Can I cash in my pension?

Franklee_2

Many thanks for the replies everyone.
Jamesd, I don't 'need' the money as such.
The lump sum will be used for home improvements.
My plan is to use the pension to overpay my mortgage to enable me to retire at 60.

dunstonh

I plan to cash in my serps opt out pension with the pru next April at age 55.

You cant cash in a pension. What you describe is commencing the pension.

When my OH enquired this year about his (he is 55).He had £20,000 in his pot and it was £5000 lump sum and just over £700 per year..(before tax obviously) Thats with the pru.
Give them a ring.

Pru rates are poor at the moment.

thanksfroyourhelp

Glad i found this page appreciate some help although i fear (having read this post) the answer is no

I have a fund that is currently valued at £45k. I was recently made redundant from the company and am in severe financial difficulties. The statement i have received this morning states "the value of your total account will remain invested and will be available to purchase a pension at any age between 50 and 75" (im 29).

It then goes onto say the current transfer value is £23k. And i am able to transfer the policy by contacting them or the new company in writing.

Is there any way at all i can access a percentage or all of this pot even if it means losing a % of its value?

Thanks for any replies and sorry but this is really my last hope

thanks

Proxy

Nope, sorry.

thanksfroyourhelp

Proxy wrote: »

Nope, sorry.

thanks for reply

does the answer change if i have to go bankrupt?

thanks

jamesd

No, unless you have one of the rare pensions where you have a right to take the money at age 29, like the old ones that were around for some sports. If you have one of those there is a small chance that you might be required to take the 25% lump sum, if one is available, but this is currently up in the air with legal appeals possible. The Official Receiver will discuss this with you if they think it matters, and it can't for any normal pension at your age.

One of the purposes of a pension is to protect the pension pot from bankruptcy so that you will have the money in retirement.

thanksfroyourhelp

jamesd wrote: »

No, unless you have one of the rare pensions where you have a right to take the money at age 29, like the old ones that were around for some sports. If you have one of those there is a small chance that you might be required to take the 25% lump sum, if one is available, but this is currently up in the air with legal appeals possible. The Official Receiver will discuss this with you if they think it matters, and it can't for any normal pension at your age.

One of the purposes of a pension is to protect the pension pot from bankruptcy so that you will have the money in retirement.

thanks again even though its not the news i wanted

i had a meeting with an ifa last week who assured me there were ways of getting cash from this having read around and this thread tells me he was telling porkies

19lmh81

This may seem a pretty stupid question, regarding Pensions.

I understand that it cannot be cashed in, and it appears the only options are to continue to contribute or move to another, but are there any other options, even long term savings instead. Can I transfer to another name?
ideally the "very small" amount of money I accrued from my year or so in a pension is sitting redundant and I havent in 8 years worked in another place that contribute. I was wondering whether I could use this for some kind of trust fund until 21 for my daughter or anything along those lines. shes only 1 so thats still 20years or so.

jamesd

You can only transfer a pension pot to another name in these situations:

1. You're dead and a spouse or other beneficiary inherits the pot.
2. As a result of a pension splitting order as a consequence of divorce.

mrbilbs

So like most people at the moment times are hard. I have 2 company pensions (companies I am no longer with) that total around £6k. At the moment this money is doing nothing.

I have responded to an advert that mentioned being able to release the money.

You are correct about the fees etc as I would see £3600 out of the £6k.

As you can imagine this would make a huge difference (despite the loss to the pot) as we have 2 kids, mortgage etc. I still have about 29 years to work and my wife is a teacher so her pension will be quite substantial for us both in years to come.

Im in a quandry as what to do - would I be taxed on the £3600 or the full £6k that was sitting there?

They told me that it was legal (and obviously didnt mention any tax). Any advice - financial or otherwise would be greatly appreciated.

I hope you can understand why this is tempting. :cool: