The Lemon Fool

Hello, I see this comes up every so often but I need some current advice on selecting an IFA for transfer advice.

I have a CETV of around 65 times my pension - around £900,000 so I am thinking about transferring it into my own SIPP. Of course I need advise and I understand that contingent charging is ending shortly on the 1st Oct.

So far I have been quoted £5000 by Aviva for the advice and £3500 from Fidelty - I believe they charge £3500+vat if they don't do the transfer and £3500 flat if they do the transfer. Both companies do not deal with insistent clients so I would be down a lot of money if the advise is to stay in the DB scheme.

Who else can I go to for advice as of Sept 2020 - the options seem to be closing - are there any companies still doing insistent client work for example??

Well, several folks here, including myself, have used and been happy with https://sippclub.com/why-a-final-salary-transfer-could-be-best-now/

However, I see that their prices have gone up since I used them and, at 1.5% of £900K, are quite a bit more than what you've been quoted. OTOH as long as you get in in time they do still have contingent charging and will deal with insistent clients....

Thankyou MC2fool - for your message - I thought they were an advice website and did not know they facilitated transfers - still 1.5% is £13500 which is much more than I have been quoted so if there are any other suggestions I would be interested.

Thankyou Snorvey - that sounds like they are in the naughty boy club to me and I will avoid, perhaps I will have to use Fidelity at £3500

Snorvey wrote:

mc2fool wrote:Well, several folks here, including myself, have used and been happy with https://sippclub.com/why-a-final-salary-transfer-could-be-best-now/

Where an introduction is made for financial advice, SIPPclub is a trading name of Better Retirement Group Limited..... (Bottom of page)

https://register.fca.org.uk/s/firm?id=0 ... 00MfGkJAAV

Notices
Restrictions / suspensions

This firm has requirements or restrictions placed on the financial services activities that it can operate. Requirements or restrictions can include suspensions.
See the requirements applying to this firm.

Effective from 24 October 2019, the Firm must immediately cease:

1) advising on conversion or transfer of pension benefits; and
2) completing pipeline business in relation to the conversion or transfer of pension benefits; and
3) providing any confirmation that independent advice has been provided for the purposes of section 48 of the Pension Schemes Act 2015.

Effective from 24 October 2019, the Firm will not in any way:

1) dispose of, deal with or diminish the value of any of its assets (whether in the United Kingdom or elsewhere); and/or
2) dispose of, transfer or sell in whole or in part its client base without the prior written consent of the FCA.

Well, I note that the previously linked-to SippClub page now says "we'll introduce you to the most appropriate firm on our panel and provide you with all their details", and I don't see anything in the FCA listing you quote against BRG introducing clients to other firms, so sounds like they've set up some sort of arrangements.

etrader01 wrote:Thankyou MC2fool - for your message - I thought they were an advice website and did not know they facilitated transfers - still 1.5% is £13500 which is much more than I have been quoted so if there are any other suggestions I would be interested.

Thankyou Snorvey - that sounds like they are in the naughty boy club to me and I will avoid, perhaps I will have to use Fidelity at £3500

Well, it sounds like they've found a workaround and if they were still doing stuff not allowed the FCA would have closed them down. However, it is quite a bit more that the quotes you've already got, hence the equivocation in my previous reply, although, of course, your quotes are lost money if they so "no".

With a CETV of 65 times pension you'd think you wouldn't need to be an insistent client but, from what I gather, most firms are heavily erring on the side of caution.....

BTW, I believe the biggest factor for approving a DB transfer to a SIPP is if you don't need the pension. I.e. if you can "demonstrate" that you'll never need to draw from the SIPP and plan on just leaving it all, untouched, to your beneficiaries, that'd really help.