If you’re thinking about paying commissions to financial advisors, you really need to read this first. No, we’re not taking shots at all financial advisers. There are plenty of great financial advisers out there. They do great work in terms of educating the public, and we feel that they deserve to make a good living. However, you have to realize that when someone is paid based on commission, they usually have an agenda. This means that they are going to be promoting products and services that allow them to collect the most commission possible. These services might not be in your best interest, which is why it’s never a bad idea to really look at what you’re being offered. We mean that you need to look at all of the fine print and all of the fees. If you don’t do that, you’re going to end up hurting yourself in the long run. It’s better to really make sure that you have all of your bases covered than to be walking around spinning your wheels.
Commission based advisers do have products that they want to offer. The most ethical ones will at least see if you’re going to be a good fit for the product that they have in mind. They will take in the unique details of your financial life in order to make sure that you’re going to be happy with what you’re getting. Considering that a complaint can cause them to lose their license if they are held accountable, they are starting to really watch what they promote.
This isn’t to say that all products and services offered to you are designed to rip you off. However, if you don’t go into the transaction with your eyes open, you can be ripped off without even realizing it. If you’re in doubt, you can always go and get a second opinion. Or you can use resources on your own to look things up. You just need to make sure that you’re trying to get the best of both worlds when it comes down to it. What else is there to do?
You just have to make sure that you’re taking the time to get things together the best way that you know how. What else is there to do than that?
Make sure that you’re focusing heavily on the financial plan that you see yourself having. Don’t let anyone walk over your financial dreams just because they’re trying to sell you something. In fact, if the adviser isn’t willing to listen to you, then it’s time to move around until you find a skilled professional in the finance industry that can help you achieve your goals. At the end of the day, only you know what’s really best of your family. You have to setup up and be their advocate first and foremost. Good luck!