With the RRSP tax deadline approaching on March 1, organizing your finances is essential. Since the Canadian government doesn’t regulate financial planners, finding a trustworthy financial planner can be more challenging. Between student loans, credit cards and mortgages, hiring a financial planner could save you time and money.
Protect your finances and hire a trustworthy financial planner with these BBB tips:
- Check credentials. If you are approached by someone who is trying to sell you an investment, call your provincial or territorial securities regulator to check whether the person is appropriately registered. Ask your financial professional if they are affiliated with the Financial Planning Standards Council of Canada, as they are the primary authority for financial professionals in Canada. They enforce and uphold the standards of financial planning through Certified Financial Planner certification.
- Know the difference between an investment advisor and a financial planner. Financial planners work with you to develop a tailored financial plan to suit your needs including savings, insurance, taxes, retirement, estate planning and investments. Investment advisors may only be able to give you a narrow range of guidance for specific investments. Be sure to determine what your financial needs are before hiring a professional.
- Know which questions to ask. Here are some of the questions you should always ask when hiring any financial professional: What experience do you have, especially with people in my circumstances? What credentials do you have? What products and services do you offer? How are you paid for your services? What is your usual hourly rate, flat fee, or commission?
- Arrange a meeting in person. Be sure to meet potential advisors face-to-face to make sure they clearly understand your needs and financial goals. Make sure to check-in regularly with your financial professional to ensure your needs are being met and goals are on track.
For more consumer tips visit bbb.org.
