lump sum payout and yearly annuty aged 40

jem16

col2462 wrote: »

I still cant understand why i was offered the lump sum and annuity at the time i needed the money and never questioned it, now 10 years on i get my first p60 phone hmrc because of my NT tax code and iam in a panic

Please phone FP. No-one here can tell you if it's all in order or not. There may be nothing more untoward other than you owing tax. Anything else is pure guesswork.

col2462 wrote: »

The lump sum was £10,000 paid right to my bank, does this sound right

Nothing wrong with that.

jamesd

Redress payments do get some special handling, so yes, it's entirely possible that it's right. I don't know the specific rules that applied to them at that time. FP having made the payments and being supposed to be experts does tend to imply that they probably did get it right, though of course that's not a guarantee, just probability.

dunstonh might know more about the rules that applied then.

xylophone

This is dated 2001 http://www.financial-ombudsman.org.uk/publications/ombudsman-news/5/redress-may.htm
"The redress methods available for personal pension mis-selling are strictly governed by the regulator’s pension review guidance and we require firms to act in accordance with that guidance. Reinstatement into the consumer’s former occupational pension scheme is the preferred option for redress, as set out in the regulator’s guidance. However, reinstatement is entirely at the discretion of the occupational scheme’s trustees, so is not always possible. In such cases, the only other option under the guidance is augmentation. This requires a payment of money into the consumer’s personal pension fund to boost its value – so that the estimated retirement benefits from the personal pension policy match, as closely as possible, the predicted retirement benefits from the former occupational pension scheme."

col2462

Thanks for everybodys replies. Has anybody else out there that can give me advice please