non taxpayer providers who accept £2880 annual allowance

striker44

Hi,
I can't find any providers who will let me put this amount in and top up with 20% tax from hmrc and then withdraw making the £720 profit.

I should be grateful if an expert can guide me as to the best option. Many thanks in anticipation of your help with this.

Dave

p00hsticks

To save time, where have you looked already ?
Try just googling 'SIPP providers ' - I'll give you Aviva and Hargreaves Landsdown as starters (although I believe you do need to wait for at least a year with HL before withdrawing your money if you wish to avoid paying fees)

bowlhead99

All personal pension providers should allow you to contribute even as a non earner. The key is to use one that allows cheap withdrawal.

The one my mum uses is a SIPP through Hargreaves Lansdown. However, having loaded up the account and got the tax relief, if she were to quickly extract *all* the money and close it, the penalty/ closure fee is pretty steep. And if you only leave a few hundred pounds in it they reserve the right to close it and charge you the fee.

So, she keeps it ticking over with an investment balance a little north of £1000 but takes the rest out, and the next year she can stick the whole allowance in and withdraw all that amount, keeping on with the £1k+ as a longer term investment.

There are not many providers that have much appetite for you to use/abuse their service by taking advantage of their goodwill to open an account and quickly take the money out of it and close it down again, for free! From memory, Virgin was reasonably cheap for doing that, though the investment options if you really wanted to use it as a long term pension solution were relatively poor/expensive. Not sure if that's still the case.

striker44

many thanks for your replies- will look at sipp providers and make some phone calls

Mnd

You can draw cash from hl, you just need to leave the account open, I do think they require £1000 minimum though