When in doubt, walk away. Here's how to deal with high-pressure sales tactics for financial products.
- Don't feel pressured to buy a financial product you're unsure of.
- Take the sales brochure home and talk to your family about the product.
- Avoid buying a financial product just because the free gift is attractive or expensive.
What is high-pressure selling?
When high-pressure tactics are used to sell you a product, there is often a high degree of persistence and sales talk amidst the financial advice given. You may encounter them at public places such as roadshows, supermarkets and MRT stations.
If you feel pressured into buying something you're unsure of, you can always walk away. Even if a sales representative has spent time explaining the product to you, you're not obligated to buy.
Tell-tale signs of high-pressure selling
Watch out for these common phrases:
- "You can get the latest camera for free if you sign up now!"
- "You can get a 10% annual return and enjoy many other benefits."
- "This product is offered at a special rate now, for a limited period. You'll be missing out!"
- "Many people like you have signed up for this. What are you waiting for?"
While it may sound like a good deal, it may not be the right financial product for you.
Here are what you can do to deal with aggressive selling:
- Ask for identification. Get the person's name, contact details, company and their purpose for approaching you.
- If you don't need the product, tell them firmly that you're not interested and end the conversation.
- If you don't understand the product, don't sign up for it. Seek independent advice from trusted persons who are more knowledgeable.
- Beware of salespersons who only promote the benefits of the product. Read the fine print and ask as many questions as you need, e.g. about the risks, fees and charges.
Do you really need the product? If not, say "No" and walk away.
See also: Resolving a financial dispute