Comparison Sites – Commission Scandal Revealed

Article by Christina

The Sunday Times this week reported on accusations that many of the major Price Comparison sites are misleading consumers by promoting companies who pay them fees.

The article reports on independent research by Candid Money, which surveyed many of the top Comparison sites, including Money Supermarket, Go compare and Compare the Market and found that many of the “best deals” advertised, weren’t actually the best available and were being promoted by the sites in return for commissions which were rarely disclosed upfront.

For example, the top deal for a five year fixed savings account was listed on Money supermarket, Compare the Market and Go compare as Vanquis offering 2.56%, however further research on the sites showed a better deal with Virgin at 3% – but Virgin do not pay commissions on five year savings accounts to Comparison Sites. That could cost customers up to £1200 over 5 years in lost interest.
Many customers think of Comparison Sites as being independent and don’t realise that they pocket vast sums in commissions from product providers.

Consumers shouldn’t forget that all the Comparison Sites are profit organisations; Money supermarket for example reported profits of £24.8m in 2012.

Its not just savings accounts being offered by Comparison Sites its also regulated products like Life Insurance and Income Protection.

The only way to achieve a truly independent search of the market is to use a qualified Independent Financial Adviser.

IFA’s don’t work on a commission basis, we charge a fee for the advice and research we do.

The advice will always be based on clients’ individual financial circumstances, taking into account future goals and aspirations, attitudes to risk and of course personal tax positions – none of which are provided by a flat market search driven by commission, rather than best advice.

The Benefit of Independent Financial Advice Explained

Why taking personalised financial advice is a good idea, both now and in the future.

If you have any questions about Financial Planning please feel free to give us a call on 01282 614444 or drop us an e mail to enquiries@ccfps.co.uk

Awards and Accreditations

Pension Transfer Gold Standard
Investment-Planner
Financial Vulnerability Taskforce
VF 23
Vouched For 2022
Vouched For 2021
Vouched For 2020
Vouched For 2019
Vouched For 2018
Vouched For 2017
Vouched For 2016
Vouched For 2015
Vouched For 2014

We’ve only been clients for a couple of months, but we both feel that we have made the right decision. After first meeting Adele she put our minds at rest.

Mr & Mrs P

The quality of service from Adele and everyone at the company was excellent, in fact the service we received was better than that.

Mr & Mrs F

Christina is thorough and she explains matters in a clear manner. Time is always given for questions to be asked and I have never felt under pressure to buy any particular products.

Mrs D