The opening sentence of a recent article I read was:
“I am now officially an orphan – an orphan client. My adviser rang me a few weeks ago and said he’d had enough.”
Prior to the recent changes to the way Independent advice was delivered and paid for it was estimated that there were more than 10 million financial orphans in the UK. Since the closing down of direct sales financial advisers representing Insurance companies as varied as the Pearl, Prudential, Refuge, Britannic, Allied Dunbar and Abbey life to name just a few, there are people who no longer receive advice or service on life savings and pensions policies they were sold.
With the dramatic drop in the number of advisers since the recent changes in regulation that began in January 2013 there are even more people who have contracts with the likes of Aviva, Phoenix, Standard Life, Legal and General and others who have no one to turn to for service and advice.
Last week we spoke to new clients who said they no longer had anyone to turn to for advice on their investment ISAs sold to them by a major bank as the large banks and some building societies no longer give advice on products that are regulated.
Sources of advice for the people who need it the most seems to becoming a rare thing. At iPlanning we believe that orphan clients should not ignore their plight and remain orphans until the consequences of not being looked after become too serious and beyond hope of recovery.
Are you a financial orphan? Where will you turn for help?
Disclaimer: The views expressed in this post are those of the author only and are not necessarily those of I Planning Wealth Management Ltd. All material in this post should be considered as general information only and should in no way be construed as a recommendation of a specific product or course of action. Each circumstance is different and professional advice tailored to your circumstances should be sought from a qualified financial adviser.