According to a Moneyhub survey, 24% of customers feel their pension and investment providers don't offer sufficient after-sale support. This finding raises the possibility that certain financial service providers are not abiding by the Financial Conduct Authority's (FCA) Consumer Duty regulations.

The latest study also reveals that the services that are offered to customers vary based on their income. About 42% of respondents say they find it difficult to communicate with their supplier; this percentage drops to 15% for those who make at least £100,000 annually.

Of those making over £100,000, 41% strongly believe that they receive customized service from their supplier, compared to only 13% of those making less than that amount.
 

A portion of this discrepancy may be attributable to technological issues. Actually, according to 21% of customers, having the option to make flexible top-ups depending on their monthly surplus would motivate them to increase their contributions to investments or pensions. Conversely, sixteen per cent think it would be helpful to have readily available estimates of the future value of their existing investments.


Open finance provides providers wishing to include such ideas in their products with an easy way to do so. Moneyhub's technology not only enables users to locate and access all of their pension data, but also connects to and displays bank accounts, credit cards, savings accounts, property assessments, individual savings accounts, loans, mortgages, and other financial products in one convenient location. This empowers users to establish healthier financial habits and make better long-term financial decisions.

Is open finance technology your saving grace?
 

"With the current availability of customer-focused solutions through open finance and open banking technologies, there's no reason for consumers to be struggling with feelings of uncertainty or neglect," said Mark Horwood-James, managing director of Moneyhub Personal Finance Technology. Good financial advice no longer has to be reserved for those who can afford to pay for it thanks to technological advancements.

Financial service providers have a clear opportunity to help consumers make better financial decisions, which will enhance their financial well-being and capacity to save or invest. The competition is on to provide the greatest experiences and solutions for every consumer.
 

"The adoption of new technologies, especially in the form of open finance and open banking solutions, performs two important actions at once for pensions and investment providers," added Margaret Snowdon OBE, a member of Moneyhub Financial Technology Ltd.'s advisory board.

The implementation of readily available technology can effectively handle the fundamental aspects of the provider-consumer interaction, making it the sole means of meeting the expectations of the new FCA Consumer Duty. However, the technologies increase the likelihood that the client will make the best financial decisions at the appropriate times, improving both their own and their provider's outcomes.