Speaker 1: It's time for the b a qa a to be
Speaker 1: a qa What to say, it'd be a q a man,
Speaker 1: be a q a tiffin, the b a qa a Hey.
Speaker 2: Man, are you doing rural? Hello? I'm doing great. I
Speaker 2: don't know why I'm British, but here it is.
Speaker 3: If you want to do this, the disclaims that people
Speaker 3: don't sue us.
Speaker 2: Oh yes, please get to salt shakers out, y'all, and
Speaker 2: please take everything we say in the ba q and
Speaker 2: a with a huge dose of salt, because we are
Speaker 2: not your financial advisors, your planners, your investment advisors, your
Speaker 2: insurance brokers, your mom and your daddy, your auntie, your
Speaker 2: lawyer or your attorney, any of that. We are your
Speaker 2: financial besties.
Speaker 3: What do you usually say?
Speaker 2: We're gorgeous, we're smart.
Speaker 3: Yes, we're all things, but we are legally like bound
Speaker 3: to you.
Speaker 2: Yeah exactly. Okay, so don't come for us, Just enjoy,
Speaker 2: enjoy some of this tea that we are about to
Speaker 2: spill about your financial and your career questions. Yeah, today
Speaker 2: the theme is money, and today the theme is what
Speaker 2: are we calling it? Red flag?
Speaker 3: Yeah?
Speaker 2: Yes, red flags, financial red flags.
Speaker 3: Yes.
Speaker 1: So this has come up a lot. So this is
Speaker 1: actually not from the mailback, but this has just.
Speaker 3: Come up a lot. Me and Mandy we're talking like
Speaker 3: you know, kiki and giggling.
Speaker 1: We always do on like some of the some of
Speaker 1: the goings on in our community. When it comes to
Speaker 1: scam it feels like, right, Mandy, in the last especially
Speaker 1: during COVID and beyond, a big uptick in scamme rations.
Speaker 2: Yeah, especially around financial I mean financial and business and
Speaker 2: finances in business. And by that it's like do this
Speaker 2: thing to get rich, do this thing to start your
Speaker 2: own business, or do this thing so you never have
Speaker 2: to work again. And it all sounds really too good
Speaker 2: to be true. But I guess the scam that like
Speaker 2: we're going to talk about today, or you're gonna talk
Speaker 2: about because you're going to educate me on it is
Speaker 2: like a case of a celebrity lends their face to
Speaker 2: what turns out to be a scam. That's when your
Speaker 2: team fails you.
Speaker 3: And I know Rose and Logan would never put you.
Speaker 3: And here's the thing.
Speaker 1: So so in our space, like Mandy and I really like,
Speaker 1: well Mandy you know is new to the other side
Speaker 1: of the financial education space. You know, she was on
Speaker 1: like the like the corporate side at you know, as
Speaker 1: a as an editor working at Yahoo Finance, like on
Speaker 1: the journalists side, and then I've been on the like
Speaker 1: I guess, the personality side of personal finance.
Speaker 3: You know, it seemed then, you know, people kind of
Speaker 3: are on the up and up right. I don't know that.
Speaker 1: I remember one time you did say there was an
Speaker 1: article you had to make sure like looking at bank
Speaker 1: accounts because someone had lied about how much they made
Speaker 1: in a.
Speaker 3: Business or something like that.
Speaker 1: You know, man, so you had to be you know,
Speaker 1: but that was the biggest thing back then. It's like,
Speaker 1: oh I made more than I said. It was like,
Speaker 1: show me your bank account in order for me to
Speaker 1: you know, write this article. Now the girls are out
Speaker 1: here like every type of investment, like on the total
Speaker 1: real estate fund, and that guy who you know, I
Speaker 1: think he collected like twelve million dollars worth of business
Speaker 1: has basically lost it all. And there's just so many
Speaker 1: financial scams where you know, people promised she among us
Speaker 1: returns you know, uh Bernie made out as scams where
Speaker 1: it's it's period scam, period schemes. And the worst is
Speaker 1: like these scams where they will tell you periods a
Speaker 1: pyramid look at me period?
Speaker 3: Who child that period? Oh my god? Where of those?
Speaker 3: Those are interesting pyramids?
Speaker 2: I mean, I pay you a lot of money if
Speaker 2: he promised me, I never had to have one again.
Speaker 3: Pyramid schemes, right, but recently.
Speaker 2: I'm like, so you also you've really meant Ponzi.
Speaker 3: But Ponzi yeah, no word pyramid skins. You know, the pyramid.
Speaker 2: Schemes like Bernie made Off wasn't a pyramid. He was
Speaker 2: a ponzi.
Speaker 3: Yeah, he was a ponzi. I didn't mean ponzi. But
Speaker 3: also pyramid is that is a scam? It is, right, Yeah,
Speaker 3: But there's all these games happening.
Speaker 1: And so the most reason one that that has gotten
Speaker 1: like really blown up is DJ Envy.
Speaker 3: He is a very popular DJ on the Breakfast Club.
Speaker 2: And club boys are always getting into trouble.
Speaker 3: So you know, well, you know, Charlemagne is just because
Speaker 3: his mouth. But he partnered with the along with Penias Is.
Speaker 1: He partnered with I guess a gentleman named mister Penias
Speaker 1: and he was like, I guess he was a real
Speaker 1: estate investor and he you know, DJ Envy promoted him
Speaker 1: on the platform.
Speaker 3: It seems like they partnered. I mean this is all.
Speaker 1: Alleged because you knows. And so mister Pinias then went
Speaker 1: ahead and basically it seemed seemingly has taken the money
Speaker 1: and not done what he said he was gonna do.
Speaker 1: As I read a little bit deeper, it seemed like,
Speaker 1: and I mean, I have been victim of a scam too.
Speaker 3: We're gonna talk about kind of like the breakdown of scams, right.
Speaker 1: Is that you would, don't you know, you you would
Speaker 1: invest whatever amount of money and you were supposed to
Speaker 1: get thirty percent, like you know, from the project. So
Speaker 1: it was like, you know, you invest fifty thousand dollars
Speaker 1: he was supposed to buy you know, use that money
Speaker 1: to write homes or other commercial properties or whatever, and
Speaker 1: then you would get thirty percent you know of like
Speaker 1: you know, whatever that investment was going to yield. Which
Speaker 1: as I did dug a little deeper, people were like,
Speaker 1: that doesn't actually make sense to get thirty percent because
Speaker 1: if you were to like borrow money from a hard
Speaker 1: money lender. So a hard money lender is someone who
Speaker 1: has a bunch of cash, and you're a real estate
Speaker 1: investor and you don't have the cash, and so you say, hey, Mandy,
Speaker 1: can I get one hundred thousand dollars from you, and
Speaker 1: in a month, when I fix up the property and
Speaker 1: sell it or whatever, I'll give you your hundred thousand
Speaker 1: dollars back plus ten percent, which is a lot of money.
Speaker 1: So you get one hundred and ten thousand dollars back
Speaker 1: or you get the property back. So if a hard
Speaker 1: money lender it's about ten fifteen percent. Why would I
Speaker 1: do an investment with somebody and give them thirty percent
Speaker 1: when I could just do a hard money lender, which
Speaker 1: is easier quote unquote, And so those numbers basically adding up,
Speaker 1: and sure enough they didn't. A lot of people lost
Speaker 1: a lot of money. But the reason why it's blowing
Speaker 1: up is that DJ Envy is famous, you know, breakfast clubs,
Speaker 1: like lots of views, and it's like, how did you
Speaker 1: get yourself mixed up with someone who was not truthful?
Speaker 1: Now Here are some of the components of a scam
Speaker 1: that I have been seeing this it's odd in our community. Mean,
Speaker 1: I don't know if you've seen this, but like so
Speaker 1: for example, Jay Morrison who did the Tulsa real estate.
Speaker 3: The premise is hey, same.
Speaker 1: Thing with mister Pinies who saw all this money allegedly
Speaker 1: I am an ex convict, which I'm like, ooh, stop
Speaker 1: right there, begin and end right there. No, shay, you know,
Speaker 1: I know sometimes people make mistakes who they're younger, but
Speaker 1: not with my money, honey. I am someone who just
Speaker 1: came home and I'm making a better life for myself.
Speaker 1: And because I just came home and I didn't have
Speaker 1: access to like other ways of like work or whatever,
Speaker 1: I have started. Whatever this venture is, you should invest
Speaker 1: in it. So I'm like, I don't know what it
Speaker 1: is about our community, but why is that a selling
Speaker 1: point that I used to be in jail for whatever reason?
Speaker 1: And you know, I'm not here to shame someone who
Speaker 1: was once incarcerated. But if you've been incarcerated, especially if
Speaker 1: it's due to fraud, I'm like, doesn't that sound like
Speaker 1: that's what you do?
Speaker 2: Like yeah, so that about wallf of Wall Street guy,
Speaker 2: I mean like he's you know, out and now making
Speaker 2: a lot of money.
Speaker 3: I mean, yeah, So that's one.
Speaker 1: I feel like the anatomy of a scam is one
Speaker 1: the character of the person and kind of like what
Speaker 1: their background is. Two, you know, sharing things that are
Speaker 1: too good to be true, a thirty percent return when
Speaker 1: everybody else is giving five or six percent. Is it's
Speaker 1: you know, it's one thing to say I'm doing an
Speaker 1: eight percent return everybody else is giving six, but thirty
Speaker 1: when everybody else is giving ten. You know, the good,
Speaker 1: the too good to be true part. It's a huge
Speaker 1: red flag when it comes to scams, right when someone says, like, now,
Speaker 1: the problem of a of a really good scam is
Speaker 1: that some people will make money, because that's the part
Speaker 1: is that what happens is usually the people who jump
Speaker 1: in early, they indeed get their fifty twenty thousand whatever
Speaker 1: and they're like, oh my gosh, this thing's legitimate. And
Speaker 1: that's the point, is that a really good scam will
Speaker 1: pay some people in the beginning because it will attract
Speaker 1: other uninitiated people and then they get to keep their money.
Speaker 3: So that's another anatomy of a scam that the.
Speaker 1: Too good to be true part actually is paid out
Speaker 1: early on, but by the time you get there, not
Speaker 1: so much. And anything else I'm missing, like for when
Speaker 1: people are looking at scams like that, like ugh.
Speaker 2: I think the big one also is well, the pressure
Speaker 2: to make a decision quickly. So and this also happened.
Speaker 2: Mean's a sales tactic. You know, in general, it's one
Speaker 2: of those things that's like, it's not the tactic is
Speaker 2: in a scam, but this tactic can certainly get you,
Speaker 2: make you more likely to fall for a scam if
Speaker 2: you let it control you, like the sense of like,
Speaker 2: you know, I experienced this when I was shopping to
Speaker 2: refinance my mortgage. You know, those mortgage lenders that you
Speaker 2: talk to, they want you, they want you to refine
Speaker 2: with them, They want your business, and it's like I
Speaker 2: can get you this rate, you know, but you know,
Speaker 2: you really want to make a decision today because I
Speaker 2: can't promise it's going to be here if you don't
Speaker 2: lock it in so anyway, but having the groundedness to say,
Speaker 2: I'm going to take my time to look into this,
Speaker 2: you know, that will save you from a scam in
Speaker 2: and of itself a lot of times.
Speaker 1: And the hard heart heart pressure sales is potentially Oh yeah, Sam, I'm.
Speaker 2: Talking else like Jesus crypto. If you're asking you for crypto.
Speaker 3: Yeah, oh yeah.
Speaker 1: The way they ask me to pay yes, hit me
Speaker 1: up on social media, which is kind of scary. So
Speaker 1: a woman hit me up and said, tifany is this
Speaker 1: you I'm like, no, that on TikTok or whatever. There's
Speaker 1: somebody who's trying to scam people out of money using
Speaker 1: my image. And what's really scary is, she said, Tificany,
Speaker 1: the part that was scary is they called me on
Speaker 1: Instagram or TikTok or whatever, and it was a video
Speaker 1: of you talking, but I couldn't hear you well, so
Speaker 1: I thought it was really you calling me and they
Speaker 1: went back to texting, like, oh, my connection is bad.
Speaker 2: I was like, wait, is that that's the same thing
Speaker 2: that Gail King? Have you seen this? So Gail King
Speaker 2: went on ig and shared a video of that looked
Speaker 2: legit through AI because they can they can if you
Speaker 2: have a enough speaking I can see how they could
Speaker 2: take an episode of like you speaking of this podcast
Speaker 2: or like any of your other engagements and uploaded into
Speaker 2: AI and be like, can you generate a statement about
Speaker 2: my business with Tiffany's voice, yes, and then put it
Speaker 2: with some blurry footage and you talk yeah.
Speaker 3: Really like I couldn't believe. And she was like, you know,
Speaker 3: but I know that you never asked me for whatever
Speaker 3: it was. It was. The English is really bad. As
Speaker 3: far as the texting, she was like that doesn't sound
Speaker 3: like differenty, So she wrote me like all my budget, Lisa,
Speaker 3: and you would think that like, oh, cause you know
Speaker 3: I have the blue check.
Speaker 1: So that's another scam, which is like if someone who
Speaker 1: normally wouldn't reach out to you was asking for money,
Speaker 1: Like if they're asking for money in ways that you
Speaker 1: cannot get a refund, like they're wanting you to cash app,
Speaker 1: they're wanting you to crypto, It's like that's another like
Speaker 1: hallmark of a scam where it's like why do I
Speaker 1: have to pay this way? There's no paper trail, you know,
Speaker 1: why do I have to pay this way? Also too,
Speaker 1: if the person doesn't have knowledge, like I look at like,
Speaker 1: for example, the Tulsa real estate fund guy, he had
Speaker 1: never bought a house or sold a house, so how
Speaker 1: was he running you know, a ten million dollar plus
Speaker 1: fund where he had no previous experience, and so like
Speaker 1: really looking into like well like so for example, there's
Speaker 1: a lot of like especially during the pandemic, a lot
Speaker 1: of coaches popped up to like to teach you how
Speaker 1: to manage a business. But the only business they've ever
Speaker 1: had was to teach you how to manage a business.
Speaker 1: So It's like what came first to chicken or the egg?
Speaker 1: You know that the ass and so you want to
Speaker 1: be want to be mindful that Like wait a minute.
Speaker 1: If it's one thing like say, for example, you owned
Speaker 1: like a retail company and you know you you like
Speaker 1: you know, you sold jeans for twenty years, and now
Speaker 1: you are teaching people how to have a real retail company,
Speaker 1: then it's like okay, because you have the underlying business
Speaker 1: and you're teaching me how to do a thing you've
Speaker 1: been doing versus my business is to teach you how
Speaker 1: to have business. It's again, how do you know how
Speaker 1: to have business when this is the only business you
Speaker 1: ever had. So that's another huge like red flag, Like
Speaker 1: they're only in the business of the thing if you're
Speaker 1: teaching you So yeah, I mean you guys ask stuff
Speaker 1: like this all the time, like if it's a scam reviews,
Speaker 1: honestly literally googling such and such name scam or such
Speaker 1: such name.
Speaker 3: Reviews and see what pops up, you know what I mean?
Speaker 2: Like sometimes really fund policy if there's no protections like that,
Speaker 2: if there's no way to get in touch with them
Speaker 2: but a complaint, yes, call the number back and see
Speaker 2: who answers, especially for those bank scams like my friend
Speaker 2: who lost my friend of a friend who lost like
Speaker 2: eight grand because the bank called her on her phone
Speaker 2: but it wasn't really her bank and she ended up
Speaker 2: zelling them a bunch of money.
Speaker 3: Yeah, well yeah, and honestly too.
Speaker 1: Whenever those things happen, the best thing to do, especially
Speaker 1: if it has is to say I'll call you back,
Speaker 1: because you can call Like if Wells Fargo called me
Speaker 1: to say, hey, you you know you owe us money,
Speaker 1: blah blah blah, I'm like, I'm gonna call you back
Speaker 1: on the Wells Fargo line. Hey, someone from Wells Fargo
Speaker 1: called me to say that, because they'll connect you if
Speaker 1: that's true.
Speaker 3: Yeah, you know, and so yeah, but I.
Speaker 1: Mean, I know, in the moment, it does seem so real.
Speaker 1: It's so hard because like I said, I've been scammed before,
Speaker 1: and so like, yeah, we'll just shame around it, but
Speaker 1: it is there is a lot of shame around it.
Speaker 2: Now that AI is involved. Like, oh my gosh, no
Speaker 2: one's safe if they learn how to get your voice
Speaker 2: and you call me and it looks like your number
Speaker 2: and it's like maybe I need ten thousand dollars right now,
Speaker 2: I'd probably be like, oh, that's Tiffany, she wouldn't do that.
Speaker 2: You know, I could see myself doing maybe not ten grand.
Speaker 2: You know. Wait what you listen to this episode, like
Speaker 2: I'm stuck at the airport and they're not letting me
Speaker 2: you know what, it cant on my flight bitcoin go.
Speaker 3: It's so scary, honestly.
Speaker 1: So it's just really, if something feels like a scam,
Speaker 1: doesn't feel right, it's it's better to just opt out
Speaker 1: and just say you know what, because on the off
Speaker 1: chances actually does work out. Okay, you missed out on
Speaker 1: the thing, not really, you know, But it's just asking questions,
Speaker 1: are there other people who have signed up? But like
Speaker 1: I said, you want to be mindful because those early
Speaker 1: adopters oftentimes will get their money and then you'll be
Speaker 1: it's like hot potato. You know, eventually the hot potato
Speaker 1: is gonna stop, and it's likelihood as you're gonna be
Speaker 1: one holding the hot potato at the end.
Speaker 3: You know. And so yeah, just asking those questions.
Speaker 1: Sometimes you guys will sign to my dms, will ask
Speaker 1: me about specific people I'm not gonna I mean, I
Speaker 1: named a couple of people that are like are known
Speaker 1: like you know, scammers, but also too like I think
Speaker 1: I mentioned this before. One of my favorite YouTube channels
Speaker 1: is coffee Zilla, And so what I like is that
Speaker 1: I forget his real name. I don't even know what
Speaker 1: he said shares his real name. He exposes like the
Speaker 1: internet scammers of the day, and I'm not necessarily looking
Speaker 1: for particular because mostly the Internet scammers, he's just exposes
Speaker 1: our white boys.
Speaker 3: So I'm not really looking at that.
Speaker 1: I'm more so looking at the scheme set up so
Speaker 1: I can recognize it out in the wild when it
Speaker 1: comes to our community.
Speaker 3: And so that's just a great way. I mean. Also,
Speaker 3: there's place there's a instagram called baller Alert. It's so
Speaker 3: called baller alert, I think.
Speaker 1: So where he will also expose like specific scammers that
Speaker 1: you know, Like I said, most of them are white boys.
Speaker 1: So you might not be like, oh, that doesn't affect me,
Speaker 1: But what happens is is that scammers will have like
Speaker 1: a specific playbook and if it works, they will share
Speaker 1: with each other and eventually it does get to your community,
Speaker 1: but with a face that looks like.
Speaker 3: Yours, and you're like, oh, that's the you know, that's
Speaker 3: the Nike shoebox scam.
Speaker 1: I saw that on Baller Alert, So I like to
Speaker 1: keep up to date so that way when something comes
Speaker 1: to me, I'm really mindful about this. Like if you notice,
Speaker 1: I used to beginning partner with a lot of people,
Speaker 1: and unfortunately I don't anymore because there's not too many
Speaker 1: people in the space that I feel really comfortable sharing
Speaker 1: with my audience.
Speaker 2: Because there's other like influencer educator type people.
Speaker 1: Yeah, because there'd be people who started off great, but
Speaker 1: you know, there's a lot of I'm not gonna lie.
Speaker 3: There's a lot of money and.
Speaker 1: Not navigating so great with your community, and sometimes people
Speaker 1: will do things that are not a scam, but they're
Speaker 1: not quite up.
Speaker 3: To snuff for me, you know.
Speaker 1: So there is this great area where it's like it's
Speaker 1: not illegal, but it's not right.
Speaker 3: And so I don't partner like I used to.
Speaker 1: I used to write it all the time, but I
Speaker 1: don't partner like I used to because I'm just like,
Speaker 1: very few people are navigating in a way that I
Speaker 1: feel really comfortable sharing with my audience. And they passed
Speaker 1: what I call my Lisa rule, which is if I
Speaker 1: wouldn't share if my baby sister, Lisa, I'm not gonna
Speaker 1: share with y'all.
Speaker 3: So yeah, just.
Speaker 1: Keeping you know, keeping an eye out, asking questions, not
Speaker 1: making quick decisions if the money sounds too good to
Speaker 1: be true it is, and you know, really like looking
Speaker 1: in their comments to see what other people are saying,
Speaker 1: because oftentimes people be in a comments roasting people and
Speaker 1: you're like, oh, you know, and just be safe.
Speaker 3: Out there, child, be safe.
Speaker 1: Yeah, question, Yes, I want to take a quick break
Speaker 1: and taking another like scammer Jason.
Speaker 3: Questions a scamblet.
Speaker 2: Yes, let's do it. Be right back from with more
Speaker 2: ba Qa and we're back with another question from the well.
Speaker 2: This is our first question, a question from the reader
Speaker 2: mail bag, right, ba fam. If you want to send
Speaker 2: me your question to be answered on the show, it's
Speaker 2: really easy. You can slide into our dms at Brand
Speaker 2: Ambission Podcast on the gram. You can also email us
Speaker 2: directly Brand Ambition podcast at gmail dot com or head
Speaker 2: over to our beautiful website, brandambis podcast dot com and
Speaker 2: click contact us. All right, this question who interesting? This
Speaker 2: is one of those like I know, we call it
Speaker 2: a scam let scam it because it's like one of
Speaker 2: these things that's not outright a scam.
Speaker 3: Yeah, but has is this smell a little something.
Speaker 2: Has questionable ulterior motives? Do you want me to read
Speaker 2: it or do you want to read it?
Speaker 3: I'm glad you can read it.
Speaker 2: Well, thank you? All right?
Speaker 3: Interesting?
Speaker 2: Okay, so my fake name for the pod is Autumn.
Speaker 3: This question is from Autumn.
Speaker 2: Autumn says my husband and I started working with a
Speaker 2: financial advisor to make sure that we are doing the
Speaker 2: right things with our excess money outside of investing in
Speaker 2: diverse portfolios through betterment, maxing out our retirement saving, being frugal, etc.
Speaker 2: As two high earners in it six figures for each
Speaker 2: of our incomes. Okay, we see, we love it. Our
Speaker 2: financial advisor works for an insurance company. He's advised my
Speaker 2: husband to take his rolled over four to one k
Speaker 2: and roth IRA and roll it into an annuity for
Speaker 2: instance URA RLA ascend due to the potential for faster
Speaker 2: growth and there's no risk of us removing the money
Speaker 2: from the account. My retirement fund so far isn't as high,
Speaker 2: so I'm not eligible, which is fine as I'm a
Speaker 2: chicken with moving money. I've never heard of this as
Speaker 2: a way to grow retirement savings. I've never heard anyone
Speaker 2: advocate for moving large amounts of IRA into anything else.
Speaker 2: We still have more research to do, but I was
Speaker 2: curious if you'd heard of this type of fund and
Speaker 2: what would be your next steps in weighing the pros
Speaker 2: and cons of considering all of this outside of just
Speaker 2: more research as two people who work with financial professionals
Speaker 2: to play on your finances. Thanks ladies, Autumn.
Speaker 3: Well, first, let's get clear on what in annuity is,
Speaker 3: Can I can? I sure?
Speaker 2: Yes?
Speaker 3: So okay.
Speaker 1: Definition, an annuity is a long term contract from an
Speaker 1: insurance company, which makes sense because your financial advisor works
Speaker 1: for insurance company where you invest your money. In return
Speaker 1: for your investment, you get income in the form of
Speaker 1: regular payments through an annualization or guaranteed lifetime income benefit
Speaker 1: that is available at an additional cost. So basically, they
Speaker 1: take your money, they invest it, and they say, hey,
Speaker 1: from the investment that we invested, obviously they're going to
Speaker 1: keep some and they're going to pay you from the
Speaker 1: money that they've invested.
Speaker 3: You know. So, so here's the thing.
Speaker 1: Certainly having an annuity can have like this, like annual
Speaker 1: income generated to you, like you're gonna receive regular payments,
Speaker 1: and these regular payments can be guaranteed rates of return.
Speaker 1: But the problem is, I'll say this that like they
Speaker 1: can be pretty pricey, meaning like you would be likely
Speaker 1: better off. This is like I remember Angelie and my
Speaker 1: financial advisor. I asked her about annuity because I knew
Speaker 1: a friend of had that had one, and she said,
Speaker 1: the problem is about money most annuities is that they
Speaker 1: can get pretty expensive. And typically insurance companies are gonna
Speaker 1: charge about one to to like one and a quarter
Speaker 1: percent of your return, which.
Speaker 3: Is gonna be like it seems like low, but like when.
Speaker 1: You think of compoundly how much that's gonna cost you
Speaker 1: over time, then it might be better off.
Speaker 3: For like what your money is just.
Speaker 1: Grow without you know, without the help of this insurance company.
Speaker 3: Now, the problem like let me see, let me see,
Speaker 3: let me say.
Speaker 1: So, like returns on an annuity also might not match
Speaker 1: investment returns, and.
Speaker 3: So like the problem is that for all that trouble.
Speaker 1: With an annuity, you could just have your money exactly
Speaker 1: where it is in your wealth Iraya four one K
Speaker 1: and doing what it does and you get to keep
Speaker 1: your money. Now, because here's the real problem that I
Speaker 1: see this, so it's not a scam, but the fact
Speaker 1: that your financial advisor works for an insurance company and
Speaker 1: they're trying to sell you a product from the insurance company.
Speaker 1: Let you know who they work for, not you. I'm
Speaker 1: gonna say that again. My dad would always say, he
Speaker 1: who pays the piper determine the determines the tune. So
Speaker 1: who is paying the piper, which is like, you're a
Speaker 1: financial advisor, his company is So his job or her
Speaker 1: job is to sell you products and services, not necessarily
Speaker 1: to make sure that what's best for you.
Speaker 3: And I could tell by the fact that they offered
Speaker 3: you this annuity.
Speaker 1: Hey, give me all of your money so I can
Speaker 1: put into the company I work for, so I can
Speaker 1: get a kick back and not a kick be because
Speaker 1: it's legal.
Speaker 3: You know.
Speaker 1: I'm sure they work on commission whatever it is that
Speaker 1: they get as a result of rolling over, But is
Speaker 1: it actually best for you?
Speaker 3: Likely not.
Speaker 1: This is why having a financial advisor that's independent of
Speaker 1: a financial company is ideal. Like Angelie, I know Helen
Speaker 1: doesn't work for specific your financial advisor, Mandy, you know it's.
Speaker 2: A fee based not just an independent but a fiduciary.
Speaker 3: Yes, so notified financial planners.
Speaker 2: Because what juduciary means they have to act in your
Speaker 2: best interest or else the advice are giving you is illegal.
Speaker 1: So this person, I'm not sure if they're a CFP,
Speaker 1: doesn't sound like it, and.
Speaker 2: For you know what they probably are, but they sell
Speaker 2: insurance products for a Nationwide on the side, So I
Speaker 2: wonder if like he's sort of doing or she im
Speaker 2: not going to like gender it, but anyway, like yeah,
Speaker 2: like you know, got this client and then has you know,
Speaker 2: and is thinking, oh, well, they have money, so let
Speaker 2: me like also dip into my you know, my work
Speaker 2: with Nationwide and get a little, like you said, a
Speaker 2: commission off of this as well, because they help that
Speaker 2: need to invest.
Speaker 1: I like to think like I want you to think
Speaker 1: about like when you know how like when you bought
Speaker 1: your house, Mandy. I remember at the time when I
Speaker 1: bought my first condo that my my mortgage broker told
Speaker 1: me ideally for me to hire everyone separately, Like I
Speaker 1: found my own inspector, I had my own mortgage person,
Speaker 1: I had my own attorney. And because when they're all together,
Speaker 1: they throw each other deals in a way that doesn't
Speaker 1: it doesn't benefit you. I like Angelie. I hired Angelie independently.
Speaker 1: What I like about Angelie is she told me you're
Speaker 1: under insured, and I said, okay, and she said, go
Speaker 1: to you whatever insurance company you want, and I will
Speaker 1: give you the language to get them. But she doesn't
Speaker 1: get any kickback from whatever because she doesn't work for
Speaker 1: nj M. She doesn't work for whatever insurance company.
Speaker 3: She works for me.
Speaker 1: And so whenever Antealie like, the only thing only product
Speaker 1: that Ali sales is her services to the individual. She
Speaker 1: doesn't tell insurance. She doesn't you know, doesn't tell anything
Speaker 1: other than that, And so you want to just be
Speaker 1: mindful of that.
Speaker 3: Because this concerned me.
Speaker 1: I asked Angelie about annuities, and I vaguely remember her
Speaker 1: saying that only for small percentage of people doesn't make sense,
Speaker 1: and she said the likelihood is it age too, and
Speaker 1: so like. So I'm not here to speak on like
Speaker 1: whether the annuities are great or bad whatever, because I
Speaker 1: don't know enough about them.
Speaker 3: I'm just sharing what she shared with me.
Speaker 1: And then and then, for the vast majority of people,
Speaker 1: the expense of the annuity is not worth the return
Speaker 1: of most annuities. But my bigger concern is that you're
Speaker 1: working with somebody who might have conflicting You can't serve
Speaker 1: two masters that's going to have conflicting, you know, like
Speaker 1: desires or who they're going to help.
Speaker 2: Can I weigh in? I didn't think I would have
Speaker 2: much to add, But when I read r I LA
Speaker 2: something in my brain said, I've heard of this recently,
Speaker 2: and typically when I hear from I'm going to assume
Speaker 2: that Autumn is a woman of color like our audiences,
Speaker 2: because typically when I start hearing the same thing from
Speaker 2: people from the same community, I'm like, there are a
Speaker 2: lot of info out there about this r I L
Speaker 2: A thing. Because in a recent group coaching call of mine,
Speaker 2: I was speaking one of I take questions and I'm
Speaker 2: you know, I have questions every other week with them
Speaker 2: and they can ask me anything, and this woman asked
Speaker 2: about our I L A annuity and she was describing
Speaker 2: it to me, and I hadn't heard of it before,
Speaker 2: and I'm like, I'm not going to give you life
Speaker 2: insurance advice or insurance advice or whatever, an annuity advice,
Speaker 2: but it's it's it's this like, this is the second
Speaker 2: time I've heard of it in the row, and it's
Speaker 2: so just to like quickly define it, registered index linked annuities,
Speaker 2: they are they are sort of meant to entice people
Speaker 2: by saying, well, this is going to be mirroring an index, which,
Speaker 2: if you hear people like us, we talk really highly
Speaker 2: in favor of index funds, which which track an indicies
Speaker 2: like the stock market, the S and P five hundred
Speaker 2: or whatever. So you've heard us talk about that positively.
Speaker 2: So what I feel like when someone's like, oh, this
Speaker 2: annuity tracks an index, it may feel like, oh, well,
Speaker 2: this is a good thing, right, It's like enough of
Speaker 2: a However, it's also you know, supposed to be you know,
Speaker 2: a boon or like a benefit for investors because it
Speaker 2: helps you grow your like it helps you grow your
Speaker 2: investment and have it there's some kind of like tax
Speaker 2: deferral or some kind of tax advantage to doing it.
Speaker 2: But my and so when I when I read that
Speaker 2: that it's about this like tax deferred status of your gains,
Speaker 2: I'm like, well, if four one K is already a
Speaker 2: tax advantage to account, I don't necessarily know of what
Speaker 2: the benefit is of rolling it away from your tax
Speaker 2: advantage for one K account into an annuity like that
Speaker 2: just gives me pause. And also the fact that I'm
Speaker 2: hearing about it in a couple different like two times
Speaker 2: in a row within a short period of time. I'm
Speaker 2: just like, my spidy sense already goes up. So I
Speaker 2: don't know how to tell you. I don't know what
Speaker 2: to tell you about it, Like I don't know how
Speaker 2: to say definitively this is bad for you. But my
Speaker 2: spidey sense, I trust it, and that's how I avoid
Speaker 2: things that are bad for me. And I'm just like, mmmmm,
Speaker 2: I don't know. I mean, yeah, yeah, this is what's.
Speaker 1: The return versus what the cost is going to cost you?
Speaker 1: And can you make that return without the cost someplace?
Speaker 3: Elf?
Speaker 1: And just from the little bit of resource that I've done,
Speaker 1: it looks like, yes, that's the case, but like bigger,
Speaker 1: honestly than the annuity. I'm not so much concerned about
Speaker 1: that is I'm just wanting you to like maybe open up,
Speaker 1: like and say, is.
Speaker 3: This the way financial advisor?
Speaker 1: You know? Because what other tools and resources is this
Speaker 1: person likely to sell you because it benefits them in
Speaker 1: the company's bottom line versus you? And so I just
Speaker 1: would not recommend financial advisors specifically from you know, that
Speaker 1: sells other things other than their advice.
Speaker 2: Yeah, you know, yeah, that'd be a deal breaker for me.
Speaker 2: You give me one, you give me a piece of
Speaker 2: advice that I can't verify it's the best for me,
Speaker 2: and I'm just like, why don't trust you?
Speaker 3: Yeah, exactly to someone else exactly.
Speaker 2: Well, thank you Autumn for opening up and asking us
Speaker 2: your question. I'm really glad that you did, and hopefully
Speaker 2: that gives you some food for thought.
Speaker 3: Like I said, that's not a scam, but it's scam likely.
Speaker 3: You know, you get to eat that before Jason, you know, we.
Speaker 1: Got to call the let's call for producer, you mind,
Speaker 1: let's call the the also called it the podcast, I
Speaker 1: mean the episode scam likely.
Speaker 2: All right, y'all until next time.
Speaker 1: Yes, don't forget to leave us reviews because we really
Speaker 1: we read them all the time, and so leave us
Speaker 1: reviews so we can.
Speaker 3: Also too real quick before we jump off.
Speaker 1: I mean, sometimes you guys ask us questions like you
Speaker 1: know that are not necessarily money related directly. I mean
Speaker 1: you might be like, oh, my boot, what should I do?
Speaker 1: Or like, what what do y'all use because Mandy's hair
Speaker 1: is always pull up in? Or like you know, skin
Speaker 1: is skinning, like, honestly, we're open to answering other questions too,
Speaker 1: as your favorite bestie cousins, you know, brown girl Bessie cousins,
Speaker 1: so you know you can ask us to.
Speaker 2: Be Yeah, it doesn't have to be money or career related,
Speaker 2: we are open to it.
Speaker 3: Yeah. Well we'll slip them things into you know.
Speaker 1: So so we're here for that because you know, you know,
Speaker 1: me and many are friends in real life. So we
Speaker 1: talk about not just I mean, certainly we'll talk about
Speaker 1: like financial things with each other, but we talk in
Speaker 1: broader terms too. We thought, you know, it'd be.
Speaker 3: Nice to have that chatout with y' all as well.
Speaker 2: So until next week, Bye bye bye