A Lancashire IFA has teamed up with a local debt management firm to offer financial planning help to clients struggling with cash-flow.
With the economic and unemployment crisis calling time on wealth creation, David Curley felt what most people currently need is a back to basics approach.
Earlier this year, he left a general insurance brokerage's life arm to set up the IFA practice with Blackburn-based Spencer Hayes.
Initially, the firm could only offer mortgage and life cover services, but this week it has won FSA permission to advise on pensions and investments as well.
The company has now changed its name to Spencer Hayes Financial Services Ltd from Spencer Hayes Mortgage Services to reflect its evolution.
"With so many people getting into debt through no fault of their own, wealth preservation rather than wealth creation at this time is the important part our work, and then education and then forward planning," Curley says.
"Clients who seek help with their debt, have probably cancelled all their life and general insurance policies and they do not know what to do with their pensions. We can deal with all these issues," he adds.
For example, he says a client over the age of 50 with credit card debts may be able to raise sufficient funds from a pension scheme to clear the debt at a reduced cost.
Hence the importance of looking at the big picture, he argues, and having the tools to deal with debt as well as asset management, which he claims most advisers do not have.
"The problem is many people are promoting their services as holistic but in point of fact they are only transactional and are looking at only one or two items of a client's assets," he says.
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