Branch Relationships Are Key

What does it take to be successful in a bank or credit union setting? Braley says, �My first question to a potential rep is: Will you be able to win over and create raving fans to our branch?� Successful financial representatives, he believes, tend �to be a little extroverted,� allowing them to quickly establish bonds with branch colleagues and become perceived as financial planning experts.

Such relationships are important. In a brokerage, Braley notes, reps operate more or less on their own, �dialing for dollars� and sharing an assistant with others in the office. In the world of banks and credit unions, however, they must integrate themselves into the branch team to generate internal referrals.

New Pay Rules

When it comes to compensation, new rules, at least in California, require financial institutions to pay a base salary to reps - $28,080 annually. Commission income varies by region and branch size, but an industry rule of thumb is that a financial advisor in a branch with $150 million in assets should be able to generate $350,000 to $450,000 each year in gross commissions, leading to a potential income of $100,000.

Salary surveys suggest bank-based reps in California generate an average of $19,000 a month in gross commissions. �The average annual gross commission in the U.S is probably about $80,000,� Braley says, adding �lots of people make three times that much. It�s possible to do very well.�

Braley suggests any wirehouse reps considering the switch give serious thought to whether the teamwork-based approach suits their personality. He also urges people to ask their potential employer whether its investment program has the support of upper management.

Another thing to bear in mind: Many banks take a �platform� approach that requires financial advisors to become licensed to sell certificates of deposit, home-equity loans and other traditional banking products, an avenue which might not appeal to everyone.

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Reader Comments

I was very interested and actually felt a sense of relief after reading your article on the work environment with banks in today's market. I am not a branch manager, however I am a small business banker. I see the pressure that the managers and staff at the branches have to deal with in regards to sales goals and loans. Even within my own department,between the conference calls, the pressure to keep customers happy and to make your sales goals, it is very difficult to stay focused and not think about perhaps working working in a different industry.

At least after reading your article, I felt a sign a relief. As the saying goes 'misery loves company'!

Sincerely,
Deborah