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The FCA’s proposing a ban on contingent charging (CC) as they imagine it may very well be creating a battle of interest for advisers. In CC, pension transfer specialists (PTS) present advice on pension transfers, however they only receive remuneration if the switch goes forward. The recommendation fee is mostly taken from the product transferred into. There are a number paper cp reviews of variations of this, akin to a small payment for the recommendation, but a a lot larger price for transacting the business. However the FCA is not distinguishing between the 2 at the moment, and the ban would apply to all types if it goes forward.
Information the FCA has collected since pension freedoms began in April 2015 suggests sixty nine% of shoppers looking for recommendation on pension transfers have been suggested to switch, although this falls to fifty five% as soon as identified triage shoppers are factored in. Related Post: you can find out more
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