Willis Towers Watson - Lloyds - HBOS Final Salary Pension Scheme

xylophone

Those figures are similar to mine, though yours is a little higher. The commutation rate is similar. I will be applying to WTW this December to take this pension, when I reach 65, the NRD for it. 

The HBOS Final Salary?

According to  page 5 of Scheme Guide 



  https://www.lloydsbankinggrouppensions.com/assets/scheme_docs/hbosfs/scheme_guide-c349ba59390cb9d87ce3e3ba4a4288659ece1db034927e42e97564017af48810.pdf

Normal Retirement Age

This is usually age 62, but may be age 60 depending on the rules of your Former Scheme. 

Has there been an amendment to scheme rules?

xylophone

Thanks for the reples everyone. I will call them again tomorrow.

You should read through the document linked in my post above  very carefully before contacting WTW.


See also (HBOS FSPS Guide)

  https://www.lloydsbankinggrouppensions.com/assets/scheme_docs/hbosfs/scheme_guide-c349ba59390cb9d87ce3e3ba4a4288659ece1db034927e42e97564017af48810.pdf

Below may also be of interest.

https://radcliffechambers.com/wp-content/uploads/2019/02/Lloyds-Banking-Group-Pensions-Trustees-Ltd-v-Lloyds-Bank-plc-Ors.pdf

https://www.lloydsbankinggrouppensions.com/assets/scheme_docs/generic/guidance_on_gmp_equalisation_and_the_lifetime_allowance-9b01db828deada34a25917b84d3862b1e5b768db0e399a43f3a41f97ee30f20e.pdf


You have a quote for early retirement (ie, taking the pension earlier than Normal Scheme Pension Age).

Your pension will have been  actuarially reduced as indicated in the document in my previous.

The quote gives you two options - a  taxable monthly pension of around £429 a month (which will increase in payment as indicated in the

document) OR a  tax free pension commencement lump sum of £27,381.81 and a  taxable monthly pension  of around £342 a month

(which will increase in payment as indicated in the document).


Have you obtained a State Pension Forecast?

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

sandsy

As it's a DB pension, you can't take the lump sum on its own. You would have to start taking the pension income at the same time.

dunstonh

xylophone said:

That indicates you do have a DB scheme. 

The OP specifically references

I have a pension held by the above. It is a old work pension with the Bank of Scotland who transferred it to Lloyds. It is under the HBOS Final Salary Pension Scheme

That is a DB Scheme - see link above. 

But the OP also said there was a pot value and about taking 25%.  Neither of which apply to a DB pension.   And you cannot do drawdown with a DB pension.

Marcon

dunstonh said:

xylophone said:

That indicates you do have a DB scheme. 

The OP specifically references

I have a pension held by the above. It is a old work pension with the Bank of Scotland who transferred it to Lloyds. It is under the HBOS Final Salary Pension Scheme

That is a DB Scheme - see link above. 

But the OP also said there was a pot value and about taking 25%.  Neither of which apply to a DB pension.   And you cannot do drawdown with a DB pension.

OP is simply out of their depth in the arcane world of pensions, as are so many people. Now that DB schemes are so rare (at least in the private sector), virtually all the media coverage is of DC schemes with no sort of caveat that other types of scheme exist. It's entirely understandable that for many people, all they ever read is take 25%/use drawdown - and a CETV automatically equates to a 'pot' given how poor pensions reporting is.

eastcorkram

xylophone said:

Those figures are similar to mine, though yours is a little higher. The commutation rate is similar. I will be applying to WTW this December to take this pension, when I reach 65, the NRD for it. 

The HBOS Final Salary?

According to  page 5 of Scheme Guide 



  https://www.lloydsbankinggrouppensions.com/assets/scheme_docs/hbosfs/scheme_guide-c349ba59390cb9d87ce3e3ba4a4288659ece1db034927e42e97564017af48810.pdf

Normal Retirement Age

This is usually age 62, but may be age 60 depending on the rules of your Former Scheme. 

Has there been an amendment to scheme rules?

No. Mine is with WTW , but nothing to do with HBOS. Just the same admin, similar figures , and the the same format as the OP posted. The age on mine is 65.

xylophone

But the OP also said there was a pot value and about taking 25%.  Neither of which apply to a DB pension.   And you cannot do drawdown with a DB pension.

I think that he must have seen the CETV and thought of it as a pot value.

The HBOS Final Salary Scheme is certainly DB - see the Scheme Guide referenced in my previous.

jstev74

Hi all

Thanks for all the replies.

I emailed WTW with the screenshot I posted on here and received a quick reply.

Q: I have a pension with HBOS. I will be 55 in October this year. According to the Early Retirement Quotation I can take £ 27,381.81 as a lump sum when I am 55. Is that correct or do I need to transfer my pension to another provider to do this.

A: We confirm that you do have the option to take a tax-free cash lump sum and a reduced annual pension as shown on your statement for retirement on ** October 2024.

However, please note that the benefits shown on the quotation are based on the current information held on our records and the laws in force at the date that your benefits were calculated.  If any of this information changes between now and the date you retire, or if you have any benefits with any other pension provider, the figures may change.

xylophone

You do understand that if you accept the quotation and bring your pension into payment, that as well as the tax free Pension

Commencement Lump Sum you will start to receive the taxable monthly pension of around £342.25?

jstev74

xylophone said:

You do understand that if you accept the quotation and bring your pension into payment, that as well as the tax free Pension

Commencement Lump Sum you will start to receive the taxable monthly pension of around £342.25?

Yes, I am aware. Thanks