When undertaking a pension review on behalf of new clients, IFAs sometimes find that their clients have previously been mis-sold pensions by unscrupulous or unqualified advisers. Valuable defined benefit and personal pensions have been transferred into SIPPS, with clients being promised sky-high returns, only to find that they have put their hard-earned pension into worthless investments.
The loss of a person’s future pension entitlement not only has a devastating effect upon their finances, but the impact upon a person’s emotional well-being cannot be overstated.
Having been duped out of their investments IFAs naturally want to assist their clients recover their lost savings. Working with an experienced solicitor is often the most effective way for an IFA to help their client recover lost money.
Solicitor Paul Higgins of Pension Justice says: “If you are an IFA working with clients who have previously received poor pension advice, even if you are unsure whether they would qualify for a claim, we might be able to help your clients reclaim some of the money they have lost after being poorly advised.
Many of the cases that we have dealt with relate to clients being advised to transfer away from DB schemes or DC schemes into SIPPs and thereafter invest in unregulated, high risk and extremely illiquid investments, e.g., storage pods, carbon credits, ethical forestry etc.
Obtaining financial redress for our clients is something we are extremely knowledgeable about and have many years of experience, successfully recovering millions of pounds for our clients. We often work with IFAs, who refer clients to us after they discover that clients have been poorly advised.
Any initial advice that we provide to the client is completely free and without any obligation. If we accept instructions, we work on a No Win, No Fee basis so that a fee is only payable in the event of a successful outcome.
Under current regulations, an IFA that enters into an Agency Agreement with a firm of solicitors can refer up to twenty-five cases in any 3-month period and be paid a referral fee. Referring IFAs would add value to their relationship with their client and take comfort from the fact that their client was in good hands. Any compensation recovered could then be invested on behalf of the client, thus preserving the relationship between the IFA and the client and avoid taking any legal risks.
At Pension Justice, we offer a Contingency Fee Agreement (No Win, No Fee), referral fees paid to an IFA by the Solicitor can be returned to the client or used to enhance the services provided by the IFA to the client.”
