Need to move money from one pension fund

Jabo

Hi guys,

I have a pension fund from my previous employer that needs to be moved.
I'm 23, there's £1,500 in it and I don't really feel like I need to keep it for now so I'd like to know is it possible to move it somewhere and withdraw the money from it? If not then I'm looking for a recommendation of where to move it to.

Thanks in advance

dunstonh

'd like to know is it possible to move it somewhere and withdraw the money from it?

No.

If not then I'm looking for a recommendation of where to move it to.

Loads of places depending on your circumstances. There is no one stand out option and what is best will depend on a number of things. Plus, it would be a breach of FSA rules and board rules to make a recommendation of provider on the forums.

Jabo

Don't be daft there would be no breach of FSA rules, there's no financial service being offered here it's just conversation.

My situation is I'm 23, on low-medium income. I'd like to move the money to somewhere that will earn a decent amount of interest up until the time I can access it. Where should I move it?

dunstonh

Don't be daft there would be no breach of FSA rules, there's no financial service being offered here it's just conversation.

And what makes you so qualified to make that judgement? As it happens, the FSA (or PIA as it was at the time) have been called in to investigate a case in the past. I will stick to what the regulator said thank you. As well as complying with board rules.

I'd like to move the money to somewhere that will earn a decent amount of interest up until the time I can access it.

Thats not how pensions work.

Where should I move it?

Wherever is best to suit your investment requirements and the lowest charges to achieve that.

EdInvestor

Try a SIPP, if you want to keep the money in cash.

www.h-l.co.uk and
www.sippdeal co.uk

offer the best rates among the low cost Sipps.

dunstonh

Thats it Ed, send the OP to the experienced investor option which is more expensive than SIPPs and most personal pensions. If the OP knew about investing, they wouldnt be asking the question.

EdInvestor

dunstonh wrote: »

Thats it Ed, send the OP to the experienced investor option which is more expensive than SIPPs and most personal pensions.

It will cost the OP nothing to keep his pension in cash at Sippdeal or HL as there is no annual fee. Sipps can be very useful for investors who want a low cost, low risk pension approach involving cash and gilts.

You should remove your blinkers about pensions and Sipps in general - they can be much more flexible and useful products than you seem to realise.Of course a client like this who wants to keep a pension in cash if of no use to an IFA, as fees and charges would eat up to much of the returns in a normal pension.

But that's not the case is a no fee DIY SIPP.

aloiseb

Seriously!...I am in a similar position to the OP and wonder if I need to see someone about my various pensions - there are 2 little workplace ones (I've left the jobs, but the providers keep in touch) and one personal pension with L+ G into which I am paying every month, as aself-emplyed person.
I don't want to ask L&G as I know they will only be able to advise me on their own products. Please tell me where I should go to get advice - and if possible some idea of what they charge? - , or are there websites and so on which might help?

dunstonh

You should remove your blinkers about pensions and Sipps in general

You should remove your bias towards a product that is suited towards experienced investors and not inexperienced investors.

With your total reliance on the media for your knowledge (and we all know how dangerous and blinkered that can make you), I am surprised that you have chosen to ignore all the coverage that has commented on the fact that SIPPs are being oversold and over bought.

they can be much more flexible and useful products than you seem to realise.

Flexibility is not an issue. Over 90% of SIPPs taken out post A day have been invested in funds. So, dont give me that flexibility rubbish. Most consumers arent using them any different to a stakeholder or personal pension. They are just paying more for getting the same.

At the OPs age he can get a reduction in yield of around 0.5% on a personal pension. That will be around 1.6% on unit trusts on your SIPP. (both assuming execution only).

Of course a client like this who wants to keep a pension in cash if of no use to an IFA, as fees and charges would eat up to much of the returns in a normal pension.

Makes not one bit of difference.

Seriously!...I am in a similar position to the OP and wonder if I need to see someone about my various pensions - there are 2 little workplace ones (I've left the jobs, but the providers keep in touch) and one personal pension with L+ G into which I am paying every month, as aself-emplyed person.

Dont bother, Ed will just tell you to go use a SIPP and buy it from Hargreaves Lansdown as she does for everyone.

I don't want to ask L&G as I know they will only be able to advise me on their own products.

Correct. That is never the way to get advice.

Please tell me where I should go to get advice - and if possible some idea of what they charge?

https://www.unbiased.co.uk is the UK database for IFAs (untick the box in section 2 (i think it is) that only shows paying IFAs).

Charges will vary. You can go on commission basis or fee basis. Fee basis tends to be better with larger transactions. Commission basis better for smaller.

or are there websites and so on which might help?

Not for advice. You can buy online but you will not be told what you should buy or how you should invest it.