I have 4 pensions and need to put them in 1

womblesteam

Hi Guys

I currently have 4 different pensions. One is currently with my job and the other three are with previous employers.
I would like to know whether its better to transfer the balance into the current one or take a lump sum (dont think i can though).
Plus i have been told that one of them i cannot transfer as i contracted out of SERPS (at there advice), so im thinking this one will just waste away with charges etc.
Please help, any advice will be fab.

Cautious_Investor_3

Hi

This sort of work really does need a reputable IFA to look at it for you.

There are a whole host of considerations you need to think about:

1. Charges on the old scheme v any possible new scheme
2. Performance of old v potential new
3. Penalties on transfer
4. How much risk you are prepared to take

Etc etc

Being told you cannot transfer because you opted out of SERPS sounds wrong to me, I can't think of an occasion (at present) where this would be the case.

Look for an IFA to help you, google Unbiased and you will find a website to help you, there is also a service provided by Investment Sense (google them, you want the .co.uk address) who will look into your old pensions free of charge and tell you what they will be worth.

I hope this helps.

The Cautious Investor

dunstonh

I would like to know whether its better to transfer the balance into the current one or take a lump sum (dont think i can though).

If its best to consolidate them then that is what you should do. If its not, then you shouldnt. However, its impossible to say without any data and most of the time the data needs to be run through software to analyse it.

Plus i have been told that one of them i cannot transfer as i contracted out of SERPS (at there advice), so im thinking this one will just waste away with charges etc.

Contracted out personal pensions can be transferred easily enough. Its possible that you spoke with a tied agent rather than a full IFA and its their own internal rules that dont allow it rather than it being the right/wrong thing for you.

Barnetboy

It goes against the grain for a Moneysaver to pay for something but if you weigh up the amount you have in your 4 pension funds against the cost of seeing an IFA (not sure how much they charge) it's a no-brainer.

Get advice.

Cautious_Investor_3

Barnetboy wrote: »

It goes against the grain for a Moneysaver to pay for something but if you weigh up the amount you have in your 4 pension funds against the cost of seeing an IFA (not sure how much they charge) it's a no-brainer.

Get advice.

I definately agree, there are some things you can do yourself, this is not one of them.

Use Unbiased (.co.uk) to find an adviser, or even better ask friends or family for a recommendation.

The Cautious Investor