Hi All:
In reading most of the information provided on Primerica, I wanted to further discuss my reasoning of why Primerica is deceptive and vague.
1. I read in here where one Primerica representative admitted that this was set up as MLM. This was never explained to me when I was brought on—which I feel is vital information to disclose and I definitely would not have taken the offer if I knew.
1a. Most of the representatives are stating that this is a business opportunity, not a regular 9-to-5. Okay, if that is true, then the best thing for Primerica to do is not represent itself as a REGULAR 9-TO-5! They distinctly said they were looking for someone to hire for management and sales positions. Also, they had an accelerated management training program to get individuals without prior management experience expedited into the management process. Regardless of how anyone attempts to spin the words, it sounds like a regular employment opportunity.
2. Every rep defending PRIMERICA is doing so by speaking of CITIGROUP. Although Citigroup is the parent company of Primerica, its only affiliation with that company is just that, a subsidiary.in Primerica's case, a better description of their nature with Citigroup is that they are a wholly owned subsidiary with Citigroup being the holding company. Meaning, control and ownership is not shared with Citigroup. Subsidiaries are SEPARATE AND DISTINCT LEGAL ENTITIES for tax purposes and other forms of legal regulation. Primerica has the ability to utilize all of the benefits of Citigroup, and its other affiliates (investments, mortgages, credit lines, etc.) therefore, it's only based on that type of affiliation.
2a. Under no circumstances does the success of Citigroup affect the success of Primerica. The only way it can is because these reps pump in your head, "Citigroup, Citigroup!" and not Primerica Financial Services. Of course, Citigroup will be around for a long time (although we thought the same thing about Enron), but Primerica may not. Yes, Citigroup is the largest company in the world, but Primerica is not. Citigroup's 04 sales topped $108 Billion dollars and their assets close to a trillion, but Primerica's 04 sales were $2 Billion.
2b. This is good for a subsidiary and that's why Citigroup has not dropped them. But, let's get something straight, Primerica is a DISTRIBUTOR of Citigroup products and that's it. They are a successful distributor because they utilize a national sales force of a little over $100,000 sales reps. That's the reason these reps can come from all kinds of backgrounds, because they are not looking for Financial Analysts/Consultants / Advisors, ETC., they are looking for Sales Reps. This is where the misconception is and this is where Primerica becomes deceptive.
3. Primerica DOES NOT hold significant market capital in the financial services industry. Why, because Primerica's primary business-focus is Insurance, that's why they don't focus on you getting your Series 7 or Series 66 securities license. Plus, there are companies that are dominating the financial services industry and PRIMERICA IS NOT ONE OF THEM!
4. One great company of note is Ameriprise Financial Services. Although they don't hold a significant portion of the financial services market, in their perspective market, they are operating at sales of $6 Billion in the year 2004.in addition to that, they are listed on the NYSE (AMP). I wonder why Primerica, who has a generated as much sales as they have, has never decided to go public? I guess because if they make that decision, they will definitely have to clean up their extremely UNETHICAL practices.
4b. Another wonderful thing about Ameriprise Financial (and no I do not work there) is, in addition to the commissions you make off of servicing clients, you also get what is called a draw from the company. This draw is roughly $24-30K per year regardless of how much money you make with them. You do not become independent of Ameriprise until you are ready. You are an independent contractor of Ameriprise when you're success had shown them that you are ready for that. Every financial advisor at Ameriprise Financial has to get their Certified Financial Planners designation after their first year of operation. They have legitimate leads that are generated from the ten of millions of marketing they paid for and if you have a client anywhere in the United States of America they fly you there. Did I mention, they also pay for all your certifications after they hire you, plus they don't just refund your money for your licenses, they give you a $1,500 hiring bonus?
5. One of the first questions I asked the "district manager" was, "How much of my clientele would come from my natural market?" His response was, "Well, our regional vice-president, Howard, is from Florida and he has at least 800 people that he can't work with because they are in Cleveland, so when our office (supposedly) opens in January, I'm definitely not going to be able to service all of those people!" Well, if the system of this company is to generate business by soliciting your recruit's natural (or warm) market, then who are these 800 people he's talking about? I guess I won't be using my natural market, but he will! Maybe the truth is, HE IS A BOLD-FACED LIE!
6. Why does it seem like Primerica focuses entirely on the people who feel they are 'between a rock and a hard place'? The reason is those people are vulnerable and easy to influence.By the time they realize that the only thing they will be successful at is being a cheerleader at the Primerica pep rally, Primerica will have already made a lot of money off of their friends and family. For example, the only time Mr. Dave Derbin seemed as if he was remotely interested in me is when I said the following: "I am very motivated, ambitious, I will achieve what I want in life regardless of any obstacle" and especially when I said, "The company that I am currently working for does not provide me the benefit of meeting all my needs and I have been in the job market for a long time with no luck". Those are the people they want, the people who seem to feel they "have nothing to lose" because those are the people who will follow their system and give Primerica their families information regardless of how they really feel about the situation. I have to admit, I was that person at first, but I quickly assimilated myself back into believing that I won't sell out to this crap because I currently can't find a better job.
7. For the people who LOVE Primerica, tell your "District Managers" and "Regional Vice-Presidents" to stop telling people that this is there only way to "financial freedom". A little bit about me, I have a degree in Finance; I am candidate for my Certified Financial Manager, Certified Management Accountant designation; also I'm preparing to go back to school for my JD/MBA at the University of Texas (in Austin), the 15th ranked law school in the nation; so I DO NOT BELIEVE that Primerica is my ONLY WAY OUT! Because of that, I don't fit the system, or the profile of Primerica.
8. When you sign up, they use this line of prose: "We are not looking for people who are willing to quit their current job and join Primerica". However, once you join them, they start scheduling meetings, seminars, ETC. That compromise your work schedule. Then, when you tell them that you can't honor the meetings, they attempt to play against your lack of seriousness' of the opportunity presented to you—in an effort to make you feel like you've wrong them in a sense. During this time, be in mind that you haven't even made a dollar yet!
9. I know after writing this, the Primerica Warlords are definitely going to be in arms, attempting to refute all of my comments. They may even go as far as doing so, point-by-point. I welcome the opportunity to debate with you all, because I am DEFINATELY articulate enough to do so and believe me I will not stoop to YOUR LEVEL calling people "stupid", "dumb" "broke & poor", because using those comments lack professionalism. Although, I have seen Primerica representatives using those words in here! However, I must say, the people providing rebuttals on behalf of Primerica are PROBABLY NOT the ones making all the money, they are probably the unfortunate individuals who believe wholeheartedly in system and now feel threatened because they know (deep inside their hearts) that the Primerica system has failed them too! The ones with the money are sitting back somewhere in Hawaii (which they invited me to after my first interview, how ironic) reaping the benefits of your (Primerica reps) hard labor.
10. (Finally) a great company should not have to convince you it's a great company; if it's great you will probably already know about it! There is no such thing as a "best kept secret" because it's not a secret when hundreds of thousands of people know about it. For all the Primerica reps out there, be honest with yourselfbe honest knowing that the comments I made in this forum are based on facts and personal experience, not opinions, as you so eloquently write everyone's statements off to be. Know that a Zebra never changes it stripes, but they sure can cover them with dirt!
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