How we maintain your Betterment account and investments secure

All investing comes with some danger. However that danger 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 possibly can 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. Moreover your common password, 2FA requires a second type of verification comparable to 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 out 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. Because of this the data transmitted between your system and our servers is scrambled in a method that solely we are able to perceive.

Password hashing

If you create a password in your Betterment account, it isn’t saved in plain textual content. As an alternative, we use a course of referred to as hashing, which converts your password into a singular string of characters. This manner, even when our programs have been breached, your precise password would stay unknown and unusable by unauthorized events.

App-specific passwords

Connecting third-party apps to at least one one other unlocks all kinds of advantages. You may see your web value whenever you log in to Betterment. You may rapidly import your Betterment tax types to your tax prep software program. To allow these connections securely, we provide app-specific passwords. If any one in all these connections is compromised, you possibly can simply revoke entry with out affecting the safety of your primary Betterment account.

4 methods we maintain your investments secure

Simple verification of holdings

Transparency is one in all our key rules, so we make it simple to confirm all the pieces is in its proper place. We not solely present every commerce made in your behalf and the exact variety of shares during which 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 data within the Holdings and Exercise tabs for every of your targets.

Impartial oversight

We usually bear overview by unbiased auditors. This implies auditors reconcile each share and each greenback we are saying we’ve got in opposition to our precise holdings. In addition they spot test 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 identify 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 defend 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, crucial safety measure is you. Be looking out for suspicious telephone calls, texts, and emails (odd-looking URLs, typo-riddled messages, and many others.) and know that Betterment won’t ever ask you in your password or 2FA code besides when logging in or enhancing your private data within the app. Use a robust, distinctive password in your account, and don’t hesitate to contact us immediately for those who suspect a rip-off message and must confirm that we’ve reached out. We’ve obtained your again, and between the 2 of us, we might help maintain unhealthy actors at bay.