We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Arranging a Flexible Drawdown Pension
NeilF355
Posts: 18 Forumite
As well as my final salary pension I have a Flexible drawdown pension, arranged by an Independent Financial advisor, which allows me to draw 1/36th of the capital sum out each month for 3 years. This ends in June 2015.
I have another pension fund which I want to crystallise and use in the same way in another Flexible drawdown pension over the next 3 years from June 2015.
When I contacted my current Flexible drawdown pension provider to arrange this I was told I should get my IFA to contact them.
Am I forced to arrange this through an IFA or can I do it myself?
After all I have already sought, received, and paid for the advice I needed to decide that this scheme was best for me. Do I have to repeat this process?
I have another pension fund which I want to crystallise and use in the same way in another Flexible drawdown pension over the next 3 years from June 2015.
When I contacted my current Flexible drawdown pension provider to arrange this I was told I should get my IFA to contact them.
Am I forced to arrange this through an IFA or can I do it myself?
After all I have already sought, received, and paid for the advice I needed to decide that this scheme was best for me. Do I have to repeat this process?
0
Comments
-
Am I forced to arrange this through an IFA or can I do it myself?
If you use a provider that only retails via intermediaries, then yes you are. If you want to DIY then transfer it to a DIY provider.After all I have already sought, received, and paid for the advice I needed to decide that this scheme was best for me. Do I have to repeat this process?
The previous advice will not give you consumer protection on any action you take now. Any adviser would be required to treat this as new advice. Even if it was signposted in advice in the years before.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
There is no need to use an IFA to set up Flexible Drawdown nor its replacement from 6 April 2015, Flexi-access Darwdown. Some providers have some products that they only make available via IFAs and if you wanted one of those you'd have to go via the IFA buying channel. there are plenty that do not have that requirement.
With Flexi-access drawdown you can choose to take out any amount up to 100% of the pot whenever you like. You'd just choose to take out 1/36th of the pot each month via a regular payment.
From 6 April 2015 the ban on you making more pension contributions because you have used Flexible Drawdown is lifted and you're able to make pension contributions of up to £10,000 a year provided that is less than your earned income.0 -
Thanks for the info guys, I'll search t'internet to find a provider who allows DIY set ups.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354K Banking & Borrowing
- 254.3K Reduce Debt & Boost Income
- 455.2K Spending & Discounts
- 247K Work, Benefits & Business
- 603.6K Mortgages, Homes & Bills
- 178.3K Life & Family
- 261.1K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards