Financial Planning
You may have noticed that many banks and financial institutions are now offering the services of financial planning. The reason for this surge is that many banks are noticing that they have less and less money in their vaults. This is due to the fact that people have realized that banks are not generally a great resource in building or growing money. Savings accounts and certificates of deposits will not generally “grow” or “multiply” money the way many would like.
Now banks are offering financial planning services to their customers. You should keep in mind that many of these financial planners are sales representatives. They are waiting to pounce on customers who have big bank balances. You should know that many times these planners will be making commissions off of your investment dollars. You should also know that most investments made through your local bank are not protected through the FDIC, unlike your bank accounts. While there are reputable advisors in banks, you should thoroughly investigate any financial planning advice you are given by your local bank. Never assume it is good advice simply because it is coming from your bank.
Financial planning is essential and there are reputable financial planners available to help you. One of the best ways to locate a reputable financial planner is to ask those around you whom you trust who their financial planner is. This can include a small business owner you know, your private attorney, or contacting an accountant in your area. While you should never simply take someone’s word that a particular financial planner is who will work best for you, referrals will give you a leg up and a list of names to start researching.