Discount Broker for investments, insurance & mortgages
1. What do you do?2. Is it not better to go direct to the product provider?
4. How can you offer such a large rebate of commissions?
5. What are the different types of commission?
7. How do I contact Clubfinance?
8. How do I go about obtaining a product?
9. I haven't received any information on the product I requested?
10. I have not received any commission rebate?
11. What if I have a complaint?
12. Why can’t I just get the commission back myself by being my own agent
We are a discount broker offering an execution-only
arranging service for investments and insurance. You
should only use our service if you do not require any advice
or recommendations. If you need
advice you must contact
another
appropriate firm that does give advice on investments or non-investment
insurance as applicable (e.g. a financial adviser authorised and regulated
by the Financial Services Authority).
We act as an intermediary between you, the customer, and the product
provider. We do not hold client money. Any payments by you are made out to
the product provider. All investments or policies are in your name. By offering an execution-only service we can return to you the
majority of the commission for which we are eligible from the product
provider.
Our role is to receive your application form, perform the relevant money
laundering checks, take a record of your transaction and submit your
application to the product provider. For some existing products that you
hold, where there is ongoing commission paid, you may be able to change
your agent to Clubfinance, or appoint Clubfinance as your agent, so that we can return the majority of this
ongoing commission.
2. Is it not better to go direct to the product provider?
In general, if you go direct to the product provider, the product provider will retain the commission it would have paid to a financial adviser or other intermediary. Using our service means that a large percentage of that commission can be returned to you. Some providers may offer a discount for going direct, so please compare. Also, some providers only sell direct, and some products may carry no commission.
In most cases we offer 90% or 100% return of our initial commission and a 75% return of our renewal commission. For some products (e.g. life ISAs and some monthly savings products), we return 75% of all our commissions . Please refer to our rebates by product category for further details. Commission is rebated either by reducing the product charges, increasing the amount invested, or by cheque. In all cases the commission must be more than £5 before we rebate it via cheque. If commissions in any one year are less than £5, we will carry the amount over to the following year. For Child Trust Funds all commission rebates by cheque are made following the child’s 18th birthday. Please note that we do not hold client money and any commission received by Clubfinance remains Clubfinance’s property until it is paid into your account. Please see our terms of business for further details.
For non-investment insurance we rebate up to 90% of our initial commission. These rebates automatically reduce the quotes generated.
4. How can you offer such a large rebate on commissions?
Clubfinance focuses on offering a purely execution-only service. Our systems have been set up to efficiently and cost effectively provide this service to you. This means we pass savings such as not operating a call centre, to our customers.
5. What are the different types of commission?
The two basic types of commission are ‘initial commission’ and ‘renewal’ commission.
Initial commission is generally based on a percentage of each premium or amount invested. For some products such as an endowment, initial commission may only apply during an initial period (the ‘Initial Earnings Period’, for example the first 24 months premiums).
Renewal commission is divided into two types, although either type may be referred to as just ‘renewal commission’.
Firstly, ‘fund based renewal commission’, also known as ‘trail’, ‘servicing’ or 'annual' commission. This is based on a percentage of the value of the investment and may be received annually or six-monthly for example.
Second, renewal commission may be based on a percentage of each premium or amount invested and applies to products such as endowments. The percentage is typically much lower than the initial commission and applies after the Initial Earnings Period has ended.
6. I'm interested in getting back some commission each year on my existing investments but I want to keep my investments as they are
If you Change your Agent to Clubfinance or appoint Clubfinance as your agent, your investments are not bought or sold. Your investments stay with the product provider in your name and you still receive statements from the provider.
7. How do I contact Clubfinance?
To be able to offer an efficient, cost effective service, Clubfinance is set up to use e-mail as the primary form of communication. E-mail is the best method to contact us. Our e-mail address is:
Our postal address is P.O. Box 1036, Hemel Hempstead, Hertfordshire, HP1 2WU. We do have a telephone number, but this is to an answer machine only. The answer machine is checked once per week, so please bear this is mind.
8. How do I go about obtaining a product?
We are currently set up to operate a postal and e-mail service only, but for non investment insurance you can generate quotes and the necessary forms and documentation on our website. If you wish to invest through the fund supermarket, Fidelity FundsNetworkTM , you can also generate the necessary documentation and carry out some transactions on-line. Our Process details how to arrange a product through Clubfinance Ltd.
9. I haven't received any information on the product I requested?
We make every effort to formally respond to any request within 1 week. We receive many requests with incorrect or invalid e-mail addresses, please ensure the details you provided were correct. If you have not received a reply and believe you should have done, please e-mail us at the address shown on our contacts page and we will investigate this as a matter of urgency. Please include your contact details in this e-mail.
10. I have not received any commission rebate?
If you arranged a product through us, please
check the commission statement which will detail the commissions on the
product. You will only receive a cheque
from Clubfinance Ltd if the commissions are not rebated directly into
your product.
Under our terms of business, we can only rebate commissions by cheque
after such time that cancellation of the policy or investment does not
require the
commission to be repaid to the product provider. Despite the fact
that where possible,
we opt not to receive commission on an 'indemnity' basis, a clawback
period can apply. We also cannot pay out rebates until we have received
the commission from the product provider.
For customers expecting rebates of 'renewal'
commissions, these are paid on an annual basis in December each year (with
the exception of Child Trust Funds, see our Terms of Business). You should
also be aware that we do not issue any cheques for a value less than
£5, but we will carry the value to the next year. Please refer to our
Terms of Business
for further details.
If you are still unsure as to whether you should have received any
commission rebate, or wish to clarify any matters regarding your
commission, please e-mail us or write to us. Our e-mail address and postal address
can be found in the
Contact Us section of the website.
11. What if I have a complaint?
At Clubfinance we take complaints very seriously. Complaints should be either e-mailed to us at the e-mail address shown in our contacts page, or sent in writing to:
Complaints
Clubfinance Ltd
P.O. Box 1036
Hemel Hempstead
HP1 2WU
Complaints can also be faxed to us on 01442 408 651. We aim to resolve any complaint as quickly as possible. A copy of our complaints procedures can be obtained on request.
Should the matter not be resolved to your satisfaction, you can then contact the Financial Ombudsman Service, South Quay Plaza, 183 Marsh Wall, London E14 9SR (0845 080 1800 or www.financial-ombudsman.org.uk). The Financial Services Authority also provides advice to consumers wishing to make a complaint in their ‘Moneymadeclear' Website http://www.moneymadeclear.fsa.gov.uk/.
12. Why can't I just get the commission back myself by being my own agent?
Acting as a financial intermediary for investments and insurance is a regulated activity. This would usually require becoming authorised by the Financial Services Authority, and then meeting the necessary regulatory requirements including filing regulatory returns, holding Professional Indemnity Insurance, and paying annual fees to the Financial Services Authority, the Financial Ombudsman Service and the Financial Services Compensation Scheme.
13. How can I be sure that using Clubfinance is safe?
First, we are authorised and regulated by the Financial Services Authority. You can confirm our status in the FSA Register available on the Financial Services Authority website (http://www.fsa.gov.uk), or you can telephone the FSA Consumer Helpline on 0845 606 1234 from 8am to 6pm Monday to Friday (calls charged at local rate).
Second, we only act as your intermediary. Your investment or insurance policy is with a product provider and is in your name. Clubfinance does not have its own products. You choose the product provider that you want to go with.
Third, we do not hold client money. This means that money you invest or premiums you pay are made out to the product provider, not us. If you cash in your investment or receive a claim from an insurance policy, the money will be paid direct to you.
Also, we are required to hold adequate financial resources and to have Professional Indemnity Insurance in place by the Financial Services Authority.
Clubfinance Ltd is authorised and regulated by the Financial Services Authority. Clubfinance offers an execution-only discount broker service; Clubfinance does not give advice or recommendations. If you have any doubt about the suitability of a particular product or service, or you require advice, you should seek a personal recommendation from an appropriate firm that does give advice. Clubfinance does not produce the products it arranges, or manage the underlying investments. Payments must not be made to Clubfinance, but to the relevant product provider. Contact details for Clubfinance can be found under ‘contact us’. Users of this website should be aware of the following:
Past performance is not a reliable indicator of future results.
The value of investments and the income from them can fall as well as rise as a result of market and currency fluctuations. For many types of investment, you may be placing your capital at risk, meaning that you may not get back the amount originally invested and you may risk losing your entire investment.
Some investments and policies may only be suitable as medium or long-term products.
Tax treatments depend on your individual circumstances and may be subject to change in future.
This website contains financial promotions relating to services offered by and products available through Clubfinance.
In the event of any conflict between product literature and information provided by Clubfinance, the product literature shall prevail.
The information on this website is intended solely for the use of those people who are United Kingdom residents for tax and investment purposes and is governed by our terms and conditions of website usage, please click here for details. It is not for distribution in any other jurisdiction, including the United States of America. Anyone who is not a UK resident should not continue with this site unless wishing to read about personal finances available to UK residents for informational purposes only.
©2004-2008
Clubfinance Ltd, all rights reserved.
Clubfinance Ltd. Registered Office: Charleston House, 13 High Street, Old Town, Hemel Hempstead, Hertfordshire, HP1 3AA
Telephone: 01442 217 287, Fax: 01442 241 045
Registered in England, Registered Number: 04522114. Consumer Credit Licence Number: 608951
Clubfinance Ltd. is authorised and regulated by the Financial Services Authority (400139)