SIPP pension mis-sold?

atush

The only thing I can think of is that:

Absolutely none of this information is actually correct - the job was completely wrong, the income stated £15,000 higher than I actually earned at the time, the savings I had were £ZERO, but his fact find apparantly states I had £15,000 on deposit, that I had a loan for £3000 (my personal loans at that time were tipping £20,000) and finally that I was a homeowner... I was renting!!

This being all wrong, will help you. After all I suppose you can prove the above factually incorrect.

As someone who has ZERO savings, and 20K of debt would generally not be an investor at all and if one, should be more conservative. And they would need to prove they did the fact find, and prove they gave you the advice that the investment was high risk.

I can't think what you were thinking of when you did this- as you so clearly could not afford to lose anything?

Anyway, let us know how it goes.

gadgetmind

atush wrote: »

I can't think what you were thinking of when you did this

Exactly what high pressure salespeople wanted him to think.

Norfolk_Norris

gadgetmind wrote: »

Exactly what high pressure salespeople wanted him to think.

Yep - what he said.

I have learnt a 1000 more about my 'investment' and SIPPS during the complaint, than the IFA ever told me.

I read an article about the FCA (FSA) frowning upon the model whereby an IFA gave advice to open the SIPP, but appeared not to on the underlying investment.

Thing with me is, he DID give advice in the underlying investment - how provable this is remains to be seen.

During a conversation a while ago with the IFA (when he was asking me to not complain), he mentioned 'there are others' and 'this could put me out of business'...

I informed the FOS of this comment; would it be wrong to think the FOS may ask the IFA if any of his other SIPP clients went in to this fund, thus insinuating he maybe DID advise this scheme was taken?

:mad: Why do people lie so?

gadgetmind

Norfolk_Norris wrote: »

'this could put me out of business'...

It really worries me that he's still in business!

atush

gadgetmind wrote: »

Exactly what high pressure salespeople wanted him to think.

I guess because I am a natural sceptic, and embarrass my english OH by haggling prices with cash in UK shops, I would not fall under that sort of spell. and find it hard to understand how others could.

But I know they do.

Norfolk_Norris

Quick update - the ombudsman upheld my complaint and asked the company to compensate to the position I would have been in now, had the 'advice' not taken place.

The company then decided to close down and now the complaint has been forwarded to the FSCS.

The FOS have forwarded my papers on to the FSCS; I am right in assuming the case is now assessed from scratch again to determine if the FSCS will compensate?

Also, the FSCS aperwork indicates if they do compensate, it comes as money to a bank account, rather than in to a pension - have I read this right?

Many thanks for you help guys!

Norris

dunstonh

The FOS have forwarded my papers on to the FSCS; I am right in assuming the case is now assessed from scratch again to determine if the FSCS will compensate?

Unfortunately, yes. However, the FSCS will be aware of the FOS decision and reasons and whilst the FSCS has a lower standard than the FOS, you wouldnt expect too much different.

Also, the FSCS aperwork indicates if they do compensate, it comes as money to a bank account, rather than in to a pension - have I read this right?

Usually yes.

bmm78

Norfolk_Norris wrote: »

Quick update - the ombudsman upheld my complaint and asked the company to compensate to the position I would have been in now, had the 'advice' not taken place.

Thanks for taking the time to keep everyone updated throughout. It should be very helpful for people who are in a similar position, as well as for any regulated firms unaware of the potential pitfalls of this kind of activity (you'd hope there wouldn't be too many in this category).


Out of interest, was it upheld by an adjudicator (first line), or was the decision referred to an ombudsman after the initial decision? (If unclear the job title of the person making the decision should state this)

Any decisions made by an ombudsman are eventually published at http://www.ombudsman-decisions.org.uk/, and it would be interesting to see how FOS viewed the events that took place.

Norfolk_Norris

bmm78 wrote: »

Out of interest, was it upheld by an adjudicator (first line), or was the decision referred to an ombudsman after the initial decision? (If unclear the job title of the person making the decision should state this).

Hi there; it was the adjucator.

Because the company did not accept the decision, it was in the process of being forwarded to the an Ombudsman.

The FOS did tell me that this company had had other complaints of an identical nature (no surprise there) which could explain why the advisor decided to cease trading.

The main reason the FOS gave for their decision was that the advisor claimed he only advised on opening the SIPP (which he actually didn't), but denied advising on or having knowledge of the underlying investments.

The FOS stated that he couldn't have given proper advise on transferring to a SIPP without at least knowing where the funds where to be invested.

Obviously, the advisor did have knowledge of the underlying investment, because I was one of many that was put into this fund by the 'non advisor' using his company to submit the business.

atush

thanks for letting us kn ow.

And although this money will be paid in cash to you, given your situation I would put it back into a pension. As your obv need one.

either use an IFA this time (a real one from unbiased.co.uk) or DIY and use a lifestyle fund.