Advice please transferring public pension to private

CarolineM61

I would appreciate advice. I was awarded my ex husband's public sector pension as part of my divorce settlement five years ago. As finances are short, I contacted the provider regarding accessing the funds or part of them, when I am 55, which is within the next few months. I was told that as it is public sector I can't touch it until I am 60. They advised me to transfer it to a public scheme and to get a financial adviser to find a suitable scheme. I can't afford an adviser at the moment so hoped you could recommend any companies for me to approach. Thanks

Delete33

Hargreaves and Lansdown seem to be very popular on this forum, I am no expert though.

CarolineM61

Thank you for replying

xylophone

Which public sector pension?

There may be difficulties. http://www.local.gov.uk/c/document_library/get_file?uuid=c59f80f6-f3dd-4a6c-9fcd-2262408311e6&groupId=10180

You might try the Pensions Advisory Service for some advice, but assuming a transfer out is possible it is very likely to be the case that an IFA with the necessary qualifications and permissions will be needed.

http://www.pensionsadvisoryservice.org.uk/

hyubh

CarolineM61 wrote: »

As finances are short, I contacted the provider regarding accessing the funds or part of them, when I am 55, which is within the next few months. I was told that as it is public sector I can't touch it until I am 60. They advised me to transfer it to a public scheme and to get a financial adviser to find a suitable scheme.

A minor point, but it isn't because the scheme is 'public sector' that you can't draw it before 60 - rather, it will be because the scheme rules at the point you became a pension credit member specified this. Insofar as 'public sector' is relevant, it will be to block you from transferring out to 'access the funds'. (Given you have been told you can transfer out however, that means the scheme must be the LGPS, where such transfers are still possible, despite being public sector.)

I can't afford an adviser at the moment so hoped you could recommend any companies for me to approach.

Assuming the value of your deferred pension credit is above the statutory minimum to require taking independent financial advice, you cannot avoid this - the administrator would be breaking the law if they allowed a transfer out to a money purchase arrangement without it.

CarolineM61

Hi
All it says on the transfer form is that it is a Local Government Pension Scheme. It was with Suffolk County Council. They advised me to transfer it out to a private scheme, saying that I would need to give written authority to them to release the funds. They said the public pension company would charge me some of the pension pot to take it, so I should shop around. Thanks for link to PAS I will email them tomorrow. I think I will need to get an I F A just money short at the moment. Thanks

kidmugsy

Also try AJ Bell.

CarolineM61

Thank you hyubh, I didn't realise that an IFA was a legal requirement over a certain amount. Do you know how much the limit is without needing one? Thanks

CarolineM61

Thanks kidmugsy

Linton

CarolineM61 wrote: »

Thank you hyubh, I didn't realise that an IFA was a legal requirement over a certain amount. Do you know how much the limit is without needing one? Thanks

£30K is the legal limit. However the accepting scheme may require IFA approval for smaller sums. You will need to ask.

CarolineM61

Thanks. It is a larger sum, so I think I will need to bite the bullet and fork out for a pensions adviser. Thank you