This is a question I ask myself a lot when it comes to dealing with other people
What’s their interest?
What’s their motivation?
A good example is a financial advisor selling you mutual funds.
Off the top of my head, I ask:
- Are they salaried employees or commission-based?
- If commission-based, do they make any money off the actual sale, or the final amount of what they sell?
- Do they get more money pushing certain funds over others?
- What is the cost to me?
- How is the cost calculated? In what scenarios?
Not all interests or motivations are bad, and sometimes people have an interest in just being good.
Just understanding what someone is getting out of the situation is always helpful, even if you don’t use the info.
Just a girl trying to find a balance between being a Shopaholic and a Saver.
I cleared $60,000 in 18 months earning $65,000 gross/year.
Now I am self-employed, and you can read more about 
This is true. I just had an experience with an FA. Wow! I wrote about them and him on my blog if you are interested.
Their interest is an opportunity to get a chunk of your hard-earned cash. In order to get you to open your wallet, they have to convince you that they truly care about YOUR financial future (even though they are constantly thinking about theirs). Avoid the commission-based group and do lots of research on the costs of investing on your own versus hiring someone else to help. The DIY option works best if you are financially literate and do not have A HUGE nest egg that can be easily sucked dry by taxes. If you chose to hire someone, do a background check on that person and ask if they are certified financial planners (ask for their ID numbers).
I have worked at 3 different financial institutions. I left each one of them because I did not agree with certain things. I know they are a business and need to make a profit (and they do, lot`s of it!!!) I just could not bring myself to sell products that were unfit for people just because they were on that week`s sales target. I had coworkers that would not think twice about it and just do their job, but for me it was eating me morally….so I left.
I understand that completely. When I worked in retail, (right before 2007 madness) I was told to always push department credit cards. My manager stood over my shoulder and waited for me to offer this man, who had tried 8 other cards, a department card. I could not do it. The manager offered it to him, and I had to open the account. Credit card sales targets are just murder to your conscious.
With financial advisors, you definitely should be asking lots of questions, I agree!
I apply this question to bank advertisements. It’s actually a little unnerving when you think about it.