Podcast | Season 1 | Episode 50

The Description 

Often, people seek a financial advisor when they run into a sudden windfall, such as an inheritance. In this mini episode, Scott Marks, CFP®, CRPC®  from our Scottsdale office, discusses what you should do if you find yourself in that position. 

Host: Scott Marks, CFP®, CRPC® | Financial Advisor

Scott truly has a passion for his work. He is willing to go the extra mile to ensure every client is confident with their customized financial plan. When assisting his clients, he prides himself on being accessible, relatable, and transparent. He is adept at helping families establish and pursue their unique financial goals through holistic financial planning.

Scott graduated from Arizona State University with a degree in Supply Chain Management in 2010. Drawn to the finance side of the industry, he began work as a credit analyst in the lending department with Alliance Bank of Arizona.

After four years with the bank, Scott pursued a career as a financial advisor with Merrill Edge. During his time there, Scott provided investment guidance and built effective long-term plans for clients located in all 50 states. He was recognized as a top advisor and attended the Pinnacle Club; a recognition program honoring the top 1% of advisors with the company.

In August of 2016, Scott joined Summit Wealth Group in order to provide a greater scope of wealth management services for clients. Scott is a CERTIFIED FINANCIAL PLANNER Professional and a registered representative with Commonwealth Financial Network® (a registered broker/dealer, member FINRA/SIPC).

(719) 633-4033 | 13710 Struthers Road, Suite 115, Colorado Springs, CO 80921
  Securities and Advisory Services offered through Commonwealth Financial Network®, Member FINRA/SIPC, a Registered Investment Adviser. Fixed insurance products and services are separate from and not offered through Commonwealth Financial Network.

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The Transcript 


"Scott Marks, Certified Financial Planner and Financial Advisor at Summit Wealth Group is the host of today's mini episode. Welcome to the Reach Your Summit Podcast."


"Common question we get from our clients here when a sum of money is received from an inheritance or the sale of an investment or potentially the sale of real estate is what should I do with this money? Should I invest it? or should I pay off my debt? And when we as advisors look at this, we have to remember that there's two sides to this.

You have your emotional attachment to your debt, and then you have your logical side of the coin. So first off on the emotional side, a lot of people have an emotional connection with paying off all of their debt, and we generally do recommend avoiding credit card debt or high interest debt, but in most cases we think mortgages are okay.

A lot of people have this tie to pay off the mortgage, and that's okay. So we have to take that into account as part of this consideration. The other side to this is the logical side. And with a logical investment mindset, we can look at the opportunity cost of investing money versus paying off debt. As a good example, if you have a mortgage at 3%, If you pay money towards that mortgage, extra in addition to your monthly, that principal reduction payment is effectively a guaranteed 3 percent interest rate for your money over the time that you would have been paying that debt.

Now, some people might say that sounds really good, and if it does, maybe you should do that. Uh, other people would say, you know, I could probably invest that money in the market, uh, work with my advisor on that, and earn seven Maybe even 8%. If you're able to do that instead, then the opportunity cost of investing, uh, was obviously you would get better returns.

Um, so a lot of people, when they look at it, logically can say, it makes more sense for me to put that money in investments because I know that I'll earn more over time. Um, so we have to kind of think back to the emotional and logical side of this when we're making this decision, and it's always good to talk to your advisor and walk through this together, and we'd be happy to help if there's anything we can do."


"Thanks for listening to a mini episode of the reach your summit podcast by summit wealth group. If you'd like to help support the podcast, please share with others and subscribe so you don't miss an episode. Thanks again."