Primerica

[Annie]

Has anyone heard of them? Do they really offer better interest rates in investmens? Ya, I know I should do a Google search.  

[Anonymous]

Has anyone heard of them? Do they really offer better interest rates in investmens? Ya, I know I should do a Google search.  

A so called friend referred me to a Primerica broker ten or more years ago. I listened to the guy for a few minutes and then told him I had to go. When I want insurance I will get a quote. When I want investement advice I will call my bank.

[Anonymous]

Has anyone heard of them? Do they really offer better interest rates in investmens? Ya, I know I should do a Google search.  

I've heard of them, but can't tell ya much about their products.

[Annie]

I'm hearing good stuff about them and did some research. So far cutting out the "middle man" so "everyone" makes more money sounds like it could be a good idea. I'd like to have a little bigger nest egg in a few years.

[Anonymous]

I'm hearing good stuff about them and did some research. So far cutting out the "middle man" so "everyone" makes more money sounds like it could be a good idea. I'd like to have a little bigger nest egg in a few years.

It's a multi level marketing scheme.

http://primerica.pissedconsumer.com/primerica-sucks-a-huge-one-20081206142445.html">http://primerica.pissedconsumer.com/pri ... 42445.html">http://primerica.pissedconsumer.com/primerica-sucks-a-huge-one-20081206142445.html

[Annie]

ac_unsure is it? how?

[Anonymous]

Has anyone heard of them? Do they really offer better interest rates in investmens? Ya, I know I should do a Google search.  

We have a Primerica agent in our church GrAnnie..



That's all I can tell you about them.

[Anonymous]

They'll deny it, but basically, it's a multi-level marketing (MLM) company for finance.



Primerica employs, according to their prospectus, over 100,000 representatives who go out and sell financial products like term life insurance, mutual funds, life insurance, and annuities. Almost all the products offered by Primerica are from Citigroup, its corporate parent.



All the mutual funds and annuities are sold through Primerica's licensed broker/dealer subsidiary, PFS Investments.



The goal is for the rep to push these products in a "warm market," which includes your family and friends who you'd be more comfortable selling to.



The rep receives a commission for these sales and his recruiter, recruiter's recruiter and so on all receive a portion of the sale.



Reps are encouraged to recruit more people to continue bringing in sales and revenue. All this information can be found in the "Business" section of the prospectus, beginning on page 104.



But don't expect to go making $100,000 a year as a salesperson.



According to Primerica, these 100,000 reps make on average, $5,156 a year. Hardly enough to do anything with let alone live on.



Higher ups who run district sales offices are called RVPs or regional vice presidents. They make significantly more money.



Know why?  



Primerica employs an 11-tier upside system in which you get a kickback of commissions from your recruits, your recruit's recruits, and so on up until the 11th level. (This information can be found on page 112 of the prospectus.)



It takes about 10-seconds of Googling to reveal that there is widespread skepticism towards the company's business model.



A site called Pink Truth discusses how despite Primerica's claims it's not an MLM or pyramid scheme, it in fact, is:



Primerica is Multi-Level Marketing



No matter how many times representatives of Primerica say that the company is not an MLM, that doesn't change the fact that it is. The company's website says (bold added by me):



Personal Income: Primerica has more than 100,000 representatives.  Actual gross cash flow is, among other factors, dependent upon actual organization size, the number of sales and the override spread on each sale, and the ability and efforts of you and your downlines. There is no guarantee that you will achieve any specific cash flow level.  Commissions are subject to deferred compensation account withholding and applicable taxes. RVPs are responsible for their own business expenses and pay for all office expenses for their base shop representatives. The Company may from time to time modify, supplement or terminate any compensation program in any manner. Further details are available from Primerica Financial Services, Inc.



No Inventory to Buy



If you can get a Primerica supporter to admit that the company is an MLM, the next argument is that it's not "bad" like other MLMs. They don't have inventory frontloading like MLMs that are product-based. That's true, but that doesn't mean that Primerica is immune from abuse of representatives.



Here's more from Articlesbase:



Primerica Financial Services is a financial services company that is structured through the MLM business model. Representatives can earn either by selling various financial products and services like life insurance, mutual funds, variable annuities, segregated funds, loans, long-term care insurance and pre-paid legal services or by actively recruiting more representatives to do the same and get a commissions from their sales. Using an MLM business model to sell financial services might draw some criticism, but so far, it has paid off well for Primerica.

http://www.businessinsider.com/citigroup-primerica-ipo-2010-4#ixzz3hnwIlebQ">http://www.businessinsider.com/citigrou ... z3hnwIlebQ">http://www.businessinsider.com/citigroup-primerica-ipo-2010-4#ixzz3hnwIlebQ