Tax Exempt Savings Plans [TESPs]

edited 30 November -1 at 1:00AM in ISAs & Tax-free Savings
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  • planteriaplanteria Forumite
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    the idea was not to mention referrals
  • dunstonhdunstonh Forumite
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    it would be in addition to your ISA. just an additional investment. if you 'stashed' that away, you'd have more money when it matures.

    They are not marketed to the type of people that maximise their ISAs each and every year. At just £25 pm they are aimed at the bottom end of the market to people that are not going to be experienced or knowledgeable enough to know the plans are obsolete and expensive and they are not going to be of any benefit tax wise as the tax free status is a complete waste for them.

    Just as the Carol Smiley promoted endowments are. In effect, these Friendly society plans are endowment policies with a slightly better tax treatment. Are you really trying to persuade people that an endowment policy is a good thing?
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • planteriaplanteria Forumite
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    i started a new thread so discussion could be had. but you seem determined to fight regardless:j
  • planteriaplanteria Forumite
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    i am not trying to persuade people that an endowment policy is a good thing, no.
    & to be fair, i may have come to Friendly Societies from an unusual route, but the people i know who are fellow members are very much "the type" to maximise their use of their ISA allowances each year.
  • dunstonhdunstonh Forumite
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    i am not trying to persuade people that an endowment policy is a good thing, no.

    Yet the plan you promote is virtually identical to an endowment policy. The only difference is that there is no corporation tax paid within the fund.
    & to be fair, i may have come to Friendly Societies from an unusual route, but the people i know who are fellow members are very much "the type" to maximise their use of their ISA allowances each year.

    People buy unsuitable products every day. it doesnt make it right. You didnt even know what a tax wrapper was a few days ago. It is a total disgrace that unqualified people can still sell these as agents without any consumer protection for the poor sods that sign up for them.

    You do realise that the tax free status is a red herring? Next in the pecking order after ISA for most people would be unit trust/OEIC/IT (for fund based).

    i started a new thread so discussion could be had. but you seem determined to fight regardless

    There isnt much of a fight. I and others produce facts and information to show how obsolete these are and you ignore them to carry on creating threads and posts promoting them.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • edited 3 May 2014 at 9:18AM
    dunstonhdunstonh Forumite
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    edited 3 May 2014 at 9:18AM
    That is a complete disgrace and should be banned. It is unethical to get people who dont know what they are talking about selling products they do not understand.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • planteriaplanteria Forumite
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    i know what a tax wrapper is. what do you mean?

    "you ignore them to carry on creating threads and posts promoting them." not true. i started this thread thinking that there could be a debate without reference to referrals. can you not see that?
  • jimjamesjimjames Forumite
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    innovate wrote: »
    Given you get a referral bounty for these TESPs, wouldn't you know for certain?

    What happens if you want your money after 1, 2, 3, 4 etc years?

    You can't get it unless you cancel the plan. And if you do that then you get hit with massive charges.

    And you can't change the amount in that 10 years either.

    The word "flexibility" appears to have passed them by!
    Remember the saying: if it looks too good to be true it almost certainly is.
  • jimjamesjimjames Forumite
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    planteria wrote: »
    it would be in addition to your ISA. just an additional investment. if you 'stashed' that away, you'd have more money when it matures.

    it wouldn't need to be tied-up until retirement, as would a SIPP or other pension.

    and an awful lot, i would imagine, of those that are committed to saving for the future.

    Why on earth would someone who can invest more than £11000 in their ISA each year really be bothered about putting £300 into another investment product supposedly to save tax?

    I'd dispute that these are aimed at anyone filling their ISA; to me it appears that these are aimed at people with very little money and little savings that think a tax free plan is something special.

    Have you filled your full ISA allowance planteria?
    Remember the saying: if it looks too good to be true it almost certainly is.
  • planteriaplanteria Forumite
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    "It is unethical to get people who dont know what they are talking about selling products they do not understand." because you are an IFA? the concept is that people are given the information to make their own decisions.
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