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Cashing in Equitable Life With Profits Pension

Richard253
Richard253 Posts: 3 Newbie
in Pensions, annuities & retirement planning
Hi,

I have an Equitable Life With Profits Pension, it is an old company pension from a job I left in 1992, it is not worth much in the grand scheme of things but I wondered if it could be cashed in and the money used could be invested in my small business.

I have asked Equitable Life and they say no, government legislation does not allow pensions to be cashed in, it can be transferred to another pension but not cashed.

Is this true or is there a way around this that would allow the funds to be released?

Many thanks

Comments

  • RichandJ
    RichandJ Posts: 1,087 Forumite
    No there is not. ELAS are correct.
    It only takes one tree to make a thousand matches, it only takes one match to burn a thousand trees. As well, the cars are all passing me, bright lights are flashing me.

    Johnny Was. Once.

    Why did he think "systolic" ?
  • dunstonh
    dunstonh Posts: 120,359 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Is this true or is there a way around this that would allow the funds to be released?


    ....or as bendix would say, not they are telling lies and of course you can have it. ;)
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Richard253
    Richard253 Posts: 3 Newbie
    Thanks for the replies, at least when I retire I will be able to afford a tin of beans each weeks.....if I am lucky!

    All the best
  • dunstonh
    dunstonh Posts: 120,359 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Richard253 wrote: »
    Thanks for the replies, at least when I retire I will be able to afford a tin of beans each weeks.....if I am lucky!

    All the best

    Why not do something about it then?
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • zygurat789
    zygurat789 Posts: 4,263 Forumite
    Part of the Furniture Combo Breaker
    Richard253 wrote: »
    Thanks for the replies, at least when I retire I will be able to afford a tin of beans each weeks.....if I am lucky!

    All the best

    It's worth 12.5% more from April 1st according to the Equitable
    The only thing that is constant is change.
  • Loughton_Monkey
    Loughton_Monkey Posts: 8,913 Forumite
    Part of the Furniture Combo Breaker Hung up my suit!
    Why on earth would you want to cash something in a minute before you get compensation?

    OK. You bought a dog, through no fault of your own. Equitable Life was, in fact, one of the 'best' performing companies in their field - with one very major mistake they made by guaranteeing annuity rates.

    But that's a different issue. Pensions cannot be 'cashed in'. They are.... er.... 'pensions' [look it up].
  • Old_Slaphead
    Old_Slaphead Posts: 2,749 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    edited 1 April 2011 at 9:30AM
    zygurat789 wrote: »
    It's worth 12.5% more from April 1st according to the Equitable

    But there has been no increase in transfer value for (at least) last 15 months so, those with 3.5% annual guarantees will only effectively be getting an extra 8%.

    FWIW my (and I suppose many others) pension is still on a 20% MVA.
  • zygurat789
    zygurat789 Posts: 4,263 Forumite
    Part of the Furniture Combo Breaker
    Old_Slaphead wrote: »
    But there has been no increase in transfer value for (at least) last 15 months so, those with 3.5% annual guarantees will only effectively be getting an extra 8%.

    FWIW my (and I suppose many others) pension is still on a 20% MVA.

    The statement to 31 december 2010 said that after 1 April 12.5% would be added to the value of the pension. I've also been told I will not suffer an MVA even if I use the open market.
    The only thing that is constant is change.
  • zygurat789
    zygurat789 Posts: 4,263 Forumite
    Part of the Furniture Combo Breaker
    Loughton_Monkey wrote: »
    Why on earth would you want to cash something in a minute before you get compensation?

    The guy at Equitable told me Everyone gets compensation if they're entitled wether they've left, taken a pension or still in.
    The only thing that is constant is change.
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