Q Is there a place to check the reputation of a financial advising company that offers annuities and other investment possibilities? There are many I have never heard of (not surprising) and very little on the Internet.

DONNA, BLAINE

A You're right to be wary. In all environments, but especially during tough times like now, you're right to check out financial advisers and their companies. In addition, if you don't understand the products or the investment promises seem too good to be true, don't buy. One of my favorite personal finance mottos is keep everything as simple as possible. For instance, a number of annuity products are far too complicated for my taste.

When it comes to finding a financial planner, the best way is still to network. Talk with colleagues and neighbors you trust and find out whom they work with. When you're looking into whether or not you want to do business with a financial professional, get references and follow up on the names. Find out how the adviser gets paid, and make sure the information about fees and commissions is clear and transparent. (If the compensation information is vague, run to the nearest exit.)

You also want to find out if they've had legal trouble and client complaints over the years, and also their financial background and education. For example, among the certifications I like for financial planners is a Certified Financial Planner (CFP) designation. It tells you that the person has had rigorous training, passed a minimum competency exam and keeps up with required continuing education.

There are plenty of resources for unearthing information about firms and their financial professionals. But it's up to you to do the work. That's the way the system is set up. For instance, with insurance companies, you can go to the Minnesota Department of Insurance at www.state.mn.us/portal/mn/jsp/home.do?agency=Insurance. You also can go to your local library and check out what the rating agencies -- such as Best's, Moody's and Standard & Poor's -- have to say about a firm's financial condition. It's a good idea to see if an insurer's ratings have changed over the past couple of years.

The Financial Industry Regulatory Authority (FINRA) is at www.finra.org. It's the main regulator for securities firms. This is your portal into learning whether a broker has had any run-ins with regulators. When it comes to brokers and investment advisers, the Securities and Exchange Commission has posted a good review of the rules, regulations and links to check out at www.sec.gov/investor/brokers.htm.

Chris Farrell is economics editor for American Public Media's "Marketplace Money." Send questions to cfarrell@mpr.org, or to kaching@startribune.com. Put "Your Money" in the subject line.