More free cash- reclaim the commission your IFA is pocketing

5 September 2011

cashYou have probably heard of those helpful companies who offer to get you your miss-sold PPI money back, or get your Council Tax banding changed, charging you merely a reasonable fee for doing so. Some quarters criticise these companies, as you could simply do all the legwork yourself. But the question you have to ask yourself is would you? Really?

Anyway, a new reclaiming opportunity has just been launched by Massow’s, but this time it relates to ‘trail commision’ earned on financial products. They are on a mission at (paymemy.comMISSION, geddit?)

Now, as avid readers of this site you will recall we mentioned trail commission a little while ago- basically recurrent payments made by the insurance company out of your annual charges that are normally paid to the IFA who provided the advice in the first place.

However, often the link between the original IFA or sales person and the customer is no longer current and in these cases, there is no longer any advice being provided to justify these payments. Where there is little or no ongoing advice, the adviser is earning money for nothing, and this ‘unearned’ trail commission is what Massow’s are after.

Of course, the shiny new website and trail commission calculator do not come free, and Massow’s will retain 20% per annum of future trail commission they identify as being unearned, and therefore repayable to you. 20% might seem steep, but 80% of commission you didn’t know you were missing out on is better than 0%, right?

In case you are wondering whether your products would be worth anything, there are a number of case studies on the site. Take Dan, a 30-year old self-employed man who has a personal pension plan with a fund value of £120,000 and on-going premiums of £1,000pcm gross, as well as a life policy for £100,000 for which he pays £8pcm. He also has stocks and shares and ISAs valued at around £50,000. According to the site, Dan will be £682pa better off by receiving a rebate from Massow's, and that’s the annual figure net of their commission.

Of course, if you have £1,000 a month to put into a pension (£800 net), you are possibly less in need of an extra few quid than someone who doesn’t have the cash, but if you do have a number of investment/financial products, the total commission may add up. And as we always say here at Bitterwallet, free cash is better than no free cash™

Clearly no-one who works for Bitterwallet has ever had enough money to have ever owned an investment product, but if any avid readers fancy having a go on the calculator and  letting us know whether it looks to be worthwhile, we would be grateful. A little bit.


  • PokeHerPete
    Wheres the magazine entries?
  • Paul
    You get *all* of the commission back at cavendish online for ISAs and pensions.
  • T L.
    Sod that, where's Dan live? Sounds like he'd be well worth burgling.
  • Chris
    So how much free cash did they give you to write this?
  • Richard L.
    This seems very similar to the website that allows you to trade on your own and so bypass the need for an IFA to steal away their commission, thus leaving you with a greater return. They only charge £60 per year, so if you are investing approx £12k or more, it definitely worth looking at.

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