Avoid Common Pitfalls Of Taking Financial Advice

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The short answer is to use an Independent Financial Advisor, investigate them thoroughly and make sure you understand any product you buy.However many people are unsure exactly what is a Independent Financial Advisor or IFA so I will explain the types of Financial Advisor, how an Independent Financial Advisor is different from the other types of advisor and their obligations to a client.What is a Independent Financial Advisor?An Independent Financial Advisor (IFA) provides financial planning, offers unbiased advice and recommends suitable financial products from the entire UK market.All IFAs are regulated by The Financial Service Authority (FSA) which requires them to hold strict qualifications and show a high level of competence.The term Independent Financial Advisordates from 1988 when the UK government introduced a polarisation regime where an Advisor was either tied to a single insurer or was an independent practitioner.Since 2005 the UK market has been depolarised. There are now four type of Advisor.
Independent financial Advisors who work with products from the whole of the financial market and allow their customers the option of paying by fee or commission.
Whole of market Advisors, who work with one company but only on a commission basis.
Multi tied – work for more then one financial organisation.
Tied – work for one organisation, typically a high street bank.
When Choosing a Financial Advisor ask whether he or she is independent, multi-tied or tied.What qualifications does a Independent Financial Advisor need?There are no set entry requirements for becoming a financial Advisor. Many employers consider a strong background in sales, financial services or customer service to be more important than formal qualifications. However for a person to be allowed to practise as an Independent Financial Advisor the Financial Services Authority (FSA), requires the following qualifications.The entry level qualifications are the
Financial Planning Certificate

Certificate in Financial Planning (CertPFS
Both are issued by Chartered Insurance Institute (CII) and are about equivalent to a challenging GCSE. Treat them accordingly.The most common advanced qualifications are
Advanced Financial Planning Certificate (AFPC)
Certified Financial Planner licence.
IFAs with higher level professional qualifications may have the letters APFS or FPFS after their names.What about high level professional qualifications?The highest professional status for a IFA is a Chartered Financial Planner which was recently introduced.In addition to these qualifications the FSA requires all IFA to undergo Continuous Professional Development (CPD) to keep upto date with developments in the profession.Throughout their career an IFA may take many advanced and more specialised qualifications to develop specific areas of expertise. You should ask your IFA about them because he or she will gain the more advanced qualifications as their career progresses making qualifications a useful benchmark of an Advisor’s specific expertise and experience.How are Independent Financial Advisors paid?The vast majority of IFAs are paid by commission either in full or in part. The obvious problem with this is that the product offering the best commission may not be the best product for your interests.The FSA recognised that this might be a problem and since depolorisation of the market in 2005 has required a financial advisor to provide clients the choice of either paying commission or a fee for advice. Despite the conflict of interest, consumers have been reluctant to pay for something they see that they already get for free.Today there are three main ways an IFA receives payment.

Commission: Typically the advice of the IFA is paid for by a commission from the product provider. The size of the payment must be made known to the client. It is possible to obtain a rebate of part of an IFAs commission in some circumstances, most commonly in Execution-Only cases. The size of commission and whether it is included in the price of the investment or deducted from the amount you invest depends on the product. This is not free advice. The client pays for the commission in the cost of the product.

Fees: Offered by all IFAs, this can be cheaper than paying commission if the product is large, complex or specialist. Paying a fee for advice removes any incentive for an IFA to recommend a wrong product. This makes it a good way to ensure that the advice is impartial.

Combination: It is possible use a combination commission and fees. The IFA will refund part of the advice fee when a product is bought..
It is usually easy to find the cheapest option for each investment because the FSA require that the size and type of any payment to an IFA are made known to a client.What are an Independent Financial Advisors obligations to a client?FA are obliged by the FSA to provide the most suitable advice for your particular personal objectives, situation, requirements and appetite for risk.To do this they usually conduct a “factfind” of a your financial position , preferences and objectives. It is important to be frank and open about your financial situation during this process. This is much easier if you have a personal rapport with your IFA. Using a well planned system for Choosing a Suitable Financial Advisor help make this more likely. Once the fact-find is done they are able to advise the most appropriate action need to meet the objectives and possibly recommend a financial product.The FSA requires every IFA to tell you about the service they’re offering and provide you a “Keyfacts- about our services” document. Insurance brokers may give you this information in another format. The document describes
the service on offer;
whose products they choose from; and
whether you’ll have to pay a fee for the service or if they’ll get paid by commission on what they sell you.
“This document is important – it can help you shop around and compare services, product ranges and costs, so make sure you are given one and if you’re not, ask for one.”How to go about Finding a Financial AdvisorYou can ask family of friends for a recomendation of someone they trust. Alternatively you can ask another professional you have experience of dealing with for a refferal. Professionals tend to know other profesionals and a have an opinon about them.You can investigate any IFAs before doing business with them. Check that the firm is on the FSA Central Register and is allowed to give financial advice, .
The Central Register is available on the FSA website at
You can also make checks over the phone on 0845 606 1234.
In summaryAlthough the UK consumer financial market is among the most heavily regulated and thus the safest in the world, It is your responsibility to understand the terms on which you do business.You can avoid many of the most common pitfalls by following these steps.
Only use an independent financial advisor listed on the Central Register

Choose an IFA you feel comfortable with.

Ask them about their qualifications and specialist areas expertise and choose on suitable to meet your goals.

Investigate whether you are better paying a fee rather then a commission.

Before purchasing a product or signing anything you must make sure you understand what you are being told.

Read the “key facts” documentation they will provide you. If they dont provide this, ask for it.

If you are unsure about something clarify it.

Accredited Online Schools – The New Path of Cyber Education

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An accredited online schools is the main thing you need to look at when applying for a college online or on-campus because, if the schools accreditation isn’t licensed by the state, then the degree you pay for could be worthless. Accreditation means that the school is recognized by an authority as having a certain educational quality. The accreditation can be revoked in the event the school’s educational quality drops, so your research as to whether or not your college or university is accredited should take its current status into consideration, as well as its historical status.Accredited online schools is a status awarded to a program that has been carefully reviewed and found to meet or exceed stated standards of quality in educational practice. Programs accredited by NAACLS must exhibit integrity and responsibility when publicizing their status in promotional literature, brochures, catalogues, letters and official publications. But, prospective students and parents must conduct a background research to make sure that a particular school is accredited by the appropriate agency.Most all accredited online schools utilize advancing technology to expose the student to course work required for the degree. This includes televised classes, online chat, emailed assignments and online classrooms. Students will predominantly use the Internet to learn their studies and submit assignments. Some course work will require group assignments that can be facilitated through email or via instant messaging systems and chat rooms. Students can have the same classroom exposure without having to leave the comfort of their home or office.So, before undertaking a program, make sure that it is available through accredited online universities. Do not fall victim to scams offering degrees in a short period of time, usually for a lot of money. Not only are these offers a scam, they can also be illegal. For example: accredited online schools offer Masters degree as an entry level degree. Non-accredited schools may offer certificate or other degrees. Also, accredited online schools can offer federal government-guaranteed student loans that covers the full tuition and money for living. So keep that in mind specifically!Only accredited online universities offer the course load and actual knowledge to help you attain a legitimate degree. Remember that while online courses are designed to take into account work experience and can be convenient to attend, they still require effort and time.Typically, accredited online schools do not ask an incoming student, “What have you learned and achieved?” but rather, “What school did you go to.” If the student names a school that has kept its accrediting dues paid up; he will receive credit for his work in that school.The Internet is a valuable tool to help in searching for accredited online universities. Not only will you be able to get a list of universities, you will be able to research each one and get a feel for the work required, tuition and educational philosophy.

Simple Homemade Beauty Tips To Implement For Natural Beauty

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With the move to go green picking up steam, this is leading to many people choosing to go green with their personal skincare as much as possible and as much as they can get away with. Although there are many substitutes for chemicals in nature that are better for skin, some of the many chemicals used for conditions such as wrinkles do not have a natural substitute. Besides wrinkle treatment, there are many homemade beauty tips to implement for natural beauty that will still help you to prevent premature aging.Taking care of your skin is one of the best things you can do for yourself and finding beauty tips that will work the best for you and your skin is one of the best gifts you can give to yourself and you will reap the benefits. Homemade beauty tips are really not that complicated and will allow you to have a personal hand in the products that you place on your skin as well as beauty foods that you eat to take care of your skin and body from the inside out.The first step to implementing a beauty regimen is to determine the type of skin that you have. The various skin types include oily, dry, normal, combination and sensitive and these various types respond differently to various beauty tips and beauty products.For each skin type, one of the first homemade beauty tips is to implement a proper cleansing routine that is suitable for your skin type. There are various beauty products as well as homemade beauty recipes for cleansers if you are trying to avoid chemicals that you can create for your particular skin type.A good cleanser will allow you to remove dirt and excess oil that are clogging your pores to allow various additional products to be absorbed properly by your skin. Clogged pores lead to various skin conditions such as acne, blemishes, dull skin complexions, etc. Using lukewarm water in the cleansing process is the best way as hot water can damage your skin. Cold water on the other hand will not allow your pores to open up to extract dirt and oil.After cleansing, you may or may not use an astringent or toner. Toner is usually an unnecessary step for most people and can be a waste of money. A toner may be beneficial for you if you have oily skin to help you get rid of the excess oil but you may still not need to use it every day. If you decide to use a toner or astringent there are many beauty recipes that you can use to create your own.Exfoliation is an important step in any beauty routine and is one of the best homemade beauty tips. Exfoliating the skin will allow you to get rid of the dead skin cells as skin turns over constantly. Not exfoliating enough will leave this covering of dead skin cells which will mean that various beauty products will not be properly absorbed into the skin.Removing this dead skin through exfoliation is one of the best ways to ensure that your beauty products are effective. There are various homemade beauty tips that will allow you to create various masks and exfoliants at home that will work just as well if not better than those found in a beauty store.A good moisturizer that is suitable for your skin type is one of the best homemade beauty tips and there are various recipes that will allow you to create a moisturizer at home. You may need to try various moisturizers to find one that is suitable for your skin type. Sunscreen is probably one of the best homemade beauty tips that will allow you to protect your skin in addition to preventing premature aging. A good sunscreen should be used everyday, rain or shine.