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Financial advisor fees
pattyrose
Posts: 1 Newbie
My financial advisor says i should remortgage to get a better deal but this incurs £10,000 in fees and redemption penalty etc. for a 3 year deal. If I stay with NW they only want a £500 product fee albeit a slightly higher rate. I am about to sign this FA's deal but dont want to. Can he still charge me at all? I dont think he has offered best advice 
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Comments
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I dont think he has offered best advice
You would have to have damned good evidence that you would be saving money over 3 years. What evidence have you been given that you are going to save more than £10,000 than going with NW?
If the evidence is there that its cheaper then fair enough. If its not there or the adviser cannot give any evidence then you dont do it.
No financial adviser can get away with a charging a fee for bad advice. So, I would suggest you check the quality of the advice first. Dont make any assumptions. The research should be very clear and easy. i.e. how much will you be paying over 3 years with his deal and how much you will pay over 3 years with your existing provider. Remember to factor in the costs as well and you have your difference. If you are unsure then post the figures here and we can help.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.0 -
£10k !!!
I find it hard to believe with current deals available that you could save £10k in three years.
I guess its possible, I dont know your situation, but given that mortgage rates are higher now than at any point in the last five years I sincerely doubt its possible.0 -
Give us some figures and we can advise. However off the top of my head I would say, first, I have never yet seen a case where £10k of fees would be worthwhile (maybe once actually), second, if the adviser has not explained the benefits in a way that you can understand and trust then the chances are you shouldn't.
Why are you looking at paying redemption penalties at all anyway?I am a Mortgage Adviser
You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
Please post some of the figures so that we can check if this is beneficial.0
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