Terms of Business
Francis D’Arcy t/a Personal Advisory Services 13 Herbert Place, Dublin 2.
T: 016674102 e: firstname.lastname@example.org w: www.advisoryservices.ie
These Terms of Business set out the general terms under which our firm will provide business services to you and the respective duties and responsibilities of both the firm and you in relation to such services. Please ensure that you read these terms thoroughly and if you have any queries we will be happy to clarify them. If any material changes are made to these terms we will notify you at our next review meeting.
Authorisation with the Central Bank of Ireland
Francis D’Arcy t/a Personal Advisory Services is regulated by the Central Bank of Ireland as an insurance intermediary registered under the European Communities (Insurance Mediation) Regulations, 2005; as an Investment Intermediary authorised under the Investment Intermediaries Act, 1995 and as a Mortgage Intermediary authorised under the Consumer Credit Act, 1995. Copies of our regulatory authorisations are available on request. The Central Bank of Ireland holds registers of regulated firms. You may contact the Central Bank of Ireland on 1890 777 777 or alternatively visit their website at www.centralbank.ie to verify our credentials.
Codes of Conduct
Personal Advisory Services is subject to the Consumer Protection Code, Minimum Competency Code and Fitness & Probity Standards which offer protection to consumers. These Codes can be found on the Central Bank’s website www.centralbank.ie
Personal Advisory Services is a member of the Professional Insurance Brokers Association (PIBA). As a member of PIBA we must be in a position to place insurance with at least five Life insurers and therefore can generally give consumers greater choice than agents and tied agents.
Our principal business is to provide advice and arrange transactions on behalf of clients in relation to Life & Pensions and Mortgages products. A full list of insurers, product producers and lending agencies with which we deal is available on request.
Personal Advisory Services acts as an Independent Broker, which means that the principal regulated activities of the firm are provided on the basis of a fair analysis of the market. In certain circumstances you may have the option to pay in full for our services by means of a fee.
The concept of fair analysis is derived from the Insurance Mediation Directive. It describes the extent of the choice of products and providers offered by an intermediary within a particular category of Life Assurance, Mortgages, and/ or a specialist area. The number of contracts and providers considered must be sufficiently large to enable an intermediary to recommend a product that would be adequate to meet a client’s needs.
The number of providers that constitutes ‘sufficiently large’ will vary depending on the number of providers operating in the market for a particular product or service and their relative importance in and share of that market. The extent of fair analysis must be such that could be reasonably expected of a professional conducting business, taking into account the accessibility of information and product placement to intermediaries and the cost of the search.
In order to ensure that the number of contracts and providers is sufficiently large to constitute a fair analysis of the market, we will consider the following criteria:
§ the needs of the customer,
§ the size of the customer order,
§ the number of providers in the market that deal with brokers,
§ the market share of each of those providers,
§ the number of relevant products available from each provider,
§ the availability of information about the products,
§ the quality of the product and service provided by the provider,
§ cost, and
§ any other relevant consideration.
Life, Pension and Investment
Personal Advisory Services provides life assurance, Pensions and Investment Advice on a fair analysis basis i.e. providing services on the basis of a sufficiently large number of contracts and product producers available on the market to enable us to make a recommendation, in accordance with professional criteria, regarding which contract would be adequate to meet your needs.
We will provide assistance to you for any queries you may have in relation to the policies or in the event of a claim during the life of the policies and we will explain to you the various restrictions, conditions and exclusions attached to your policy. However, it is your responsibility to read the policy documents, literature and brochures to ensure that you understand the nature of the policy cover; particularly in relation to Permanent Health Insurance (PHI) and serious illness policies.
Specifically on the subject of permanent health insurance policies it is our policy to explain to you a) the meaning of disability as defined in the policy; b) the benefits available under the policy; c) the general exclusions that apply to the policy; and d) the reductions applied to the benefit where there are disability payments from other sources.
For a serious illness policy, we will explain clearly to you the restrictions, conditions and general exclusions that attach to that policy.
Personal Advisory Services provides advice on Deposits on a limited analysis basis (providing services on the basis of a limited number of contracts and product producers available on the market).
We provide advice on the following product providers:
§ KBC Ireland
§ Permanent TSB
Through the lenders or other undertakings with which we hold an agency, Personal Advisory Services can provide advice on and arrange mortgage products from the following range: fixed-rate loans, variable rate mortgages, capital & interest mortgages, interest only mortgages, endowment mortgages, pension mortgages and residential investment property.
Personal Advisory Services provides mortgage advice on a fair analysis basis (providing services on the basis of a sufficiently large number of contracts and product producers available on the market to enable the firm to make a recommendation, in accordance with professional criteria, regarding which contract would be adequate to meet your needs).
We will need to collect sufficient information from you before we can offer any advice on housing loans. This is due to the fact that a key issue in relation to mortgage advice is affordability. Such information should be produced promptly upon our request.
Disclosure of Information
Any failure to disclose material information may invalidate your claim and render your policy void.
Please note it is essential to make full disclosure of relevant facts, including:
a) your medical details or history;
b) any previous insurance claims made by you for the type of insurance sought.
Failure to disclose all information may result in;
• your policy being cancelled
• claims not being paid
• difficulty in trying to purchase insurance elsewhere
• a breach of the terms and conditions attaching to any loan secured on property.
If you are ever in doubt about whether or not something needs to be disclosed, the safest course of action is disclose it.
In many cases Personal Advisory Services is remunerated by commission/other payments from product producers or lenders on the completion of business. Should this not be the case, we will charge in full for our services by means of a fee. Where we receive recurring commission, this forms part of the remuneration for initial advice provided. We reserve the right to charge additional fees if the number of hours relating to on-going advice/assistance are higher than normal or anticipated.
In circumstances where fees are chargeable, the scale of fees are listed below - for life, non-life business and Standard PRSAs. Where possible, we will notify you in advance and agree the scale of fees to be charged if different from fees outlined below. If we receive commission from a product provider , this will be offset against the fee which we will charge you . Where the commission is greater than the fee due , the commission will become the amount payable to the firm unless an arrangement to the contrary is made.
Our fee schedule can be downloaded here - scale of fees.
Life, Pension and Investment Fees:
We charge for financial planning based on the time and expertise involved, and this may be paid by a Product provider. Ongoing review of Pension & Investment funds is usually based on a percentage of funds under management, otherwise by way of fee.
If no Commission is receivable by the firm for the advice given or product supplied, hourly fees are chargeable on the following basis:
Senior Advisers €175
Support staff € 75
Additional fees may be payable for complex cases or to reflect value, specialist skills or urgency.
Cancellation of Life, Pension or Savings & Investment policy:
Should the Life & Pension providers apply a Commission clawback for cancellation or encashment of the Policy within a defined time period (often up to 6 years), Personal Advisory Services will seek to recover such Commission clawback in full from you.
Personal Retirement Savings Accounts (PRSAs) – Fees:
Where advice is requested for PRSAs , fees are chargeable on the same basis as the Life Fees above.
Personal Advisory Services may charge an Administration fee of €250 for opening a Client deposit.
We may receive up to 1% (or whatever maximum is applicable) of the loan for arranging mortgage finance. This commission is paid by the mortgage lender.
We may charge a fee of €250 to assist you in preparing your Mortgage application. This will be rebated if we receive the full 1% Commission on Mortgage drawdown.
If having provided mortgage advice and obtained a Loan Offer for you and you subsequently do not proceed with your mortgage application through our firm, the fee referred to above will not be rebated.
Please note that lenders may charge specific fees in certain circumstances and if this applies, these fees will be specified in your Loan Offer. You have the right to pay a fee separately and not include it in the loan. Typically, this situation arises in relation to specialist lending.
Early redemption of Mortgage:
Should the Mortgage be redeemed in the early years, the Bank may seek to clawback some the Commission earned and Personal Advisory Services will seek to recover this in full from you.
It is in YOUR best interest that you review, on a regular basis, the products which we have arranged for you. As your circumstances change, your needs will change. YOU must advise us of those changes and request a review of the relevant policy so that we can ensure that you are provided with up to date advice and products best suited to your needs. Failure to contact us in relation to changes in your circumstances or failure to request a review, may result in you having insufficient insurance cover and/or inappropriate investments.
Events which may give rise to the need for such a review include :
Marriage , separation or divorce
Buying a Home
Birth of children
Key Saving & Investment events
Illness , redundancy & unemployment
The years approaching retirement
Other special or significant events
Conflicts of interest:
It is the policy of our firm to avoid conflicts of interest in providing services to you. However, where an unavoidable conflict of interest arises we will advise you of this before providing you with any service.
Default on payments by clients:
Our firm will exercise its legal rights to receive payments due to it from clients (fees and insurance premiums) for services provided. In particular, without limitation of the generality of the foregoing, the firm will seek reimbursement for all payments made to insurers on behalf of clients where the firm has acted in good faith in renewing a policy of insurance for the client.
Product producers may withdraw benefits or cover in the event of default on payments due under policies of insurance or other products arranged for you. We would refer you to policy documents or product terms for the details of such provisions.
Mortgage lenders may seek early repayment of a loan and interest if you default on your repayments. Your home is at risk if you do not maintain your agreed repayments.
We ask that you make any complaint against our firm, relating to services provided by us, in writing. We will acknowledge your complaint within 5 business days and we will fully investigate it. On completion of our investigation, we will provide you with a written report of the outcome. In the event that you are still dissatisfied with our handling of or response to your complaint, you are entitled to refer the matter to the Financial Services Ombudsman or the Pensions Ombudsman. A full copy of our complaints procedure is available on request.
Personal Advisory Services complies with the requirements of the Data Protection Acts, 1988 and 2003.
The data which you provide to us will be held on a computer database and/or paper files for the purpose of arranging transactions on your behalf. The data will be processed only in ways compatible with the purposes for which it was given. We would also like to keep you informed of mortgage, insurance, investment and any other services provided by us or associated companies with which we have a formal business arrangement which we think may be of interest to you. We would like to contact you by way of letter, email ,telephone call or text message. If you do not wish to receive such marketing information please tick the box in the Terms of Business acknowledgement letter.
We may receive referrals from such firms and may advise them of any transactions arranged for you.
We are members of the Investor Compensation Scheme operated by the Investor Compensation Company Ltd. See below for details.
Investor Compensation Scheme
The Investor Compensation Act, 1998 provides for the establishment of a compensation scheme and the payment, in certain circumstances, of compensation to certain clients (known as eligible investors) of authorised investment firms, as defined in that Act.
The Investor Compensation Company Ltd. (ICCL) was established under the 1998 Act to operate such a compensation scheme and our firm is a member of this scheme.
Compensation may be payable where money or investment instruments owed or belonging to clients and held, administered or managed by the firm cannot be returned to those clients for the time being and where there is no reasonably foreseeable opportunity of the firm being able to do so.
A right to compensation will arise only:
§ If the client is an eligible investor as defined in the Act; and
§ If it transpires that the firm is not in a position to return client money or investment instruments owned or belonging to the clients of the firm; and
§ To the extent that the client’s loss is recognised for the purposes of the Act.
Where an entitlement to compensation is established, the compensation payable will be the lesser of:
§ 90% of the amount of the client’s loss which is recognised for the purposes of the Investor Compensation Act, 1998; or
§ Compensation of up to €20,000.
For further information, contact the Investor Compensation Company Ltd. at (01) 224 4955.
Terms of Business – Version 7 Effective from November 2016