There are different types of financial adviser in the UK. Some have restrictions placed on them as to what advice they can provide. When dealing with something as important as your finances it is critical you choose where to get your advice from carefully. Find out more about the benefits of independent financial advice here.

Anyone keen to make their money work harder for them or who have long term financial goals will benefit from talking to a professional and seeking independent financial advice. A financial adviser can help in the purchase of a home, for retirement planning or for straightforward long term financial planning. By discussing your financial goals and examining your individual circumstances the financial adviser will be able to recommend products or actions that will fulfil your needs and enable you to reach your goals.

There are different types of financial adviser however and it is important to understand the difference between them before taking steps to arrange a meeting. A tied financial adviser is only able to offer products from the company to which they are tied to. This obviously narrows the scope of help they are able to provide considerably. While the product they are promoting may work for some people and be of benefit, it might not necessarily be the right move for you. An independent financial adviser on the other hand has not such obligations. With no such ties or obligations to a company or suite of products they can make recommendations based solely on the individual needs and goals of the client. If you seek advice from an independent financial adviser you can be safe in the knowledge that you will receive unbiased advice about a whole range of products from right across the market.

There is one further type of financial adviser and that is known as a multi tied adviser. They too are limited to offering products from companies to which they are affiliated to, although unlike tied advisers they have relationships with more than one provider. While this may in some cases enable them to provide slightly less biased advice, in reality a multi tied financial adviser often has only one affiliation in each area of financial planning. This makes them no less restricted to what they can offer their clients than a tied adviser.

There is no doubt that if you want to receive completely unbiased financial advice based on your own financial situation and targets, you must deal only with an independent financial adviser. That is not to say however that all independent financial advisers are created equally. The way they are paid can also have a big impact on the type of advice and information they provide.

Some independent financial advisers are paid on commission. This means no upfront fees are paid between you and the financial adviser but instead they get paid directly from the provider of the product you choose. Commissions vary between products and that can have an influence on what advice is given. Choosing a independent adviser who receives a fee only payment is the only way to truly guarantee you are receiving independent advice. The small category of financial organisations that offer fee only independent advice are free from any affiliated products, ties to companies and also commissions. This makes them the most appropriate group of financial advisers to deal with.

Financial planning is an extremely important part of life and there is simply no point in taking any risks by seeking advice from a source that is not independent. If you want to move forward with confidence that your money is invested wisely and you have chosen appropriate financial packages then a fee based financial adviser may prove to be one of the best routes for you to take. Their first step will be finding out your current financial situation, goals and objectives, and then making necessary recommendations on how to to proceed or what financial product to select. Independent financial advisers can offer advice related to insurance, mortgages, loans, investments, retirement planning, inheritance tax and other financial planning areas.

With so many different types of financial planner and adviser it can be very confusing to know who to turn to for help. Even the different pay structures can mean that one seemingly independent adviser is in fact still influenced one way or another. When dealing with something as critical as long term financial planning, there is one type of financial advice that is often recommended, and that is fee based independent financial advice. It could make all the difference to your long term financial health.