A few weeks ago while driving on 122^nd Street, I heard a noise under my car, then the familiar sound of a tire gone flat.  So as usual and customary in this situation, I used a spare tire until I could get the flat tire to an automotive store.

The manager at the automotive store pointed out that “something” had poked a hole in the rim/wheel (not just the tire), and that it would cost $875 to replace.  I asked if the wheel could be fixed, and was told that I was “out of luck”.  After communicating that I would check on EBAY or with a salvage yard, I walked to my car when I encountered one of their hired hands rolling my tire to me.

After an exchange of niceties and a few questions, he asked if the manager told me about “Wheel Connections” (yes this is free advertising, and no they aren’t a client).  Long story short, he led me to a solution which saved me time and lots of money ($800 to be exact).  I don’t know whether the technician was going against company policy or simply more informed than his manager, but he did the right thing by providing another potential option.

Upon the successful repair of my wheel by Wheel Connections, they showed me the sharp object I had run over---a pair of scissors.

So why am I writing this story to you?

Two reasons:  In regards to money decisions, your “pair of scissors” may be the loss of a loved one or a job, a divorce, or could even be the growth or sale of your business, or retirement from your employer.  Like me, you will most likely be faced with unfamiliar circumstances and options as you try to handle your “pair of scissors”. 

And this is where trust in an advisor comes in handy.  Following are three important questions to ask before placing trust in a financial advisor to do the right thing by you:

• How do you charge for those services? Do you receive compensation/rewards of any kind from recommending the purchase of a particular stock, mutual fund, bond, or annuity?

• What potential conflicts of interest do you have when recommending investment products to me, and will you disclose those conflicts?

• Are you required by law to always act in my best interests? Will you put that commitment in writing?

Those are just 3 of the many questions you should ask.  If you would like additional information about how advisors in the financial services industry work and other important questions to ask, just email me and I will send you a copy of “Cutting Through The Confusion: Where to Turn for Help With Your Investments”---produced by The Coalition On Investor Education.

Lastly, I told you this story because I hope you will honor the technician by paying forward what I received from him that day---honesty and the effort of going the extra mile.  In your dealings with clients, friends, family, and colleagues, do the right thing by looking out for their best interest…even if it comes at a small cost to you. 

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