financial advice

Two Important Factors that Set Good Financial Advisors Apart

Angela Manning Business, Finance , , , ,
Two Important Factors that Set Good Financial Advisors Apart

Keith Springer is a popular financial advisor that has dealt with some high profile clients. He believes everyone should work together with a financial advisor, and has created some advice on how to choose the best one. According to him, there are just two factors that people should really look for.

Their Experience in Financial Planning and Their Price Package

Good financial advisors are also excellent financial planners. That means they look at the full situation of an individual, making sure they plan personalized strategies to meet their goals. This is very different from a financial advisor who works more as a broker, meaning you ring them with a description of your needs, such as an insurance policy or investment, and they execute it for you. Financial planning is always separate from financial advice, so it is likely that you will be charged for that as well.

Their Area of Focus

Different financial advisors have different areas of focus. Common areas include:

  • Estates.
  • Taxes.
  • Retirement planning.
  • Financial planning.
  • Insurance.
  • Investment.

Others, however, take a more generalized approach. Which of the two is better for you depends on your personal needs. You have to think about the bigger picture yourself as well. For instance, if you are in your late 40s, you may only require financial planning, but will quickly be approaching the time where you will need retirement planning and, eventually, estate planning. This means that a generalist advisor may be more beneficial, as it means that you won’t have to find a new advisor each step of the way. However, if you have a specific issue that you need help with, such as buying into the right life insurance, then a specialist advisor is perhaps more suited to you.

Some Extra Considerations to Make

The two factors above are the most important ones to consider when choosing a financial advisor. However, there are a few other things to consider as well, including:

  • Whether they offer convenient appointment times, including outside of regular office hours.
  • Whether they and their staff make you feel respected and comfortable.
  • Whether you feel like your advisor and support staff go out of their way to help you out.
  • Whether you feel like your best interests are at the heart of what they do.
  • Whether their office is comfortable, efficient, and easy to get to.

Make sure that you research and speak to a number of different advisors before you make a final decision. This will enable you to see what sets the different advisors apart, enabling you to find the one that will best suit your needs. All good financial advisors will offer you a free initial consultation if nothing else, and you need to use those to see how you feel about the advisor, their work, and their office. The decision on whether or not go ahead with their help should be left up to you, and you should not be pressured into making a decision on the spot.

How to Get Out of Debt and Avoid Bankruptcy

Angela Manning Finance , , , ,
How to Get Out of Debt and Avoid Bankruptcy

Indebtedness is rising across America. The good news is that you are not the only one facing crippling debts. Also, there are plenty of things you can do to get out of debt. If debt becomes too much to pay off, you may have to file for personal bankruptcy. Many people prefer to avoid this scenario due to various reasons, including not wanting to hurt credit scores. If you are currently in deep debt, here are several things you can do to alleviate your situation:

Make a Repayment Plan

The best way to get out of debt is to pay back all your loans. So, don’t be scared of the red notices. Repay at least something back so your creditors don’t have a reason to sue you. If you have multiple debts, you will have to start making a plan to pay it all back. You can prioritize certain debts to pay back, such as loans with high interests or loans that could lead to loss of a vital possession, like a house or a car. You don’t have to do this alone. Talk to your local financial consultant or Scottsdale bankruptcy attorney to weigh all your options first.

Negotiate with the Creditors

Don’t avoid the creditors and dread collection calls. If the debt has become too much to pay off, you can always try to renegotiate the terms of payment with the creditor involved. If you default on a loan, the creditor suffers a loss too. So most creditors prefer to extend due dates or lower interest rates rather than have a debtor who defaults. You can try negotiating yourself, or hire a lawyer to do this on your behalf.

Cut Back on All Unnecessary Expenses

In addition to the above, you must make certain decisions with regards to your personal finances to get back on your feet. Expect that you may have to spend the next two or three years in extreme frugality until your debts are paid off. You will have to eliminate all unnecessary expenses for things like clothes, shoes, or vacations. Create a household budget and track all income and expenses. If there is an expense that can be eliminated, it will have to go until you are debt free. This will be quite difficult for many, but compulsive spending habits will have to be reined in.

Get a Second Job

You can largely eliminate debt by increasing your income, so you can use the extra cash to pay off creditors. If you already haven’t done so, get a second job at least on a part-time basis. You may be able to work from home too depending on what you are good at. The point is to make more money than you did before, and use that money to pay down your debt.

Check the Attic for Things to Pawn

Not everyone can just go out and get a second job. If this is the case, there are other means to get your hand on extra cash to pay down debt. Search your house for old vintage items or things you no longer need. Those old vases, toys, or clothes may be valuable enough to sell online. You can use a site like eBay to auction off old items and earn some extra cash in a time of need.

If all else fails, you can file for bankruptcy. It’s not as bad as everyone thinks. Certain forms of bankruptcy, like Chapter 7, allows a court to eliminate unsecured debts like credit card debt. But first, try the above, and talk to a lawyer.