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Too late to transfer Pension?

My husband has a pension plan that he stopped paying into some 15yrs ago. This has then gone from one company to another as they were merged & taken over. I had a look at the the other day & was horrified to see that there is no interest or bonuses put on anymore so it is effectively losing money rapidly.
When he started a new plan with Norwich Union which his company also pay in he was told that he could not transfer the old amount. He retires in 3 years time is it too late to do anything about it?:confused:

Comments

  • dunstonh
    dunstonh Posts: 118,558 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Its not too late but if he was told he cannot transfer it then there is probably a good reason. It could be there are guaranteed annuity rates (common on older plans taking out before 1988 but some offered them as late as 1995) or there is protected rights which cannot be transferred into the current scheme.

    It may be that you have to wait until retirement and then combine them under transfer using the open market option.
    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.
  • Thanks for that, trouble is I do not understand pensions plans I have a excellent company plan from the major retailer, everything was always done for you & the advise etc was in house whenever needed.
    I worked in a finance office so am no airhead, but I have never heard of combining pensions under transfer using open market where would I go to find out??????????
    Would an IFA be the best bet or is that only for people with real money?
  • By the way the new provider did not look at my husbands old pension documentation, just said he could not tranfer it. Which gave the imprtion that it was the new plan that could not be transfer to.
  • EdInvestor
    EdInvestor Posts: 15,749 Forumite
    Post some info about the old plan.

    Provider
    Fund the money is invested in (With profits?)
    Current value
    Transfer value (ring up and ask)
    Contains protected rights money or not, if so what is the split PR and non/PR?
    Any guarantees attached?
    eg.Guaranteed annuty rate (how much?)
    Guaranteed growth rate/investment return? (how much?)

    With a pension if there are no bonuses being added every year, it is often a Good Sign. :)

    With an endowment, the opposite is the case. :(
    Trying to keep it simple...;)
  • Thanks I will do that & post again as soon as I have the information.
    Really wish I had thought of asking here earlier.
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