Defined Benefits Transfer 37K

Joey_Soap

chada_2 said:

chada_2 said:

britishboy said:

£3k is very cheap for a IFA to assess a DB transfer, no matter how small the value.  I'm in the South East and been quoted between £6k and £9k (my CETV is a lot bigger though). 

As others have said, loads of helpful posts on here recently

Ok thanks for your reply

one more thing,if the advice is not to transfer,can you still go ahead and transfer regardless?

Yes, you will be known as an insistent client. You will have very few options to move the transfer proceeds to. There are many threads here about it.

longwalks1

chada_2 said:

one more thing,if the advice is not to transfer,can you still go ahead and transfer regardless?

 Yes you will be an insistent client, AJBell will accept your transfer, I had it confirmed in writing from them this week.  Only question is, which am hoping someone on here can answer:  could my current DB pension provider refuse to transfer my money out if I have  ‘do not transfer’ advice from an IFA? 

longwalks1

Chada_2, who’s quoted you £3k to do the advice please?  Interested in giving them a call

oxfordowl1

britishboy said:  Only question is, which am hoping someone on here can answer:  could my current DB pension provider refuse to transfer my money out if I have  ‘do not transfer’ advice from an IFA? 

Generally speaking they cannot refuse. This presumes that advice has been given by a suitably qualified IFA (IIRC a pension transfer specialist). It also presumes the IFA signs to say they have given advice as mentioned previously in the thread. 

Dazed_and_C0nfused

chada_2 said:

dunstonh said:

The question is i cant find an FCA anywhere to do this apart from a couple and their fees are extortionate

The FCA is the regulator. It sets the rules. You dont find them.  You need an IFA or FA (generally not the latter)

Fees reflect the level of work, the increased qualification requirements and the ever-increasing cost of liability.     

To be honest, based on what you have said, I cant see a justification for transferring the pension.  Ok, you have only written a few lines but you will need to think of something better than that.     However, I think the real problem is that at £37k, it will not be viable to transfer it.

At age 55 the guaranteed amount will be £60 a month.

And is that figure up-to-date or using an old benefit statement?    What is the penalty for taking it early compared to scheme age?

,over 20 years ago and it was frozen.

I doubt it was frozen. Deferred more likely.

Thanks for your reply.
Yes i have a transfer pack and those figures are up to date.I would prefer to have 30K lump sum than £60 a month for life to be honest.I did find FCA advisor who would do it for 3 grand.Does that seem right?

Based on what you've posted though it really is unlikely to end up being £30k though after fees and income tax.

xylophone

https://www.pruadviser.co.uk/knowledge-literature/knowledge-library/transfer-pension-scheme/

However, although most schemes provide the right to transfer, not every scheme has to accept an incoming transfer.

A stakeholder pension scheme is currently the only type of scheme which must accept any transfer from another registered pension scheme.

chada_2

If i transferred to AJ Bell would i be able to pay the FCA fee out of my pension or is it something you have to find yourself?

Albermarle

britishboy said:

chada_2 said:

one more thing,if the advice is not to transfer,can you still go ahead and transfer regardless?

 Yes you will be an insistent client, AJBell will accept your transfer, I had it confirmed in writing from them this week.  Only question is, which am hoping someone on here can answer:  could my current DB pension provider refuse to transfer my money out if I have  ‘do not transfer’ advice from an IFA? 

The DB scheme you are transferring out of is less sensitive about future issues than the IFA or maybe the receiving scheme.
What they will really want is  to get the liability for your pension off their books,  so as long as they have the right piece of paper they don't care whether you are an insistent client or not .

dunstonh

chada_2 said:

If i transferred to AJ Bell would i be able to pay the FCA fee out of my pension or is it something you have to find yourself?

The adviser pays fees to the FCA.  You do not.  You pay the adviser. If the adviser carries out the pension transfer to an adviser provider/platform then the fee can be deducted from the pension fund. It would also not be subject to VAT.   
If you use your own provider then you will need to pay the adviser directly.  Usually, this will be in advance.  It would also be subject to VAT (depending on the VAT status of the firm).    Intermediary services are non-vatable but advice without the intention of intermediary services is VATable.

Brynsam

britishboy said:

chada_2 said:

one more thing,if the advice is not to transfer,can you still go ahead and transfer regardless?

 Yes you will be an insistent client, AJBell will accept your transfer, I had it confirmed in writing from them this week.  Only question is, which am hoping someone on here can answer:  could my current DB pension provider refuse to transfer my money out if I have  ‘do not transfer’ advice from an IFA? 

Better to start a new thread - rather easy to overlook 'hidden queries', but spotted this one.

The DB scheme won't read the advice even if it is supplied to them. Their only responsibility is to ensure that if your transfer is over £30K and contains 'safeguarded rights' (which a DB scheme always does) you have received advice from a suitably qualified and authorised individual and that individual has given written confirmation of the fact. What the advice says is not for the DB scheme to consider or even know.