This guy told me and my wife to buy insurance policies, so we did. To what extent are we suckers, and... what should we do now?
A few years ago, a few trusted friends recommended their financial advisor. We went to his office a few times, talked about saving (no charge), and after a few visits he recommended we get some MassMutual Legacy 100 Whole Life with LISR (Marketing brochure
His claim was that these policies would not merely perform as life insurance, but would perform not terribly as investments
. This seemed too good to be true, but the (fairly uninformed) research I did seemed to back him up. So, we took the plunge.
Cut to two years (and $11k) later, when I learn off-hand at a party that pretty much all of these friends have bailed on this advisor. (One said he didn't know what he was talking about, another two said he shared their financial details with a mutual friend.)
Then the advisor gave us some advice regarding a mortgage that sounded fairly nonsensical to us -- and when we asked our mortgage lender his opinion, he told us the guy wasn't making a lot of sense.
So: we're definitely going to look elsewhere for financial advice, but the question now is: what do we do with these policies?
Are they OK investments? Are they even good as just life insurance? (We would kind of like to do the whole Life insurance/frozen head deal
, so life insurance is actually kind of useful.) We could cash them out, but in the first few years, they're only worth a few hundred bucks, se'd be writing it all off as a loss. But if these aren't worth keeping, it's obviously the right thing to do.
Throwaway email: email@example.com
(anonymous 'cause I don't want everyone to know what a sucker I am)