Quote:
Originally Posted by simmer2
Primerica isn't all bad. My fiancee was in it for a while and the actual products they have are pretty decent. The biggest problem is the people selling them aren't experts in insurance or investments (then again, I don't agree with getting investments from bankers either...they aren't experts IMO). They also really just push you extending your downline (bringing in more people under you), they don't necessarily push you learning about the products.
Overall, let your buddy try it out if he really wants to. It's not the best move, but it's not going to kill him either. He'll find out soon enough that it is likely not for him.
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Oh that's exactly what gives this an air of legitimacy. Before the credit crisis there was nothing wrong with Citi Life insurance, nor was there anything wrong with the investment vehicles sold either. The reason why it's a scam and the same reason why Citibank uses the Premerica scheme to do sales; the pressure sales on family and friends thing probably sells more products (the guilt factor); preying on laypeople to sell their product by word or mouth and paying them smaller commissions than an insurance broker means lower operating costs.
So add it up from a macro perspective: If Citibank spends less money to sell each product, but has a massive sales force who exactly makes the 6 figures? Also for some people to be making 6 figures, what do the new people make and furthermore how do new people become 'old' salespeople who make the 6 figures? Basically the answer is, it's just as tough or possibly even tougher to make good money out of Premerica than it is through traditional employment means altogether.