FT Adviser (28/02/2019) – Pension schemes will be asked to send a copy of the Personal Finance Society consumer transfer guide to members when they request a transfer value.
The guide, which will be launched in the next few weeks alongside a pension transfer code for advisers, is designed to help savers understand when financial advice is appropriate and how recipients will benefit from it.
It will help them appreciate what good quality advice looks and feels like and where to find it, the PFS has said previously.
Financial advice is mandatory for defined benefit transfers worth more than £30,000.
Margaret Snowdon, president of the Pensions Administration Standards Association and member of the PFS pension transfer taskforce, told FTAdviser yesterday (February 27) the guide sought to explain pension transfers in simple terms to members and would signpost savers to a list of accredited advisers on the Money Advice Service website, now part of the Single Financial Guidance Body.
This list will highlight advisers who have achieved a Gold Standard, which has been developed by the PFS pension transfer taskforce.
Alan Chan, director at IFS Wealth & Pensions, said: “The pension transfer guide to consumers and the Gold Standard are great initiatives by the Personal Finance Society to help set the right expectations for consumers and give them reassurance that they are dealing with a well qualified, regulated adviser with strong ethics.
“My only criticism is that it is a self-accredited scheme by ticking a few boxes online which is very easy to do. This also means that any action taken will only be reactive once the damage has already been done by a rogue adviser.”
Full article link: https://www.ftadviser.com/pensions/2019/02/28/pfs-guide-to-feature-in-scheme-transfer-pack/
