Citisolutions

mikeorange7

Has anybody got any experience of a financial services firm called Citisolutions. They are part of the ubiquitous Citigroup somehow?
many thanks

dunstonh

according to the FSA registers they are citisolutions financial (UK) ltd.  

They have 14 advisors currently.

They are a wholly owned subsidiary of Premerica Financial Services Inc and a member of citigroup

A google search shows that they are recruiting heavily and continously.   Either they are growing fast or have a high staff turnover.  

Their website indicates they are protection only. (and with commission only salesman, they cant have a lot of fun).

They only became licenced on 16th June 04 so there isnt going to be much of a track record.

mikeorange7

i am led to believe that they are massively expanding a self employed direct sales force on a networking basis, according to a tried and tested system from the USA .

Representatives are also introducers for a mortgage broker and an Investment house.

Seems hard work but I can see that thier target middel income family audience is a massive, currently under served market. ??

dunstonh

i am led to believe that they are massively expanding a self employed direct sales force on a networking basis, according to a tried and tested system from the USA

Sounds like sales speak.    I also get images of American films which show insurance salesman with high pressure tactics and sales related targets and incentives (which wont be allowed after regulation).

Most UK direct sales forces have closed due to costs.  Did they give any indication of what makes their process any different to the failed processes used by the UK companies?

If the protection is tied then options are limited.   If mulit-tied or whole of market then options are greater but its only protection.  

Its a bit small to be a network with only 16 people.   The terms are unlikely to be that good.   You should also be wary of the remuneration.   Life protection policies tend to be either on indemnity or non-indemnity.  Non indemnity pays the most but spreads the payments over 48 months.   Indemnity pays less but up front but has a claw back period.   I know of one protection salesman who lost his house due to claw backs on life protection.  Make sure you check the remuneration and clawback carefully.    Also check the panel of companies you will be able to offer.  

Personally, i wouldnt touch it based on what i have read and what you have said.   If you could do the mortgages and the protection, then fair enough.   Protection alone though isnt going to be much fun.

Seems hard work but I can see that thier target middel income family audience is a massive, currently under served market.  ??

It isnt under served but its a hard market to deal in.  The banks, IFAs and remaining tied companies are all in this market and have the scope to deal with them. However, the reason to get in the door is the hard part. If you are dealing in protection only, then its going to be really hard for you to get in the door. I dont even know if you will be able to cold call either after 15th Jan.

mikeorange7

The sales process involves personal referral techniques combined with recruitment of new people ( and subsequent personal referrals created from this). It is akin to network marketing I believe. Thus the warm network gets you in the door more often than not.

As for the products. The protection products are tied to one company (citilife - based in Dublin). Commission paid as a loan at 75% of full ist year commission. This can be clawed back if the policies are cancelled within the first year. If policy still live after a year then rest of commission is paid. I've compared like for like quotes and they are slightly above average except for male smokers strangely enough when they are very competitive?

The Investment introductions are to Foriegn and Colonial (formerly ICIS). Commission paid as a percentage of total capital invested.

The mortgage referrals are to Mortgage Times Group Ltd. ommission paid depends on the fees charged by the broker. Higher commissions paid for sub prime morgtage loans etc.

This opportunity was not sold as a get rich quick scheme. There does seem to be potential for those who can build their own network of recruits as the commission structure provides over rides for those in the upline on sales made .

A different way of doing business it seems. Does the fact the company has been 'passed fit' by the FSA suggest this company can by more or less trusted I wonder??

dunstonh

I'm sure it can be trusted. Although you have to wonder why they havent gone down the full advice route. Perhaps its because its too expensive and with life protection the liability for complaints is less and costs lower.

The format they are using, or rather want you to use, is nothing new. Its damned hard for a tied company to get referral business. Its going to be even harder when its life assurance only.

Life assurance tucks in nicely with full advice or with mortgage advice. However, by itself, i don't see it working.

A salesman could probably get it to work really well. However, it would, in my opinion, be hell. I would think you would soon get fed up with the opportunities you are missing out on. People may want to talk about mortgage unemployment cover, pensions, savings, investments etc and all you could do is life cover.

Where do you get these referrals from?
What do you do when you have no-one else to sell to?

And note, it will be a sales environment. If you enjoy working in that environment fair enough but whatever the sales pitch is to recruit you, remember that they are only showing when it goes well. Ask them what the existing salesmen are doing. They will show you the top performers. The average will be well down on that. As much as a quarter of it.

Just make sure you are fully aware of what you are letting yourself in for if you go for it. It may be ok but the concept sounds bloody awful. It reminds me of the style used by allied crowbar.

payless

IMHO network marketing and financial products do not sit nicely together


edit - nothing sits nicely with "network marketing"

janhbc

A company of real integrity; with a large and growing network of people who are definitely making money - me included!

Instead of assuming what it is all about, why don't you visit one of the actual meetings to find out?

Yes, it started in America, and has been here over 18 months now, and yes, it is authorised and regulated by the FSA - which, by the way, was no big deal as we were already well regulated internally! And yes, British people from all walks of life are making money and helping a lot of people.

We are not insurance salesmen. Insurance is one small part of what we do. And yes, we are building networks. It is a great business; a growing business; and we have great fun while we are building our income stream. Come check us out!

Life_Agency

I have just spoke to a gentleman called Jerry at head office and asked how I would become an agent and he was very sketchy indeed.

Apparently, I have a regional vice president calling me so lets see what he has got to say.

I will keep you all posted.

Oh by the way we have a few advisors from citi hitting other money savers via thier private message facilities who have visited and posted in areas that they can sell products.

Not very proffesional as we are not really supposed to be selling our wares via these boards!

dunstonh

Since this thread was resurrected.....

i cannot remember the specifics but Citisolutions had to take a load of "advisors" off the road for retraining. That usually means bad trainining or missed licencing requirements.

As we appear to have someone from Citisolutions posting here now, I am sure they can clarify.

Caveman_4

A company of real integrity; with a large and growing network of people who are definitely making money - me included!. Follow the Leader, The Leader is Good. You have been brainwashed me old son.

Instead of assuming what it is all about, why don't you visit one of the actual meetings to find out?

Yes, it started in America, and has been here over 18 months now, and yes, it is authorised and regulated by the FSA - which, by the way, was no big deal as we were already well regulated internally! -But of course you are.And yes, British people from all walks of life are making money and helping a lot of people.

We are not insurance salesmen. Insurance is one small part of what we do. And yes, we are building networks. It is a great business; a growing business; and we have great fun while we are building our income stream. Come check us out!