This potential threat to your preservation of assets or your way of life is difficult for some clients to grasp. We all occasionally need to open a charge account and in certain circumstances it can be necessary to sign up for a securities account.
At stake can be your privacy, simplifying the bookkeeping you may be required to maintain for decades, stumbling over tax forms you can not understand, the impact on your credit rating much less the risk of losing invested money. Can all this happen by signing up an application for an account?
Precisely. Somehow the complications associated with obligating yourself for credit purposes or purchasing securities are hardly obvious or clear. But the fact is every time a new account is opened a whole new set of necessities is required.
Here's an example we purchased an oil and gas security from a company in Pennsylvania. The investment paid off nicely but for the next 14 years we had to file a single purpose tax return which cost extra charges with our CPA and on three occasions required a laborious interaction with officials in that state and never was properly resolved. Guaranteed, the sales person who sold us that security never disclosed any of our future necessary labors for this one investment.