View more on these topics

Redress paid only where it is due

The letter from BMG Williams (Money Marketing, January 8) could have left readers with the impression that approaching the Financial Services Compensation Scheme is an easy way for consumers to get compensation.

The FSCS is a fund of last resort for customers of authorised firms, not a bottomless pit. We only pay compensation if a claim is eligible under our rules, there is a limit to the amount of compensation we can pay and the scheme only provides compensation for financial loss.

We do not pay compensation just because a product has not performed to a customer&#39s expectations.

We are very conscious that our funding comes from the industry and we take seriously our responsibility to only pay compensation when it is due. Whether a claim is eligible or not is governed by our rules, which were made by the FSA after full consultation.

The existence of a fund of last resort is essential for consumers who are owed money by an authorised firm that is unable to pay.

However, we do make clear to consumers that there are limits to the protection that is available.

Suzanne McCarthy Chief executive, Financial Services Compensation Scheme


Birmingham Midshires – BM Solutions Buy-to-Let Variable Tracker

Type: Discounted rate buy-to-let tracker mortgage Discounted term: Three years Discount: 0.45% Payable rate: 5.25% Tracker term: Lifetime of loan Tracker rate: Bank of England base rate plus 1.95% Minimum loan:£25.001 Maximum loan:Up to 85% of valuation subject to a maximum of £1m, up to 75% of valuation subject to a maximum of £2.5m Income […]

ScotEq Protect slashes premiums by up to 30%

Scottish Equitable Protect has cut rates on its mortgage protection products by up to 30 per cent in a radical overhaul of its menu. Taking effect from last week, premiums on level life, critical-illness cover and life insurance with critical-illness cover are down by up to 30 per cent, with decreasing life, CI and life […]

Legg Mason likes sound of the Pacific

Legg Mason Investments has introduced the Legg Mason Asia Pacific fund, an Oeic that invests in companies based in the Asia Pacific region, excluding Japan. The fund will contain between 50 and 70 holdings and will be managed by Batterymarch Financial Management, a Boston-based subsidiary of Legg Mason. It has managed emerging markets portfolios since […]

Downing offers £2m top-up issue for Electra VCT

Downing Corporate Finance is offering a £2m top-up share issue for the Electra Kingsway VCT. Downing is expecting demand for the VCT to be high due to the small size of the issue, which takes place around February 6. The VCT&#39s net asset value was109.8p per share as at December 31, 2003, which Downing says […]

Value for money in DC pensions

The Pension Policy Institute (PPI)’s recent report “Value for money in DC pensions” tries to identify factors by which people can assess whether their pension offers fair value for money (VFM). Fiona Tait provides an overview of the findings. Positive Outcomes It is extremely hard to assess VFM in a pension. Press activity naturally focuses […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers. Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm