During 2008 the FSA visited 30 firms, reviewing 500 cases representing 10% of all switches since A-Day in 2006.
The FSA found varying standards, and whilst a number of firms provided consistently suitable advice, the FSA was concerned that, in some instances, firms gave advice which was assessed as unsuitable in a high proportion of cases. The FSA expects firms to have reviewed their practices in light of the findings, including a sample of past cases, to identify if any changes need to be made in order to meet the stated standards. In short, the FSA believes that a switch of contract, which results in extra product costs without good reason, is deemed to be unsuitable. The issue of extra cost...
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