Company went into recievership / buyout.

ScoobyZ

My wife works for a retail chain that was bought out. I believe they went into administration so that the new company would not have to take on the pension liability.

My wife has got a letter say that she has two options as she has been on the scheme for more than 2 years.

1. Do nothing and the fund will be put into an L&G Insurance Policy.

2. Transfer the fund to a new pension.

Since the buy out her new company pension has continued.

I thought it would automaticallytransfer into the new one.

See has only got the letter today as i was sent to her old address, but the company has agreed for her still choose despite the deadline passing.

I have never heard of this insurance policy from a pension thing, anyone have any ideas what it is and if it is worth keeping etc?

Also do you think it would be best just to tranfer the amount (8.5k) into the new scheme?

atush

You need to check the costs of the new scheme for transfers in, the charges, and the fund choice. As well as the options they mentionned.

savageHK

ScoobyZ wrote: »

1. Do nothing and the fund will be put into an L&G Insurance Policy.
2. Transfer the fund to a new pension.

Is her pension a defined contribution pension or a defined benefit pension?