Training repayment

19 replies [Last post]
verygreen's picture
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Joined: 2005-10-20

Just a quick question.  As a very new IR with Edward Jones, does anyone know if they force you to repay traing costs if you leave?  I feel like I have been lied to at every corner with Jones and am considering leaving but someone tried to scare me with the training repayment.

maybeeeeeeee's picture
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Joined: 2005-02-24

Sometimes, if you have been very successful, a good company like Raymond James will repay the cost for you.
But, you have to have numbers and be successful to go anywhere if you plan on leaving.
 

Luciddiscord's picture
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Joined: 2005-09-12

I'm a edj newbie too green.  I'm also not a lawyer but my
interpretation of the contract is that to be liable for training costs:

1.) You have to first obtain your license
2.) If you leave you have to keep your license
3.) You have to take a job at another firm

What are some of the lies you've been told?

verygreen's picture
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Joined: 2005-10-20

The first lie dealt with how I was to be paid during training.  I was told during both interviews that I would be paid a salary of 1500 per mth until I passed the 7 and then it would go to a 2000 salary until I was licensed and then it would include commissions.  But when I joined I was paid $7/hr to study with a maximum amount I was allowed to study each week.  Lie #1.
I was told that it was an 18 mth battle to stay afloat and then it became easier.  Once I am hired and settling into my region, I am told that the 18 months is based on a national average and that our region has a lower population so it is more like a 3-5 year battle.  Lie #2.
I was told that everything is covered initially and that they expect you to have a profiatable busness "eventually".  They did not tell me that the some charges are subtracted half from your commissions and half to your Profits and Losses like postage.  Postage is only covered for each trade confirm you mail out.  It is not covered for the hundreds of thank you's they require you to mail out each week.  Lie #3.
I was told there was no quota system, but an overall activity number that would be looked at.  The 3 P's.  But when it comes down to it is just a quota system hidden behind some fancy name.  Lie #4.
That is just a few.  I am being courted by a local bank to take a finacial center leaders position that does not require licensing but I hesitant if Jones is going to come after me for their training costs.

BrokerRecruit's picture
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Joined: 2005-04-19

They will.  If you stay in the biz and transition to another firm, they will prorate the training expenses equivalent to $33k per year not worked for the 3 year training period.

Greenbacks's picture
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Joined: 2004-12-21

So what is Jones Quota to get an office?
And then keep it open?
 And  how much do you need a month before you get a BOA? 

Luciddiscord's picture
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Joined: 2005-09-12

Yeah, I was surprised by the $7/hr as well... they didn't communicate that at all... really pissed me off.
If you don't keep your license, check with your lawyer, but I don't
think they'll come after you.  Also they won't come after you if
they terminate you.
I feel for you, I was very nervous signing that contract...  I
still feel like I should jump ship and try to get on with raymond
james.  Keep us posted with what happens.

executivejock's picture
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Joined: 2005-06-29

Damn I guess my contract not stating any of these crazy policies is great! My problem is with the challenges of going INDI at the beginning.. It seems they are slower at getting the process going.. It takes months to get test scheduled, but in the end I think its better!  Almost see the green flag to success (or maybe failure)!

verygreen's picture
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Joined: 2005-10-20

So what is Jones Quota to get an office?
And then keep it open?
 And  how much do you need a month before you get a BOA? 
 
To answer these questions, they really don't tell you.  You can look the answers up n their system but they are difficult to find.

Duke#1's picture
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Joined: 2004-12-06

executivejock wrote: My problem is with the challenges of going INDI at the beginning.. It seems they are slower at getting the process going.. It takes months to get test scheduled, but in the end I think its better!  Almost see the green flag to success (or maybe failure)!
Exec, if you're talking about licensing tests somebody's dropping the ball big time at your b/d if "it takes months to get test scheduled".  Your registration department makes the test request electronically with the NASD -- you should get notice that the window is open for taking the exam within a week, if not sooner.  Once the window is open you then go on-line to the testing center site and schedule the exam yourself immediately.

Mr Magnificent's picture
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Joined: 2005-05-27

so how long does it take to build a book of business

ezmoney's picture
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Joined: 2004-11-30

five years at the bank, ten years at a wire.

peacock's picture
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Joined: 2004-12-09

Very Green-If you're that upset about what "the lies" you should find a new line of work.  Sounds to me like you are finding a lot of excuses.  Bottom line is Jones is good to start at and then you move on.  Just my take.

Ex-Joneser's picture
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Joined: 2005-10-06

verygreen,

I just resigned from Jones about a month ago and was only at the firm
for 3 months. When I left, I was not reminded about any penalties for
leaving and wasn't even asked to where I was intending to go. I do
remember initially being scared by their claims of $75,000 repayment in
the employment contract. There's no way they put more than $2,000 into
my training while I was there. Additionally, I know of several people
in my training class who just left in the last two weeks and Jones
hasn't threatened them at all. In fact, one of the people hasn't
returned Jones' laptop for weeks now and Jones hasn't even seemed to
notice.
I'm about to accept a job at Bank of America that requires a series 7,
but is not a sales job and I'm not worried about Jones coming after me.
If they do, I guess I'll hire a lawyer.
BTW, good going avoiding the coolaid!

NYSE2005's picture
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Joined: 2005-09-12

I just left EJ also. I was told 1-2 years max to get the business built while I was being recruited. The only numbers I heard from any reps was "I'm making $300,000/year blah blah blah". When I started going to my monthly meetings I saw the frustration in reps that have been out 2-3 years that are now hearing "You will have your business going well in 5 years" I got out while I had a chance and know of at least one other person from my training class who left also. He was taking over an existing office and they would not tell him what the assets were until late in the week of eval/grad. He got a whopping 2 mil, and found out he was the 5th broker in the office and they were closing it if he failed.

jones-sniper's picture
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Joined: 2005-04-05

I left Jones June 1 2005. Built it from scratch. Gave them 5 years. I was in good standing. Yellow they call it. Crappy little office below the parking lot grade. No windows. Small farmer town. I worked hard, made mistakes but learned alot. Then the offer came...Now I am a producing manager of a credit union program. I took over their assetts, brought my best people. THe CEO is a guy I door knocked on in 2000.I am in the middle of an 18k net month. Like Sinatra said before his dirt nap "I DID IT MYYYYY WAAAAAYY"
I NEVER DRANK THE JONES KOOL AID. I SUGGEST THAT YOU DO THE SAME, GREEN. I went to all the functions, lied about how great I'm doing, smiled my BS smile at the stupid regional meetings but I always knew I was not a Jones guy.
SEEEya

noggin's picture
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Joined: 2004-11-30

Verygreen- If you are already looking at training costs so early in your career, you need to catch a clue.
NYSE2005- If the only people you listened to were the ones trying to recruit you, who is really at fault? Did you really think that you could build a 300K net business in 2 years, give me a break....
Jones-sniper- Sounds like you did well for yourself, congrats!
 

NYSE2005's picture
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Joined: 2005-09-12

noggin wrote: Verygreen- If you are already looking at training costs so early in your career, you need to catch a clue.
NYSE2005- If the only people you listened to were the ones trying to recruit you, who is really at fault? Did you really think that you could build a 300K net business in 2 years, give me a break....
Jones-sniper- Sounds like you did well for yourself, congrats!

I never said that they told me I would be $300K in 2 years. They told me I would be "comfortable" after 2 years. We all know that is not likely.

noggin's picture
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Joined: 2004-11-30

NYSE2005- My apologies and good luck to you. That is certainly a promise that shouldn't have been made.....

maybeeeeeeee's picture
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Joined: 2005-02-24

I think that is a terrible way to treat the reps. who bring revenue to their firm.  I am very happy at RayJay where reps. are treated like clients.  oh, I don't pay postage.

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