AARP in New York Urges Leaders to "Close the Loophole"

We have a road show going on around New York aimed at protecting our retirement savings. Across the country, AARP members are urging our leaders to “close the loophole” in federal law that allows unscrupulous financial advisers to put their own interests first and line their pockets by taking advantage of hard-working Americans.

Here in New York, our members and volunteers have delivered bags and boxes with nearly 9,000 petitions – so far – to the New York City, Long Island and Rochester offices of our U.S. Senators, Charles Schumer and Kirsten Gillibrand. We’re making sure our senators get the message from one end of our state to the other that the loophole must be closed. Media has covered each petition drop – including every local television station and the National Public Radio affiliate in Rochester.

President Obama pledged earlier this year that he’d close the loophole through a U.S. Department of Labor regulation change ensuring financial professionals act in their clients’ best interest. But some Wall Street special interests are lobbying Congress to kill that rule change. The petitions we’re delivering urge our senators to fight any such Congressional effort and stand up for New Yorkers, including the 50 plus.

While most investment professionals do what’s right, the loophole allows some to take advantage of consumers – and make higher profits for themselves – by recommending risky investments with high fees and low returns and investing in unsuitable products.

It’s an insidious issue; you may not even know you’re losing out on the investment returns you deserve until it’s too late – that is, if you ever even know. Closing the loophole takes the potential problem off the table.

There’s power in numbers. So hopefully you’ll join us and sign a petition. Just go to www.aarp.org/loophole.