Help needed for dodgy Montague Pitman admin fee

Help needed!

Montague Pitman Stockbrokers' salesman tricked into buying some of their recommended AIM stocks some years ago. He assured me there was no other fee other than their much bloated commission. Now the value of the stocks is less than 1/10 of the original cost and suddenly they sent me a letter asking for yearly admin fee I owe them last year!
I have recorded some of the other stocks they tried to sell me and all of them are very bad recommendations! They lost most of my money and could not get anymore from my pocket and now try to force me!

My questions are:
1. Their salesman called me and asked me to buy some share. I agreed but actually was thinking they would send me the contract by email or post to sign. If I don't sign it, I don't need to buy it so I would have a chance to think about it carefully without the salesman's high pressure. But they sent me the "shares bought on behalf of you" contract note straight away and I had to pay!
Since I had no such experience before, I wonder if any one could tell me whether this kind of call-and-done sale is legal and common with other stock brokers/advisers?

2. I don't want to pay this so-call admin fee but if I sell the shares and leave them, they will probably deduct the fee and send me the rest. Can I prevent this?

3. Anywhere I can make a complaint about them?

Any advice is much appreciated.

I've also been presented with an 'invoice' for an administration fee for the last six months, during which the shares I bought on their advice have fallen to about a third of the value I originally paid.
These guys don't lack for cheek.
I'm transferring all my holdings with them to another broker; suggest you do the same.

LesatWork said:

I'
I'm transferring all my holdings with them to another broker; suggest you do the same.

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Thank you for the suggestion. That's an idea. Do they charge a hefty fee for transferring out?
What did they say when you called them?

I did some search. It seems we can complain to the FSA because your experience shows it's not me alone but all clients have got a surprise admin fee from them.

refuse to pay, don't do anymore business with them. Suggest we get onto the FSA about this lot as it would appear they're dodgy at best with their '''tips'''.

I have shares of two companies. They ask for £25 to transfer each out and £50 in total. The value of my shares is merely £100 now, down from £1500+. Their yearly administration fee is £50.
Seems they have framed you to pay the £50 anyway. Suck the last drop of your blood.

Selling shares costs 1.8% + £5. Less blood sucked by them but means no chance to recover the heavy loss....

Stuck!

Lessons learned: Never trust those brokers claiming big money and good money-making service for you!!! They are simply salesmen making money FROM you. Do your own research and trading.

This firm seems like a real 'class act'.

They tried to sign me up for their services at a travel show ..... apparently they were even present at a firemen's convention.

Anyways, shouldn't have filled anything ...... they kept cold calling me months afterwards.
Thank God I didn't commit to anything (was just looking for free info.)

I'd go to the FSA .... the more I think about it, they seem like a dodgy outfit!

My experience is that every recommended trade offered by phone soon lost money - a lot in most cases.
How can they repeatedly get it so wrong - especially with their high rate of commission?
If only the FSA would investigate - but if offering poor advice is within the letter of the law there is little that can be done.

Montague Pittman have lost me thousands. They just sell stock and take commission. They have no risk management, stop loss or profit targets. I can stock pick and manage positions better than them. Stay away from them.

orangesunset said:

My experience is that every recommended trade offered by phone soon lost money - a lot in most cases.
.

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really?

how can I get these recommendations?

Montague Pitman

jiggly said:

really?

how can I get these recommendations?

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Your be better off staying away from Montague Pitman. If they knew how to generate profit they would buy the stock them selves rather than sell on commission.

Themac said:

Your be better off staying away from Montague Pitman. If they knew how to generate profit they would buy the stock them selves rather than sell on commission.

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I would still like to see their recommendations, if each of them where that consistantly poor, then why has noone looked into trading against them.

I have just been on their website, if i sign up will i be getting such recos that you guys where given via email, or are the 'sh*t' ones only coming through by phone....?

Sounds like you just want to make quick easy money. If they say 'buy' and you 'sell', does not work that way. Market timing and risk management comes into play. Eg. They say buy at 30p, you sell at 30p. Stock might go up to 35p, then go to 25p some time later. You get the idea?

Montague Pittman do not send emails saying 'buy these stocks', they talk to you on the phone, and sell you the stock making it sound like there is high returns, when in reality they want commissions and they will not manage your positions or use stop losses. I have statements to prove this.

Themac said:

Sounds like you just want to make quick easy money. If they say 'buy' and you 'sell', does not work that way. Market timing and risk management comes into play. Eg. They say buy at 30p, you sell at 30p. Stock might go up to 35p, then go to 25p some time later. You get the idea?

Montague Pittman do not send emails saying 'buy these stocks', they talk to you on the phone, and sell you the stock making it sound like there is high returns, when in reality they want commissions and they will not manage your positions or use stop losses. I have statements to prove this.

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Sounds like Montague Pittman are fading their own picks
In other words, they get a bunch of noobs like you to go long so they can sell their own large position.

signalone said:

Thank you for the suggestion. That's an idea. Do they charge a hefty fee for transferring out?
What did they say when you called them?

I did some search. It seems we can complain to the FSA because your experience shows it's not me alone but all clients have got a surprise admin fee from them.

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Get your money transferred to your bank account. Forget the "other broker" otherwise I can see that you are going to lose the lot.

Themac said:

Sounds like you just want to make quick easy money. If they say 'buy' and you 'sell', does not work that way. Market timing and risk management comes into play. Eg. They say buy at 30p, you sell at 30p. Stock might go up to 35p, then go to 25p some time later. You get the idea?

Montague Pittman do not send emails saying 'buy these stocks', they talk to you on the phone, and sell you the stock making it sound like there is high returns, when in reality they want commissions and they will not manage your positions or use stop losses. I have statements to prove this.

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I understand how it all works. I get the idea,

so I have to have an account before they talk to me about what stocks they want me to buy?

sounds like the people from the movie boiler room

They essential just want you to buy stocks through them so they get commissions. They will go through the FSA requirements and risk disclousures to protect themselves. You do not need to have money sitting in an account with them. If you decide to buy stocks based on there recommendations they will send you a contract note in the post and you have to pay the amount normally within 2 weeks.

jiggly said:

really?

how can I get these recommendations?

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They phone you up with their latest recommendation and urge you to invest.
They sound very convincing and advise you not to miss a great opportunity.
But the price of the share nearly always drops within days.
Would be interesting if someone has kept a record of how all their recommendations have done.
Thanks to this website did not risk losing more as a result of their recent tips.

Please complain about Montague Pitman!

HI, please file a complaint with the Ombudsman about them. I have spoken to people who used to work there and they confirmed that the company is just out to leech money out of people to purchase useless AIM stocks. The directors of the company used to work at Wills & Co...check on the FSA website..if you type in Wills & Co you will see what this company was up to....exactly what Montague Pitman is doing. I have spoken to an elderly client of Montague Pitman who has lost everything at the hands of this company.