What is a Mis-sold Investment?
Any investment that has been sold to you that was inappropriate or unsuitable for you, based upon your circumstances and needs, will be defined as having been mis-sold.
If the seller of the investment does not take into account your personal circumstances, needs and future needs, or did not explain the investment fully, then they will not have properly sold the product to you.
For example, if you were sold an investment by Co-operative Bank without the adviser advising you fully about the investment, the risk type or asked you questions about what investment you were seeking and for what purpose, then you are likely to have been mis-sold an investment by Co-operative Bank.
How do I know if an Investment I have, or had, was Mis-sold?
For an investment to have been mis-sold, you do not necessarily have to show that you have lost out financially.
That is not to say that you can complain just because an investment performed badly, especially if you were advised of the risks beforehand.
The main aspect of mis-sale of an investment will be down to the actual discussions and advice given at the point of sale.
For an investment to have been sold in the proper way, you would expect the adviser/seller to have done the following: -
- Discussed your needs and requirements fully to assess what a suitable investment for you would be;
- Advised you fully about the potential risks of the particular investment;
- Advised you of other options, with varying levels of risks for similar, or different investments available to you;
- The terms and conditions are explained fully to you including any small print or exclusions.
If Halifax, or any other investment adviser did not do this, then you are likely to have been mis-sold the investment.
Can I make a Claims if I was Mis-sold an Investment?
If you believe you were mis-sold an investment, then you can make a complaint to the lender who you believe mis-sold your investment to you, in the first instance.
If you can, it is always helpful to provide evidence to show that: -
- The investment was not suited to you or your needs/or attitude towards risk;
- You were not advised how your money would be invested;
- Your attitude to risk was not taken into account or you were not told about the level of risk involved with that investment.
When providing your evidence to the lender, you should stick to the facts and provide any written evidence that you can. It is also worth mentioning that when making your complaint, you should try to be as clear as possible.
I was Worried when my Investment was High-risk?
At the time you were advised about the investment, the risk to that investment should have been discussed fully with you.
You should have been advised that as well as the prospect of the investment doing very well, that it could also go the other way and leave you at serious risk of losing out financially on your investment. If it sounded too good to be true, then unfortunately, it is likely to have been the case.
How do I know if my Co-operative Bank Investment was Mis-sold?
If your Halifax adviser did not: -
- Discuss your needs and requirements fully;
- Inform you about the potential risks or exclusions to the investment;
- Factor in your pre-existing medical conditions or simply did not discuss them with you;
- Inform you about any commissions to any third parties on the investment;
- If you felt pressured into buying the investment;
Then you were likely to have been mis-sold the investment by Co-operative Bank and you will have cause to make a complaint against them.
Can I make a Claim Myself?
You can of course make a claim yourself to Co-operative Bank or any other lender who you believe may have mis-sold your investment to you.
You should refer to the lenders complaints process which should be contained on their website, or you can request their complaints process in writing. The lender will then have a period of up to eight weeks to provide you with their initial response to your complaint.
If you have not received a response within eight weeks from Co-operative Bank, or they respond stating they do not believe the investment was mis-sold, or you are in anyway unhappy with the response you received from them, then you may refer your complaint to the Financial Ombudsman Service.
If you have cause to refer your complaint to the Financial Ombudsman Service, you will need to do so within six months of Co-operative Bank' final response letter to you, or within three years of you becoming aware that your investment was not suitable or had been mis-sold to you.
If you do not feel confident making the claim yourself or if you feel it is too much for you to deal with yourself, then we would be delighted to assist you with any complaint you may have for a mis-sold investment.
We can make enquiries on your behalf under our no win, no fee arrangement. In the event we are successful recovering financial compensation on your behalf, we will charge 24% inclusive of VAT of any compensation you receive.