The pensions advice community has rejected calls for the outright banning of some trail commission payments.
Consumer Focus, a 'statutory consumer champion', today claimed IFAs are "building up" trail commission ahead of the Retail Distribution Review (RDR). The RDR outlaws commission payments on new business but will permit trail income to continue on policies set up before the rules arrive in January 2013. Consumer Focus said, based on evidence it has uncovered, some IFA clients are being encouraged to commit to "decades" of trail payments "without receiving any tangible benefit". It said figures obtained from 15 providers suggest trail commission increased by 10% between 2007 and 2009....
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