Rather avoid Momentum for any products...

[supersunbird]

http://www.iol.co.za/business/perso...rly-seems-a-pipe-dream-1.1643857#.UvdgKRs4rYU

In one case, Momentum reduced an investor’s savings by R11 517 (11.52 percent) from R99 947, saying: “Unfortunately we cannot provide you with a breakdown of this cost that will be deducted. Please be advised that it is in line with legislation according to the Association of Savings & Investment SA (Asisa) ruling. These contracts cost (sic) is group-based and not individual-based. It is also spread over the full term of the contract.”

Asisa has denied it has anything to do with how the penalties are calculated.

The other problem was that Momentum had already penalised the investor many years earlier when he had made his RA paid-up (stopped making further contributions).

Momentum initially argued that it was entitled to “double dip” (applying penalties more than once to a policy), despite directives from the Financial Services Board that double-dipping is not permitted where it results in regulated limits being exceeded.

They are like wriggly little snakes. If they lie about things like this, how else could they be lying about on other products?

EDIT: Point is, if your see a financial advisor about retirement, avoid the life insurers (Old Mutual, Liberty, Sanlam, Momentum for example) retirement products they might try to sell you for now, until they get their act together and Treat Customers Fairly.

 

[Hendrix]

They will keep doing it as long as people keep taking the bait...