Help -- I think SIL bought a Variable Annuity

[Bailer]

That's a Class Action lawsuit, by the way!

Bailer

 

[Bestwifeever]

Peggy, I just read the old thread and this one and I just want to thank you for being there for your SIL, no matter what happens. Your kindness (and that of your DH) shines through. So sorry she is being taken advantage of, it sounds like--

 

[peggy]

DH just called, and the whole thing has gone from the ridiculous to the truly freaking BIZARRE.

Apparently, the "friend" who sold SIL the EIA has $600k of his own money in the SAME EIA. Never mind, of course, that it is (as has been pointed out here) the subject of a lawsuit that's just been certified as class action. I have to reluctantly conclude that the "friend" is not malicious, just stupid, which could be worse.

Anyway, the VERY GOOD news is that the policy itself has a 20 day free look period, and that started ticking on October 22, so SIL is completely able to get her money out of it. She requested that at the meeting today, and I advised DH to advise her to follow up with a CRRR letter to the "friend" and to the home office of Allianz.

"Friend" had also sold her a Variable Annuity that the paperwork hasn't come back on yet (i.e., the free look period hasn't even begun to tick). DH has the prospectus for that annuity, and warned the "friend" that he's seen several VAs and hasn't liked any of them. So I suspect we'll be advising SIL to get her money out of that one, too.

OTOH, at least he hadn't sold her a whole life policy (as we'd feared). He did sell her a term life policy that will last until she's 90. DH had no objection to that, based on SIL's stated desires to provide something for her step-sons.

I now know what I'll be doing tonight, between answering the door for [-]beggars[/-] trick or treaters: reading the VA prospectus and drinking a lot of caffeine.

 

[RetireeRobert]

DH just called, and the whole thing has gone from the ridiculous to the truly freaking BIZARRE.

Apparently, the "friend" who sold SIL the EIA has $600k of his own money in the SAME EIA. Never mind, of course, that it is (as has been pointed out here) the subject of a lawsuit that's just been certified as class action. I have to reluctantly conclude that the "friend" is not malicious, just stupid, which could be worse.

Anyway, the VERY GOOD news is that the policy itself has a 20 day free look period, and that started ticking on October 22, so SIL is completely able to get her money out of it. She requested that at the meeting today, and I advised DH to advise her to follow up with a CRRR letter to the "friend" and to the home office of Allianz.

"Friend" had also sold her a Variable Annuity that the paperwork hasn't come back on yet (i.e., the free look period hasn't even begun to tick). DH has the prospectus for that annuity, and warned the "friend" that he's seen several VAs and hasn't liked any of them. So I suspect we'll be advising SIL to get her money out of that one, too.

OTOH, at least he hadn't sold her a whole life policy (as we'd feared). He did sell her a term life policy that will last until she's 90. DH had no objection to that, based on SIL's stated desires to provide something for her step-sons.

I now know what I'll be doing tonight, between answering the door for [-]beggars[/-] trick or treaters: reading the VA prospectus and drinking a lot of caffeine.

I'd say your SIL is very lucky to have a brother and a SIL like you and your DH!

 

[TromboneAl]

Let's have a party when she gets her money back.

 

[Achiever51]

DH just called, and the whole thing has gone from the ridiculous to the truly freaking BIZARRE.

Apparently, the "friend" who sold SIL the EIA has $600k of his own money in the SAME EIA. ...

FWIW, the "friend"/salesman/advisor/whatever was using one of the first tenets taught in "sales school"...i.e., make the customer comfortable by identifying with them -- "I know how you feel"..."I faced the same decision"..."I feel so strongly about this opportunity that I invested in it myself/had my widowed mother invest in it." Perhaps he indeed did invest in this EIA...if so, all the more reason your SIL shouldn't trust his judgment!!

 

[bssc]

FWIW, the "friend"/salesman/advisor/whatever was using one of the first tenets taught in "sales school"...i.e., make the customer comfortable by identifying with them -- "I know how you feel"..."I faced the same decision"..."I feel so strongly about this opportunity that I invested in it myself/had my widowed mother invest in it." Perhaps he indeed did invest in this EIA...if so, all the more reason your SIL shouldn't trust his judgment!!

That is why affinity sales (and affinity fraud) works. People think that friends/coworkers/fellow churchgoers wouldn't lead them astray. One of the people in my wife's office came out of retirement since he had given several 100K to a person at his church.

 

[haha]

That is why affinity sales (and affinity fraud) works. People think that friends/coworkers/fellow churchgoers wouldn't lead them astray. One of the people in my wife's office came out of retirement since he had given several 100K to a person at his church.

In the small community that I lived in prior to moving to the city, every ten years or so someone would ruin a group of fellow church members with some outright investment fraud, usually a Ponzi scheme where the money would go to luxury cars, homes in Palm Springs, etc. The last one I remember was done by an assistant pastor. Even after the fraud is obvious, some of the victims were supportive of this guy.

People with pleasant go-along-get-along personalities often are insufficiently wary of "folks like us".

Ha

 

[TromboneAl]

Sincerity is the key to that job. Once you can fake that, you've got it made.

 

[bright eyed]

DH just called, and the whole thing has gone from the ridiculous to the truly freaking BIZARRE.

Apparently, the "friend" who sold SIL the EIA has $600k of his own money in the SAME EIA. Never mind, of course, that it is (as has been pointed out here) the subject of a lawsuit that's just been certified as class action. I have to reluctantly conclude that the "friend" is not malicious, just stupid, which could be worse.

Sounds like he drank the koolaid and wanted to pass it around. people get sucked in by the hype, the "possibilities", the "tax free" lingo they all throw around. They're so enthusiastic because they believe!

i came to the same conclusion about my friend's cousin. At first i was concerned that he was a slimy shark, but i came to realize he was a dim slimy catfish.

 

[haha]

i came to the same conclusion about my friend's cousin. At first i was concerned that he was a slimy shark, but i came to realize he was a dim slimy catfish.

For a time I sold insurance. My company wouldn't let anyone sell their product unless we bought it ourselves. I didn't think I needed it, but I realized that so what, I'll make so much selling lots of turds that I can afford to buy one without doing any damage.

Yes M'am, I own this myself! I wouldn't go without some universal life!

Anyway, haven't we all lived in PC America long enough to know that we are supposed to be non-judgmental?

Ha

 

[cute fuzzy bunny]

Whats that old saying? Never attribute to malice that which can be explained by stupidity?

Peggy, glad your SIL is getting out of the ugly mess. Thats a very good thing.

 

[TromboneAl]

How about an update on this, Peggy.