Scottish Widows poor service

SallyG

http://www.moneymarketing.co.uk/news-and-analysis/pensions/scottish-widows-under-fire-over-pension-transfer-backlog/2009671.article

"Sources have told Money Marketing Widows is taking 23 working days on average to carry out an Omo pension transfer. The provider is also taking 25 minutes on average just to answer telephone enquiries."

I thought it was just direct sales customers they mucked about - I'm still waiting for a promised phone call back from "customer services" about the late payment of my pension.

dunstonh

Service at SW is abysmal at the moment. I have several requests for information that are running over that 23 day time-scale. More like 6 weeks without a response at the moment and when you do eventually get through for chasers they acknowledge they have it and its in the queue.

Lloyds must be cutting costs to the bone at SW. No decent products, no product development, poor online servicing and not enough staff. The sooner they sell SW the better. However, it may be too late.

That said, I submitted an application for transfer out on the 19th. I got a letter this morning (27th) saying they transferred the funds on the 21st. So, that particular transaction was very fast (used the options method)

SallyG

http://www.moneymarketing.co.uk/news-and-analysis/pensions/scottish-widows-admits-post-budget-service-problems/2010750.article


From the comments:
"We're discussing with a couple of these new clients moving to a more organised platform......."

Just wondering - who might that be?

I've stayed because I assume all the others who might accept transfers in drawdown will be as bad and probably worse - info on TCF/TLC track record similar to hen's teeth in rarity.
As an eg my provider says my agreed "pension payment date" is when they commence payment process via BACS not when I receive the payment into my account - a bit of an insight into their approach?

Annie1960

So I'm not the only person having trouble with SW then!

I have an AVC which I tried to take on 30 April. I was moving it via the OMO mainly because SW could not give me a sensible answer about what would happen to my annuity in the event of a 'yes' vote in the Scottish referendum. Their annuity rate was the best in my case and I would have stayed with them if I had been given the same assurances Standard Life have given their customers.

SW did not make the payment on 30 April. I have tried ringing them several times, and yes, it takes ages to get through, then they tell me they can't help and transfer me to someone else.

On a positive note, they have already offered (and paid me) £50 on two occasions for their delays. I didn't even have to ask, they just offered when I explained what trouble I was having.

At long last they paid my 25% lump sum on Thursday this week, and I have their reference number for the telegraphic transfer to LV=, the company I am using for my annuity, so hopefully it should be sorted out next week.

However in the meantime I have been informed by LV= that the annuity rate has dropped slightly in the last month, so I have now written to SW telling them they have lost me one month's annuity payment and a lower rate.

They said they take 15 days to reply to such letters, but I don't really believe them.

And like you Sally they promised me on numerous occasions that they would call me back, but never did.

SallyG

I got the cheque treatment as well - I'm torn about cashing it - because I seem to remember reading the Ombudsman won't compensate/?even consider a complaint from anyone already compensated by the provider complained against?
That makes the rapid application of small cheques to aggrieved customers a cost effective covert gag?
I hope I'm wrong - I can't find any reference to it now.

SallyG

Then there's this wrinkle:
http://www.ariespensions.co.uk/public/press/Aries-PMI-Oct-2013.pdf

dunstonh

I got the cheque treatment as well - I'm torn about cashing it - because I seem to remember reading the Ombudsman won't compensate/?even consider a complaint from anyone already compensated by the provider complained against?

You either accept the complaint response or you reject the complaint response and go to the FOS. Do remember that the FOS will be looking to see if you are out of pocket due to them. Whilst SW are very slow, companies are generally given 30 days to deal with issues.

kidmugsy

This tale of woe explains why some people are prepared to stump up for Hargreaves Lansdown's superior service. I don't care for their floods of bumf, but wotthehell? I've found them highly competent, and helpful beyond the call of duty.

On a more general note, why is it that standards of competence are so low in the financial biz?

bigadaj

I've got a pension with scottish widows and teh service does seem poor, apologies as I may have whinged about this before but more than six months after leaving my last employer, and the transfer of this to a personal pension they are still incompetent.

I'm not too worried as they haven't increased charges as they threatened to do, but I'm trying to make nominal payments to maintain lower charges and can't get this sorted after nearly three months. Website is useless, phone calls take 40 minutes to get answered and after getting it agreed I then receive a letter six weeks later saying I've got to supply details of my new employer, when I obviously have a new and totally separate pension with them.

I'll no doubt have to ring them again and will probably make a formal complaint at that stage, might get a few quid at least.

bigadaj

kidmugsy wrote: »

This tale of woe explains why some people are prepared to stump up for Hargreaves Lansdown's superior service. I don't care for their floods of bumf, but wotthehell? I've found them highly competent, and helpful beyond the call of duty.

On a more general note, why is it that standards of competence are so low in the financial biz?

To be fair it's more related to the size of the company I think than their particular business. The energy companies for example are as incompetent as any banks, retail is better but customer service is your main concern there, is it's crap then people just walk which is more difficult to do with longer term contracts.

dunstonh

On a more general note, why is it that standards of competence are so low in the financial biz?

On the whole they are not. Virtually all the platforms and modern providers have no servicing issues. Most insurers suffer issues with heritage plans given the long term nature and changes in requirements which were never in place when those plans were set up and built into hard coded systems and frequently need manual calculations to be made rather than automated.

Scottish Widows is poor as it is a company in decline. They wont admit it and may deny it but when you compare it's product range with others, you end up feeling that Scottish Widows is approaching retirement.

I suspect the problems stem from cost cutting by Lloyds and trying to move Clerical Medical, Black Horse Life/LTSB Life and SJP servicing into Edinburgh without any extra staffing.