We are deemed a general practice, with average annual client income of around 18,000. If we gave our clients no choice of how we earn a living but fees only, we may as well shut up shop. Since giving the clients the choice using IDD, every one has said they are happy for the provider to pay us.Over the last month, for all business transacted, including pension transfers, we asked, if you had to pay us a fee, would you still go ahead and allow us to act for you? In every case, the answer was, “we would not do anything”. This would leave them in a poor pension product going backwards and the only people who would benefit is the pension provider. Is that treating customers fairly? It is time that those high- earners who make these recommendations remember that not everyone has the spare cash to get a first-class service. However, the client accepts that we are not a charity so are happy to let the provider pay. George Chappell Director Black Dog Financial Services Elgin, Morayshire
My mailbag has turned up some bizarre oddities which contrast the mortgage business with other areas of financial services so I thought I would share some of this with you this week.
Conservative Shadow Chancellor George Osborne has criticised Government dithering over alternatively secured pensions, claiming it would be extraordinary to scrap or disadvantage the product at this stage. Speaking at the Pep & Isa Managers’ Association conference last week, Osborne said it would be wrong to waste industry money spent developing and marketing Asps and there […]
Many mortgage advisers fear that sales practices for payment protection insurance will not improve until stricter regulation is forced on lenders. Some suggest that the big profits generated for lenders by PPI sales are standing in the way of reform.
Scottish Life can no longer say that it deals only with IFAs after finding out that it has unknowingly been on an adviser’s multi-tie panel for over a year. It has been forced to change its marketing strategy and will now say it actively seeks business through IFAs. The unnamed adviser firm had previously written […]
Every day a quick scan of the news reveals some new horror that will change the lives of those involved forever – the unlucky accident on the way to work, a tragic illness that cuts a young life short or the holiday accident that leaves more than just a scar to cope with. We barely […]
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Latest from Money Marketing
A majority of independent financial advisers think there should be a single rate of tax relief according to this week’s Money Marketing poll. More than 120 advisers took part in the poll with 77 in favour of a single rate of tax relief, 39 against and six undecided. Yellowtail Financial planning managing director Dennis Hall […]
The FCA has issued a warning over ‘commoditised’ defined benefit pension transfers running the risk of unsuitable advice. In a letter sent to advisers holding pension transfer permissions, the regulator reminds planners that a “key area” of its focus is on pension transfers, and that it will later this year be contacting all firms to […]
Problems look set to arise for pension schemes operating relief at source