Fsavc

andrewabu

Hi,

10 years ago, I moved abroad after getting divorced and continued paying into an FSAVC that matures next June when I will be 49. I am now aware that I should have stopped paying the money and so am wondering what situation this leaves me in?

Any help appreciated.

Andrew

dunstonh

10 years ago, I moved abroad after getting divorced and continued paying into an FSAVC that matures next June when I will be 49.

In 2006, FSAVCs ceased to exist and were reclassified as personal pensions. They do not mature. They can be taken between age 55 and 75. The selected age is purely for illustration purposes only (i.e. the retirement projection needs an age to show benefits and that is what the age is for)

You need to contact the pension provider ASAP and inform them that you ceased to be eligible to contribute 10 years ago. It is possible that they will be able to unwind the contributions (in some circumstances they can). Or it may be that you will have to pay a tax penalty that claws back the tax relief that you have benefited from. At this stage though, let the provider no and stop your contributions.