Company Rep Pushing a Lifetime Isa

masonic

Moneybox said:
This matches better to Martins suggestion of setting one up for a £1 for when they are ready. 

Martin's suggestion is for a cash LISA and for those saving for their first property, for those who might be looking to buy within a year or so. Putting £1 in a S&S LISA could be dangerous if this is then used for this purpose, as with a S&S LISA there is the temptation to take on risk that may not be appropriate for the timescale of the investment.

So it seems you have the right idea. It is concerning that someone responsible for marketing the product did not.

eskbanker

Moneybox said:
I will follow up correctly with the company and consider copying in ombudsman if appropriate.

Just to clarify the process, she'd need to go through the company's formal complaints procedure before any escalation to the ombudsman.

Eyeful

Ask the rep:
1. To prove they are authorised to give financial advice.
2. If they are an IFA or Restricted Financial Adviser.
3. What commission they will be getting if she does what they want.
4. The disadvantage's of doing what they want her to do.
5. The advantages of opening a Cash ISA or  Cash LISA instead. 

Moneybox

Not an independent financial advisor as he said he could only recommend the companies products.

It came about as my daughter had the government fund with them and it had matured.

Daughter is sorted now with regards to what she would like to do next and we have withdrawn from conversation with this company rep.

Thank you for the help and confirming I was correct to have some reservations. I will follow up.