Sleep On Important Financial Decisions

Much like the Consumerist’s Confession series, Money magazine has a “Mole” in the financial planning industry and this week his (or her, but the picture is always of a him) advice is to sleep on any important financial decisions recommended by a financial planner. What’s fun about this particular article is that it goes into the little strategies and tricks financial advisers will use to get you to make a decision. For example, in the beginning of a consultation the planner will get you to talk about your hopes and your dreams, your goals and you concerns, all in an attempt to open up and so they can get the opportunity to build up a rapport and a sense that you two are on the same team. (Okay, this isn’t earth shattering, everyone does this) From there, they will appeal to your emotions and get you to act immediately.

This is where the Mole’s advice of sleeping on a decision comes into play and why that simple statement can separate the good ones and the opportunistic ones. “It’s great to find an adviser who takes an interest in your life, but know that the one looking to close the sale in an hour is the one you want to avoid the most.” So if they’re still interested in working with you, perhaps they’re in part interested as much in you as they are in the commission check.

Source: Money Magazine