Aviva stakeholder direct application?

Moneyer

Anyone know if Aviva have stopped offering their stakeholder pension direct (i.e. without going through an adviser?). A few weeks back the website had an option for an "illustration" which led through to an online application form. I was going to apply but needed to sort out a few things first, and now I come back to actually do it the illustration and application options seems to have gone! Or are they hiding somewhere…?!

[Deleted User]

Moneyer wrote: »

Anyone know if Aviva have stopped offering their stakeholder pension direct (i.e. without going through an adviser?). A few weeks back the website had an option for an "illustration" which led through to an online application form. I was going to apply but needed to sort out a few things first, and now I come back to actually do it the illustration and application options seems to have gone! Or are they hiding somewhere…?!

Hi Moneyer

Thanks for your post,

Our stakeholder online application was removed at the start of this week so customers must now go to a financial adviser if they want to take one out.

The reason for this is that we have launched a new pension product that you can apply online for and it was felt it could be confusing for customers in knowing which product was best for them.

If you want to take out a stakeholder pension and do not have a financial adviser, you can go to : https://www.unbiased.co.uk where you can find details of local financial advisers.

Details of our new pension product that you can apply online for can be found at : http://www.aviva.co.uk/pensions-and-retirement/pension-portfolio/

I hope this helps and if you have any further queries, please feel free to email us at social@aviva.co.uk

Many Thanks

Stephanie

Aviva Social Media Team

Moneyer

Aviva_company_representative wrote: »

Our stakeholder online application was removed at the start of this week so customers must now go to a financial adviser if they want to take one out.

Thanks for the quick explanation! I notice the paper application form is available online, and seems to imply it can be submitted directly by the applicant. Is there any reason I can't complete and submit this form directly to the postal address listed on it (indicating that I haven't received advice), or would it automatically be rejected?

(I don't actually need advice, so my alternative is to go through an execution-only operator like Cavendish. AFAICS they'll ask me to complete the same form and charge me £35 simply for forwarding it on to Aviva...)

[Deleted User]

Moneyer wrote: »

Thanks for the quick explanation! I notice the paper application form is available online, and seems to imply it can be submitted directly by the applicant. Is there any reason I can't complete and submit this form directly to the postal address listed on it (indicating that I haven't received advice), or would it automatically be rejected?

(I don't actually need advice, so my alternative is to go through an execution-only operator like Cavendish. AFAICS they'll ask me to complete the same form and charge me £35 simply for forwarding it on to Aviva...)

Hi Moneyer

I'm checking this for you with the relevant team and will get back to you as soon as I have an answer.

Many Thanks

Stephanie

Aviva Social Media Team

mania112

You should just apply for their newer product, the pension portfolio.

It's cheaper than the stakeholder and has more investment options.

Moneyer

mania112 wrote: »

You should just apply for their newer product, the pension portfolio.

It's cheaper than the stakeholder and has more investment options.

Thanks for the suggestion, but there's a couple of reasons the stakeholder suits me better. Firstly, the amount I'm intending to pay in during the first year is below the lower limit for the new one. Secondly, its not clear to me that the new one is cheaper if you work out the full cost rather than just reading the headline rate: the fund I"m interested in seems to come at no extra charge in the stakeholder but attracts an extra management fee in the portfolio….

[Deleted User]

Moneyer wrote: »

Thanks for the quick explanation! I notice the paper application form is available online, and seems to imply it can be submitted directly by the applicant. Is there any reason I can't complete and submit this form directly to the postal address listed on it (indicating that I haven't received advice), or would it automatically be rejected?

(I don't actually need advice, so my alternative is to go through an execution-only operator like Cavendish. AFAICS they'll ask me to complete the same form and charge me £35 simply for forwarding it on to Aviva...)

Hi Moneyer

Following on from our conversation over the weekend, I've been in touch with the relevant team to provide an answer to your latest question.

We've had a look online at the stakeholder pension pages on the Aviva website and can't see anywhere where it's possible to download a paper application form. Can you please let me know where you found the application?

As stated on the Aviva website, you'll need to go through a financial adviser now to apply for a stakeholder pension.

Many Thanks

Stephanie

Aviva Social Media Team

MRMX9

OP I am also considering transferring my existing stakeholder to Aviva – due to the wider fund range and smaller annual management charge. It’s a small pot.

Given that the whole point of stakeholders is they are intended to be a low cost product for small pension investments it’s a little frustrating that people are forced now to go via an IFA to open one even if they are happy to proceed without advice – or alternatively go through an execution only firm like Cavendish which could cost you £70-£100 depending on how many transfers you wish to make.

Can anyone recommend a fee free/online IFA route that would allow me to set up the Aviva stakeholder without paying a third party to do something I could have done for free myself a few weeks ago directly?

I have no objection to IFAs – but I would rather not spend an afternoon of my time getting advice I don’t need.

dunstonh

Given that the whole point of stakeholders is they are intended to be a low cost product for small pension investments it’s a little frustrating that people are forced now to go via an IFA to open one even if they are happy to proceed without advice – or alternatively go through an execution only firm like Cavendish which could cost you £70-£100 depending on how many transfers you wish to make.

Stakeholders were a 2001 product that has largely become harder to retail cost effectively as:

1 - They are no longer the cheapest option for most people
2 - auto-enrolment schemes are much better placed for people with smaller amounts
3 - stakeholder pensions are not RDR compliant.

Can anyone recommend a fee free/online IFA route that would allow me to set up the Aviva stakeholder without paying a third party to do something I could have done for free myself a few weeks ago directly?

No such thing exists and cannot exist. Use Cavendish. If the pot is over 25k then use an IFA as they will likely have cheaper options available than a stakeholder anyway.

NPowerUser

I think Aviva will lose a lot of business, if folk have to go through an IFA to set up a Stakeholder Pension.

Say £20 a month, it seems ridiculous.

I thought the government were making stakeholder pensions as an easy option for working people to save for retirement, without having to go jump through hoops, bureaucracy or making life harder than it needs to be.

I just phoned up Aviva asking whether I could simply fill in some forms for a stakeholder pension, they declined saying i had to go through an IFA.

L&G now have my business, all done with a few clicks of a button, sorry Aviva, I wanted to go bring you my business to you but the L&G website made life a lot easier for me with investment choice for funds a plenty and with money I know I can commit.

dunstonh

I think Aviva will lose a lot of business, if folk have to go through an IFA to set up a Stakeholder Pension.

IFAs dominate the distribution on pensions. Over 70%.

Say £20 a month, it seems ridiculous.

I thought the government were making stakeholder pensions as an easy option for working people to save for retirement, without having to go jump through hoops, bureaucracy or making life harder than it needs to be.

Bringing up a 2014 thread and mentioning 2015 changes doesnt make a lot of sense. However, £20pm is silly in 2015. It was low in 2001 but now its just daft for anyone over the age of 18.

I just phoned up Aviva asking whether I could simply fill in some forms for a stakeholder pension, they declined saying i had to go through an IFA.

Any firm offering direct distribution has to go through regulatory and compliance hoops and suffer appropriate costs. Some firms have direct to consumer offerings. Others do not. Aviva do offer some of their products direct to consumer but in this case they dont. Probably as offering a niche product with little expected take up would cost more than they would make.

L&G now have my business, all done with a few clicks of a button, sorry Aviva, I wanted to go bring you my business to you but the L&G website made life a lot easier for me with investment choice for funds a plenty and with money I know I can commit.

I am sure L&G will enjoy making that £2.40 a year that will take them around 10-15 years to recover the costs.

It is silly to berate a company for not wanting to offer you a product in the way you want it. You dont walk into an Apple store asking for an Android phone. It is also silly to pay just £20pm into a pension if you are aged over 18.