Aviva AVC

MisterNick

I have an AVC with a transfer value of just under £800
There have been no bonuses added since 2003.
I thought I would transfer it to one of my pension plans which Aviva said I could do without affecting, or needing to move my final salary pension.

They then sent me some paperwork about changes to the with profits funds without any real detail.

Is this linked to the redistribution of their oprah funds and do they genuilnely not know the detail.

Does any body have a view whether I should leave the AVC where it is and hope to get a portion of the distribution or move it and start to have it work harder for me

Many thanks

dunstonh

AVCs are treated as an occupational pension scheme. If you are still an active member of the occupational pension that the AVC is linked to, then you cannot transfer the AVC unless the trustees allow it (most dont).

The orphan funds distribution is linked to certain Norwich Union with profits funds but not all. However, yours doesnt sound like one fo those that qualifies as NU have been paying bonuses on the qualifying funds and you say yours hasnt. The only exception that I am aware of is where there are guaranteed annuity rates.

mrwoody

Norwich Union have not actually worked out yet if any with profits funds will recieve any sort of windfall yet, they have a team that are currently working out what will be distributed and where.

Call Norwich Union and ask if your particualr plan will qualify for a windfall payment. They have a website on which you can type in your policy number and it will tell you.

hope this helps

david78

Even if it qualifies, the windfall will go to the trustees. They don't have to pass the windfall on to the member.