Those who bought these cash builder / wealth builder plans and other similar 'save 6/8/10 years' plans, thinking its a great savings plan for your retirement, I wish you all the best in your retirement years. Hope you have other backup plans as well.

Do remember to keep in touch with the agent till the day you die because you are gonna to the agent for CONsulting you into a so called forced savings plan.

And as for the agent who sold these plans, after year 7 of the policies sold, do a disappearing act, save your skin. Make damn sure you are no longer reachable by year 11.

For those in the dark, here's a bit more,

Year 1 commission paid to agents who sold you these so called savings plan is a min 17.5% of your premium paid to the cash/wealth builder plans.

Now agent CONsult you to 'save' $500 per month, 17.5% or $87.50 per month goes into agent's pocket, this excludes overriding commission paid to agency managers and what have you expenses of the insurance company. Easily 60-70% of your premium paid is gone for all these expenses. That's $350 per month gone. So you actual start savings with close to ZERO ringgit. And this will go on for 6 years on a reducing basis. (Now you know why the minimum period for such plans is 6 years.)

Ever wonder why agents tell you NEVER TO WITHDRAW within the 1st 6 years? Cuz in your so called savings plan, its EMPTY/KOSONG. Notice that if you surrender with 1-3 years, its ZERO meaning NO MONEY BACK.

Now ask yourself this when the GOVT increases the service tax from 5% to 6% or when your local mamak increase your fav teh tarik from $1 to $1.30, you bising like no tomorrow, the hell with the govt, fxxk this mamak, i never coming back again, but when your agent CONsult you a so called savings plan which quietly eat 60-70% of your so called savings premium, why you never bising?

If these cash / wealth builder are so good, why take 30 years to mature? Why lock your own money and subject it to others placing terms & conditions on your own money? Ever heard of APL and how much it can charge you interest for late premium payments? Nice for some companies to charge you interest on your own money, just nice.

And use your brain for a moment, can an insurance company ever paid interest higher than a bank on the capital sum with a guarantee? If yes, why isn't there a queue at every insurance company with people signing up such cash wealth builder plan? Why do insurance companies still need the agents to CONsult you? Similar to buying iphone 4s, so damn good that people auto queue, you see any agents CONsult the queue?

By the way, why isn't Warren Buffett and Jim Rogers queuing as well for the great savings plan?

Now look at this from another thread, save 28000 per year, get back 8400 till Year 30.
Ask yourself and use some sense,
1) how much is your salary today? close to $28000 per year?
2) how much is your expenses today? close to $28000 per year?
3) can you live on $8400 per year?

If you cannot afford $28000 premium per year, that's means the you can only lower premiums which directly meaning your GYI is lower as well. Say you can afford $6000 premium per year, your GYI is probably around $1800 per year. Now, in your retirement, can you survive on $1800 per year? What a great reCONmend from your best buddy agent for your retirement.

You only want to meet your INSURANCE agent, SLL or otherwise, for PROTECTION policies and CLAIMS, and not for any other reasons apart from these.
HAHAHAHAHAHA


This post has been edited by lunchtime: Dec 21 2011, 11:15 PM

8% based on IRR, you wait long long lar. NO agent from whichever insurance company dare to PM you

Not sure if it is available now but can be sure insurance companies will come out with version x.

As for financial literacy in Malaysia, we are way below shallow.

+1