Defined pension transfer

maddie65

Hi all can anyone advise is it right if I've had financial advice and my abridged report said that it wasn't reccomended can  I still go ahead with transferring my pension any help much appreciated thank you  

Albermarle

An abridged report, is not enough to go ahead with the transfer, whether positive or negative.
Normally an abridged report will say either 
1) It looks like a transfer could be possible , if you go on to pay for the full transfer advice .
2) It is unlikely that if you pay for the full advice that there will be a positive recommendation , so not really worth progressing .

If the abridged report says the latter , you can go on to get a full report , if you can find an IFA to do it .
Very likely the full report will give a negative recommendation . At that stage having taking and paid for the full advice, you can legally go ahead and transfer the DB pension . However almost no pension provider will accept the transfer, so you will have wasted your money ( a few £K).

There are numerous threads on this subject on this forum. Type 'DB transfer ' into the search box.

Marcon

maddie65 said:

Hi all can anyone advise is it right if I've had financial advice and my abridged report said that it wasn't reccomended can  I still go ahead with transferring my pension any help much appreciated thank you  

Abridged advice can only give one of two outcomes:

• a recommendation to remain (i.e. don't transfer); or

• state that the adviser is unable to take a view without going through the full advice process.

The DB scheme cannot release a transfer unless you have been through the full advice process.

Full info: https://www.handbook.fca.org.uk/handbook/COBS/19/1A.html

Transfer values are only guaranteed for 3 months, and as you were asking about this topic in February, it is highly unlikely that the figure you have been given is still valid.

maddie65

Albermarle said:

An abridged report, is not enough to go ahead with the transfer, whether positive or negative.
Normally an abridged report will say either 
1) It looks like a transfer could be possible , if you go on to pay for the full transfer advice .
2) It is unlikely that if you pay for the full advice that there will be a positive recommendation , so not really worth progressing .

If the abridged report says the latter , you can go on to get a full report , if you can find an IFA to do it .
Very likely the full report will give a negative recommendation . At that stage having taking and paid for the full advice, you can legally go ahead and transfer the DB pension . However almost no pension provider will accept the transfer, so you will have wasted your money ( a few £K).

There are numerous threads on this subject on this forum. Type 'DB transfer ' into the search box.

Thank you I had the report last year and wasn't sure if I can do another 

maddie65

Albermarle said:

An abridged report, is not enough to go ahead with the transfer, whether positive or negative.
Normally an abridged report will say either 
1) It looks like a transfer could be possible , if you go on to pay for the full transfer advice .
2) It is unlikely that if you pay for the full advice that there will be a positive recommendation , so not really worth progressing .

If the abridged report says the latter , you can go on to get a full report , if you can find an IFA to do it .
Very likely the full report will give a negative recommendation . At that stage having taking and paid for the full advice, you can legally go ahead and transfer the DB pension . However almost no pension provider will accept the transfer, so you will have wasted your money ( a few £K).

There are numerous threads on this subject on this forum. Type 'DB transfer ' into the search box.

Thank you I'll have a read through  and see what's next 

maddie65

Marcon said:

maddie65 said:

Hi all can anyone advise is it right if I've had financial advice and my abridged report said that it wasn't reccomended can  I still go ahead with transferring my pension any help much appreciated thank you  

Abridged advice can only give one of two outcomes:

• a recommendation to remain (i.e. don't transfer); or

• state that the adviser is unable to take a view without going through the full advice process.

The DB scheme cannot release a transfer unless you have been through the full advice process.

Full info: https://www.handbook.fca.org.uk/handbook/COBS/19/1A.html

Transfer values are only guaranteed for 3 months, and as you were asking about this topic in February, it is highly unlikely that the figure you have been given is still valid.

Thank you for advice I didn't know they were only valid 3 months Im finding it hard to get anyone to go ahead with this but I'll keep fighting it 

Marcon

maddie65 said:

Marcon said:

maddie65 said:

Hi all can anyone advise is it right if I've had financial advice and my abridged report said that it wasn't reccomended can  I still go ahead with transferring my pension any help much appreciated thank you  

Abridged advice can only give one of two outcomes:

• a recommendation to remain (i.e. don't transfer); or

• state that the adviser is unable to take a view without going through the full advice process.

The DB scheme cannot release a transfer unless you have been through the full advice process.

Full info: https://www.handbook.fca.org.uk/handbook/COBS/19/1A.html

Transfer values are only guaranteed for 3 months, and as you were asking about this topic in February, it is highly unlikely that the figure you have been given is still valid.

Thank you for advice I didn't know they were only valid 3 months Im finding it hard to get anyone to go ahead with this but I'll keep fighting it 

Occasionally they are valid for a bit longer (4 months), but if you look at the paperwork you've received, it will tell you when the quote expires.

You may be able to get a second quote from the scheme, but bear in mind they only have to issue one quote free in any 12 month period. Some schemes won't issue another one at all in that period; others will charge - £500 or so is not unusual.

Find the IFA first and then try to get another quote, to give the IFA the maximum chance of clearing all the hurdles while the transfer is still valid.

xylophone

You appear to have started exploring the question of a transfer some six months ago.

https://forums.moneysavingexpert.com/discussion/6312474/defined-pension/p1

https://forums.moneysavingexpert.com/discussion/comment/79071974/#Comment_79071974

You seem to have approached a Financial Adviser who appears to have contacted the Administrator of the closed DB Scheme.

The £71000 is what a financial advisor was quoted if I transfer then I would be out of my defined  pension scheme.with my work place. but my work place offered £9500 to date plus 1400 a year  for the rest of my life. Which yeas I could do thst but I really would like to enjoy a bit of freedom with my pension now and would have to live a long long time to match what I could have got coming out also I have another pension running to that would help in my retirement I hope I'm explaining it better

Another poster asked you (in connection with your transferring the DB pension to a personal pension) 

Are you a confident investor? Do you have lots of experience to know you can provide your own income? 

to which you replied

I'm not an investor never had to do things like this before so it's all new I have bought into shares for years though 

which seems contradictory.

To clarify the situation:-

You are still working for the company which closed the DB Scheme in 2015 and are a member of its new DC Scheme?

What is the Normal Pension Age of the closed DB Scheme where you hold the deferred (2001-2015) pension?

You are now aged 56.

my work place offered £9500 to date plus 1400 a year  for the rest of my life.

Is this an offer from the administrator of the closed DB scheme to draw the pension now on an actuarially reduced basis?

Have you obtained an up to date State Pension Forecast?

What exactly does it say?

https://www.gov.uk/check-state-pension

maddie65

xylophone said:

You appear to have started exploring the question of a transfer some six months ago.

https://forums.moneysavingexpert.com/discussion/6312474/defined-pension/p1

https://forums.moneysavingexpert.com/discussion/comment/79071974/#Comment_79071974

You seem to have approached a Financial Adviser who appears to have contacted the Administrator of the closed DB Scheme.

The £71000 is what a financial advisor was quoted if I transfer then I would be out of my defined  pension scheme.with my work place. but my work place offered £9500 to date plus 1400 a year  for the rest of my life. Which yeas I could do thst but I really would like to enjoy a bit of freedom with my pension now and would have to live a long long time to match what I could have got coming out also I have another pension running to that would help in my retirement I hope I'm explaining it better

Another poster asked you (in connection with your transferring the DB pension to a personal pension) 

Are you a confident investor? Do you have lots of experience to know you can provide your own income? 

to which you replied

I'm not an investor never had to do things like this before so it's all new I have bought into shares for years though 

which seems contradictory.

To clarify the situation:-

You are still working for the company which closed the DB Scheme in 2015 and are a member of its new DC Scheme?

What is the Normal Pension Age of the closed DB Scheme where you hold the deferred (2001-2015) pension?

You are now aged 56.

my work place offered £9500 to date plus 1400 a year  for the rest of my life.

Is this an offer from the administrator of the closed DB scheme to draw the pension now on an actuarially reduced basis?

Have you obtained an up to date State Pension Forecast?

What exactly does it say?

https://www.gov.uk/check-state-pension

Thank you for your comments yes I did and still wish to pursue this as i know it would benefit me now to reinvest the pension elsewhere. I have a forecast of my state pension which I got last year.

maddie65

Marcon said:

maddie65 said:

Marcon said:

maddie65 said:

Hi all can anyone advise is it right if I've had financial advice and my abridged report said that it wasn't reccomended can  I still go ahead with transferring my pension any help much appreciated thank you  

Abridged advice can only give one of two outcomes:

• a recommendation to remain (i.e. don't transfer); or

• state that the adviser is unable to take a view without going through the full advice process.

The DB scheme cannot release a transfer unless you have been through the full advice process.

Full info: https://www.handbook.fca.org.uk/handbook/COBS/19/1A.html

Transfer values are only guaranteed for 3 months, and as you were asking about this topic in February, it is highly unlikely that the figure you have been given is still valid.

Thank you for advice I didn't know they were only valid 3 months Im finding it hard to get anyone to go ahead with this but I'll keep fighting it 

Occasionally they are valid for a bit longer (4 months), but if you look at the paperwork you've received, it will tell you when the quote expires.

You may be able to get a second quote from the scheme, but bear in mind they only have to issue one quote free in any 12 month period. Some schemes won't issue another one at all in that period; others will charge - £500 or so is not unusual.

Find the IFA first and then try to get another quote, to give the IFA the maximum chance of clearing all the hurdles while the transfer is still valid.

Great advice thank you .finding it difficult to get IFA at the moment 

xylophone

Thank you for your comments

There were some questions - if you were to provide the answers it would make further comment more informed.

 I have a forecast of my state pension which I got last year.

In a previous post, you mentioned £171 a week but did not answer the question as to the date when you obtained the forecast.

The full new state pension for 2021-22 was £179.60 so that you were slightly short but another year or two of contributions should bring you to the full amount.

finding it difficult to get IFA at the moment 

You could try here

https://adviserbook.co.uk/

You would tick "confirmed independent" and "pension transfer" when the menu comes up.