A billing system that gives advisers the choice of receiving payment via fee-for-service or commission has proven highly popular with advisers, according to the results of a national survey.
AXA announced its new electronic billing service, Fee4Advice, has received a satisfaction rating of nine out of 10 in a survey of its national adviser network.
According to AXA, the system accommodates both fee-for-service and commission payment models, and enables “payment decisions to be made on the basis of comparative advantage”.
“At AXA we believe there is room for both remuneration models, depending on the client’s preference, so long as there is full disclosure,” AXA national compliance and advisory services manager Simon Wallace said.
“The new e-billing system allows our advisers to automate all billing and payment processes in either model, so they can pick their preferred approach or offer a blended payment model,” he said.
The company argued that some clients prefer paying commissions because of the reduced effect on immediate cash flow, while others opt to pay for advice from their own resources.
According to Wallace, the billing service also provides greater efficiency and automation.
“Fee4Advice encompasses an invoicing facility, the ability to make deductions from client accounts, receive credit card payments and process BPay transactions,” Wallace said. Reporting tools are also included.
The service also features education about different payment approaches and how to systemise and document them within their businesses.
“Not only are advisers saying they are saving time and money because of the new efficiencies of the system, but they have a greater understanding of their cash-flow situation and closer relationships with their clients,” Wallace said.
Fee4Advice was launched with e-commerce provider CommSecure, and is also known as BillSecure Plus.
