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    • bchip
    • By bchip 7th Dec 17, 6:16 PM
    • 1Posts
    • 0Thanks
    bchip
    FSCS decision
    • #1
    • 7th Dec 17, 6:16 PM
    FSCS decision 7th Dec 17 at 6:16 PM
    To any one that received an FSCS decision.
    I received an Decision letter FSCS


    The letter said my lost was £80,000 (this is what my pension would be worth) however the amount they put as transferred was the amount my new current pension is worth £40,000(this is what they awarded me) however at the time of transfer the amount was £19,000 NOT £40,000.


    I am lead to believe that my current pension should not be used as a decision. Only the pension at the time of transfer.


    Where they right to use my current pension figure as the amount transferred when it £19,000. less broker fees


    They also didn't take in to consideration life insurance attached or brokers fees or life time brokers fee attached to my pension


    Do I need to make a separate claim for life insurances attached to my pension. I was lead to believe this should of been included in the calulations
Page 1
    • molerat
    • By molerat 7th Dec 17, 9:49 PM
    • 17,486 Posts
    • 11,720 Thanks
    molerat
    • #2
    • 7th Dec 17, 9:49 PM
    • #2
    • 7th Dec 17, 9:49 PM
    Surely if they are saying the old pension would have been worth £80K now but the new pension is only worth £40K you are simply due £40K. The brokers fees are included in the settlement figure. You have been put back in the position you would have been if you had not transferred. You are saying that you want £60K + which would put you in a better position
    Last edited by molerat; 07-12-2017 at 9:56 PM.
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    • Malthusian
    • By Malthusian 8th Dec 17, 9:26 AM
    • 3,463 Posts
    • 5,304 Thanks
    Malthusian
    • #3
    • 8th Dec 17, 9:26 AM
    • #3
    • 8th Dec 17, 9:26 AM
    I am lead to believe that my current pension should not be used as a decision. Only the pension at the time of transfer.
    Originally posted by bchip
    As Molerat says, if your pension should be worth £80,000 and it is actually worth £40,000 then your loss is clearly £40,000.

    They also didn't take in to consideration life insurance attached or brokers fees or life time brokers fee attached to my pension
    Are you complaining that you didn't die so the life insurance didn't pay out?

    The brokers fees are taken into account via the current value. Let's say you paid brokers fees of £5,000 in today's money - if there had been no brokers fees your pension would now be worth £45,000 and your compensation would be only £35,000.

    Similarly the cost of life insurance came out of the pension and is reflected in the current value of £40,000.
    • IanSt
    • By IanSt 8th Dec 17, 9:47 AM
    • 155 Posts
    • 117 Thanks
    IanSt
    • #4
    • 8th Dec 17, 9:47 AM
    • #4
    • 8th Dec 17, 9:47 AM
    I am lead to believe that my current pension should not be used as a decision. Only the pension at the time of transfer.
    Originally posted by bchip
    Where did you get that information from? My understanding is as per molerat that you should be put back into the position where you would have been if the transfer had never happened. So if it would have been worth £80k but is instead only worth £40k then you should receive £40k.
    • dunstonh
    • By dunstonh 8th Dec 17, 10:02 AM
    • 89,949 Posts
    • 56,651 Thanks
    dunstonh
    • #5
    • 8th Dec 17, 10:02 AM
    • #5
    • 8th Dec 17, 10:02 AM
    They also didn't take in to consideration life insurance attached or brokers fees or life time brokers fee attached to my pension
    That is taken into account as charges are deducted from the value. So, your current value is lower and the current value is used to ascertain the loss value.

    Life assurance is a different issue. Plus, life asurance didnt fall under FSCS until Jan 2005. So, if this is pre-2005, they have no remit on it.

    I am lead to believe that my current pension should not be used as a decision. Only the pension at the time of transfer.
    Current value is the position. Quote logically too.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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