This week the shopper visits Leeds.
The shopper is a 28-year-old retail assistant. She recently learned that one of her colleagues was off work for a long period and only received statutory sick pay from her employer.
The shopper is therefore looking to take out an income protection policy that will cost her no more than around £40 a month. The shopper is a smoker.
Each week the mystery shopper seeks advice from independent advisers in the UK. The aim is to find out whether advisers are delivering the goods when it comes to the all-important initial telephone contact between client and adviser. It is only intended to evaluate this first interview, and it is understood that further meetings would be necessary before final decisions could be made. The purpose is not to expose poor selling practices, but to show constructively any weaknesses in the advice process.
Adviser: Sedulo Wealth Management (independent)
Address: St Paul's House, 23 Park Square, Leeds, LS1 2ND
Speed of response: 3.40pm. The adviser picked up after eight rings. 4/5
Telephone manner: The adviser was quite friendly and polite. 5/5
Relevant qualifications: Level 6 chartered financial planner. 5/5
Payment method: The shopper was told the protection provider will pay the advice company directly, with the fees levied to the shopper. 5/5
Guidance: The chartered financial planner told the shopper that the premium she will have to pay will depend on a number of circumstances. He told the shopper, given that she wants a longer deferred period, the premiums are likely to be less expensive. He suggested a face-to-face meeting with the shopper to assess further. 4/5
Knowledge: The financial planner demonstrated a very good understanding of the protection space. 4/5
Website: www.sedulo.co.uk/wealth-management
Email: gareth.rose@sedulo.co.uk. 5/5
Verdict: Shopper's choice. The shopper found this chartered financial planner helpful.
32/35
Adviser: The Pension Planner (independent)
Address: West One, 114 Wellington Street, Leeds, West Yorkshire, LS1 1BA
Speed of response: 4.02pm. The shopper was connected to the switchboard after two rings and to a member of staff after three rings. 5/5
Telephone manner: The staff member was patient and friendly. 5/5
Relevant qualifications: The staff member said he was an administrator, not an adviser. 1/5
Payment method: The administrator said the shopper will not have to pay any fees to the company as the provider will pay a commission fee of approximately 1.5 times the annual premium to the advice company. 5/5
Guidance: The administrator explained how income protection works. He said the shopper will get about 50-75 per cent of her salary. He suggested the shopper opt for a longer deferred period given she wants to pay a lower premium of up to £40 a month. 4/5
Knowledge: He demonstrated a strong understanding of various aspects of income protection. 4/5
Website: www.thepensionplanner.co.uk
Email: s.hodder@thepensionplanner.co.uk 5/5
Verdict: Although not an adviser, the administrator gave the shopper useful information.
29/35
Adviser: Rosebridge (independent)
Address: 33 Park Square West, Leeds, LS1 2PF
Speed of response: 4.50pm. The adviser picked up after two rings. 5/5
Telephone manner: The adviser sounded friendly and willing to engage. 5/5
Relevant qualifications: Level 4 Dip PFS. 5/5
Payment method: The adviser gave a vague indication of the fees involved. He said the shopper will know the final figures once she comes in and it depends on what final premium the shopper will pay. 1/5
Guidance: The adviser proposed meeting the shopper face-to-face to discuss her outgoings and to see whether he can find an income protection plan within her budget. He also suggested that if the shopper is unsure how much cover she requires, she should maybe start off taking a plan over a shorter period, such as two years. The adviser said he would look at some plans and call the shopper back. 5/5
Knowledge: This adviser demonstrated excellent knowledge of income protection. 5/5
Website: rosebridgeltd.com
Email: michael.wharton@rosebridgeltd.com 5/5
Verdict: Although the shopper wanted more clarity on fees, this adviser still asked the shopper key questions and offered to give her additional information. He also provided the shopper with an understanding of how she can get the most out of her plan given her budget.
31/35
Adviser: JM Glendinning Financial Services (independent)
Address: Third Floor, One Park Row, Leeds, LS1 5AB
Speed of response: 2.40pm. The shopper was connected to the switchboard after two rings, and after an approximately two-minute wait, the shopper was then connected to the adviser. 4/5
Telephone manner: The adviser was friendly. 4/5
Relevant qualifications: Level 4 Dip PFS. 5/5
Payment method: The adviser said that typically the provider’s commission fee to the advice company will cover any fees, but he said this depends on the premium the shopper will pay, and provided no further guidance. 2/5
Guidance: The adviser explained to the shopper that she can expect to receive around 60-65 per cent of her income, given that income protection payouts are free of tax. He said he would look at a few premiums and call the shopper back. 4/5
Knowledge: The adviser demonstrated a decent amount of knowledge on income protection. 4/5
Website: jmgfinancial.co.uk
Email: neil.davies@jmgfinancial.co.uk 5/5
Verdict: The adviser gave basic, but good information and offered to help the shopper further by calling her back with additional information.
28/35
