Primerica Financial Services a scam?
Over on my consumer awareness site, Pink Truth, I have put together a few articles about Primerica Financial Services.
Like Mary Kay, Usana, and Mannatech, Primerica is a multi-level marketing company (MLM). The big difference, however, is that these other companies have a tangible product for sale, and many of the abuses come from loading participants with inventory they won’t ever be able to sell.
Primerica sells insurance (mostly life insurance), mutual funds, mortgages, and debt consolidation services. It appears that “debt consolidation” is the cash cow for the company, and it’s questionable whether consumers are really better off with the Primerica products than without. (i.e. The representatives are incentivized to push these products, even if it may actually cost the consumer more money!)
Primerica is a subsidiary of Citigroup, so many think this gives them instant credibility. Not for me. All it means is that Citigroup executives figured out how lucrative MLM is for the owners of the scam.
Here’s where Primerica enters the territory of being a scam:
- Overpriced products pushed to low- and middle-income people who probably have little to no experience with these financial services. They won’t realize the products are overpriced.
- Most of the sales are made by unlicensed representatives, meaning they aren’t well-trained about the things they’re selling.
- The representatives are generally paid lower commissions than at other companies. This is because Primerica is paying up to six levels of people about the salesperson. This is a hallmark of multi-level marketing. The seller gets a small payday so that many in the upline can get paid too.
You can find more information about Primerica on Pink Truth.
Related Posts
- The Pyramid Scheme aspect of Primerica Financial Services
- Google Search: Mary Kay party scam
- Mary Kay Cosmetics suing little company for daring to make money off Pink
- Press Release: Fraud Investigator Develops Public Awareness Website Regarding Mary Kay Cosmetics
- United First Financial: Don’t believe the hype
Charity, it is NOT true that a company or the military is a pyramid. When you go to work as a clerk or enlist and become a private, you do not “recruit” to skim more money off of the recruit. You still make your minimum wage or your pay or stipend.
Most importantly, your commision structure. When I worked for AL Williams, Inc – Primereica, I received 200-250 depending upon the age of the policyholder and what he bought. You don’t make “1100 on the tenth try”. If you make 200-250, that means your upline is taking at least 1500-2500 and you receive the crumbs off the table.
Further, if you will look in the yellow pages, there will be one to two agents per zip code. With Primerica, you can have thousands of agents because it is a pyramid boiler room scheme. With all pyramids, the fraud only holds up if you get more and more suckers. Do the very simple math. They, like Amway, the most notorious of pyramid schemers, will tell you that you can get six or more recruits. Start with only six. They get six. After ONLY 12 levels, you have more people than could ever afford an insurance policy. At 13 levels, you have MORE THAN DOUBLE the entire world populace population!!!
Did ya’ll see this?
http://www.walletpop.com/blog/2008/08/26/ripoff-report-itself-seems-to-be-the-real-ripoff/
You can believe what you think is right, one of the products Primerica offers gets mortgages paid up in full in less time ( in terms of years ) than your best mortgage bankers can can get you. Talk about financial freedom, make the choice : A) Keep 30 yrs on your mortgage and pay twice the value of your home in interest payments or
B) Call a Primerica Rep and learn how to save your money and reduce your time in debt.
Its called Common Sense people.. .. .. .. .. .. . .
NO NEED TO CALL A PRIMERICA REP. After all, who wants to get hounded to death with the MLM “opportunity”???
I’ll tell you how to pay off your mortgage early without Primerica and FOR FREE:
Pay extra money toward the principal each months.
You’re welcome.
Awesome site Tracy, and this discussion page has been highly informative, I’d dare-say that the rabid MLMers actually help to show Primerica’s true colors with they’re dogmatic regurgitations of press packages and propaganda.
I’m a university student who keeps running up against these types of MLM schemes, so I already know the type of people it attracts and maintains within its hierarchy. Just recently I was working at my part-time job when I was approached by a Primerica rep, and I’ll admit after listening to him for about 15 minutes I nearly fell into the trap of half-believing this junk.
After reading this page feel sorry for him now because the company is so appealing to him (and others like him, struggling or in low/middle-income jobs) by offering what is essentially false hope and promises. Primerica and its MLM ilk all propose to have “the Answer” when in fact it’s just blatant lies parroted about with language that makes them sound half-true.
Nobody(the fractionally small few) ‘rises’ with this stuff, it just helps to keep you in that feeling of constantly “getting there”, sitting on the cusp of success for the rest of your life, One step away from financial freedom forever…
I’ll admit its a vindictively smart idea, it saddens me though how very little people see past the illusions to see the vicious reality of such a scheme.
Wicked blog Tracy, you’ve saved me a bit of time, money and mental energy.
Dason, I am a former Primerica rep. Primerica is not a scam or a “scheme”. If a person did work their program of recruiting and selling their products a person can make some good income there. It can happen, but with most things most people won’t do it. In my opinion it’s just a case of working the numbers and keeping blinders on.
Why did I leave? I left because i couldn’t sell the products when I knew other products were available within the industry. The system is there but people just have to understand to make money there you have to sell their products and recruit people. You have to drink the kool-aid…I just couldn’t do it..For those who may say I was lazy or couldn’t hack it in sales, it wasn’t that. It was the quote of doing what’s right 100% of the time..Think about it..If I knew of products with bettter features and lower fees how is it doing what”s right 100% of the time if I don’t inform my clients…That’s when it dawned on me it about sales…Sell Primerica products and recruit..That’s the bottom line..
I have read through a lot of these postings. I would have to agree with most about the brainwashing. I have friend who quit his job to jump into Primerica. We remained friends after he left the company. Sadly he lost a lot of friends along the way just to “build his business” with primerica. When you mention things like ‘cult’ or ‘pyrimid’ to him be breaks out in a speech about how people work under the CEO of the company blah blah blah and there is nothing different about what we do. He has been doing it for almost 2 years now. In the process of making “his millions” he has had to cut his cable, phone, get a renter for his basement just to make ends meet. He uses his lines of credit to get by but is so convinced that he will make it big with Primerica.
All they do is sell you a dream that isn’t real. They show you fancy catalogs with peoples faces Photoshoped at the top to make you think they have really have big houses and fancy cars. None of those photo’s are real. Anyone can show up at these meetings in fancy clothes and bling to make you think they are successful. Fancy cars? Sure why not rent one for the day…Duh!
My friend has not seen solid proof that these people have made it big. He is just sold on the idea. His “boss” or I should say leader, looks like an average joe and his office looks like hand me down furniture. I have seen a couple of the Primerica offices and they all looked like hand me down furniture!
Just like most of the reps who have commented on this page. All of you repeat the same “cult” like information. Even my friend has repeated the same things you guys have! I was shocked to read it. At least my reservations about Primerica was correct. They sell you on a dream and unless you at the top of their pyrimid you will never see millions. FYI, Primerica likes to draw people in that are depressed and weak minded. I have met quite a few reps and they all seem to have the same emotional state of mind.
Good luck to all of you.
Lily with the licenses your friend has he can break away at anytime and make some good money elsewhere. Give him time. He will see it..
The arguement that CEO’s get paid more than janitors or secretaries is weak
That is a buisness structure in EVERY Buisness in America.. Except for Pyramid schemes!!!! That’s why they call them PYRAMID schemes!!!!
They are in fact illegal…. unless you use legal loopholes to run a legal MFM
Multi-Level Marketing company.
These aren’t slaes people, they are in fact recruiters and if they want to be successful at this game you have to bring everyone you can in!!
Once you’ve been through your entire family, be preparred they will even say to call your second cousin and ask if he has any friends.
Primerica is always diffrent from any normal buisness, just do some research.
Remember the “CEO’s ” of Primerica never retire. They, unlike regular CEO’s of any company, will go on and make money off you people t’ill the day they die.
Why do you think they’re all so gung-ho on you joining!
Dear Folks
It is very simple, the scam is “recruit” people when in reality what you are recruiting is “LEADS” hence only 7% of Primericas agents make money. And to that I must add according to their brochures 4,992 agents made over $50K and 2,400 went over $100k 61 over $1 million and 17 over $2 million and 1 over $5 million. Now let’s do some math here, they claim paying $682 millions to 100,000 agents that is an average of $6,820 a nice 93% of the people “agents” that make this company actually generate the leads and marketing information the other 7% utilizes to generate their income. That is the reason they want you to sell to your family and friends. Ethics and business don’t mix well this is being done and will continue to be done until more people start to be aware of this and the way it affects everyone for companies like this leech on ignorance and work to spread it so they can continue to profit. The upside is the people getting screwed might eventually come down to realize it is only hard work and dedication what gets you ahead and in the end these MLM schemes serve and educational purpose… who knows God works in mysterious ways…
The big guys at Primerica can’t retire. What if no one wants to buy their code number? They can’t just walk away, then the business will just roll up and they lose everything. Yet I could be wrong, so any PFS rep. feel free to set me straight on the proces of leaving pFS and what they can take with them.
Can a PFS agent answer me this? If you are a independent contractor and you go out and find recurits or clients why does Primerica per contract own that client or recruit? How is it you do all the work and they get the cake? Is that fair? I don’t blame primerica for their policy, it’s business, but come on people CYA.
All that work and you walk away with nothing. That kool-aid must be real sweet.
Froget the pyramid and products arguments look at it from a business perspective. Ask Primerica if you as an agent can be independent and have immediate ownership of your clients and recruits and see what they say. Then put yourself in their shoes and consider why they say heck no… Think people just think….
With the stock market having such turbulent times, how does this (if it does) effect this particular company?
Currently Primerica is being shopped by Citi. Primerica Life Insurance Company is responsible for their own obligations.
http://www.primerica.com/public/primerica_disclosures.html
Now with that being said. If Primerica Life did have any problems, what are the agents options? They do what the company allows them to do. Many independent agents who have potential clients who may have reservations with American General can just offer another carrier. American General is still a great carrrier, but people being people go with what they may hear in the news.
As a business person is it better to have one toll or many tools at your disposal? Forget the hype and consider the business side.
I have come to understand it does no good to inform Primerica agents. In the end they will find out what is being told to them about the “opportunity” Can people make money at PFS, I say yes. But to do it you have to recruit and you have to sell the idea that you are on some crusade. Just don’t compare your products and contracts to what’s available out in the market. It’s kind of like the old party drinking days. Every year people turn 21 and want to hit the bar scene and as they are coming in others are leaving it. To me it’s the same way with primeirca agents. Think about it, they have been in business well over 30 years and they can’t get past a little over 100,000 agents and it’s said to be the best opportunity on the planet. I’m not saying anything against Primeirca, because they are a business and they don’t make anyone work with them, i just think at some peoint people need to think for themselves and understand Primerica or your RVP doesn’t need you. There’s someone coming in behind you and they will bring a warm market. Primerica has a great system if you look at it. The thing is who does it really benefit?
How interesting for me that I found this site. I was looking for an acquaintance who works for Primerica, thinking I could contact him to help me w/ my 403b. I worked w/ this guy for 2 years, all the time him being a Primerica rep, and I can honestly say he never tried to “recruit” me for anything. He would talk to our workplace about our retirement options, and some of my coworkers actually use his services. Another coworker is also a Primerica rep (probably a recruit of the other guy). He also has offered his services to anyone who is interested. I’ve talked to him about my 403b, and he has honestly said he’s not qualified to help me w/ that.
I’m not saying it’s NOT a pyramid scheme; this is just my own experience w/ Primerica employees. To me they always seemed just to be selling financial services to those who are interested–no worse than the other financial company reps who stalk the halls of my work (not employees, but endorsed by the powers-that-be), trying to recruit new CUSTOMERS.
Tracy, You’re an idot to think that “corporate america” is not an MLM. My work rewards me for referring (recruiting) my friends, and family to work for them, how is that not an MLM? They have even used the word recruiting in their attempts to help “grow” the business. I work very hard, more hours that the office people, and still they make significantly more money than I do. You very rarely see the owner of the company there, he’s always off on a vacation, or doing something that he really likes to do. Why is that? Because he has others doing the work while he reaps the rewards. Do I get paid? Yes. Does the owner make money on the work that I do? Yes. I have estimated over the last 2 ½ years I have made the company I work for more that $300,000, and that number is getting bigger. How much of that did I take home around $60,000. If you ask me that looks just like an MLM, the top person making all the money.
Corporate America is not an MLM because you do not fork over money for the right to participate, as you do in MLMs. In corporate America, you are compensated for your work. You receive a regular paycheck at a rate on which you and the employer have agreed. You make money by going to work. In an MLM, you pony up money, and if you’re like 99% of people in MLM, you will never turn a profit. That means you haven’t gotten paid. You’ve paid the company instead.
Anonymous @3:04, are you in sales? If you sold $300K in a year $60K is 20% which from a commission standpoint is pretty good, and representative of a lot of industries.
However, unless you’re selling gumballs, $300K isn’t a lot of sales by almost any yardstick in almost any industry. ESPECIALLY since you said you did that over a 2.5 year period. In that case, pro-rated to $120,000 annually, your boss is letting you keep half that. I can’t believe you’re patting yourself on the back and trying to impress us with that performance. Seriously.
If you’re a salesman, you need to start taking courses and practicing your pitch and bring up your game. If you want to make more, sell more. Pretty simple. If there’s an income ceiling at your work, change companies. Do you really think you can excel at the numbers game of MLM when you’re turning in a broke-dick performance at your day job?
Glengarry Glen Ross: my favorite movie. You should watch it.
Tracy,
I’ve been reading this blog and I think you’re winning the debate here, thus, I will put my trust in your opinion on this. Do you think I should respond to that Primerica agent (who’s been trying to get a hold of me every single day as I continuously put him off) so I can get signed up, get my license/training, leave and go work for a better paying company (one of those companies you said they paid better than Primerica)?
Or am I better off getting the license/training elsewhere? if so, where?
Awaiting your kind response,
Thanks Tracy
Personally, I would look for a different company all together from the start. Some of the insurance and investment companies have REALLY good training and licensing programs in which you can actually get base pay for a while so that you can build up a customer base.
Hi Tracy!
First of all I would like to say that I really like this blog and would love to be informed on other opinions that you have. That said, PFS… my first experience with them should have set the alarms ringing. My ex-barber got into this and would start conversations like barbers do, eventually the conversation drifted to finances and then before I knew it we were discussing corporate America and “financial independence”. Then he would ask me my income (10.50 p/h) and he said that he had a business opportunity and such. At first I told him I was not interested and left it at that. The thing is my hair keeps growing and I had to go back every couple of weeks. The recruitment angle continued “how much do you plan to make a year” I got a little fed up and told him “about 400k” and he was like ?huh? I told him that I am in college and going to become a radiologist. When he saw I ruined his pitch he moved on to the whole “college is a waste of time so that you work for somebody else”. I am second generation from an immigrant Colombian family of meager means. My entire life I have been told that I should attend a university and get ahead in life, that is after all why my family came to the U.S. Although I admit that my barber makes more money than me now (40kp/y), I found it disturbing that he had such a low opinion of academics. Then the numbers game started and I was intrigued. So I go to this one on one meeting with his boss or w/e and I got the same lines if just a bit polished. I was drawn a diagram of how the business works and how to avoid overhead like my “lite” bill, I swear he wrote it just like that l-i-t-e. The first thing that occurred to me was “you wanna make millions and you can not even spell the words on your own recruiting pitch?” BTW office was crappy, not what you expect from the biggest company in the world. He also had the audacity to tell me how his “sister-in-law became a physician and now has a lot of debt.” DUH! That is after all how it works. I kept all this to myself and was dead set on meeting the people that actually believe they are going to be millionaires. I was not disappointed in the least. When they say that there are people from all walks of life they were not kidding. It seems to me that everyone felt defeated in life. ALL of them had the snobbish aloofness that they found out how to make millions. In my opinion I hope they do because after getting to know them they seemed like very decent people. After the class I decided to get back to my life. I do not mind if people decide to pursue this path in life. I am happy at least a few will make it. I do mind however the fact that too many people decide that this is THE path. Things in our economy right now propagate this feeling. Of course workers that are laid off start wondering how they got to this point in their lives. Since it is human nature to blame somebody, we of course blame those that scorned us, corporate America. PFS is against all of this and “hey, why not, I’ll be a millionaire in 2 years tops!” The majority of us are looking for a better life and living. I stand in complete awe however, when individuals are motivated by the quick and easy. I understand we are all very different people and some of us are fed up with the way things really are. If you are sound-of-mind human being, approach the situation with caution. I sincerely hope you make what you aim for.
I will tell you this, when we were in elementary/middle school and our teacher asked what we wanted to be, how many people said lawyer, doctor, astronaut, marine biologist, pilot,etc… Then ask yourself how many people wanted to sell insurance and deal with finances? Somewhere along the line we have forgotten our dreams. Remember, if we go to work doing what we love, we never work a day doing it.
Tracy Coenen
You need to get a good job with a big company work for 25 years there so you can get downsized have your wages cut and put out to pasture. I have work Part-time with Primerica for 14 years. Have always made great PT money while keeping my full time job. Oh, I also have many licences and do more training than the tradional insurance agent.
What do you do for a living anyway?
Tim
I think I remember when this was called “A.L. Williams”
I had several dealings with people (friends, acquaintances, coworkers) who had jumped on this bandwagon and either wanted to 1) sell me their life insurance package by turning over my current life insurance while pocketing the cash value of that policy, or 2) get me to work for them (and the company)as they felt I was a natural born salesman (probably true)and in both cases they were unpleasant, some downright nasty when I would have nothing to do with their product and their organization. A lot of friendships were messed up because of the intrusion of A.L Williams into our lives.
Tracy,
I want to become more educated on the system established by Primerica.
If you could please provide with sources of solid evidence that supports your claims, please do so.
I happened onto this website by doing my homework at looking into Primerica. My son was recently layed off his job and a friend of his told him about Primerica. The RVP and my son came to my husband and me to tell us about the company. I worked 27 years as an escrow officer in a well known Nationwide Escrow/Title Company. I know loans and the financial aspect of accelerating mortgages etc. The RVP was very humble and simply layed out the premise of what my son was doing. Naturally I obliged and had the free FNA done. My husband and I did ultimately buy life insurance. My husband works full time and is now working part time with Primerica. What is disheartning for me is this: We all have choices to make for our own lives. When or if we see an opportunity that interest us, we all must take responsiblity with eyes wide open. Our lending industry is in dire straights because of some slimey, greeding mortgage brokers and lenders. Allowing low/middle income people to sign loan documents with sub-prime, non conventional loans that have forced so many into foreclosure. Primerica does NOT provide these sub-prime mortgages! They do indeed provide clients with the free analysis as information only. The RVP my family works with is forthright in letting people know if they have a great 1st mortage and will be the first person to tell them-don’t touch it! He does not mislead anyone into refinancing just to “get a hefty” commission. From what I have read here, some of you people talk only about “How much money one can make elsewhere” The truth as I have seen it with this RVP, is it’s about the client, not what “we” get out of it. I have seen more clients ask questions about Primerica and how they can get into the business before the possibilty of even asking them if they would be interested. I have seen several clients in shock that my son or husband did not try to sale them something they did not need! Sure we all want to make money…who doesn’t? But why the slander, the hateful words to a new representative who is looking for a way to help people? Isnt’ there enough hate in this world already? There are bad apples in every aspect of life. People that gossip and like to cause strife. But America is a place where we can dream and believe in our freedoms. And yes, that includes freedom of speech. Maybe to many people use this form of freedom to slam/cause grief/distress and break the spirits of a person looking for hope in a world that looks dim right now. Some people want to sit back and just see the money roll in, others want to work hard and see the benefits of helping others and go to sleep at night knowing they may have helped another person have a goods nights rest as well. For all the nay-sayers, sleep well. To the hopeful, keep on keeping on. Don’t give up on your dreams, no matter what that dream may be.
So I went to a “meeting” and when I first walked in I saw nothing but red flags.
First as soon as I walked in they were extremely exited to greet me, actively shaking my hand and asking me all types of “feel good questions”.
As a person who has been in sales for all my life I can state that this is a tactic used to make people feel good and “important”. They target the inexperienced and “weak people” so they can sell services and make little to no money. HEY IF YOU have ever gone to one of this meetings just look at the cars they drive you will NOT be impressed, and they are the ones that have supposedly succeeded.
Second, look at alllllll the fake trophies and awards on the wall’s they even have five foot “gold” statues that look like a Grammy. – ha,ha,ha awards they gave themselves
Third, and this is the bigggggggest red flag to any scam you may encounter they will not answer questions over the phone or in person you have to go to a meeting where they will explain everything. BUT HERE IS THE BEST PART being in a meeting is like watching an hour long (or two) infomercial. They tell you how great the company is they have people tell stories about how Primerica has changed their lives. And they stilllllllllll wont answer questions.
Fourth, number 4 I call this one surround sound. Yes folks this one is tricky to capture but what they do is separate and into a large circle and when their speaker finishes telling you how their lives was horrible before Primerica they all clap and you get a great surround sound noise as if all are clapping —— this my friend is taking selling to a new level I love it except it’s not for a good cause its to take your money for “licensing” fees and they use your time and money.
I can keep going all day but people have to understand that PRIMERICA HAS NOTHING TO LOOSE IT’S YOUR TIME IT’S YOUR MONEY, —- IF THEY HOOK 5 OF YOU INTO DOING THIS WELL THEY HAVE DONE THEIR JOB.
I’m not the most religious man in the world but god bless them – they will need it
P.S.
On a side issue when people act like they are wealthy, and have a job that can take you to the sky — fine look at their watch is it a Timex or a tissot ? Do they drive a 2005 BMW 330 or an old Benz ? Are they egger to answer specific questions without reserve? Even then Use your conmen sense nothing in live is free, nothing in live comes easy… life is a fight between good and evil …
To Nienpedo
I don’t know what area you live in, nor does that matter. I have every question I’ve asked answered straight forward. Like I stated in my prior posting, we have walked away from clients who have an excellant 1st mortgage and even with a 2nd under that. They have great credit, but are online. When we could as so many of you nay-sayers say, all Primerica wants to do is rip off people. Not so. When we get ready to leave such clients they are in shock that we have not tried to talk them into refinancing. They may have 4-5 credit cards that we could have easily wrapped into a 2nd mortgage, but did not! So after the shock wears off they want to know more about why we didn’t try to talk them into some new product. We show them how to accelerate paying off their credit cards and save $$. If they are intested in the company, than we invite them to a meeting. I have been to my RVP’s house, it’s beautiful. My RVP drives a beautiful car. He has been in Primerica for 11 years and has promoted 5 of his top teams to RVP’s. Two of them in the past two months. I have personally looked into the what people say about primerica. My question is why are there no consumers of any products out to cause strife against Primerica? Because they are happy! They have been treated well. Not all people are out to rip people off like some agents, mortgage brokers with high points on loans etc. God Bless you and sleep well.
This is hilarious I rarely write to post like this because it holds no credibility. But thats okay, the internet is made for people to say what they want and how they want to. First let me clear this up Ill respond to the article then the comments I read.lol
“Primerica sells insurance (mostly life insurance), mutual funds, mortgages, and debt consolidation services. It appears that “debt consolidation” is the cash cow for the company, and it’s questionable whether consumers are really better off with the Primerica products than without. (i.e. The representatives are incentivized to push these products, even if it may actually cost the consumer more money!)”
No one in Primerica can involve themselves in any sales WITHOUT A VALID LICENSE FOR THEIR STATE. Due to the fact that this article was written in 2007 before the “economic crisis” you thought our debt services were too high. Now that the mortgages and so forth are 50% higher or more due to a reset ( see its about education too DO NOT LEAVE THAT OUT!! )those who chose to go with Primerica are not worried about that its not a variable, its fixed. It will stay that way. Dont be ignorant about the truth.
NEXT
“Primerica is a subsidiary of Citigroup, so many think this gives them instant credibility. Not for me. All it means is that Citigroup executives figured out how lucrative MLM is for the owners of the scam.” Regardless if Primerica is with Citi or not Primerica stands on its own legs and have done so for the past 30 years. Primerica uses citis services so your saying Citi is a scam right?
NEXT!!
“Here’s where Primerica enters the territory of being a scam:
“* Overpriced products pushed to low- and middle-income people who probably have little to no experience with these financial services. They won’t realize the products are overpriced.”
Hmmm overpriced products?? like I said before people are losing their homes right now because of ” low interes rates” low this low that. But you fail to realize that the interest rate means nothing. Saying the client is ignorant to our services is FALSE. Primerica reps are TRAINED to repeat everything and give clients options to shop around if they choose to. We EDUCATE FAMILIES WE VISIT THE SAME FAMILIES OR TALK TO THEM OVER THE PHONE TO KEEP THEM UP TO DATE. SO THIS TOO IS JUST WRONG!
* Most of the sales are made by unlicensed representatives, meaning they aren’t well-trained about the things they’re selling.
NO ONE IN PRIMERICA CAN MAKE A SALE WITHOUT A LICENSE. REPS ARE TRAINED 6-8 OR MORE HOURS ADAY. THOSE THAT DONT GIVE UP AND QUIT LIKE MOST BUSINESS OWNERS DO WHEN THEY ARENT SERIOUS.
* The representatives are generally paid lower commissions than at other companies. This is because Primerica is paying up to six levels of people about the salesperson. This is a hallmark of multi-level marketing. The seller gets a small payday so that many in the upline can get paid too. ”
Okay let’s break this down…Lets use another company so you will understand more clearly…
Mcdonalds Employee’s – I wont even include the owners and franchissee’s who make even more money than the rest of these people.
Crew – These are the minimum wagers
Cashier- they make a few more cents than the crew
First Assistant – this person is over the crew this person makes a dollar maybe fifty cents higher than the cashier. WHAT A COMPENSATION!!
Manager – This person is over the shift of these the above individuals. Is that another level?? Okay sorry im serious.
I think you get the picture right? S oMcDonalds has to be an MLM right? But wait no, because no one that works for McDonals ever has an opportunity to become an owner. Oh but wait yes they can it cost around 1,000,000 to be considered and you have to go through trainings McDonalds Univeristy and so much for for what??? To recuit other people to work for you, you pay them the minimum and reap the rewards. IM WRITING MY CONGRESSMAN! MCDONALDS IS A SCAM!! HURRY RUN!! RUN!!
Oh yea, here are the REST of the people on these levels too. Its a scam I tell ya!!
Grill/Sandwich Prep –
Cashier
Assistant
Food Prep
Restaurant Manager
McDonald’s Crew
Shift Manger
Senior Swing Manager
Swing Manager
Store Manager
Okay so you get the general idea. Dont sit here and read about something and make a decision. This person knows nothing about Primerica.
And to our friend that went to a meeting and saw red flags because people were excited. THEN ITS NOT FOR YOU! GO BACK TO YOUR CUBICLE OR TO YOUR CASHIER JOB AND HAVE NO EXCITEMENT AT WORK.
THAT IS A POOR EXCUSE FOR NOT GIVING PRIMERICA ITS PROPS FOR HELPING FAMILIES AND HAVING SOME OF THE BEST MEETINGS IVE EVER BEEN TO.
ITS JUST NOT FOR YOU..
HEY SOMEONE HAS TO SERVE ME MY FRY’S RIGHT? LOL
BTW YOUR TELLING ME YOU DONT FORK MONEY OVER AT WORK? TAXES!! LOL OVER 400 A MONTH FOR MOST. ? LOL YOU OWN A BUSINESS RIGHT OW MUCH DID IT COST YOU? HOW MUCH ARE YOU “SHELLING OUT ” THIS IS RIDICULOUS.
Ok PFS agents let’s break it down. I use to be a PFS agent. PFS isn’t a scam. They have their products and they price their products as they see fit. What you may not know from coming into the industry new with Primerica has to do with compensation and contracts.
You are being blinded by the “mission”. Do you know that other companies pay renewals on LTC? Do you know that Prepaid Legal pays their assoc. renewals and they get ownership after 12 months? When do you get paid renewals or ownership from sales of your legal plan. Have you ever looked at the potential lost income because of your blinf loyalty? What about disability sales? Do you know they pay renewals also? What about the noncompete?
Forget the products, consider your contract and your comission schedule. You don’t know what you don’t know. Do some research and prove me wrong. I was confronted on a message board with facts just as you are. If after doing some research and you still feel that Primerica is the business for you go for it, just understand it’s not about doing what’s right for the consumer. If you had the consumers best interest at heart, you would offer the best product to fit the client.
Think about it for a moment. You go out and find recruits. Spend your gas to sell them. You printer ink. Your time. You buy tools. You give up a leg and at RVP have a full-time requirement and office expenses. All that and if you leave what do you own and what does PFS own? Think about it.
I don’t blame primerica for anything. Everything is in black and white. I just didn’t know what I didn’t know.
PFS is great for people that don’t care what people think about them. If you’re OK with annoying all of your friends and family, and you’ve got the nerve to ask people to recommend you to your friends, and you don’t mind the stigma that comes from working for the Amway of the financial world, you’ll probably do just fine.
There’s no question that you can make big money. But don’t confuse what you do with real financial planning. You are a recruiter. If you get 2 or 3 out of 50 people you talk with to sign up, good for you.
If you’re one of these people that say, “I made $10,000 with PFS last month, and I have no one working for me,” you’re an idiot. You could have sold the same amount for any other insurance agency and made $15,000.
If its true she could have made $15,000 with another company I want to know the name of at laest one of these.
To ALL that think Primerica is good. Primerica BRAIN WASHES people into thinking their products are the best and the only out there. I KNOW. I was with PFS for 9 yrs and a RVP, and they brain washed me and I did the same to others. I am ashamed!!! Their products are over priced, the only way to make money is to double digit recruit!!!!! I am so glad I have left and found a better company for people….
Part 2:
PFS is a scam. I have the ring, I have 3 diamonds on it, but PFS doesn’t care about most clients. They only want you to recruit the WORLD…. I know, I left there and I had 141 licensed codes.
If anyone x-agents want to make some real money, and be truly Independent, then go ahead and respond!
Longhawk: so what if you made $10k in a month, that just means your a professional salesman, and probably with no life.
Former PFS agent:
There are WAY better companies then PFS. I do think PFS is somewhat of a cheap company( or scam), there are so many other financial companies that are just more honest to their agent, and they don’t brainwash you into thinking that their products are the best!!
Oh, and BTW: I am still helping families, I am just helping way more with the same products, and I am getting paid 5x more, then I was with PFS…………….
Sam,
There are way better companies out there that can help you get trained and licensed.
I am never going to make my resume public on careerbuilder.com. Right after the 15 minute company overview, my recruiter suddenly wanted me to have my parents meet with him. On top of that, he wanted me get my parents to gain some referrals. After all the suger coating talk, he was very invasive. Right then, I stopped the conversation and decided to leave. As I left the main door, he was still trying to lure me back in the office. He even said “we don’t need your $99 and the monthly fee $25″. Lucky for him, I wasn’t even thinking about those fees. But I realized he was pitching one of his tactics to persuade me. As I headed to the elevator, he said to me “fine I’ll just reject your debit card payment and rip up your application”. He made it sound like I was on the wrong side of the moral spectrum. Later that day, my parents and my friends told me he attempted to RECRUIT THEM. What a bastard.
And it disgusts me how these successful Prim reps put down hard working people. Why condemn people who feel comfortable receiving a guaranteed paycheck every week? I highly doubt the successful Prim reps have achieved success just by their product alone. As stated in earlier posts, they depend on additional recruits to see those extra 0s.
If one person as a Prim rep makes a six figure income on recruits, you think he’s gonna give two craps about how next guy in the upline is benefiting from this? Of course not, as long as he’s getting his cheddar. Now how about people way below this ladder?
Maybe if people were more smart about investing/saving their money and getting better at their profession, they wouldn’t need advice from these so called financial advisers/strategists.
On top of that, you wouldn’t have to cling onto this financial dreamworld these MMM companies are trying to pitch you.
Also, I am a business person myself. I actually like to be successful by selling a quality product instead of using it as a mirage.
I also find it funny that Prim reps spend more time attracting and retaining recruits than actually selling the product itself. At first, I was remotely interested in selling the product/service itself, but the recruiter kept pushing the idea of having this “team” around me. I’m like…”what’s really going on here?”
Aaron,
That is good that you didn’t join them. They did the same to me, but I did get sucked in for a long time(8+ years) and finally I saw the light, and it was at Primerica. They are a horrible company to work for.
Aaron,
That is good that your didn’t joined them. Unfortunately for me, I got sucked it and put a waste of 8+ yrs of my life with Primerica. They are a horrible company to work for…
Wow! It is very interesting to read the many opinions that have been developed regarding Primerica Financial Services. I am not currently involved with Primerica, but I have been in the past and am thinking of dabbling a bit more in my free time. What many of you seem to not understand is that Primerica is not a daily job for many people. It is an excellent way to earn extra income without investing a great deal of time. You can work at your leisure and earn supplimentary income accordingly. Yes, the more people who join the business under you, the higher your commissions are. However; I challenge anyone to give an example of a company that does not increase your income as you work your way up the ladder. I am currently employed full time as an accounting manager for a very successful company. I earned a degree in finance, so I am pretty up-to-date on the ins and outs of the financial industry. I attended several meetings and training seminars for Primerica while I was in college. I also received my “legal” life insurance license through a legitmate company (outside of Primerica) by attending the required classes and passing the test that is required by the state in order to sell life insurance. A representative must have the appropriate license to sell any product through Primerica. These experiences added a substantial amount of knowledge to the degree that I earned. The idea that Primerica is not a legitimate company baffles me. Citigroup is a very large, successful company due to the many companies that make up “the umbrella”. Someone asked the question, “why does Primerica not advertise?” Primerica does not advertise because their marketing is based on personal relationships. Many people who benefit from the products and services provided by Primerica would never go to a financial services company looking for help. Their families end up paying for this in the end. The sad fact is, the majority of Americans are not financially prepared to make it through life, but they don’t even realize it. You start with people you know – no cold calling, no door knocking. With this method, as the Primerica Representative continues gaining new business, they may not personally know the person they are meeting with and that person may not know the Primerica Representative, but they know the person who referred them to Primerica. This allows a person to feel comfortable sharing their financial information, including their financial problems. People do not want to share this kind of information with a complete stranger. There were also a few people who mentioned that you lose more money than you make. The problem with this statement is that there is no money paid out that can be lost. If you aren’t making money, the only thing you are losing is time. However; time spent working with Primerica is never wasted. If you gain nothing else from the experience, there is an unlimited amount of useful financial knowledge to be gained that any American in today’s economy could use. The economy has grown into what it is today by nothing more than the poor finacial management of the American public. It is no ones fault that a mortgage can’t be paid other than the individual resposible for paying that mortgage. If the ability to make payments on any type of loan does not exist, it doesn’t matter what you are approved for – it’s your responsibility to know that you can’t pay it. Sorry, I guess I kind of got sidetracked – touchy subject. In conclusion, anyone considering Primerica as a source of income, whether primary income or extra cash, give it a try. For those who have no involvement with Primerica, do yourself a favor and find a local Primerica office to visit. Most of them have weekly training meetings where vistitors are welcomed and you will not be forced into signing up for anything. This can actually be very educational. After you have done this, then share your opinions of Primerica with others. Don’t develop your opinions based on the uneducated opinions of others on the internet. Experience is the best knowledge one can gain!
Tim:
If you want to dabble, as you say in the financial world part-time, I have something that is 10x better then Primerica, and it was started by Art Williams’ brother-in-law…… You can be part-time, make WAY more money Part-time the Primerica, and it to me, is the REAL Primerica business(or I should say the OLD AL Williams business, before they kicked Art and some others out in ’87/’88). Let me know, if your interested and you can make 10x more income here Part-time, then with PFS..
JR
Tim,
I was with Primerica for 8+ yrs, and made it to Senior Vice President. But there is WAY better opportunities out there that are way better then Primerica…………………….
Some I have come to understand about being a Primerica agent. Some of us who used to be with the comapny (as I see it) have an issue with the perceived mission of helping the consumer. Once we found out it basically nothing vut cold business we felt like we were used and playe for a fool. The sole purpose of Primerica is to get business on the books. How do they do it? They do it with a motivated sales force. “Sell the dream”, “See You at the top”, It us against all those cash value companies”. We’ve all heard them before.
Well now I finally get it. The way to make big money at Primerica is to
recruit. Recruits take you to their warm market. Don’t worry about price. Don’t worry about what other companies products. Just recruit and offer the Primerica products. If someone has a cheaper product, so what. If someone has a product with lower fees, so what. if another marketing organization can pay recruits more and give a better contrat, so what. Just get people to sign on the dotted line. If you have that mindset you will get to NSD, or whatever the highest level is today. Don’t get emotional. Don’t worry about anyone else. Just recruit, sell to that recruits warm market and just do the process again while teaching your recruits the same thing. If a client finds out they can get a cheaper program somewhere else, so what, most of them won’t bother to shop after you put them in a program. You see to me that’s the way to do it. The problem is I can’t do it that way. Primerica isn’t about the products, it’s the system they have. That’s what drives the engine. Like it or not that’s how it is. People have been complianing and tryint to expose PFS on the net for years, but business is still going on the books..
Are they a scam? I say no they are not, but just not my cup of tea. It’s business, Cold hard business..
Is Primerica a scam? Absolutly, no. Here is what I know about Primerica. I actually love Primerica. My wife was contacted by a Primerica agent. He said that he got her name from a business card that a friend gave him. He stated that she would be perfect for a management position in his company and that if she was interested that she should come down and apply. She told me about it and I called the agent back to find out why he was calling her out of the blue and how he got her number. She wanted me to talk with him since she was an english as a second language student and wanted me to verify what he was saying. I smelled something fishy so when I called back I received the manager opportunity script and I decided to see what was the real deal. I set an appointment to go down and talk to him. I arrived at the appointment and I was greeted by the receptionist and given a form/application to fill out. It did not seem like any other application that I had fill out before. I am starting to think watch out for the hook, line, and sinker routine. I heard out the recruiting pitch and I could not be objective with the sales pitch. It was too much making a hype and not enough real info in my opion. I dont want to hear what you cand do I want you to back it up. I made another appointment but this time I see where it was going and I said let’s do it at my house. This time I searched the web and tried to find all the negative and postive things about Primerica. I found a blog and it took me several hours writing down the pro’s and con’s. I refined my paper in a question type format to ask the agent. When he came over he showed me how he does an appointment and he keept referencing referals. After his presentation I broke out my paper and started firing them off. I started with the commission levels, commision caps, non-compete clause, products they sold and products they did not sell or offer, why interest was higher with their loans, being captive, rollbacks, giving up legs to promote, need to recruit, POL fee’s, giving up commisions on the first six appointments and giving up some of your warm market to your recruiter, etc. I hammered him pretty hard and I was not trying to be a jerk I wanted to know what I was getting into. I did not join and I really found something that was quite better paid more commission starting with free FNA software with no monthly fees, no brochures to purchase it is given to me by the carriers I represent. Every policy that I sell pays double because of the commission levels that what a Primerica Reps gets. My policies are guaranteed, convertable and cheaper. I have ran the numbers with a PFS agent and there are websites that you can run the quotes to see for yourself. My polices are not unisex premiums, so women pay lesser premium than men for the same rating class and age.
I will go back to the original question is Primerica a scam? NO but over priced.
The reason I love Primerica, is because it made me look real hard and investigate what was out there. I found something better. I am an independent licensed agent who offer my clients options instead offering only one product.
My advise to anyone who wises to jump into this field such as I did is to get your own license, become independent and do whats right for the client.
In the news a couple of days ago said, Primerica has been downgraded a 3rd time to their lowest ever FSR (financial stability rating) reflecting the hardship their parent company is going through.
Citigroup was the first company ready to go down long before the credit mess. It was saved by a massive influx of Saudi Arabian and Dubai funds.
The Saudi Arabian Prince and the Dubai government own nearly 17% to 19% shares of Citigroup.
The best thing about being non-captive or an indepent is that, if one of the carriers has a problem I can always use a different carrier my business is not affected, but what can they do? They are captive and there’s that nasty non-compete clause again.
So.
If someone is looking for a job.
But.
That offer of a job is quickly transformed into a training scheme.
Then.
There never was a Job offer, was there?
Most people looking for a job, are looking to survive, pay the bills – NOW.
Not in 8 months.
As far as I see it, Primerica is a scheme.
If not, then why would they call it a “job offer” when it is actually a masked training “opportunity” before the money actually can come rolling in?
Reading through all the sites on this topic, I haven’t found anything about when this “job offer” starts paying you salary / wages?
Primerica misguides job seekers.
Remember: When people need a job they’re not looking for training for a job.
When people are given the choice of training vs. working, then I will say it is a legitimate business.
Otherwise it is a scam.
Primerica must learn to call it just what it is!!
A scam to train people to scam others!!
Bill, I believe you should do some more research on the ratings my friend. I was just at http://www.ambest.com and the Primerica Rating is an A+, and to my knowledge the only better rating by AM Best is an A++. Also, Standard & Poors ratings for the company is AA, with the top rating being AAA. So, again i would do my research before writing something. It doesn’t do much for your credibility.
To John,
I put alot of yrs in with Primerica, got the ring and a few diamonds, but honestly, they might have a OK(or good) rating, they are still a Sh…ty company to work for, and their products are so outragiously expensive, compare to the industry……..
My 17 year old son, was almost swindled into “training” for a Primerica “job” this week.
Shame on Primerica for their Flim-Flam process.
The kid was just looking for a paying job, to help pay for his courses, not training – he has University Degree in the process!
How dare you invite him to a job interview only to try to hype him into paying for training, and then in the same sentence ask him if he could introduce the “interviewees” to his parents, today.
You people can’t get clueless adults to do the work for you so, you downgrade to young, inexperienced, students!
Shame on the Sham you Flim-flamers.
That was NOT a job interview, which my son was coaxed into!
There should be a law against such baiting and switching.