CS Classic lump sum - when paid?

ToneP

I think the short answer is sometime soon, maybe, if you're lucky. I'm still waiting for mine after 2 weeks.

You definitely don't want to be commiting to expenditure until it's actually in your bank.

My retirement date was 20/04/2024 and I had been informed that a finalisation statement would be issued 5 days prior to this confirming the amounts. I'd previously seen on their website that the lump sum is normally paid 3-5 working days after the retirement date.

When I hadn't received either by last week I called to them find out what was going on.

Apparently they are overwhelmed with applications and these are being processed in date order. It was "hoped" that the lump sum would be paid before my first in arrears monthly payment and that this was in turn "hoped" to be made on time.

I have subsequently received a letter dated after my retirement date;

"We're pleased to confirm your retirement benfits are currently being processed in line with your planned retirement date. [they aren't, this is dated after that date]

blah blah uprecedented numbers blah blah.

If you are due a Lump Sum payment, we endeavour to pay this on or before your first monthly pension payment.

blah blah vague reassurance blah blah"

This is somewhat at odds with their own website statement;

"If we receive your completed forms at least 1 month before your planned retirement date, any lump sum due should be paid shortly after you retire, into the bank account you provided in your form. You’ll receive your first pension payment a month after your retirement date. This is paid monthly, in arrears."

NB - They've had my details for more than 6 months.

So essentially it's MyCSP living down to their reputation. I mean they've had over half a year to process this. Why does it have to done 5 days before the planned date but subject to actually having the staff to do it?

This really is a shocking way to handle people's affairs when this is such a big financial aspect of their lives. It should be confirmed a long time in advance to allow for planning and reassurance.

I'll post back as and when something happens so others can get an idea of timescales.

kassy64

Retired 31st August 2022, lump sum was paid into my bank a/c 8th September.

Just60

I retired on 1 May last year having given 3 months notice rather than the suggested 4 months minimum, so I expected a delay. However, I queried the first calculation which they sent two months before I retired and then struggled to get a reply from then on.  I eventually received my lump sum and pension back-dated to May in September. (Both significantly higher than the first incorrect quote, so do check that what you are getting is what you were expecting!) 

horsewithnoname

The lump sum should be paid on the day you retire or very soon after. MyCsp are currently in a state and delays are common. 

Still, crapita will be taking over so all will be well then🙄

Lindlou

I retired Feb this year and my lump sum was paid on that day. Pension also paid on it's due date. 

chubsta

OP here - have had part of my lump sum on the 10th (I took part of my Alpha as a LS and also have 1 month of Classic as a lump sum. Am still waiting on the majority of it for my Deferred Classic.


I have received very similar correspondence to ToneP above - all my paperwork was submitted on time but due to a screwup at their end it delayed it a little. My first monthly pension payment is due at the end of this month so hopefully will be on time.

Oddly, I don't seem to be able to access anything on the MyCSP website any more, it says I have no liability in the scheme - is this normal once the pension starts?

ToneP

Update: Despite a few phone calls to them and my case being 'escalated' my lump sum has still not been paid and the monthly in arrears payment is a week overdue. I'm informed that it should be in the next 3-5 working days.

So to summarise, lump sum is a minimum of 5 weeks overdue and first monthly payment at least one week overdue.

chubsta

ToneP said:

Update: Despite a few phone calls to them and my case being 'escalated' my lump sum has still not been paid and the monthly in arrears payment is a week overdue. I'm informed that it should be in the next 3-5 working days.

So to summarise, lump sum is a minimum of 5 weeks overdue and first monthly payment at least one week overdue.

Doesn't look like I am going to fare much better:
I have 2 CS pensions, Alpha and a Deferred Classic - I retired on 30th April, received a Lump Sum from the Alpha (I took £12,000) on the 10th May and have received a 'payslip' on the Portal stating that I will receive the Alpha component of my Pension on the 30th, no mention at all anywhere about the Classic which forms the vast majority of my pension.

I phoned them last week and (after spending 5 minutes trying to explain that there are two aspects to my pension as the 'advisor' didn't seem to understand that I was entitled to more than just the Alpha part...) was told it is still with the Finalisation Team and they aim to pay it at the end of the month. I pointed out that their own website states I should receive the Lump Sum within 10 days of retirement but he said that is just what they aim for. I mentioned that when I go shopping next month I doubt the retailers would be happy with me saying I aim to pay them when I get home later but he still repeated over and over that there is nothing that can be done.

I gave 6 months notice of my retirement, filled all the forms in correctly and received acknowledgements that everything was going along as planned and then for some reason they cannot just press the button to pay me what I am entitled to - there is no complication in the Classic pension as it was deferred in 2015 and their paperwork showed the correct CPI increases etc in the quotes I was given and accepted so why the delay?

As it stands I will have to take money from savings to live off as the Alpha pension will be insufficient to pay my bills for the month, let alone go shopping etc, I will also lose out on approximately £400 per month in interest that I would get on my Lump Sum and I have a lot of added stress shortly after a heart attack where I have been told I must do everything I can to reduce it.

Dazed_and_C0nfused

chubsta said:

ToneP said:

Update: Despite a few phone calls to them and my case being 'escalated' my lump sum has still not been paid and the monthly in arrears payment is a week overdue. I'm informed that it should be in the next 3-5 working days.

So to summarise, lump sum is a minimum of 5 weeks overdue and first monthly payment at least one week overdue.

Doesn't look like I am going to fare much better:
I have 2 CS pensions, Alpha and a Deferred Classic - I retired on 30th April, received a Lump Sum from the Alpha (I took £12,000) on the 10th May and have received a 'payslip' on the Portal stating that I will receive the Alpha component of my Pension on the 30th, no mention at all anywhere about the Classic which forms the vast majority of my pension.

I phoned them last week and (after spending 5 minutes trying to explain that there are two aspects to my pension as the 'advisor' didn't seem to understand that I was entitled to more than just the Alpha part...) was told it is still with the Finalisation Team and they aim to pay it at the end of the month. I pointed out that their own website states I should receive the Lump Sum within 10 days of retirement but he said that is just what they aim for. I mentioned that when I go shopping next month I doubt the retailers would be happy with me saying I aim to pay them when I get home later but he still repeated over and over that there is nothing that can be done.

I gave 6 months notice of my retirement, filled all the forms in correctly and received acknowledgements that everything was going along as planned and then for some reason they cannot just press the button to pay me what I am entitled to - there is no complication in the Classic pension as it was deferred in 2015 and their paperwork showed the correct CPI increases etc in the quotes I was given and accepted so why the delay?

As it stands I will have to take money from savings to live off as the Alpha pension will be insufficient to pay my bills for the month, let alone go shopping etc, I will also lose out on approximately £400 per month in interest that I would get on my Lump Sum and I have a lot of added stress shortly after a heart attack where I have been told I must do everything I can to reduce it.

Different point but if you getting ~£100k lump sum from Classic was taking £12,000 from Alpha worthile?

chubsta

Dazed_and_C0nfused said:

chubsta said:

ToneP said:

Update: Despite a few phone calls to them and my case being 'escalated' my lump sum has still not been paid and the monthly in arrears payment is a week overdue. I'm informed that it should be in the next 3-5 working days.

So to summarise, lump sum is a minimum of 5 weeks overdue and first monthly payment at least one week overdue.

Doesn't look like I am going to fare much better:
I have 2 CS pensions, Alpha and a Deferred Classic - I retired on 30th April, received a Lump Sum from the Alpha (I took £12,000) on the 10th May and have received a 'payslip' on the Portal stating that I will receive the Alpha component of my Pension on the 30th, no mention at all anywhere about the Classic which forms the vast majority of my pension.

I phoned them last week and (after spending 5 minutes trying to explain that there are two aspects to my pension as the 'advisor' didn't seem to understand that I was entitled to more than just the Alpha part...) was told it is still with the Finalisation Team and they aim to pay it at the end of the month. I pointed out that their own website states I should receive the Lump Sum within 10 days of retirement but he said that is just what they aim for. I mentioned that when I go shopping next month I doubt the retailers would be happy with me saying I aim to pay them when I get home later but he still repeated over and over that there is nothing that can be done.

I gave 6 months notice of my retirement, filled all the forms in correctly and received acknowledgements that everything was going along as planned and then for some reason they cannot just press the button to pay me what I am entitled to - there is no complication in the Classic pension as it was deferred in 2015 and their paperwork showed the correct CPI increases etc in the quotes I was given and accepted so why the delay?

As it stands I will have to take money from savings to live off as the Alpha pension will be insufficient to pay my bills for the month, let alone go shopping etc, I will also lose out on approximately £400 per month in interest that I would get on my Lump Sum and I have a lot of added stress shortly after a heart attack where I have been told I must do everything I can to reduce it.

Different point but if you getting ~£100k lump sum from Classic was taking £12,000 from Alpha worthile?

Complicated, but yes, it was...