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Tuesday, 12 July 2016

Compensation if you’ve lost money through miss-selling

Compensation if you’ve lost money through miss-selling

If your adviser has gone bust and you’ve lost money because of their negligence, you might be able to get something back through the Financial Services Compensation Scheme. Check your rights for miss-sold mortgages, pensions, insurance and other investments and find out when and how to make a claim.
Hide how the Financial Services Compensation Scheme Works
The Financial Services Compensation Scheme can pay compensation up to certain limits if you lose money when a bank, building society, insurance company or financial adviser goes bust.
It also looks at cases where you have been sold the wrong kind of product and lost money, and the person or company that gave you the advice has gone out of business.
Here we explain what to do if you have lost out because of:
  • Miss-selling of mortgages
  • Miss-selling of insurance
  • Poor investment advice or investment mismanagement
What the scheme won’t cover you for
You are not covered by the Financial Services Compensation Scheme if:
  • The company responsible is still in business – you must complain to them first and then take your case to the Financial Ombudsman Service if you are not satisfied.
  • The company was not authorized by the Prudential Regulation Authority or the Financial Conduct Authority – see the next subsection for how to check this.
  • The company was based overseas – although some European financial services companies are covered.
  • The investment simply didn’t perform well, unless it was miss-sold or you were given misleading advice about how it would perform.
Check that your adviser is FCA authorized
For you to be covered by the scheme for miss-selling your adviser must have been authorized by the Financial Conduct Authority (FCA) or the Prudential Regulation Authority (PRA). You can easily check this on the online register – you just need to know the name of the firm or adviser.
Show General insurance miss-selling and the scheme
Show Mortgage miss-selling and the scheme
Show Poor investment advice or investment management
Show How to make a claim

Show More about the Financial Services Compensation Scheme

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