HSBC pension account decision

hilti49

Please read why I am complaining about HSBC

My question would be below

Why would HSBC not adhere to my late brother's wishes in his pension account that are stated legally to leave the pension to 4 beneficiaries??? And HSBC don't pay????

Are they (all banks etc) on their own agenda????

I need legal help and advice about their decision please

My brother recently passed away and worked for HSBC over 30yrs paying into a pension
When he passed away,his WILL and pension stated a "wish" that his pension would be shared by 4 beneficiaries
HSBC didn't for whatever reason contact the executor of his WILL but go directly to the beneficiaries and state they "Will receive a lump sum"
HSBC has a board of trustees who make decisions?

Latest is they stated that the pension balance or pot would not be paid to the beneficiaries because he wasn't married or have any dependants?
So " as a gesture they would receive £125 each from a provident account??
So I phoned and talked to a lady,who said rules and regulations have been followed? So when I asked why no form of balance sent for his account or paperwork regarding rules , regulations and who made the decision
She said "I don't know!"
So where's my brother's pension gone! She didn't know!
So HSBC must be on their own agenda of taking money because whilst he passed away too young he allocated wishes for payment to beneficiaries which is ignored?
Why pay monthly from is work to them to put away, only for HSBC to take it and keep it!
I am astounded, people
Please check your laws,rules, regulations because if you die alone and no kids HSBC take your money without any accountability to the deceased wishes to be paid to loved ones

Absolutely shocking

{removed by Forum Team}

HappyHarry

Remove your own details from your post or you will end up with a lot of unsolicited spam / scams.

What kind of pension did your brother have with HSBC? 

[Deleted User]

hilti49 said:

Please read why I am complaining about HSBC

My question would be below

Why would HSBC not adhere to my late brother's wishes in his pension account that are stated legally to leave the pension to 4 beneficiaries??? And HSBC don't pay????

Are they (all banks etc) on their own agenda????

I need legal help and advice about their decision please

My brother recently passed away and worked for HSBC over 30yrs paying into a pension
When he passed away,his WILL and pension stated a "wish" that his pension would be shared by 4 beneficiaries
HSBC didn't for whatever reason contact the executor of his WILL but go directly to the beneficiaries and state they "Will receive a lump sum"
HSBC has a board of trustees who make decisions?

Latest is they stated that the pension balance or pot would not be paid to the beneficiaries because he wasn't married or have any dependants?
So " as a gesture they would receive £125 each from a provident account??
So I phoned and talked to a lady,who said rules and regulations have been followed? So when I asked why no form of balance sent for his account or paperwork regarding rules , regulations and who made the decision
She said "I don't know!"
So where's my brother's pension gone! She didn't know!
So HSBC must be on their own agenda of taking money because whilst he passed away too young he allocated wishes for payment to beneficiaries which is ignored?
Why pay monthly from is work to them to put away, only for HSBC to take it and keep it!
I am astounded, people
Please check your laws,rules, regulations because if you die alone and no kids HSBC take your money without any accountability to the deceased wishes to be paid to loved ones

Absolutely shocking

Remove your personal data as it makes you vulnerable to scammers.

What usually happens is that the Pension Trustees will look at the request left (it's not an instruction) and will try to honour it as much as practicable. 

As for the funds going missing, that isn't very likely given all the hoops that they go through. There are different types of pension and it appears that HSBC also operates a hybrid scheme so it may be that the funds are in other HSBC pot?

https://futurefocus.staff.hsbc.co.uk/

Ayr_Rage

@hilti49 what type of pension are we talking about here?

Most, if not all, DB pension schemes will on pay a pension to a surviving spouse or someone financially dependent on the deceased.

Those wishes should also be registered with the trustees of the scheme and everyone should be aware the trustees have discretion as to who is paid.

DB pensions where there are no dependents die with the deceased, there is no "pot" or pension paid to those nominated in a will and it seems, sadly, your brother was not aware of those facts.

Zanderman

It is very unlikely that HSBC are doing anything wrong, more likely that you're misunderstanding the situation. 

As others have said, there may be no pension to pass on if it's a DB pension with no dependents. As there is no 'pot'. That's how DB pensions work. With anyone, not just HSBC.

If it's DC or a DC/DB mix then there may be a pot but HSBC trustees have to make the decision. Again, that's how these pensions work.  

Edited to add:  As an example, my sibling died a couple of years back. She was single (divorced) so had no dependents. She had a work pension - which was a DB scheme. And a private pension - which was a DC scheme. The work pension ceased, completely, on her death. They even asked for some back as it was paid in advance each month! But that ceasing completely was expected, as it would only have carried on if she had had a spouse or dependent children. She didn't have either. As a DB pension there was no 'pot' - the contract is an income for life - and so it ceases on death.

The private pension was DC, no contract for life involved, and it had a significant cash value that was gifted, outside of the Will, to her nominated grown-up children. But that payment, though nominated by her, had to be approved by the relevant pension trustees. 

As said above, it seems unlikely HSBC have done anything wrong, but you do need to understand pensions - and work out whether your brother understood them too. 


Lastly, as others have said, do edit your post to remove your personal details - it opens you up to unsolicited contact from possible fraudsters and it's against forum rules! 

stclair

Complain to HSBC then raise it with the pensions ombudsman if need be: 

https://www.pensions-ombudsman.org.uk/

Hoenir

hilti49 said:

HSBC didn't for whatever reason contact the executor of his WILL but go directly to the beneficiaries 

This is correct. 

Zanderman

stclair said:

Complain to HSBC then raise it with the pensions ombudsman if need be: 

https://www.pensions-ombudsman.org.uk/

But first, find out whether you actually have any grounds for complaint. As several have stated, you may well not have any grounds at all. You need to understand what sort of pension it was, and whether any - and if so how much of it - it can be passed on. That's the first need. No point in complaining if there are no grounds to - you just upset yourself more.

xylophone

If the deceased was a member of the HSBC Defined Benefit Pension Scheme and left no widow or  eligible dependants, then the pension died with him.  It could not be passes on by Will.

He did not have a pension pot, he had a promise to pay benefits to him/his widow/ his  eligible dependants  as appropriate.

If he was a member of a defined contribution scheme, then he did have a pot but any balance left at his death passed NOT by will but at the discretion of the Trustees of the scheme - under normal circumstances, they would have regard to the form of nomination/expression of wishes signed by the member at some point during his membership but were are not bound by this.

This  system keeps the pension outside the estate for IHT purposes. See 

https://www.mandg.com/pru/adviser/en-gb/insights-events/insights-library/pension-death-benefits-q-and-a

https://www.moneyhelper.org.uk/en/pensions-and-retirement/pension-problems/pensions-after-death

badmemory

I do think however that it is a pity the recipient of the deed of wishes did not notify him that those wishes were not acceptable.  If it is indeed a DB pension then it would have been obvious to them that those wishes would fail from day one. 

Hoenir

badmemory said:

I do think however that it is a pity the recipient of the deed of wishes did not notify him that those wishes were not acceptable.  If it is indeed a DB pension then it would have been obvious to them that those wishes would fail from day one. 

Nomination of Specified Dependant forms are highly explicit and explanatory in nature. Wouldn't necessarily fail from day one either. As would depend when the form was completed. Children grow older for example. No longer being financially dependent.