Burns Anderson - administration

glynm15

Hi all,

My father currently is going through the process of buying an annuity. He has 3 pensions and we are awaiting the discharge forms from them to buy one with another company.

The IFA acting on our behalf is an appointed representative of Burns Anderson Limited who have entered into administration.

The FSA website states: your financial adviser does not now have permission to give advice. Your financial adviser can apply to be re-authorised by us, however this could take a number of months.

and goes on to say: Any uncompleted business cannot go through as the adviser working on your behalf is no longer authorised to carry out regulated financial services business. However, if the application has been submitted to the provider it will probably proceed unless the application is declined or the product chosen had to be changed and new advice was required.

Where do you think we stand?

The quote has been secured in principal with the annuity provider and we are waiting on the discharge forms. We don't want to be waiting months for the IFA to be regulated to finalise the process. Are we classed as uncompleted business? or will it be classed as application submitted?

I will be speaking to the FSA, annuity provider and our IFA tomorrow. Was just after a quick guide.

Thanks again for any advice.

dunstonh

Where do you think we stand?

In respect of what?

The quote has been secured in principal with the annuity provider and we are waiting on the discharge forms. We don't want to be waiting months for the IFA to be regulated to finalise the process. Are we classed as uncompleted business? or will it be classed as application submitted?

Many of the advisers caught up waiting for re-authorisation are using other firms to place the business through. The illustration that was supplied should state the firm that is being remunerated. Take a look at that and see what it says.

If the adviser puts it through a Honister agency then he doesnt get paid. So, it is unlikely he would want to do that. However, other compliance companies have been offering services to these advisers to allow them to continue to flow business through them instead with them taking on the liability.

The provider will deal with the application received and it wont affect you.

glynm15

Thanks for reply.

I just don't want my father to be delayed in receiving his annuity because of a problem the IFA might have.

We are more than happy with the job he has done, so I was checking that it's not going to delay us any further.

dunstonh

I just don't want my father to be delayed in receiving his annuity because of a problem the IFA might have.

It wont be.

glynm15

Quick update

Rang FSA this morning were a little vague but the general advice was that IFA cannot continue the process until he becomes regulated himself or hooks up with another company who are.

They were offering to provide me numbers of IFAs in my area(which I don't want yet).

Rang the provider who the annuity is going to be with. They were of the same opinion. Need a new IFA or wait until he is hooked up again.

They wouldn't deal with me direct (my father) for the annuity, they only deal with IFAs.

Couldn't reach the IFA because at this stage O2 had decided they had network problems and phone didn't work(and still won't).

Don't really want to change IFA, but don't want my father to wait any longer than he needs to.

Any suggestions. Will be ringing IFA in am - if Mr O2 has sorted himself.

dunstonh

Rang FSA this morning were a little vague but the general advice was that IFA cannot continue the process until he becomes regulated himself or hooks up with another company who are.

The hooking up with other IFAs is what is mostly happening.

Rang the provider who the annuity is going to be with. They were of the same opinion. Need a new IFA or wait until he is hooked up again.

Was that specific to this application or a generic answer?

glynm15

Update

so FSA and Potential Provider advised against using IFA whilst unregulated (obviously not IFAs fault.

Provider won't process application whilst unregulated.

IFA is looking to / started the process of hooking up with another regulated firm.

How long will it take??

Started this process of pension advicev 5 weeks ago, not sure I want to wait another 3/4 weeks really.

Also don't really want to go through the whole process again.

I know where to get the best annuity from, but they only deal with IFAs.

Suggestions???

Thanks again

dunstonh

Use another IFA. If you have all the paperwork another IFA can speed it through very quickly.

It is very unfortunate for this IFA who has been put in this position through no fault of their own but if he hasnt found another firm yet to use as a stop gap then you cannot be expected to wait.

glynm15

Thanks for the advice