The worst advice ever or what?

Reply #15

music* — Sat, 08 Jun 2019 12:02:10 GMT

Rexe90, You may be referring to CDARS/ICS

FDIC for banks. SIPC for stocks. Securities Investor Protection Corporation. There is $500,000.00 for this while FDIC gives coverage for $250,000.00

Reply #14

Stack47 — Sat, 08 Jun 2019 06:29:10 GMT

And they give them a huge mattress to hide the cash in.

Reply #13

Rexer90 — Fri, 07 Jun 2019 23:33:59 GMT

you can get a cedar that puts $50m in 200 bank accounts, now you fdic limit is $50m

Reply #12

maximumfun — Fri, 07 Jun 2019 23:16:08 GMT

probably in pennies...

Reply #11

lejardin — Fri, 07 Jun 2019 22:22:24 GMT

Lots of good info there CDanaT.

Reply #10

garyo1954 — Fri, 07 Jun 2019 21:34:35 GMT

But....but.....but Stack, they got that Cash Value Option!

Don't that mean they have to pay you in CASH

Reply #9

Mwatcher — Fri, 07 Jun 2019 21:11:47 GMT

Banks may only insured for 250,000, but financial advisers are insured for zero

Reply #8

Stack47 — Fri, 07 Jun 2019 20:02:38 GMT

But I do feel that plopping millions of dollars into a bank account that's going to be protected up to $250,000 is nuts to put it mildly.

I really doubt any state lottery pays out $100 million plus jackpots in cash so there obviously is a bank holding the money. Just a thought, open an account in that bank and if you get extremely lucky and win the jackpot, contact reputable lawyer.

Reply #7

Coin Toss — Fri, 07 Jun 2019 17:52:44 GMT

A lot of banks don't want that kind of deposit.

Huge amounts of cash change the rules and bring in bank examiners.

Reply #6

Raven62 — Fri, 07 Jun 2019 13:09:41 GMT

Free Advice Is Usually Worth What You Pay For It!

The fact is, a lot of the stuff we hear about money from other people is dead wrong. Or more commonly, it doesn't apply when you consider all of the facts of the situation at hand. And it can mess you up, especially if you use the advice on a piecemeal basis. This is where the value of financial planning becomes apparent.

https://www.cnbc.com/2016/08/31/free-advice-is-usually-worth-exactly-what-you-paid-for-it.html

Reply #5

CDanaT — Fri, 07 Jun 2019 11:48:42 GMT

M0,

It doesn't sound as though your buddy is that knowledgeable of large financial transactions nor is he savvy when it comes to investments. But I could be wrong. Always get advice from a professional. With that kind of cash, taking the few days to find out the potential pitfalls/profits is always worthy of your time.

http://www.accountingjobstoday.com/cm/Resources/top%20100%20accounting%20firms.html,

https://www.superlawyers.com/

https://money.howstuffworks.com/personal-finance/fin... [ More ]

Reply #4

zephbe — Fri, 07 Jun 2019 05:26:30 GMT

Your buddy wants you to end up on the broke lottery winners list. If you win don't tell your buddy. Call a lottery lawyer.

Reply #3

cottoneyedjoe — Fri, 07 Jun 2019 04:45:55 GMT

The chances of him, or anyone winning the jackpot are too low to bother worrying about crackpot hypothetical plans. If he does win and he shows up at the bank to deposit a check for hundreds of millions of dollars in his checking account, the bank's special clients department will set up more appropriate accounts for him. A bank manager will waste no time recommending her sister's legal services, her cousin's accounting services and her uncle's investment services to your friend, LOL. It's his h... [ More ]

Reply #2

garyo1954 — Fri, 07 Jun 2019 04:39:29 GMT

You've just found a good reason to take some time and get everything in order before running to Lottery HQ.

A lawyer or CPA would be able to set up several bankers to speak with you in their office and present some ideas of what they feel is your best options.

One of the first things they will discuss is choosing one of top banks in your state. A bank they know is not going under, normally those are the banks that handle the state monies so that eliminates the concern of the FDIC $25... [ More ]

Reply #1

KY Floyd — Fri, 07 Jun 2019 04:38:27 GMT

I'm sure people have heard worse advice, but have you considered that your buddy might be stupid? With $20 million or more you can get by with interest from a bank, but I'd go to some effort to make sure I had better protection. Banks that are too big to fail probably won't (or the economic problems that cause it might make the insurance meaningless), but why take the chance when you don't have to?

I'll also note that your plan for splitting the winnings could cost you big time if you happen... [ More ]

The worst advice ever or what?

M0710NM4N — Fri, 07 Jun 2019 03:59:23 GMT

So my daughter and I have a deal that we would give one another 1/4 of the winnings if either of us hit the Mega Millions and are the only winner, so roughly $55 million. A buddy of mine tells me that he wouldn't bother with a lawyer, account or financial adviser and would just take the ticket to the lottery headquarters, claim the winnings and deposit the money in the bank... because he also said he wouldn't be concerned with the $250,000 FDIC limit.

Am I crazy in thinking his advice makes n... [ More ]