Calling All SSAS's
Despite being virtually identical to SIPPs, a large proportion of SSASs are overpriced, underserviced and out of date.
While a crowded SIPP market place has led to continued market development and competitive fees, SSASs by comparison have been neglected. The fee structure of a typical SSAS provider will have been put in place many years ago and will almost certainly be too high.
At the same time, many SSAS providers are unlikely to be offering the features of a modern SIPP, or at worse not even acting as Scheme Administrator for their clients.
An example last week really brought this home to us. Someone with a SSAS called us, his current SSAS provider charged a basic admin fee last year of £5,000 and, with add-ons, the total fee was £8,500! With a SIPP, which is just the same to administer (if not arguably more difficult with Protected Rights and FSA regulation), the total fee would have been well below £1,000. This isn't so much overcharging as total rip-off - and that's before we start talking about the service provided.
If you are a SSAS provider, charging high fees and not doing a great deal of work, there's no real incentive to change the status quo. Clients meanwhile tend not to move to another SSAS provider, partly because they may not know any better and partly because they feel that moving may involve a fair amount of work.
Part of my mission is to get the message out to SSASs that they should not be putting up with this and all clients (not just SIPP) deserve to be treated fairly. At Curtis Banks we treat SSASs the same as SIPPs - modern features and a fair level of fees. We are actively looking to pick up SSAS clients to give them a better deal, and also to acquire books of business from other SSAS providers.
If you are reading this and know of any SSAS clients who deserve better treatment, tell them to get in touch with us. We can give them a better product and literally save them thousands of pounds.
And to any struggling SSAS providers please give us a call as our commitment to the SSAS may benefit both you and your clients.