Broker trying to rip me off.

dunstonh

The FSA say that the IDD and Menu must not be signed and doing so is a breach. So, whilst he could for quite valid reasons have 1.5% on there. He should not be asking you to sign it.

If it is a proper fee agreement, then the amount should be specified and not left wishy washy.

payless

Think FSA say the IDD should not be amended to include a place for client to sign... but not sure they say an adviser can't ask for a signature on a copy.

I could be wrong, but does not bother me as I don't get my IDDs signed ( I use a separate checklist , asking for confirmation that one's been rec'd , as well as other bits)

Rick62

Actually we don't know, Access, is the form the 'Key Facts About our Service' or IDD, or is it a fee agreement? As everyone says, if it is the Key facts then you should not be signing it, if it is a fee agreement then you should definately not sign it.

Lets keep it simple - dont sign anything!

payless

did I not say he should sign ... I would not ... what i was replying to was to Dun's comment that IDDs can't be signed

dunstonh

We were informed that the FSA said they shouldnt be signed as the individual should not be put under pressure to sign something at that stage. It is an information only document. I do know of one firm that get clients to sign the retained file copy to confirm receipt but they were told to stop in a recent meeting. Of course this is where different companies can interept the guidelines.

The FSA state:

Inclusion of information the rules do not allow

• A pre-printed section, requiring the customer to sign and date the document.

(snipped other things not allowed to keep relevant to this thread)

So, whilst it says it shouldnt have a section added for the client to sign. It doesnt say it shouldnt be signed. The interpretation for that could be taken two ways. 1 - it shouldnt be signed or 2 - it can be signed but you cant add a section for it.

This is the problem with many of the FSA guidelines. They can be interpreted different ways.

From a factual point of view. The IDD/Key facts about our services does not need to be signed.

Conrad

Rick62 wrote:

Actually we don't know, Access, is the form the 'Key Facts About our Service' or IDD, or is it a fee agreement? As everyone says, if it is the Key facts then you should not be signing it, if it is a fee agreement then you should definately not sign it.

Lets keep it simple - dont sign anything!

I get all my IDD's signed and everypage of the KFI and RWL. Im mindful of all the complacent IFA's in the past now being sued in regard to mis - selling. A signature can often save your bacon as you will find out in the next few years - mortgage mis - selling is the next big compensation pond

Dont forget to get any future ammendments signed also such as a change in rate, or say if a lender declines 25 yr term in favour of 15 years

access122

It is definitely a fee agreement, and it is between myself and him personally. I dont ever recall getting a key facts document. I will amend the form to explicitly state my maximum fee is £95 and send it back like that, with the "upto 1.5%" crossed out. I dont see why the form should need to be non specific. I dont see how even if there was some attempt to try for more, the form could be used as leverage after i return it like that.. I also have his email stating i pay no more than the £95 and from what you people say the broker would be in huge trouble if he tried anything on later.

dunstonh

There is nothing in the IDD/menu which would support you in a complaint. Isnt that a bit of overkill Conrad?

The RWL is a different matter though. Pre-issue is becoming more popular and signature confirmations that it was read and understood before proceeding with the application is a good idea.

AndrewSmith

dunstonh wrote:

The RWL is a different matter though. Pre-issue is becoming more popular and signature confirmations that it was read and understood before proceeding with the application is a good idea.

That's how I do it.

Conrad

dunstonh wrote:

There is nothing in the IDD/menu which would support you in a complaint. Isnt that a bit of overkill Conrad?

The RWL is a different matter though. Pre-issue is becoming more popular and signature confirmations that it was read and understood before proceeding with the application is a good idea.

Im a belt 'n' braces type.

An unsigned document on file proves nothing. A checklist signed by a client in my opinion does not meet the Treating Customers Fairly principles. In a real world complaint with a vulnerable borrower they might say "I didnt understand the menu, me kids were jumping all over the place, there were hundreds of bits of paper relating to the mortgage, life insurance and so on. I should have been shown a nice simple fee agreement, innit'