This is undoubtedly one of the most frequently asked questions within the Financial Advice sector, and rightly so! We all want to be confident that parting with our money is going to generate something of value, be it a service, a product or even a holiday. It’s far easier to part with hard-earned cash when that ‘value’ is attained immediately i.e. going to the shop and purchasing something you’ve had your eye on. When it comes to services, far more questions arise; what am I really getting for my money? What’s the value in this service? Is it really worth it? Could I not do this myself? Can I get this service cheaper elsewhere? Let’s have a look at how these questions translate into the financial advice services and start getting them answered.
The value of financial planning
An important question to ask yourself is how do YOU measure the worth of a service? Is it in the time it saves you, the money it makes you, the customer service you receive? It’s imperative that you know the answer to that question as it will help you to choose a service that places its emphasis on what you value most and ensure that you’ll consider any costs incurred ‘worth it’.
The primary aim of financial advisers, be they restricted or independent, is to source, apply and complete on products necessary to achieving financial milestones, i.e. sourcing a mortgage rate and working with lenders to complete on a house purchase. In this instance, the initial fees of an independent adviser are likely to save you money in the long run – they will have access to the ‘whole of market’, they won’t be biased towards a particular lender/product, the best rate available can be sourced and therefore your monthly costs will more than likely be less than if you opted to go into a specific lenders branch.
The value of a Financial Adviser can also be found in the time they will save you, especially if you are not confident in what you’re doing. As with all major transactions, there can be a lot of toing and froing, a few doted lines to sign, supporting documentation required etc. Financial Advisers will be able to pre-empt requests, build your case file accordingly while managing the progression of your transaction - all with little need for your involvement and so limiting your burden.
The amount of research that all good, independent financial advisers put into exploring options is vast. Your initial enquiry will just be a starting point; products and options beyond your initial request will be researched and considered to ensure that you walk away with the most appropriate and financially sound outcome. The peace of mind in knowing your money is in the right place/ working for you the best it can is sure to save you a sleepless night or two! Again, access to the ‘whole of market’ has significant impact here.
Cheaper options elsewhere? Always. As with most things, you will always be able to find cheaper alternatives and yes, sometimes they may turn out to be gems. Today, we as consumers, have the power to research our options thoroughly. When did you last ask Google to find your ‘best local option’ or scroll down to the bottom of Amazon to read product reviews? The cheap options are there, by all means research them, compare them with the other options out there, and ensure you know WHY they’re cheaper – make sure you don’t get financially stung further down the road.
So, is financial advice worth the fees? Of course we’re always going to say yes, as long as the fees are reflecting the value of what is on offer. In the right circumstances, it can really pay off to seek and implement the guidance and strategy of a financial adviser. Why not take advantage of our free, no-obligation financial consultation to get a better idea of exactly how an adviser could improve your current and future circumstances.