When someone is pressuring. I tell them I need some time to review it with my spouse, parent, or third party advisor. I ask for a contact number where I can get back to them. This allows me to consider the options at my own pace.
When it sounds too good to be true. Ask for documents or a prospectus "to review with your attorney or CPA." In some cases I get the documents, many cases you will not. If I get documents and am truly interested, I find an attorney or CPA to review them. If it is a good deal, the cost will be covered. If it's a bad deal, finding out it is will be worth the cost.
When the deadline is right now. I thank them for the opportunity and tell them no. It likely is a bad deal. I remember attending a seminar for a timeshare. We were offered a great early bird deal of $11,000 if we signed right away. We said no and the salesperson offered a better deal at $8,000. When we said no again, he lowered it to the final price of $6,000 and we said no again.
Being perceived as knowledgeable is good. While there is a very small chance one may miss the deal of a life time, more often than not, one will have just avoided a bad deal.
For more on The Practice of Personal Finance, check back on Wednesday for a new segment.
Photo Credit: morgueFile.com, Mary R. Vogt
This is not financial advice. Please consult a professional advisor.
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