Financial advisers can either charge you commission or an advice fee, either way you are paying for their services and you must always insist on receiving a high quality service.

Commission is the money that is paid to a financial adviser when they sell you a specific financial product. Commission is normally paid by the product supplier. The financial adviser should always outline how the commission is calculated and how much they will earn for selling you a product.

In instances where a financial product doesn’t allow commission then the financial adviser may ask you to agree to a fee for providing the advice they provide. In some instances financial advisers can charge you a fee and commission.

An advice fee is when you as a client pay a financial adviser money in exchange for providing you with financial advice and services. You must agree to this fee upfront in writing and the financial adviser should explain what the fee includes. You have the right to cancel ongoing fees if you feel that the adviser is not rendering the services you initially agreed to.