Most of what I read is wrong! I have been a WFG customer for over 6 years and couldn`t be happier! It baffles me that bad content is shared. The financial industry is highly regulated and agents MUST adhere to strict compliance. All agents MUST successfully complete government courses to obtain a government-issued license! Yes!!! A license issued by the government. The pyramids are illegal. Period! I see that MLM is mentioned a lot. Which company is not an MLM? I am happy to show you and explain the business models! If you haven`t taken the time to gather the facts, you should! You will be pleasantly surprised to learn more about the structure and integrity of this company! Teresa I might want to shed some light on the subject if I can. There are a few points that people seem to miss here. First, not all branches are created equal. Here in Canada, where I am, we did not have a $100 registration fee. Only paid for our courses. Second, with the course, you get a REAL PROVINCIAL LICENSE! Third, the course is very affordable, well designed and EXTREMELY informative! Personally, I think it should be taught in high school. The information I learned in this course will be useful for the rest of my life. Fourth, as an authorized representative, you are legally bound by the duty of care.
If you violate your legal obligations, you will be sued or lose your license or both. Fifth, SMD`s numbers are wrong, it`s not 750,000 points, but only 75,000 for your entire team, which frankly isn`t a lot of points. Sixth, you can upgrade to Level 3 (MD) WITHOUT recruiting someone with points alone. Seventh, we beat almost everyone else on residential mortgage rates. We save people money. Eighth, the job is to educate people and help them save money, have a better retirement and get a better return on their investments. I love doing it. Usually, your commission comes with responsibility. For example, if you are at level 2 and you help your level 1 recruitment, you do the breakdown of the 10%. (36% – 26%) But you are also responsible for training them and doing most of the paperwork for them. Which is normal. It is not a pyramid, it is a system of meritocracy.
Thank you Marc First of all, it is important to understand the concept of multi-level marketing to understand whether WFG is a scam or not. Multi-level marketing (MLM) is a type of marketing where direct sales are generated by selling products and services through networking. To this end, MLM companies recruit employees or distributors to promote and sell their products and services in exchange for commissions. New employees, distributors or recruits are encouraged to promote and sell products and services to earn more commissions. Like other types of marketing, there are legitimate and fraudulent MLM companies. Fraudulent MLM companies are known as pyramid schemes and are illegal. That is, a legitimate MLM company sells products or services primarily to consumers. On the other hand, most fraudulent MLM or pyramid schemes sell their products or services mainly through their members. As a result, fraudulent MLM companies focus more on recruiting members than selling products and services. Although the company is not illegal, its business practices are illegal.
A lawsuit by WFG against the company has been filed in U.S. District Court in New York. The fine for this violation has already reached $700,000 and four of the company`s former sellers have lost their licenses. A WFG lawsuit against a life insurance agency could be the result of a fraudulent sales practice. It`s a pyramid scheme and if you ask them if it`s a pyramid, they`ll say that no pyramid is illegal. But essentially, it`s a legal Ponzi scheme, they hire people to sell overpriced life insurance, and the person who recruited them, and the person who recruited them above them, and so on, gets a share of the sale. The problem is that they are financially illiterate and claim to teach financial literacy when in reality they are just teaching you how to buy an overpriced life insurance policy called Universal Life with a fucking investment return. I`m a client and a geek when it comes to financial products and the numbers behind those things. WFG is similar to a real estate brokerage system and certainly not an MLM. Financial services should not be legally structured as MLM.
They work with big companies like Pacific Life, Nationwide, TransAmerica, etc. Do you think these large, reputable companies would be dealing with companies that are scams? I don`t think so. Whoever wrote this doesn`t know what WFG really is, or he is associated with one of the old financial services companies that are bothered by the way WFG actually does business. Learn the facts! WFG`s marketing strategy is aimed at medium-sized consumers. Their advertising practices promote the IUF over other products and highlight the importance of indexed universal life insurance. WFG`s marketing strategies sparked a massive class action lawsuit against the company in the U.S. and Canada. This lawsuit is part of the ongoing litigation between the Company and its clients. Its actions have hurt thousands of consumers, but WFG has been able to settle the cases of some of them. It seems that most of most people`s comments repeat each other, which is human nature rather than the truth.
The truth is that pyrimide “shemes” are illegal. This company could not function if it did something illegal. Second, since when are network marketing companies a scam? There are hundreds of network marketing companies and WFG is the distributor of Transamerica`s products. Third, many people`s retirement and financial future were secured by a WFG employee who trained and helped them. Many financial advisors charge hundreds of dollars just to go to their office to talk about your investments. Comments posted are one-sided by people who have only searched on one page and have not thoroughly researched the company. All I read was, “Crucify him!” If you want to be intellectually honest and have an element of humility, you should check out SteveSiebold`s book Unaurhorized. The truth about the World Financial Group. Then, post your comment. A WFG lawsuit filed last year is the first in the industry in more than a decade. In 2007, the Securities Commission began investigating the company`s practices. Therefore, the company`s practice of opening leveraged accounts without proper monitoring and explanation of risks was considered illegal.
The company also failed to properly supervise the sellers. It also included inadequate “Know Your Client” forms that did not accurately represent an investor`s knowledge, income, risk tolerance and investment objectives. I was also recently recruited by them, be careful if a “well-dressed” person approaches you at a gas station, restaurant or public place and asks if you are interested in making more money, ignore them. They target these popular places because they don`t want to get into trouble because they`re advertising. They claim the pyramids are illegal (which they are) but absolutely lie to get you into the store saying, “It`s not like primamerca.” “We are not an MLM.” Whatever they are. Trying to explain this to the doctors in the office is like talking to a monkey. They are so indoctrinated that they are just changing the subject, who else should I ask at this point? There are so many offices in Southern California that it`s a cult. I have noticed that SMDs drive a new vehicle every day. No one else notices, but I think they only rent luxury vehicles to impress everyone in the office. There must be a federal investigation with these offices because they bring in inexperienced students with no background and use them as puppets.
Honestly, I wouldn`t trust an inexperienced 20-year-old to help me with my finances and insurance. They also claim that they do not advertise, but require all new people to call their friends and family to join the company. Lies all around. But that`s typical of MLM companies, and I don`t want to hit WFG specifically. They don`t do anything illegal, but I just think it`s a terrible business model for customers and employees, and there are so many better options out there. But it obviously works since WFG has a ton of sales. Rather, it simply shows the power of “warm” prospects and buying from people you know and trust. The Ponzi scheme is a form of investment (illegal in the US and elsewhere) where each paying participant recruits two additional participants, the return being given to the first participants with the money brought in afterwards. This means that they do not offer or sell any products.
Amway does networking and MLM because they sell their products by recruiting people. WFG is a platform where they do not own a product, but give their customers choices for their financial needs. If you go to the state farm, they will only offer state agricultural products. If you go to New York Life, they will only offer NY Life products, right? WFG gives its customers choice. Customers can compare their policies with those of other insurance companies WFG works with and make decisions. /TransAmerica, Nationwide, Pacific Life, Prudential, etc. I read all these negative comments, but all these people didn`t even try. They simply quit and complained about their $100. That $100 doesn`t even cover WFG`s 1-day training.
You pay thousands of $$$$ to go to collage to get a degree, and I just read that someone doesn`t want to pay $300 for their license. What? So how come they think they`re going to make a lot of money? People who can`t even try their license tell others that WFG is a scam.