Starting at World Financial Group

[GCast]

I've been lurking around the forums for a while now. I wasn't planning on a career change into insurance until I've built up savings, but my aunt just introduced me to World Financial Group (AEGON) in California. It's an MLM and my first reaction is to avoid it. However, my aunt is paying for the application fees (will pay her back later) and said that the company would pay for the testing fees to get a life insurance license. Since this saves me a few hundred dollars on something I was planning on doing anyway, I figured I can stick around for that long before switching boats.

Is this a good idea? There's no non-compete clause or anything like that as far as I can see on their contract. I know with their commission rates and needing series 6 (which I'll be taking later and paying on my own) to sell most of their products, I don't want to stay any longer than I have to.

 

[Norwayguy]

I've been lurking around the forums for a while now. I wasn't planning on a career change into insurance until I've built up savings, but my aunt just introduced me to World Financial Group (AEGON). It's an MLM and my first reaction is to avoid it. However, my aunt is paying for the application fees (will pay her back later) and said that the company would pay for the testing fees to get a life insurance license. Since this saves me a few hundred dollars on something I was planning on doing anyway, I figured I can stick around for that long before switching boats.

Is this a good idea? There's no non-compete clause or anything like that as far as I can see on their contract. I know with their commission rates and needing series 6 (which I'll be taking later and paying on my own) to sell most of their products, I don't want to stay any longer than I have to.

First I have never looked into WFG..but what I have found about most of these MLM firms is that the way they work their compensation system involves you being licensed and appointed as an LOA (Licensed Only Agent) meaning all compensation goes to WFG to be paid through them to you...This is also known as assigning your commissions...The biggest issue with this is it typically doesn't work out well when you leave.

 

[DHK]

So... you're going to join a company just so you can abuse that relationship to get what you want?

1) Your aunt is desperate to sponsor someone.
2) You'll be paid 1/2 of what you could make in a career agency on your own production. Want a higher percentage? You have to sponsor others.
3) Since you'll be joining a broker/dealer... you'll be completing a U4 and they will PERMANENTLY be listed on that record. Are you sure you want WFG on your U4? And just for a month or two? What would that say about your commitment to this firm?

BTW, WFG will probably reimburse you for your fees, not pay them for you.

You're not thinking clearly. Having licenses without being trained in the actual job is NOT necessarily a good way to get hired by another investment firm.

I'd advise against this. If you're going to pay this money anyway, get with an insurance career agency and do it right the first time.

 

[Fisher]

Dude, Google WFG.

'nuff said.

I remember being hit up by more than one of the WFG cultys back when when mortgages were their get-rich-quick scheme.

 

[edbergstrom]

I agree with Fisher. Google WFG!

Are you ready to get slammed about their reputation at every high end sales call. If you have a prospect that is worth having, they are going to do some research before they move their 401k over, and they will not like what they see on the internet. Even if you and the team that brought you in are stand up people that are great and ethical in what they do. It will not matter. You will not get the business. And why go through all of that just to get paid 30-40%. You will starve. You will not make enough money unless you build a team the first month or two of at least 5 people to get your "title" up to a half way decent contract which is 45% with them or something like that. You can work for a reputable company, with better products, for twice the pay. I would look into that if i were you.
WFG has a ton of great people involved, but their reputation is very bad because they have over 10,000 agents that are recruited and half of them are soccer moms trying to make a little side money. They do not know what they are doing and because of that the company has suffered bad publicity.
Just my opinion though

 

[Pangaea]

I know a guy that joined Primerica, then legitimately changed his mind and ended up going independant--yet, this was after they paid for his license sponsorship.

The training may be useful, but going into a relationship that you plan on taking advantage of isn't cool and not something you'd want tied to your name.

 

[GCast]

Thank you. I guess it's not as good an idea as I thought. Looks like I'm not going to the next meeting after all.

 

[Cornelius]

GCast after doing some research and making a decision that still doesn't mean there may not be a better fit for you within the Insurance industry. If you decide against WFG that doesn't mean you have to give up on the industry. You can start on a part-time basis.

Now of course some may say PT isn't the way to go but there have been many others who have started that way. It is possible.

 

[carol369]

I've been lurking around the forums for a while now. I wasn't planning on a career change into insurance until I've built up savings, but my aunt just introduced me to World Financial Group (AEGON) in California. It's an MLM and my first reaction is to avoid it. However, my aunt is paying for the application fees (will pay her back later) and said that the company would pay for the testing fees to get a life insurance license. Since this saves me a few hundred dollars on something I was planning on doing anyway, I figured I can stick around for that long before switching boats.

Is this a good idea? There's no non-compete clause or anything like that as far as I can see on their contract. I know with their commission rates and needing series 6 (which I'll be taking later and paying on my own) to sell most of their products, I don't want to stay any longer than I have to.

Sounds a lot like Primerica. I dealt with them when I first entered the insurance industry.

 

[GCast]

Okay, I basically told them what I posted here, and they're surprisingly fine with it. So I guess I'll probably be taking the test after all. It's basically free once they reimburse me, and I don't have to sign a U4 since I'm not planning to sell any of their products anyway. Of course, I get the feeling that they haven't given up on me, so I'll be staying alert.