Independent Financial Advisers, IFAs for short, can offer great help when it comes to choosing your financial products. As your IFA will be working on your behalf, it’s important that you trust them and you have a good working relationship. If you feel uncomfortable, find another one, particularly as you will probably have to reveal quite a lot of personal information to them.

Your first meeting should be fairly informal. It’s a time to get to know each other and will establish a good base.

There are many questions you may want to ask. The following are the most important ones and it is imperative you ask them.

- How much do you charge?
Ideally, you will want a fee free advisor. These make their money through commissions – companies will pay them if you sign up to their products. However, you may opt for one who charges. The amount of commission should be disclosed to you before you buy the product. Ask your IFA to explain the difference between fees and commission, and ask what the difference that they get paid is likely to be. Many people are now opting for fees rather than commission. It is up to you which option you choose.

- How long have you been in business?
Everyone has to start somewhere, however you may feel more comfortable with someone who has had more experience.

- Can I speak to the company who is providing the product?
The IFA should let you speak to the company without any problems. If they are reluctant, it may be worth considering getting a different IFA.

- What qualifications do you have?
IFAs should at least have the Financial Planning Certificate (FPC). Most advisers will hold all three parts of the certificate, or equivalent. In specialist areas such as pensions, advisers may well have advanced level qualifications as well.

- Are you a specialist?
Most IFAs specialise. This means they may not be good at advising on a different area of specialism, for example a pensions adviser will probably not want to advise on mortgages. However, your IFA should be able to setup all you other financial product advise on your behalf on a more cost effective basis that you could get yourself, so it is worth asking if they can provide this service to you.

- Who are you regulated by?
Advisers must be regulated by a recognised authority. The principal regulator for the financial sector is the Financial Services Authority.

- Are you always the person who will advise me?
In large organisations, you may deal with a number of different advisers. If you would prefer to just deal with one person, you may want to look at advisers from a smaller organisaion.
When you are ready to proceed and use the IFAs services, they will ask you several questions pertaining to you and your finances. This information will be recorded and held by the IFA and you must sign to say that the information provided is correct. The more accurate the data you give them, the better the advice the IFA gives you will be.

Click here for a list of our recommended list of IFAs

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