspicious cellphone calls, texts, and emails (odd-looking URLs, typo-riddled messages, and so forth.) and know that Betterment won’t ever ask you in your password or 2FA code besides when logging in or modifying your private info within the app. Use a robust, distinctive password in your account.
When you obtain any sudden or suspicious communications or have questions, please e-mail fraud@betterment.com.
