Cash in existing annuities

bullinn1

Hi chaps, I have three small annuities (one taken only last month)! does anyone know if it's possible to cash-in existing annuities under the new rules ?

I was fortunate enough to have 'guarantees' with them (ie I got good rates compared with current open market offers) so the income is generous (I don't really like to use the word generous) so I'm not sure I could invest the cash and get a better return however the more important point is that with the arrangements I have (Aegon, the Pru and Just Retirement) if I die the money dies with me ... I'm guessing the total pot is circa £150,000.

Many thanks to anyone who can advise.

Drp8713

Why would you want to?

You could have taken drawdown before these changes and didnt, probably because of the GARs.

Annuitys will still be the answer for most people, for those who know how to manage their asset allocation in drawdown, they would already be doing it.

bullinn1

Thanks for that

Why would you want to?

As I said I'd rather my estate had the money on my demise than the bankers (though, of course, if I live more than 10 years the advantage swings the other way).

Anyway whether I will or won't does anyone know if it's possible ?

Proxy

rogertb wrote: »

Thanks for that

Why would you want to?

As I said I'd rather my estate had the money on my demise than the bankers (though, of course, if I live more than 10 years the advantage swings the other way).

Anyway whether I will or won't does anyone know if it's possible ?

It is not possible.

bullinn1

Thank you Proxy ...

SailorSam

How old are you ?
Is it 55 before you can cash-in pensions ?

bullinn1

I'm 63 - yes I think it is 55

Ace_rewire

Could someone explain why it is possible to cash in a pension but not an annuity, whats the difference its all pension money surely.

SailorSam

rogertb wrote: »

I'm 63 - yes I think it is 55

It sounds as if you will be able to cash-in, but check the tax implications to see if you can lower the Income Tax you're going to have to pay.
I'm a couple of years younger with a much smaller pot but i wondered if i transferred the money to the new Pensioners Bonds over a few years. I think it;s £15k you can put in.

greenglide

SailorSam wrote: »

It sounds as if you will be able to cash-in, but check the tax implications to see if you can lower the Income Tax you're going to have to pay.
I'm a couple of years younger with a much smaller pot but i wondered if i transferred the money to the new Pensioners Bonds over a few years. I think it;s £15k you can put in.

I have three small annuities

The OP has already annuitised so he cannot change his mind to get the short sighted cash grab. He could easily have done this rather than annuitise but chose not to. Whether he knew he had made that decision as another matter.

Strange that he has three "small" annuities from a £150,000 pot with guaranteed rates?

How small is small I wonder?

Proxy

SailorSam wrote: »

It sounds as if you will be able to cash-in, but check the tax implications to see if you can lower the Income Tax you're going to have to pay.
I'm a couple of years younger with a much smaller pot but i wondered if i transferred the money to the new Pensioners Bonds over a few years. I think it;s £15k you can put in.

The OP says he has annuities, not pensions.

Annuities won't be able to be cashed in under current plans.