The other day a friend of mine posted on her Facebook Wall, "Loves Dave Ramsey. We are on the road to Financial Peace." While I am happy that she is so enthused about her financial situation, I am more concerned about what followed during our discussion afterward. I responded to her comment with the following response:
I've watched the entire course and he has some really good ideas on reducing debt and spending. I would love to question him on where he comes up with guaranteed 12% returns in mutual funds and I would press him on paying down your mortgage as fast as possible. Lastly, I totally do not see eye to eye with him regarding life insurance.
I personally think it's sort of sad that people don't seem to realize that there are local professionals that are willing to help individuals and families and are willing to have that personal relationship with people, but instead they listen to someone who they will never truly know like Dave Ramsey or Suze Orman and think that those individuals have the "right" plan for you without even knowing who you are or your circumstances.
She in kind responded with this: "I agree that having a personal touch is way better!!! BUT, isn't a financial advisor for people with money? What about us poor folks that don't even know how to balance a check book? That is what this class is to me. Just getting out of debt and actually have a budget and plan. It actually is a lot of fun relating to other people that are in the same boat."
Finally, I had to respond with:
I believe that is the big misconception with financial advisors. Yes there are those of us, who really focus on people with money, however, there are many of us advisors who want to build a lifelong relationship with our clients. What does that mean to you? To me, it's starting from where you currently are and building a plan that you are able to implement and grow with.
The biggest misconception of all is that you need money to have an advisor. Just like how do you eat an elephant? One bite at a time. That is where a good advisor will help you most is helping you realize that you can and will achieve your goals, and they will help show you what is important to start doing today.
You may say you don't have money; a good advisor sits down with you and finds the money for you to be able to achieve your goals, and possibly your dreams too.
The point I am trying to make is that I believe everyone should have a financial advisor. You go to a doctor's office if you are feeling sick, don't you? You go see a lawyer if you have questions concerning the law. You go see a dentist if you have problems with your teeth, don't you? You go see a realtor when you want to buy a home, or a mortgage broker to find a loan. Why wouldn't you consider sitting down with a financial advisor if you have questions about your finances?
While it is entirely true that wealthy people have estate issues to plan and deal with, I would venture to say that more modest income based families could actually benefit more from what a financial advisor has to offer than many people realize. I believe a good financial advisor could help those families achieve their goals faster, and possibly reach for things they originally only dreamed about. At the very least, a financial advisor would help establish a financial plan that would stay in place throughout, no matter what stumbling blocks may appear in your lifetime.
Wouldn't it just make sense to talk with someone who is genuinely interested and concerned in your well being? Rather than some marketing guru who isn't going to answer the phone when you call them? Or better yet, someone who doesn't know you personally and doesn't know what your particular circumstances are? Unfortunately, I am finding more and more people are interested in listening to these guru's who offer up cookie cutter answers. Sometimes, your problems cannot be answered by those answers, sometimes a personal relationship could assist you in finding solutions to those problems where you could not get a solution otherwise. I want to build a relationship with my clients that will last a lifetime. I want to help individuals, families, and businesses in whatever stage they are in currently get to wherever they want to go. Why doesn't that seem to make sense to people?
