AARP: Americans 50+ Support 401(k) Fee Disclosure

A new survey from AARP suggests that—regardless of political persuasion—Americans age 50 and older want 401(k) providers to explain their fees.

In addition, the survey respondents said they want to be able to check an investment adviser’s background.

AARP said its survey showed overwhelming support for a number of consumer protection initiatives, including: 

  • requiring companies that manage 401(k) retirement plans to explain the fees they charge to participants (Republicans, 93%; Democrats, 94%; and Independents, 92%);
  • enabling consumers to check an investment adviser’s record to see whether they have had any prior violations or been charged with professional misconduct (Republicans, 95%; Democrats, 89%; and Independents, 95%);
  • requiring investment companies to disclose the costs, risks, and benefits of all the financial products they market and sell using plain language (Republicans, 91%; Democrats, 91%; and Independents, 95%);
  • requiring banks to use plain language to explain the terms and conditions of loans, including mortgages, and credit card debt (Republicans, 98%;  Democrats, 95%; and Independents, 96%);
  • allowing states to enact consumer protection laws that are stronger than federal laws (Republicans, 68%; Democrats, 67%; and Independents, 66%);
  • holding financial salespeople who engage in deceptive marketing practices accountable (Republicans, 92%; Democrats, 89%; and Independents, 90%).

The survey was conducted by Social Science Research Solutions (SSRS) from January 14 to 24, among 815 respondents at least 50 years old.