Consumer group Which? has criticised the Association of British Insurers guidance on basic advice, for not alerting consumers to their reduced protection under the basic advice scheme.
The guidance is designed to improve consumer knowledge and confidence in the basic advice. It outlines what this is and what is expected of financial advisers who offer basic advice.
Which? believe that because advisers do not have to perform a full fact find before recommending a product, the risk is transferred to the client, and it becomes difficult for the client to prove that they have been mis-sold.
Our view
We agree with Which? The new "Basic Advice" standard does not constitute advice and offers no protection should things go wrong. It is a disgrace!
Only take full advice from people who are qualified to give advice not idiots who are probably not even qualified to the minimum level and offer "Basic Advice".
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