NCR | Successful win of £85,000

Amount won: £85,000

Employer/Fund: NCR

FA Firm: The Mortgage Finance Store and Capital & Income Solutions

Introduction:

Our client contacted us after seeing one of our posts on Facebook to investigate a claim for a mis-sold pension.

He was advised to transfer his NCR company pension into a personal pension with Aviva, this was then transferred to Royal London 5 years later. The advice on both occasions was given by Mike Connelly of The Mortgage Finance Store and Capital & Income Solutions.

The Background:

Our client was 49 years old at the time and had previously worked for NCR where he had a company pension and the majority of which was a defined benefit scheme – total value circa £101,100.

He was financially inexperienced and relied on the advice given by Mike Connelly of The Mortgage Finance Store, who lead him to believe he was suitably qualified and authorised to give pension transfer advice.

After speaking to Mike Connelly our client received a Suitability Report from Capital & Income Solutions, a company he had never had any discussions with. This report advised him to transfer his NCR pension and this would give him control of his scheme, provide flexible retirement benefits in the future and would reflect his attitude to risk.

The Consequences:

• Our client gave up valuable guaranteed benefits by transferring his NCR pension.
• His pension was no longer inflation proof and was now subject to the volatility of the market.
• He was only 49 at the time and had no need to transfer his pension. The earliest he could access this would be at age 55, this meant he lost 6 years growth on his company pension.
• His pension could run out and he now has to pay fund charges until this time or until the day he dies.
• If he had not been advised to transfer his NCR pension to Aviva then the subsequent transfer to Royal London would not have taken place 5 years later, costing him a further 4% in adviser fees.

Our client paid the following fees:

• Adviser fees of circa £4850 for the initial transfer of the NCR pension to Aviva in 2010.
• Ongoing fund fees of 0.85%
• Further adviser fee of circa £5860 for the transfer to Royal London in 2015
• Ongoing fund fees of 0.5%

Mike Connelly was not authorised or regulated to give pension transfer advice. He used a regulated firm called Capital & Income Solutions to process the pension transfer but our client never spoke to a representative from that firm.

Capital & Income Solutions are now in liquidation.

The Settlement:

We obtained our clients files from his previous and existing providers and were able to determine that he had a claim. We submitted the claim to the Financial Services Compensation Scheme (FSCS). The claim was submitted to FSCS as Capital & Income Solutions, the regulated firm, are now in liquidation.

FSCS initially rejected the claim. We then submitted an appeal and this decision was overturned and they calculated our clients losses at £91955.12.

Our client received the maximum compensation of £85,000 from the FSCS for the pension transfer advice he received.
This was paid directly into his bank account and he has since bought a new car, put in a new kitchen and is about to put in solar panels.

Have you or someone you know worked for NCR and transferred their final salary pension?

So even if you think you were given sound advice to transfer your workplace pension, how do you know? That’s why we make it simple. Call our team on 01382 200474 or complete our on-line enquiry form and we’ll be in touch a soon as possible AND remember, that between Beat the Banks and our trusted partners, do all the hard work on your behalf, PLUS claiming has absolutely no effect on your current pension arrangements.