How to choose a financial planner that won’t rip you off

[King bell]

When it comes to financial planning, it's important to choose a planner that you can trust. There are a lot of "financial planners" out there who are really just salespeople in disguise, and their only goal is to sell you products that may not be in your best interest.

So how can you make sure you choose a financial planner that won't rip you off? Here are a few tips:

1. Make sure they are a fiduciary.

A fiduciary is a financial professional who is legally bound to act in your best interests. This is the highest standard of care in the financial services industry, and it's the only type of financial advisor you should work with.

2. Check their credentials.

There are a lot of different financial planning credentials out there, but not all of them are created equal. The two most important credentials to look for are the Certified Financial Planner (CFP) designation and the Registered Investment Advisor (RIA) designation. Both of these require rigorous exams and ongoing education, so you can rest assured that the financial planner you're working with is up-to-date on the latest best practices.

3. Ask about their experience.

Financial planning is a complex endeavor, so you want to make sure you're working with someone who has a lot of experience. Ask about their specific experience with the type of financial planning you're looking for, and make sure they have a solid track record of helping clients reach their financial goals.

4. Inquire about their fees.

There are a few different ways that financial planners can charge fees, and it's important to understand how your planner will be compensated.

 

[Holicent]

Choosing a financial planner can be a daunting task. There are so many out there, and they all seem to have the same advice and services on offer. What’s the best way to pick one?
First things first: ask around. You can find out who your friends use by asking them who they recommend. If you can’t find a recommendation, go for an online search for “financial planner,” “financial advisor,” or something similar. This will give you some idea of what’s out there and what kind of experience people have had with different planners, and hopefully give you some ideas about which ones might be good for you.

Once you know what kind of experience people are having with their planners, it’s time to start narrowing down your options based on those experiences. Here are some tips:

Ask about fees. How much does the planner charge? Are there any hidden fees? What happens if I don’t pay up-front? These questions are important because they will tell you if the planner is worth investing in or not.

Get references from previous clients if possible. Ask them who they used when they were starting out (or even if they still use them)