Paying for financial advice

Financial Advisers no longer receive commission from financial services companies. Instead they set their own fees, based on the services they offer, and agree those fees with you before providing any services. This means that you can be sure the advice they give you is unbiased. Many advisers will not charge you for the initial meeting so that you can find out if they are the right adviser for you.

These rules apply both to advisers who operate independently and to advisers within banks, building societies and insurance companies who sell you their own products direct. However, some bank, building society or insurance advisers may offer an 'information only' (non-advised) service where fees won't be apparent. You need to be aware of this and what it means for you. What to look out for when buying direct from a product provider.

Fees can be based on an hourly rate, or be a sum which covers the whole of the advice process. Remember, the time spent talking about your needs and then delivering a report is only the tip of the iceberg in the financial advice process - most time is spent researching the market and identifying the range of options and then individual product solutions that meet your needs.

Many clients value the fact that their adviser will continue to stay in contact with them and offer on going advice. If this is the service you would find useful, make sure you and your adviser agree the basis on which this will work.

You can read about the benefits of getting financial advice and about choosing a financial adviser.