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Pension query, can I cash it in?
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steven77
Posts: 93 Forumite
Hi All...
I'm about to switch to a new job. I'm currently 28 and with a Private Company, and moving to a Local Authority. I have a pension here, not sure how much it's worth exactly but I think me and the company have been paying about £1500 a year into it for about 3 years. I have about £3000 of debt at the moment, mostly on credit cards and an overdraft. I am paying it off but not at as fast a rate as I would like.
What I'm wondering is, should I transfer the pension over to the Local Authority scheme, or given my age should I cash it in, pay off my debts and start again? I think I'm leaning towards paying the debt off, but I don't know what the penalties will be for cashing the pension in. Anyone have any experience of this sort of thing? I will update this when I find out exactly what it's worth.. any thoughts?
Ste.
I'm about to switch to a new job. I'm currently 28 and with a Private Company, and moving to a Local Authority. I have a pension here, not sure how much it's worth exactly but I think me and the company have been paying about £1500 a year into it for about 3 years. I have about £3000 of debt at the moment, mostly on credit cards and an overdraft. I am paying it off but not at as fast a rate as I would like.
What I'm wondering is, should I transfer the pension over to the Local Authority scheme, or given my age should I cash it in, pay off my debts and start again? I think I'm leaning towards paying the debt off, but I don't know what the penalties will be for cashing the pension in. Anyone have any experience of this sort of thing? I will update this when I find out exactly what it's worth.. any thoughts?
Ste.
Debt at Lightbulb Moment #4 (December 2010)
MBNA - [STRIKE]£3463.35[/STRIKE] £3770.94 Halifax -[STRIKE]£3822.25[/STRIKE] £0.00 Cleared! First Direct [STRIKE]£1437.95[/STRIKE] Cleared! Nat West £2256.22 Black Horse -[STRIKE]£300[/STRIKE] £71
Private Loan - [STRIKE]£500[/STRIKE] Cleared!!!
Total - [STRIKE]£8085.84[/STRIKE] £6098.16
MBNA - [STRIKE]£3463.35[/STRIKE] £3770.94 Halifax -[STRIKE]£3822.25[/STRIKE] £0.00 Cleared! First Direct [STRIKE]£1437.95[/STRIKE] Cleared! Nat West £2256.22 Black Horse -[STRIKE]£300[/STRIKE] £71
Private Loan - [STRIKE]£500[/STRIKE] Cleared!!!
Total - [STRIKE]£8085.84[/STRIKE] £6098.16
0
Comments
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You can't actually cash your pension in until you are 55.
You can either transfer it to the LGPS (one of the best in the country) or leave it where it is.
But you can't cash it in. Sorry!(AKA HRH_MUngo)
Member #10 of £2 savers club
Imagine someone holding forth on biology whose only knowledge of the subject is the Book of British Birds, and you have a rough idea of what it feels like to read Richard Dawkins on theology: Terry Eagleton0
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