Financial advisers, Intrinsic, have been ordered by the Financial Ombudsman Service (FOS) to pay out following pension transfer advice given to a number of their clients.
The ruling found that the advisers had failed their client. Thet did not provide clear documentations or advice about the transfer of a client’s existing pensions into a new scheme.
Intrinsic had advised the client, referred to as Mr M, to transfer his three personal pensions to a SIPP. However, Mr M felt concerned at the lack of supporting documentation, advice and amount of charges he had received from Intrinsic. As a result, he decided to take the case up with the FOS.
The FOS ruled in Mr M’s favour. They agreed that he had not been provided with suitable financial advice. In conclusion, the FOS ruled that the advice given meant he was unable to make an informed decision. He did not know what the best options were for transferring his pension.
Intrinsic were told to compensate Mr M. They paid the difference between the fair value of his investment and the actual current value of his investment, with interest on top.
This isn’t the first time the advisers have been found to have provided unsuitable financial advice to customers, they have previously been ordered to compensate an individual after they delayed the transfer of a pension, causing a client to lose money.
In a similar case recently, Intrinsic were also told to compensate a client. They switched the customer’s personal pensions to a new SIPP provider, which was a higher risk investment. The FOS concluded that Intrinsic had failed to properly explain the risks involved with the switch. They ordered Intrinsic to pay the client, referred to as Mrs C, the difference between the fair value and the actual value of the investment. They also paid £250 for the trouble and upset caused.
Do you think you may have received unsuitable pensions advice? Our team of solicitors can make sure you receive the compensation you deserve. Get in touch with us today.