Like many investors, my Grandmom lost a lot of money in the late 2000s. It caused her a great deal of stress…and anger. After losing so much money, she was told by a representative at her bank that if she wanted to earn some of that money back there was a way.
There was nothing inherently wrong with the product. But it wasn’t a suitable one for my Grandmom for a variety of reasons. Maybe it was ignorance on the part of the financial professional. Or perhaps the financial professional just cared more about making a commission on the sale of the product than serving his client. While most financial professionals are ethical and knowledgeable, it is critical for older investors and their loved ones to keep their eyes open. And this is why I recommend the 24 Hour Rule to most older adults.
The 24 Hour Rule means that most older adults should take a day to consider any new “opportunity” to part with their money, particularly when this “opportunity” is presented by someone they don’t know very well. This includes a new financial product that’s being recommended by a new person. Or a charity request. Or lending money to somebody they don’t know very well. Or buying property… or a vehicle.
Take 24 hours to talk it over with people you trust. Sleep on it. Do some research about what you’re getting into.
Jennifer L. FitzPatrick – MSW, LCSW-C, CSP
The founder of Jenerations Health Education, Inc., Jennifer FitzPatrick has over 20 years’ experience in healthcare and gerontology. The author of Cruising Through Caregiving: Reducing The Stress of Caring For Your Loved One, she is also a gerontology instructor at Johns Hopkins University. She helps you reduce stress and increase productivity, morale and revenue. Jennifer and Cruising Through Caregiving have been featured in Forbes, U.S. News & World Report, The Huffington Post, Reader’s Digest, Univision and The Chicago Tribune. She has also appeared on ABC and Sirius XM.