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When Bad Financial Advice Pushes Seniors into Poverty


#1

When Bad Financial Advice Pushes Seniors into Poverty

Joe Valenti

When you meet with a financial adviser, the advice you get may not be what’s best for you—it may be what’s best for them and their bottom line.


#2

There are so many people who will jump onto the "life isn't fair" meme. Most likely, they are the ones who will baffle the baffle-able. Paul Ryan's "takers" are a joke. The exploiters are an evil contingent of takers, if ever there were such a thing. We live in a con game. And the facilitators such as Ryan need to be expelled. And Barry. And Hillary...


#3

Paul Ryan is an absolute coward, working for those with money, and not those with little of it. He is a coward and anyone working WITH HIM is one, too.

A return to pensions should be a global demand, one where funds are kept in insured savings accounts with no access to them other than by those the pensions belong to, the workers. Not the owners of the companies, just those workers. Period. There should be no reductions in SS or any push out in dates for access to it. We need to expand it for those with total incomes of less than $50K a year. No one should be left in poverty after working all of their lives either in their homes, supporting working spouses or the workers themselves. No one. The fantasy is that this would be put upon the shoulders of the youth of tomorrow. It should be a global workers' right demand that it be put on the shoulders of Employers of TODAY!


#4

There is going to be huge repercussions for the financial services agencies within a few years time. While the banks are exposed with all of their derivatives and other such toxic investments the model of the current system is flawed in many other respects.

As example look at the Life Insurance Industries and health Insurance under a private for profit model. What these institutions do is collect premiums on a monthly basis from those buying Insurance. These premiums are than invested in things like bonds and interest paying investments in addition to stocks. The proceeds from the same are then skimmed off as profits and used to finance the monies paid out for any making claims on their insurance.

The problem is of course interest rates are near zero. The stock market is being propped up through artifical means and will correct in short order. These firms will not have that as a source of revenue and will have to increase premiums to address that shortfall.

This already happens in the health Insurance industry in the USA and the Companies raising premiums blame it on Obama care. Companies that sell life insurance are running into these same issues the world over. Profitability drops so insurance premiums pushed up.

I expect many of these firms will go under and much like with pensions , lobby groups for industry will lobby the Governments for protections wherein they will be shielded for having to pay out claims that peoples with that insurance are entitled to.

This is a far larger problem than bad advice to seniors as to their financial investments. This is a systemic problem wherein the 1 percent are looting the system of its wealth so as to maintain their ill gotten gains.


#5

First they screwed us by forcing us to gamble in the stock market instead of having pensions, now they want to make sure they won't be held accountable for lining their pockets with our money while impoverishing us.

It obvious who's been running things - and it hasn't been us.

Bernie 2016


#6

Couldn't agree more. This proposal is jut a cosmetic adjustment to a monstrous problem i.e. lack of pensions and people left on their own to navigate the financial jungle.


#8

It used to be (60 years ago) that you could put your extra money in a savings account that paid enough interest to beat inflation over the long run. It was an easy to understand way for people without pensions to save for retirement. People still needed the discipline to save but they had a mechanism for doing so that didn't require an MBA and was secure from the vampire squids. Today, not so much. Inflation is raging despite the government's rigged CPI, pensions are nonexistent or unreliable, savings pay virtually nothing, the stock market is just a place where stupid people put their money so the squids can get at it and bonds don't come close to beating inflation. You would be better off converting your money into silver and burying it in the back yard.


#9

And why HRC’s ties to Wall Street may be bad for Seniors----
(would anyone be concerned about this if Bernie Sanders were president?):

http://www.ncpssm.org/EntitledtoKnow/entryid/2190/the-wolves-of-wall-street-hillary-clinton-and-social-security

http://www.truthdig.com/eartotheground/item/would_this_man_be_hillary_clintons_treasury_secretary_20160303


#10

I am well over 70 years of age and have always distrusted anything associated with the banking and investment businesses. I feel that most elderly Americans (or all Americans) are not even aware that they are being used by "financial advisers."
On another topic, the large majority of elderly Americans support Hilary and do not even know that she most likely will be in favor of the chained CPI for Social Security benefits once she is in office, compared to Bernie's positions of expanding Social Security and Medicare. It is the people in my age category, not the young, who are the naïve ones in this election cycle.


#11

Pensions should be protected by law against those who are supposed to giving sound financial advice.......And dont ever expect any republican to agree to this they could care less about people they have been paid off or bought off by corporations to keep screwing the working man....Republicans are vile evil creatures as well as there blue dog democrats...Only way to save Amedrica is to vote against all republicans...Nothing but assbags all of them.


#12

as long as the insurance industry continues to take premiums and invest them, rather than saving them with a slight growth rate through an old fashioned savings bank method, yes, the funds will find a way into fraudulent or at the very least, very flawed and failing investments. There should be no connection between such funds and Wall Street. Investment banking needs to be completely separated out from all such "savings/insuring" types of funds. Insurance industry, in my view, is simply not the way to go.