When it comes to managing your money, ideally you would like to be the one to do it; but sometimes, depending on the situation, it is best to seek out a financial advisor for assistance. A financial advisor can help with many situations that may arise when it comes to certain money situations. It may be a sudden financial windfall, or seeking financial planning regarding your minor children when preparing a will for you and your spouse that has you searching for the help of a financial planner.
If you are considering meeting with a financial advisor in the future, here are 3 questions to ask yourself seeking help from someone else for your finances.
How Has The Experience Been For Other Clients?
Client referrals are a beautiful thing when it comes to picking out the person who will be giving you advice on how to handle your money. One of the best ways to check out if a financial advisor is honest as well as having your best interests at heart is to reach out to either current or former clients to make sure that any particular financial advisor that you are interested in is legit. You can also always check out reviews online or ask family members and friends if they have used financial advisors in the past and what their thoughts were. Asking around may take a little time but it has to do with your money.
What Are Their Credentials?
You obviously want to choose someone who has excellent credentials. Do research on where they went to school, what their educational background is, and what certifications they possess. Most financial advisors have a minimum of a Bachelor’s Degree, though many have a Master’s Degree. It is also important to keep in mind that financial advisors that deal with stocks or insurance have to have the proper certifications. Before you do any business with a financial advisor make sure that you make sure they have the proper credentials.
Is This Person Someone I Can Trust?
When it comes to working with a financial advisor to plan for your financial future, invest your money, or start building a retirement plan, sometimes intuition can be a good thing. It is also important to look for any red flags that may mean to run the other direction and find someone else. Andrew Beattie, contributor for investopedia.com, writes about the 7 financial advisor red flags to look for. Beattie includes looking for flags like a financial advisor not having enough time to meet with your, their lack of transparency, and making big promises on big returns for your money. If you have a financial advisor who is giving you a pitch similar to one of an untrustworthy car salesman, it is time to find someone else.
Taking the time to ask these 3 questions when selecting a financial advisor will help you find the best match for you and your money.
