Annunity: preliminary take on

atush

Peelerfart wrote: »

So are you saying that the only people who should ask questions on here are the ones who can't afford to ask a pro?

That was my take and pretty stupid IMHO.

casey_junior

atush wrote: »

I would ask what you are being charged for advice on a pot as small as 50K. Too high, and it will be a big chunk out of any returns.

If it's me the question's at, I haven't consulted an IFA yet, i'd just like to make the point that my pension provider rules out drawdown for a pot of,as you say, as small as £50 .This contradicts your argument that there are alternatives to Annuities.

Blue_Parrot

mania112 wrote: »

But seriously, maybe it's just me, but if I was booked in to see an IFA I would feel the need to 'prepare' myself by asking strangers on a Forum a question.

That's exactly what I'm doing, so I don't understand your point.

Unless you left out the word "not" (as in ..... I would not feel the need....)

:question:

atush

casey_junior wrote: »

If it's me the question's at, I haven't consulted an IFA yet, i'd just like to make the point that my pension provider rules out drawdown for a pot of,as you say, as small as £50 .This contradicts your argument that there are alternatives to Annuities.

Why do you need to stay with your provider? This is ussually the WORST thing to do. you shop around for a drawdown in the same way you shop around for an annuity.

There are a number of providers that will do a drawdown under 50K. AS a matter of fact, I am in the middle of shopping for one around 30-40K.

dunstonh

£3600 is the lowest amount mainstream providers can do it. There may be some that go lower but that would just be getting silly.

gadgetmind

mania112 wrote: »

Why not save these questions for the IFA?

For the same reason that someone about to see a doctor (or who has just seen one) wants to know more about their condition, or why someone who's about to get a builder in wants to know the questions to ask and what to watch out for.

Knowledge is power.

Blue_Parrot

gadgetmind wrote: »

For the same reason that someone about to see a doctor (or who has just seen one) wants to know more about their condition, or why someone who's about to get a builder in wants to know the questions to ask and what to watch out for.

Knowledge is power.

I said that in reply 19:

"Fourthly, I have to educate myself before asking (stupid) questions of her - or any other professional, such as bank managers, accountants, doctors, dentists etcetera. That's me."

If you appear to be ignorantly stupid and naive then for all I know the IFA will treat you as if you are ignorantly stupid and naive. By asking informed questions, it at the very least shows that you have done some research.

I have no more reason to trust an IFA than I do any other fee-charging (or commission-charging) person.

After all, the world is full of them, all trying to sell "products" and make a living.

Cynical, me.

atush

BP, we (well most of us lol) didn't think you were stupid for asking. Everyone has to learn things, and this is one way to do so.

Blue_Parrot

atush wrote: »

BP, we (well most of us lol) didn't think you were stupid for asking. Everyone has to learn things, and this is one way to do so.

Exactly. In this thread I learned a new term: Trivial Commutation, and to my surprise found that it applies to me.

Therefore, I can ask this IFA "have you heard of Trivial Commutation?" which shows that I have heard of it. The other way around, before I started this thread was the IFA saying to me "you have a Trivial Commutation" and my blank face.

It is good to learn things every day, especially when that means that you can do some independent research before talking with someone who speaks Martian.