Warning:
Protect Yourself
from Planning - Investment Trickery
Watch out for sales people who offer you estate planning
or Medi-Cal planning as a round-about way to sell you something
else (annuities, for example).
The California Attorney General recently cracked down on
one company that was selling living trusts to Older Adults
in California. According to the Attorney General's Office,
the company would find out all about an Older Adult's finances
and investments as part of the living trust planning process.
Then the Older Adult would be approached to buy annuities
after selling or exchanging existing investments. Annuities
can generate significant up-front commissions for the seller.
Over $200 million of annuities were sold this way.
After the Attorney General sued, a settlement was reached.
Under the settlement, the company agreed:
