Private Pensions & Credit Crunch - are they safe?

masonj3

Sorry if this has been asked already, I ve read through some similar threads on here but dont fully understand the advice / info that has been given.

My husband and I have 3 private pension plans that we set up when my husband was self employed, we havent "taken" the pensions as yet and dont intend to for another couple of years to hopefully allow the market time to restabilise etc

Im just wondering how "safe" our funds are given whats happening with the economy at the moment and wondered what would happen to our funds if the pension companies were to go bust {Zurich & Abbey Life}

The plans are valued at 140k, 78k and 35k and we are aged 55 & 62

Hope what I ve put makes sense
Cheers x

Day_Trader

The first £2000 is covered 100%. Over £2000 is covered up to 90% but there is no limit to the value. So for example if you have £100k then you would be covered for £2000 + (£98,000 x 90%) £88,200 = £90,200.

To be honest I think you'll be fine!

EdInvestor

However the value of the pensions will fluctuate according to what funds the money is invested in, regardless of the state of the pension provider.