A Wordy Scam

Planners claiming to be a “certified senior investment planner” or a “registered senior investment adviser,” may be hiding behind a scam.  According to a report by the Consumer Financial Protection Bureau, these individuals attempt to get you in the door and sell you products that may be risky, overpriced or inappropriate. 

Be wary of impressive credentials or chain of letters following an adviser’s name, as they may not have much value attached to them.  “I’ve seen business cards that say ‘HSG,’ for ‘high school graduate,’” says Gerri Walsh, president of the Finra Investor Education Foundation.  Oftentimes, these experts will target elderly individuals who are affluent. 

Yet not every adviser with a specialty is a fraudster.  Some designations require years of school and training.  An easy way to identify an adviser with expertise is to look for the “certified financial planner.” CFP indicates the planner has adequate training and experience.  If you find yourself skeptical about other credentials, you can check Finra’s “Understanding Professional Designations” database. 

See Jane Bennett Clark, Be Wary of “Senior” Experts, Kiplinger, May 2015.

Special thanks to Jim Hillhouse (Professional Legal Marketing) for bringing this article to my attention.