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April 02, 2010 – Comments (21) | RELATED TICKERS: C

Primerica is a terrible company! It has logged over a million complaints and yet it just went public. Click here to see some of the complaints and recruitment practices. The mutual funds they have are horrible and perform poorly and the recruitement pracitces are even worse. Read it for youself!

Yet I will never understand why they had an IPO or why it even made money!

Primerica Scam -



(Complaints About Primerica)*WARNING!!*

21 Comments – Post Your Own

#1) On April 02, 2010 at 2:04 PM, SUPERMANSTOCKS (40.32) wrote:

Primerica Job SCAMS? Complaints About Primerica Training? - Click here for more free videos

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#2) On April 02, 2010 at 3:04 PM, JakilaTheHun (99.92) wrote:

I'm baffled as to why it went public.  I was actually shocked that Primerica was associated with Citi.  The only reason I'm even aware of it is because they tried to recruit me and it sounds scammy from the get-go. 

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#3) On April 02, 2010 at 3:06 PM, SUPERMANSTOCKS (40.32) wrote:

They provide legit services. But they're are a scam because of how they provide those services! 

Pyramid Scheme/Scam!

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#4) On April 02, 2010 at 4:02 PM, 100ozRound (28.70) wrote:

Pre-Paid Legal (PPD) is publicly traded too and they use the same MLM type structure that Primerica uses....go figure...

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#5) On April 02, 2010 at 4:11 PM, SUPERMANSTOCKS (40.32) wrote:

Then that tell you something. JUNK!

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#6) On April 05, 2010 at 10:50 PM, melty13 (< 20) wrote:

They do their investments thruough companies like Pioneer, American, Van Kampen, & Invesco.  Those companies are pretty legit.  Their IPO kicked butt as well. Somebody must know something you dont.

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#7) On April 06, 2010 at 2:27 AM, SUPERMANSTOCKS (40.32) wrote:

yeah, they sell legit services. But they're junk! Search google on them

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#8) On April 07, 2010 at 4:02 PM, jrud007 (44.43) wrote:

They sell legit services but they're junk?  Just remember not everything you see on the Internet is true.  Also, look up the definition of a pyramid scheme:

Pyramid Scheme definition

An illegal investment scam based on a hierarchical setup. New recruits make up the base of the pyramid and provide the funding, or so-called returns, given to the earlier investors/recruits above them...

Investopedia Commentary

A pyramid scheme is initiated by an individual or a company that starts recruiting investors with an offer of guaranteed high returns. As the scheme begins, the earliest investors do receive a high rate of return, but these gains are paid for by new recruits and are not a return on any real investment.

From the day the scam is initiated, a pyramid scheme's liabilities exceed its assets. The only way it can generate wealth is by promising extraordinary returns to new recruits the only way these returns can be paid is by getting additional investors. Invariably these schemes lose steam and the pyramid collapses.

Please tell me how this company is a pyramid scheme...

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#9) On April 08, 2010 at 11:20 AM, SUPERMANSTOCKS (40.32) wrote:

Have you ever worked for them? Have you even spoke with them about working for them? Give them a call and listen to what they have to say. Then you will know.

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#10) On April 09, 2010 at 9:50 AM, jrud007 (44.43) wrote:

Looks like a solid company with solid products for middle America.  The stock is jumping already.  The best thing about this company, they have $0 debt.

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#11) On April 09, 2010 at 2:10 PM, SUPERMANSTOCKS (40.32) wrote:

I will quote the man, Sir Ultralong


"Yeah I can echo many of the comments here that Primerica is run a lot like a pyramid scheme where you recruit others, have them pay you to get your licenses and then send them out to "make their own business"... very Amway-like. Because of that, I can't say that I am particularly excited to invest in that business model. It also just debuted so I can get any info on the company...yet. For now it's a big fat no in my book because of their business model. I'll revisit this later when they report earnings.



I am not the only one who is either unsure of it or just plain doesn't like it. So its ok to like a stock. Just remember the company might just sock!

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#12) On April 09, 2010 at 2:33 PM, Melaschasm (71.34) wrote:

Primerica is a financial services company...

I am not investing in it, but it could be a useful way to get a bunch of financial licenses.  If you don't manage to make much money running your 'business', you can use those licenses to land a nice paying job at a competing company.

From a customer standpoint, they probably are not the best place to do business with, but they are far from the worst.

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#13) On April 12, 2010 at 1:48 PM, dstotz1 (< 20) wrote:

HERE's the thing..... People shoot their mouth off, based on their own experience. Not necessarily the WHOLE TRUTH, just from what little view that they've seen.

  1) Great thing about Primerica, is that they'll give anybody a chance (as long as they do NOT have a Felony or criminal record), which makes up allot of people.

 2) The bad thing is that sometimes these people don't always have good people skills & don't treat someone like this kid the right way or properly inform them on the opportunity.

3) Pyramid schemes are illegal, so do you think the SEC is stupid?

4) The company is not an MLM. MLM's pay people to recruit people. Primerica is a HIGHLY regulated company by FINRA, Dept. of Insurance, SEC, Dept of Licensing & Regulation etc. 

   - The ONLY way someone gets paid by Primerica, is if they actually HELP SOMEONE by offering them services and making a commision on the sale. Services that EVERYONE  needs ................. Life Insurance, Mutual Fund Investments, IRA's, Auto & Home Insurance, Legal Services (will, living will, Power of Atty. etc.) Mortgage, Refinance loan etc.


 - Primerica is legit, that's why IT WAS part of Citigroup and were one of the ONLY profitable divisions of the company ($500 mil NET profit) in 2008.

 - Primerica went public with investors, such as Warburg Pincus, who invested $230 million, after investing over $9 million researching & investigating our company.

 >>> So what kind of Idiot would blow that kind of money on a SCAM ??

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#14) On April 12, 2010 at 2:35 PM, 100ozRound (28.70) wrote:


Do you work for Primerica?  Not judging, just asking

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#15) On April 12, 2010 at 4:56 PM, SUPERMANSTOCKS (40.32) wrote:

Good and valid question

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#16) On April 13, 2010 at 1:15 AM, Blade16 (< 20) wrote:

For anyone that needs to question anyone providing valid reasons why Primerica is not only a valid company, but what they also provide for the public, not only restructures the economy to increase growth but decreases debt for the over-all consumers...just needs to pay attention to these 5 details.  

Anyone that works in Primerica is just hurting the company's image by responding to this propaganda that is posted on this website and just by visiting this page allows more hits to his web-posting.

I would expect anyone else to add in after you read this to be incompetent; unless you have nothing nice to say at all.     

1) For this person to make a comment on the notes/comments about a pyramid scheme and how Primerica, Inc is similar, and then define what a pyramid scheme is but know nothing or anything about the company, is just unethical and hurt my brian.  Especially on a caliber website like "The Motley Fool".

2) Primerica does not intentionally recruit people and then sell the new recruits/associates products or services.  Primerica is a financial services company with over more than 4.3 million lives insured through the life insurance side of things and holds more than +/- 2 million investment clients.

With the company averaging approx. 90,000 to 100,000 to 130,000 licensed people/reps working for the company, how can internal consumption take place to meet the criteria of a pyramid scheme? 

And answer me this, are you telling me the hundreds of thousands of millions of people who work at Kmart, Wal-Mart, Home Depot or Sam's Club, or Costco don't shop or buy products/services at where they work? 

Or are you un-American and don't believe in American made cars like Ford, GM or Chrysler: even though 30-60% of the cars made are flown in from out-of-country...but still we are told to support them and purchase American-made vehicles?  Wait a second...

3) So what every critic is really trying to say is that Citigroup Corp: a Fortune 500 company, has embedded itself with a pyramid scheme company and has been making multi-millions of dollars every year...and the SEC hasn't done anything about it...well they haven't because it is all legal.  But I thought pyramid schemes are illegal? 

And if Primerica was such a penny loafer company, how did the stock price open to the public around $18 a share to above $24 a share between April 1st, 2010 and April 13, 2010. 

A legitimate multi-level marketing company emphasizes reliable products or services. Comment #13 is technically wrong, for Primerica does have HR that works in Primerica Corporate Home Office in Georgia...thus we do pay someone/people within the company to hire other people.  I hope we don't need a discussion on the term "Human Resources".  Though this practice does not happen within the sales force.  FINRA, Dept. of Insurance, SEC, Dept of Licensing & Regulation have nothing to do with MLM structured companies.  

A pyramid scheme uses products or services to disguise its quest for collecting money from the investors on the bottom levels to pay other investors further up the pyramid.  I haven't seen Primerica get sued or sent to court on counts of fraud and money laundering.  I haven't found any SEC or court documents: all public records might I add, that proves Primerica taking money from lower level representatives and paying the senior directors loads of cash.  Just isn't available because it never happened.

4) In a typical pyramid scheme, new investors must pay a fee for the right to sell the products or services as well as for the right to recruit others into the pyramid for rewards unrelated to product sales or services.

Primerica just like every other financial services company pays for administrative work: licensing: federal oversight, NIPR and registration: regulatory, education: regulated, books and learning tools: state & federal oversight, background checks for new employees, etc.  No one in Primerica profits from the IBA Fee: a fee paid to the company from non-licensed associates once apart of the firm/company, which not only has been decreasing all the time: $199 to $99, but is just used to cover expenses.  Where other companies fire employees, charge $400-$1,000 before they allow the possible employee to join the company, charge higher prices on products (most of those products got us in the recession, we just got out of), move the company out-of-the US to avoid higher tax penalties, etc just to off-set these costs...

Primerica has just asked for any representative to be apart of the company: after a multi-level background check, to cover the cost.  Actually it is smart and allows the company to pay its sales force more compensation.  Any and all money can only be made in the financial services sector once you attain state or federal required licenses.  Do you think the FBI would allow people to be apart of a pyramid scheme and to attain these certificates?  

5) Very often the products or services the victim must buy are un-sellable, and the pyramid's promoters refuse to repurchase them: internal consumption. On the other hand, legitimate multi-level marketing companies will buy back-unsold merchandise, although often at a discount from the original price.  

Beautiful thing is that all the services and products that are sold to all 6 million plus clients so far don't need to be resold or bought back by the company because all services are complimentary: except certain acts within securities transactions, and almost all products the clients can get refunds on them: as long as they can attain it back within the contracted time period or terms: that is also state/federally monitored.  Technically, Primerica has no inventory...Life Insurance is created on documents.  Its not like they are selling soap and toilet paper.

Furthermore, any more comment(s) made by anyone after this point, unless they have something logical to say should go read a book or actually do their homework, before they listen to anyone looking like that.  "Nothing against you, you just don't look or sound smart"...

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#17) On April 13, 2010 at 1:23 AM, Blade16 (< 20) wrote:

a comment made like how some of my grammar sucks...

or your just upset cause you couldn't get Primerica stock at the IPO offer of $15 a share...

or mad because you had a bad experience in Primerica...thus the company is a sham!!  Boo Hoo... 

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#18) On April 13, 2010 at 1:30 AM, Blade16 (< 20) wrote:

And now that I think about it...6-7 million clients...if it is true; approx 1 million of them complained...thats a 84% client approval rate.

How many companies does everyone come across with an 84% or higher client approval rating?  

I don't even think Aflac, or Morgan Stanley/Smith Barney, or UBS, or Raymond James, or State Farm, and/or AAA Insurance Inc combined average of client approval was above 84%.  hmmmm....  

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#19) On April 14, 2010 at 3:54 PM, ragedmaximus (< 20) wrote:

my friend who got me into stocks works for them.he is a+ top class professional who told me also to buy pri stock. i tried but my broker wasnt participating so i would be up like 60 percent today. it doesnt matter what company is or does someone is going to like them and someone is going to hate them.i like dr pepper and hate pepsi but i would still own coke and pepsi stock.

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#20) On April 15, 2010 at 10:41 PM, SUPERMANSTOCKS (40.32) wrote:



DPS is up and I almost bought them. But decided not too. I like Cramer the talking head missed the boat on that one. I would own all three you mentioned. But I would never own PRI. Not even with your money.

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#21) On November 13, 2010 at 9:16 AM, knowledgeableone (< 20) wrote:

Ok They look at the advice you are giving and see if it is at all Logical and based on facts:

1. Is Primerica a Pyramid? No  because no legal business in the USA can be a pyramid. The Federal state and local governements would have closed it down, and not let it stay for 30 years. And if you do not think so, then look at the history of the company and see how many times they were dragged in front of the Stat insurance board. If they were doing something illegal then, they would have been closed down then.

2. Is what they do for Middle American Families Good? Well let us see, they help people get out of debt and retire with dignity. Unlike the Bank That SupermanStocks suggests to invest in.Banks jobs are to keep people in debt. Do you think that people should be forced to work all their lives and never retire?

3. Is anyone else helping this group of people? Not really. Banks keep you in debt. Insurance companies sell Cash value life insurance which is proven to be bad for the consumer. Most financial advisers will not speak to you unless you ahve a large sum to invest. So who is to help them?

That is about the company does. 

What about the company itself?

1. It does not pay their sales staff unless they sell.Who would not want 100,000 sales rep that only get paid if they sell? No cost for overhead, except the Home Office. No cost for each location. The sales force is 100% commission, and there fore you do not pay for anything, like benefits, or vacations, etc.

2. Primerica was one of the only saleable parts of the Cit Business. They couold not get the money it was worth since no one had the cash available. That is why they went Public. 

3. Citi sold part of Primerica, not all of it. It still has a control part. They did this since it is worth money. The companies that invested in this company were smart enough to know that it will always make money.

4. They sell to Middle America. This is a group that will only grow and not go away. They will always have a market.

5. They make 500 million dollars profit yearly. That is somethign that is growing not shrinking.  Wouldn't you want the company you invest in make that type of money yearly, in a growing market?

Lastly, This is the second time the core company of Primerica has gone public. The first time was with ALWilliams. Thos that invested then, when the company was bought out by Primerica, ended up millionaires, when it ment something. 

How can you call your self an intelligent adviser when you missed these facts? 

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