Tax Exempt Savings Plans [TESPs]

planteria

jimjames wrote: »

Out of interest have you ever used a S&S or cash ISA? Or did you only use the Tax Exempt savings plan?

i'll be interested to know the response to that too. i didn't really 'float' that they were For those people, but i certainly know people who are members of Friendly Societies who do max their ISA allowance each year.....for me, TESPs are just a little investment alongside, as i have said above, entirely covered, at the moment, by Bank Rewards/Incentives.

planteria

id be interested to know the 'profile' of the average TESP holder. certainly i have seen literature which draws attention to the fact that they can be held In Addition to a fully-utilised ISA allowance.

jem16

Vital_Spark wrote: »

Just poking my stick in to stir further and let you, Planteria, know that your posting of this comes across as dishonest and unethical..

Spot on!

I like your user ID by the way - how's Para Handy?

jamesd

planteria wrote: »

i know we are off topic here, but do you mean that someone can take their 25% lump sum then push it back into a pension:question:

I didn't meant that but yes, within limits they can. Same for the income. Because of the potential tax benefits it can be beneficial to start taking pension income using income drawdown at 55 and recycle the income into new contributions, notably if in a salary sacrifice pension scheme where the NI gain is pure profit. More restrictions on the lump sum recycling though.

patientperson

jem16 wrote: »

Did you miss this question?

Jem16 question: Do you agree with pulling in unsuspecting people to totally unsuitable products for your own gain?

This was answered in my response post #112

It appears that my clear sentence ' I have never made any referral so also have never received anything.' has been ignored.

At the time of my answer I should also have questioned the precise wording of Jem16 question regarding 'your own gain' as opposed to a general 'one's gain' which would have been more correct. 'Your own gain' implies my personal gain.

I have made it clear that I have made no referrals and so has been no gain.

If the general attitude of some posters is to ignore answers given then please do not expect any further answer on the same question.

patientperson

MCGONIS wrote: »

Hello.
I have had one for these policies. Below is a copy of what I posted on another thread in April 2011 which was about a Friendly Society plan....

"Hello. I took out one of these 10 year plans with the UK Civil Service Friendly Society, which merged with Homeowners Friendly which became Engage Mutual. I have been paying £20 a month for 8 years. In this time I have accrued £102.02 in bonus. The previous two years there has been no bonus declared. It has two more years to go. By the time it matures I will have paid £2400. So in these two years I would need to get about £300 in bonus just to break even. I doubt that I will. Even with the terminal bonus that may be added.

I would have been better putting £20 a month in a bank savings account. Least then I would get back what I had paid in! I don't see the point in these savings plans. Steer clear is my advice. Hope that helps someone considering them in the future. "

Now I can tell you that last year I received a cheque for £2512.

I was glad I did gain some money - but £112 over the ten years is pretty different to the examples they still give in their advertisements.

I would still NEVER open another one of these and cannot see why they still are on the market.

Not sure if that helps someone. Bye for now.

MCGONIS - you are quite right to feel agrieved about your return over 10 years. You did not indicate what advise you either sought or received.

patientperson

innovate wrote: »

So in essence you are saying that all the onus for assessing the benefits is entirely with the person who is being lured into a Friendly Society by one of their Referrers. That means do actually agree pulling in unsuspecting people to totally unsuitable products for your own / the referrer's gain.

That's probably even more despicable than the mis-selling of financial products by large financial institutions. Most people know by now that they should be weary of banks and insurances but many people probably would part with a bit of money if they get a recommendation by a member of the public.

Perhaps your comments are better aimed at the Friendly Societies themselves .. I am not an introducer.

patientperson

jem16 wrote: »

If an IFA sold a TESP it would be classed as a missale.

It's high time the FCA stopped this practice of allowing unregulated members of the public to sell regulated financial products.

Well I cannot be responsible for the FCA.

patientperson

planteria wrote: »

thank you pp. have you just had the one windfall from a Friendly Society?

planteria, this question is not relevant to the TESP thread.
Suggest you send me a PM on one of the BB.

patientperson

A general question. MSE does not permit referrals which is clearly stated. In this TESP thread the word 'tout' has cropped up. What do our posters consider the addition of text as below to mean and why was it necessary to be stated.

'I am an Independent Financial Adviser'