Financial mis-selling refers to a situation in which you, the client, were sold a financial product without receiving the right information. This can include hidden fees, receiving unsuitable or incomplete advice, or feeling pressured into a particular investment. If you think you've been the victim of financial mis-selling, get in touch with Goodwin Barrett to see if you could be entitled to compensation.
Mis-sold investment products
There are a variety of investment products that could be mis-sold to you, such as profit bonds, company stocks, and managed portfolios. If you feel that your financial adviser pressured you into risky investments or didn't explain things properly, then the product might have been mis-sold to you. Mis-selling can also occur if the investment product sold to you didn't match the needs and risk preferences you discussed with your adviser.
It's important to note that the profit or loss you make with these investment products is not a key indicator of whether or not you were mis-sold to. Some investment products are high-risk, but it's only mis-selling if you weren't informed of those risks when you invested.
Mis-sold personal content purchase (PCP)
PCP deals are currently the most popular way for people to buy cars, accounting for 90% of all car purchases in recent years. With a PCP, the car retailer is also the financial broker and designs the customer's payment plan. Because of commission structures within these companies, thousands of customers have been mis-sold to or overcharged.
The Financial Conduct Authority (FCA) estimates that mis-sold PCP is costing customers £300 million annually. On a typical motor finance agreement, a customer could be overcharged by £1,100 on a £10,000 PCP deal. If you have bought a car through PCP financing, your broker might have mis-sold to you by withholding information about the deal's structure.
You may have been mis-sold a pension if you feel your adviser didn't take into account your personal circumstances and preferences, or you were actively advised to transfer away from your employer's pension scheme. Many people who have been mis-sold to were advised to transfer their money to an SSAS or an SIPP. Both of these schemes are considered riskier than traditional pension plans, and your money may have been invested in areas such as carbon credits or overseas property. If you weren't correctly informed of the risks involved with these plans, or weren't told about other pension options, then your pension may have been mis-sold.
Common ways in which people have been mis-sold mortgages include being advised to self-certify (borrow money without proving your income) or to switch lenders without being informed of any fees or penalties you would incur. You might also have not been given all the information you needed to make an educated decision. Details that might have been withheld from you include your financial adviser's commission rate and other mortgage options that might have better suited you.
If you believe you have been the victim of financial mis-selling, contact Goodwin Barrett to find out if you're eligible to make a compensation claim. We'll work to reclaim as much of your money as possible, so you can rebuild your financial future. If you aren't sure that you have a claim, let us know about your situation and we'll help you to figure it out. You can call us on 0808 163 1659 or email firstname.lastname@example.org. Alternatively, you can enter your details in the form at the top right and we'll call you back.