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SOS: financial advisor churning account

Started by sarah.g_26 · Feb 3, 2026 · 695 views · 8 replies
For informational purposes only. This is not legal advice. Laws vary by jurisdiction. Consult a qualified attorney for advice specific to your situation.
SG
sarah.g_26 OP

Yeah has anyone dealt with something like this? I'm not sure what my options are.

financial advisor churning account. I've been dealing with this for about 13 weeks now and the situation isn't improving.

I have already tried to resolve this directly but the other party is not cooperating.

Do I have a strong case? What should my next steps be?

BB
broke_but_hopeful_19

NAL, but from what I've read, you should document everything. Take the above with a huge disclaimer that I'm just some person on the internet.

TL
Forum_Admin Moderator

Licensed attorney — a few thoughts. Here's my take on the legal issues.

There are several legal theories that could apply here. The strongest is probably the relevant statute, which requires showing actionable.

I'd recommend documenting everything in writing from this point forward. Keep copies of all communications.

AM
allison.m_2

I've dealt with this before.

In my case, it took about 2-4 months to resolve. The key was hiring an attorney to send teh initial letter.

NA
nadiya_a_21

Just want to point out — the statute of limitations might be a factor here. In some states it's as short as 1-2 years. Don't sit on this too long.

LP
laura.p_3

Not a lawyer, but I have direct experience with this.

I had to go over their head/manager. It took 1-3 months but was worth it.

LN
omar_s_8

Just wanted to add — I went through almost the exact same thing last year. What finally resolved it for me was sending a formal demand letter via certified mail. Once they realized I was serious and had documentation, they settled within 2 weeks.

HC
hank_crypto_8

Liquidated damages clauses need to be a reasonable estimate of actual damages at the time the contract was signed. If the amount is disproportionate to actual harm, courts will often strike it as an unenforceable penalty.