Flat Fee for pension transfer - Any suggestions

Bilk2004

Hello.

I have a defined benefit pension which has recently closed and at the same time they changed the provider so that no if i die before retirement my wife only receives my contributions about 15% of what she would of received before. As a result we are all leaving the scheme. I want to transfer the pot (about £0.5m) into my new company fund (Zurich) but i am being quoted around 3%.

I have noticed people on this forum talking about flat fees that work out a lot less than this, however i have been unable to find anyone who offers this. Could any recommend a company who could do this for me that they have successfully used?

Your help is greatly appreciated

pip895

DB transfers are expensive - I struggled to find one with a fixed fee. There is a company called Tideway in London who charge 1%. I didn't go with them in the end but they were the cheapest I found and seemed efficient.

Bilk2004

pip895 wrote: »

DB I didn't go with them in the end but they were the cheapest I found and seemed efficient.

Do you mind me asking why you didn't go with them?

Bilk2004

Tried Tideway but they only do the 1% if you the go on to let them manage your fund at a 1% per annual fee so not for me i am afraid

pip895

I was deciding between two sets of advisors and went for the other outfit in the end. I hadn't heard back from Tideway for a few days after filling in their initial forms and when the other group rang up to enquire if I had made my decision I decided to go with them.

Tideway actually sent in an initial appraisal of the offer that very afternoon - If it had come the day before I might well have gone with them. There wasn't much in it re costs a couple of hundred more perhaps for Drewberry - who were the people I went with.
Still going through the process at the moment so no idea if I made the right choice or not.

Bilk2004

Thanks Pip its appreciated. Hope your choice works out for you

pip895

Bilk2004 wrote: »

Tried Tideway but they only do the 1% if you the go on to let them manage your fund at a 1% per annual fee so not for me i am afraid

My understanding was that you could decide to transfer out into your choice of SIPP provider as soon as the funds landed?? That might have been easier said than done of course + I didn't get anything in writing to that effect.

Bilk2004

Is that what you have done with Drewberry or are they managing the fund for you?

pip895

I will be transferring to iWeb and self managing. They are aware of this. I think as part of the process of proving they have properly advised you they need to put you into what they consider a properly balanced portfolio. If you then decide to transfer and put the lot into junior gold shares that is down to you.

Several advisors I spoke to declined to be involved when they knew I intended self managing but these two didn't appear to have a problem with it.

Bilk2004

Thanks Pip I have had the same experience with them not being interested when you want to move into a fund they wont manage

dunstonh

Several advisors I spoke to declined to be involved when they knew I intended self managing but these two didn't appear to have a problem with it.

it can create a compliance issue (i.e. greater liability risk) and some won't do it for that reason. It can also create extra work.