Primerica - What's the Catch?

[Damnaged]

So there's this girl I'm interested in, and her mother keeps trying to bait me into Primerica. I've gone to a few of their recruitment meetings, and I've heard enough sales pitches in my life to know one when I hear it, so what are they not telling me?

Yeah, I know you move up by recruiting more than sales, and the starting commissions are criminally low. I'm talking more about their products and financial planning. Good? Bad?

Here's my take on a few concerns. I've posted some of their slides with my WTF reactions right after.

imgur.com/eMU4QPB
What gives constant 10% interest without variation?

imgur.com/WCTmWJR
"This is how we grow people's money so quickly" they told me. Guess nobody reads the fine print. Is this even a reasonable projection in any financial product?

imgur.com/WCTmWJR
Somehow, you hacks actually broke math. $625k is not "nearly THREE TIMES" $300k. It is, in fact, 2.08x the amount.

There was another slide that I don't have access to where they complained a lot about permanent insurance. The claims were that there was no cash value for 3-5 years, they only got the face amount if they died and forfeited the cash to the insurance company, and were required to pay back any money borrowed plus interest.

I didn't both pointing out the UL allows for cash + face, doesn't have to be repaid, and starts accumulating cash value much faster if the agent's not a complete moron.

Anyway, there were some other things as well, but getting some oversimplified blatant dishonesty from the beginning makes me question the rest of it. Has anyone actually signed on with them? What can you tell me about the products? Is it worth doing, or am I just better off getting all my licenses, signing with companies, and doing all this independently?

My BS detector is going off like crazy but it isn't giving me much of a direction.

 

[sman]

Listen to your BS detector. Their term life insurance is overpriced. And not just a little.

As for their investment planning, I believe they have many mutual fund families at their disposal. With that said, how solid advice do you think you'll get from the average Primerica rep who does something else full time? And no, there is nothing that guarantees a 10% rate of return.

Not sure if they're still doing their weird mortgage thing, but that was extremely overpriced as well. It's comical to listen to the guy who works at the warehouse full time try and tell someone that the interest rate on their mortgage rate doesn't matter.

You can use the search function on the forum and find multiple threads on Primerica.

 

[DHK]

Primerica follows a "one size fits all" method of planning.

If they don't teach it... it must be evil.

Very few have advanced certifications... although I did see one that came from State Farm have her CLU and other certifications. I was rather surprised.

Very few join true industry associations such as NAIFA or even the FPA.

Their training is regurgitated stuff passed down from the years. They are salespeople only - not even knowing how to critically think about what they are doing.

Of course, the "opportunity" starts out at 25% commissions and (I think) top out at 65%... but only by recruiting others. I think you have to recruit 20 people to get that 65%.

If I had to choose Primerica or Independent... independent all the way. It would be better to be independent and learn everything the HARD way... than to unravel all the BS that Primerica will brainwash you with.

 

[goillini52]

So there's this girl I'm interested in, and her mother keeps trying to bait me into Primerica. I've gone to a few of their recruitment meetings, and I've heard enough sales pitches in my life to know one when I hear it, so what are they not telling me?

Yeah, I know you move up by recruiting more than sales, and the starting commissions are criminally low. I'm talking more about their products and financial planning. Good? Bad?

Here's my take on a few concerns. I've posted some of their slides with my WTF reactions right after.

imgur.com/eMU4QPB
What gives constant 10% interest without variation?

imgur.com/WCTmWJR
"This is how we grow people's money so quickly" they told me. Guess nobody reads the fine print. Is this even a reasonable projection in any financial product?

imgur.com/WCTmWJR
Somehow, you hacks actually broke math. $625k is not "nearly THREE TIMES" $300k. It is, in fact, 2.08x the amount.

There was another slide that I don't have access to where they complained a lot about permanent insurance. The claims were that there was no cash value for 3-5 years, they only got the face amount if they died and forfeited the cash to the insurance company, and were required to pay back any money borrowed plus interest.

I didn't both pointing out the UL allows for cash + face, doesn't have to be repaid, and starts accumulating cash value much faster if the agent's not a complete moron.

Anyway, there were some other things as well, but getting some oversimplified blatant dishonesty from the beginning makes me question the rest of it. Has anyone actually signed on with them? What can you tell me about the products? Is it worth doing, or am I just better off getting all my licenses, signing with companies, and doing all this independently?

My BS detector is going off like crazy but it isn't giving me much of a direction.

You need to be "more smarter" than to fall for this. Sorry, couldn't resist.

 

[yaknow1]

Ugh. Rule of 72. That was mildly interesting as a 12 year old. Frightening that anyone bases financial advice on that.

 

[LGilmore]

There are two aspects of Prime. One is they are a middle of the road term company whose product is not competitive with many other term companies out there.

Second aspect is basically they are a multilevel marketing gig where they spend more time recruiting people to work under them.

I don't run into them much anymore in my market. For most agents with prime the turnover is much like restaurant workers. Most come in sell a few family members and then soon drop out of the business.

There is nothing "special" about prime, more negatives than positives.

 

[Damnaged]

You need to be "more smarter" than to fall for this. Sorry, couldn't resist.

SEE?!? That's why I did that. Now I'm known around here.

But yeah, I figured it was a shaft deal, I just wanted to make sure my instincts were in line with people who know what's going on.

Primerica follows a "one size fits all" method of planning.

If they don't teach it... it must be evil.

Very few have advanced certifications... although I did see one that came from State Farm have her CLU and other certifications. I was rather surprised.

Very few join true industry associations such as NAIFA or even the FPA.

Their training is regurgitated stuff passed down from the years. They are salespeople only - not even knowing how to critically think about what they are doing.

Of course, the "opportunity" starts out at 25% commissions and (I think) top out at 65%... but only by recruiting others. I think you have to recruit 20 people to get that 65%.

If I had to choose Primerica or Independent... independent all the way. It would be better to be independent and learn everything the HARD way... than to unravel all the BS that Primerica will brainwash you with.

The great DHK comments my thread!

Yeah, the one-size-fits-all was what I was seeing as well. And that commission... criminal.

 

[Agentguy5]

So there's this girl I'm interested in, and her mother keeps trying to bait me into Primerica.
My BS detector is going off like crazy but it isn't giving me much of a direction.

If you're not having sex with this girl, it's because she's probably having sex with someone else... You need to give it to that girl before her mom "gives it to you" and then run like hell. lol

The good news is that since her mom is EASILY brainwashed, then she probably is too, and that my friend, is good news for you!!!

 

[Norwayguy]

If you're not having sex with this girl, it's because she's probably having sex with someone else... You need to give it to that girl before her mom "gives it to you" and then run like hell. lol

The good news is that since her mom is EASILY brainwashed, then she probably is too, and that my friend, is good news for you!!!

I was thinking the same thing.

 

[moonlightandmargaritas]

If you're not having sex with this girl, it's because she's probably having sex with someone else... You need to give it to that girl before her mom "gives it to you" and then run like hell. lol

The good news is that since her mom is EASILY brainwashed, then she probably is too, and that my friend, is good news for you!!!

Mother-daughter tag team action can be quite exciting I hear!