Old pension losing money, can I move it or take the lump?

tenorsolo

Many years ago I took out a private pension as I worked part-time for the County Council and in those days you could not join their scheme. When I began working for the NHS 15 years ago I joined their scheme and just left the private one to grow. Last year I took advice and transferred it to a wrap with some other savings that I had but it is now losing money. I am 63 and my job is not looking good so I might retire within the next 12 months. As I only work part-time my NHS pension is not going to be large either. Can I transfer my old pension to the NHS or should I take the lump sum of 25% and invest it in a savings account. I have a large tracker mortgage which still has 7 years to run but has a very very low interest rate. I have tried to be money savvy but have lost the plot a bit.

dunstonh

Last year I took advice and transferred it to a wrap with some other savings that I had but it is now losing money.

It is not "now" losing money. Investments zig zag in value. That is what they do. We have just had a period recently that has seen a drop (a zag as such).

Can I transfer my old pension to the NHS

No. You can only transfer in the first 12 months of membership.

should I take the lump sum of 25% and invest it in a savings account.

Is that the best option for you? How long is the 25% lump sum likely to be sitting in the savings account?

What is the objective of this pension? Do you need the money?

atush

Last year I took advice and transferred it to a wrap with some other savings that I had but it is now losing money

Could it be that moving the pension was a mistake, with associated costs/fees? What is it invested in? Do you need the money now, or are you just concerned with the market correction?

tenorsolo

Thank you.
I am trying to ensure that I have enough money to pay off the mortgage in 7 years. My job is at risk but I would probably be redeployed not made redundant. I don't earn a lot so every penny helps. My spouse has been made redundant and is also 63. We are in a high unemployment area no despite lots of applications, no luck. I realise that the market fluctuates but I thought that perhaps a 2 year fixed ISA might be a better option and then see how rates are after that. The income of £33 nett a month is not a lot but would put petrol in the car.

atush

A mortgage shiould be paid off form a salary- Not a pension. Pensions are for living 20-40 years after retirement.

Should you be made reundant, an ISA would count against your means tests. Pensions will not. I personally would wait and take the pension only when you need it. But I would see what it was invested in, and perhaps change funds within the pension?

We can't really help as we dont' know the facts like what is was in, why you changed, to what you changed it to and the costs of doing so, and the time when you changed it.

RichandJ

3 posts from a newbie all mentioning the same website. Processed meat time I reckon.

jem16

RichandJ wrote: »

3 posts from a newbie all mentioning the same website. Processed meat time I reckon.

You might want to remove their website link from your quote now that the post has been removed.

RichandJ

jem16 wrote: »

You might want to remove their website link from your quote now that the post has been removed.

Done. & blah for 10 characters.