HELP... Asap!

[Jessica Durphy]

This is kind of urgent to me, and my boss is away at an important lunch meeting. So he doesn't have his phone on.

I just had a lady call me, she said that her CD matures today. She's going to get it at 2:00 pm. She asked if there was anything that I could do for her SHORT TERM. Before telling me that I offered to do an annuity, but she didn't want to do anything LONG term.

What would ya'll suggest? She has $10,000 in her CD. right now she mentioned she's only getting .5% interest...

She's coming to me because I'm the one she trusts... I sold her a med supp and pdp plan. She really likes me. My Boss will help me, but I need to be able to give her an answer as to if there is even anything sort term that I could do for her.

ANY SUGGESTIONS?

 

[G.Gordon]

Wait for your boss "if" he has financial products in his portfolio. If not... tell her you don't handle that type of business and send her elsewhere.

YOU don't have experience and training in dealing with someone's finances. DON'T.

Nothing burns me more than a n00b agent selling financial products when they don't have a clue. Do the right thing.

 

[Jessica Durphy]

I would NEVER attempt to do it own my own. NEVER, I'm not learned enough in that area, (as you already pointed out)....... I just wanted to know if there is something short term that is even available. If I could at least tell her YES, then she would hold off putting it somewhere else.... That's all.

By the way, Mr. Williams does lots of annuities, etc.... I'm still learning. I would sit in on the meeting with them for training.

 

[HarryRenard]

There are 1, 3, 5. 6, 7 and so on. So yes there are shorter term annuities BUT you have to know what you are doing because you might be changing her taxable situation with regards to that money.

But with out knowing what companies you guys offer, I dont know that I would say anything because not all companies offer all terms.

 

[Jessica Durphy]

The only company that we deal with is Erie Family Life... we only do 3,5, and 7 year annuities. For a 3 year annuity, it's interest rate is 1.65%... guaranteed to never go below 1.1%. There is a provision that says if she wanted to borrow up to 10% she'd be able to witout a penalty....

Anyway, there's nothing that we offer short term... like the 6 months which is what she was looking for.

BOOGER!!

I wanted to edit......... that's the only company that I know of... off the top of my head.

 

[insuranceexec]

The only company that we deal with is Erie Family Life... we only do 3,5, and 7 year annuities. For a 3 year annuity, it's interest rate is 1.65%... guaranteed to never go below 1.1%. There is a provision that says if she wanted to borrow up to 10% she'd be able to witout a penalty....

Anyway, there's nothing that we offer short term... like the 6 months which is what she was looking for.

BOOGER!!

I wanted to edit......... that's the only company that I know of... off the top of my head.

Are you sure the wording is borrow? Almost every annuity; even a MYGA will allow for free withdrawals.

If loans are allowed typically it will be up to 50% of the CSV. You now have my curiosity peaked; what is their loan rate?


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[Jessica Durphy]

Well, maybe take is the word that my DSM (district store manager) used. (Can't remember for sure) but either way HE said "Erie has a provision that they can take/borrow 10% each year without a penalty."

And I'll be honest with you, as it was already mentioned afore... I haven't much learning in this area. I'm trying to learn, I've been eager to sit in on a few annuity meetings with my boss, but haven't had the opportunity to do so yet. So I honestly don't know much more than what I've mentioned already.

 

[G.Gordon]

I wasn't coming down on you, but making a statement that reflected my feelings on a matter. There are a bunch of agents out there that can't spell dollar, but damn sure try to make money screwing up some seniors finances.

I appreciate your passion for helping clients. Sometimes the best answer is "I don't know" and/or "that's not my area of business" and help them along the way.

 

[CHUMPS FROM OXFORD]

"no-load money market fund"

I didn't even know there was such a thing.

 

[Frank Stastny]

I wasn't coming down on you, but making a statement that reflected my feelings on a matter. There are a bunch of agents out there that can't spell dollar, but damn sure try to make money screwing up some seniors finances.

I appreciate your passion for helping clients. Sometimes the best answer is "I don't know" and/or "that's not my area of business" and help them along the way.

Spot on Gordon.

Insurance agents without an investment background and training who are telling seniors how they should invest their life's savings scare the hell out of me. Many who I have known who sell annuities have filed bankruptcy, have poor credit ratings, are broke and always looking for something that is "free". They obviously can't handle their own money, what makes them think that they are qualified to tell a senior the best way to invest theirs?

I don't invest my own money. If I feel that I don't know enough about investing to make wise decisions with my money then there is no logical reason why I should assume that I am qualified to advise people what to do with their money.

I would love to earn those kind of commissions but I am not knowledgeable enough to know that what I am recommending is the very best option for them. The only thing I know for sure is that if I start selling them I will make a more money. I don't think that is a good enough reason.