As annuity sales soar, fraud claims have increased

Annuities are complex financial products which frequently earn the seller high commissions. Because commissions are high, salesmen frequently use high-presure tactics. A recent article in the Pittsburg Post Gazette discribes how many seniors are harmed by abusive sales tactics.

“He never explained to us the penalties and fees we would have to pay,” Ms. Welsh said, adding that her husband, Thomas, 80, used to play basketball with their adviser. “We lost a lot of money on those transactions and he made a lot of money in commissions.”

Full article: https://www.post-gazette.com/business/money/2018/12/09/As-annuity-sales-soar-fraud-against-seniors-has-increased/stories/201812030143

If you’re thinking about purchasing an annuity, and if you’re over the age of 60, before you make the purchase you should speak with an Elder Law Attorney about how it could impact future eligibility for Medicaid or VA Aid and Attendance. You should also speak with a fee based (non-commisioned) financial advisor regarding how it will (or will not) impact your retirement plans.

Published by
David L. McGuffey

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