Pension Transfer Specialist Help

Misteeq

Hi,

Following on from my other post yesterday, can anyone advise a Pension Transfer Specialist please?

The pension I would like to cash in has a special feature - Guaranteed Annuity Rate. 

I now understand why Royal London have advised I need to speak to a Pension Transfer Specialist. (I was not aware of this before as not even Royal London explained why - I was just referred to Pension Wise to make an appointment twice!).

I have telephoned some IFA's today who have advised that as the pension pot is worth approximately £40k, they are not able to help me. Most have advised they will only help with pension pots over £150k.

Can someone please advise a Pension Transfer Specialist who is able to help me?

The last 6 weeks being backwards and forwards between Royal London, Pension Wise and IFA's have been so stressful - especially as the advice has not been clear!

It really should not be this difficult to access a pension pot!

Thank you in advance for any recommendations.

MallyGirl

if you find someone with the right accreditation then the advice will cost you something like £5k. That is payable even if the advice is to not transfer (as it probably will be). You can still transfer with a negative recommendation but only a stakeholder pension is likely to accept the transfer in.

njkmr

We had this with one of my wife's pensions.
It was worth about £95k from memory.
It had guaranteed annuity rate when she was to take it but she could not access until she was 60 I think but she is retiring next year at 55. Plus she wanted a drawdown option so annuity was never something she was going to use.
It was a fight to get access to move it. Cost about £3.5k to get Grove to accept it was my wife's wish to move it. We had an IFA as well.
Strangely enough it was with Royal London and was moved to another Royal London pension but still a lot of aggro to do it.
Took a few months to complete the process and plenty of emails and persuasion as an insistent client.
Regards
Rob.

xylophone

Guaranteed Annuity Rate? See

https://www.mandg.com/wealth/adviser-services/tech-matters/pensions/pension-transfers/pension-transfers-conversions#:~:text=Guaranteed Annuity Rates,-There is one&text=Although GARs are safeguarded benefits,adviser with investment advice permission.

Is your GAR one to which the easement applies?


https://assets.publishing.service.gov.uk/media/5a80b577ed915d74e33fbf54/pension-benefits-with-a-guarantee-factsheet-jan-2016.pdf


https://adviserbook.co.uk/

Marcon

njkmr said:

We had this with one of my wife's pensions.
It was worth about £95k from memory.
It had guaranteed annuity rate when she was to take it but she could not access until she was 60 I think but she is retiring next year at 55. Plus she wanted a drawdown option so annuity was never something she was going to use.
It was a fight to get access to move it. Cost about £3.5k to get Grove to accept it was my wife's wish to move it. We had an IFA as well.
Strangely enough it was with Royal London and was moved to another Royal London pension but still a lot of aggro to do it.
Took a few months to complete the process and plenty of emails and persuasion as an insistent client.
Regards
Rob.

This is a constant misconception. You don't need to be an insistent client. Your wife simply needed to prove to the ceding (paying) scheme that she had received advice from a regulated individual with the relevant permissions, which would enable them to release the funds. If she opened a stakeholder pension (which she could do herself - no need for an adviser) and arranged her own transfer, that's the job done with much less anguish and aggro.

Misteeq

xylophone said:

Guaranteed Annuity Rate? See

https://www.mandg.com/wealth/adviser-services/tech-matters/pensions/pension-transfers/pension-transfers-conversions#:~:text=Guaranteed Annuity Rates,-There is one&text=Although GARs are safeguarded benefits,adviser with investment advice permission.

Is your GAR one to which the easement applies?


https://assets.publishing.service.gov.uk/media/5a80b577ed915d74e33fbf54/pension-benefits-with-a-guarantee-factsheet-jan-2016.pdf


https://adviserbook.co.uk/

No idea if the GAR is one where the easement applies unfortunately!

This entire process is so stressful !

dunstonh

Following on from my other post yesterday, can anyone advise a Pension Transfer Specialist please?
The pension I would like to cash in has a special feature - Guaranteed Annuity Rate. 

That doesn't require full PTS permissions.  Just the limited permissions and most IFA firms will hold the limited permissions.

I have telephoned some IFA's today who have advised that as the pension pot is worth approximately £40k, they are not able to help me. Most have advised they will only help with pension pots over £150k.

I refer you back to my response on your other thread.

This is a constant misconception. You don't need to be an insistent client. Your wife simply needed to prove to the ceding (paying) scheme that she had received advice from a regulated individual with the relevant permissions, which would enable them to release the funds. If she opened a stakeholder pension (which she could do herself - no need for an adviser) and arranged her own transfer, that's the job done with much less anguish and aggro.

in terms of what the OP wants,  Royal London issue a form that asks the IFA to confirm they are providing advice.  It is a different disclaimer to the DB transfer forms.   There is no requirement for a third party plan to be set up.  RL will pay the lump sum directly as long as the IFA signs the form.    So, it would be understandable for an adviser to put it through on an insistent client basis to protect themselves.   Unlike DB transfers, the scenario has no specific rules.    It is up to the IFA firm to decide whether the suitability report is sufficient or whether they feel a second report is necessary, converting it to the insistent client.   

In the scheme of things, it doesn't make a lot of difference for the consumer but the for the adviser firm, it could.   PI insurance renewals ask whether they have been insistent clients and a summary of what happened.   Most firms don't want that.     The PI insurer will also ask if the IFA has given advice on taking a guaranteed annuity rate as a flexible benefit.  And again, a written summary.   So, its a double whammy potentially.    And the PI insurers want this detail every year forever more.  So, it could turn into an admin nightmare as well as annually increasing the cost of advice that is paid for on a transactional basis.  

Most IFA firms are not going to want the hassle and annual cost to facilitate something that is likely unsuitable (ex CIS GARs are pretty rubbish by ex Scottish Life GARs are usually attractive) and will either say its too small value or they will set their fee as a passive blocker.

njkmr

Marcon said:

njkmr said:

We had this with one of my wife's pensions.
It was worth about £95k from memory.
It had guaranteed annuity rate when she was to take it but she could not access until she was 60 I think but she is retiring next year at 55. Plus she wanted a drawdown option so annuity was never something she was going to use.
It was a fight to get access to move it. Cost about £3.5k to get Grove to accept it was my wife's wish to move it. We had an IFA as well.
Strangely enough it was with Royal London and was moved to another Royal London pension but still a lot of aggro to do it.
Took a few months to complete the process and plenty of emails and persuasion as an insistent client.
Regards
Rob.

This is a constant misconception. You don't need to be an insistent client. Your wife simply needed to prove to the ceding (paying) scheme that she had received advice from a regulated individual with the relevant permissions, which would enable them to release the funds. If she opened a stakeholder pension (which she could do herself - no need for an adviser) and arranged her own transfer, that's the job done with much less anguish and aggro.

Grove initially said they would not be able to do it even though they knew she had spoken to an IFA.
She had to go as an insistent client or it would not have happened.
That is our experience of it.

Marcon

njkmr said:

Marcon said:

njkmr said:

We had this with one of my wife's pensions.
It was worth about £95k from memory.
It had guaranteed annuity rate when she was to take it but she could not access until she was 60 I think but she is retiring next year at 55. Plus she wanted a drawdown option so annuity was never something she was going to use.
It was a fight to get access to move it. Cost about £3.5k to get Grove to accept it was my wife's wish to move it. We had an IFA as well.
Strangely enough it was with Royal London and was moved to another Royal London pension but still a lot of aggro to do it.
Took a few months to complete the process and plenty of emails and persuasion as an insistent client.
Regards
Rob.

This is a constant misconception. You don't need to be an insistent client. Your wife simply needed to prove to the ceding (paying) scheme that she had received advice from a regulated individual with the relevant permissions, which would enable them to release the funds. If she opened a stakeholder pension (which she could do herself - no need for an adviser) and arranged her own transfer, that's the job done with much less anguish and aggro.

Grove initially said they would not be able to do it even though they knew she had spoken to an IFA.
She had to go as an insistent client or it would not have happened.
That is our experience of it.

She could have done it herself using a stakeholder pension once she'd received proper advice (which is more than just 'speaking to' an IFA). 

coyrls

My understanding of a GAR is that it has to be taken at a specific age.  If you pass that age without taking the GAR, then the GAR has essentially expired and you should be able to transfer the pension to another provider without taking advice.  That may or may not be the best thing to do.

dunstonh

My understanding of a GAR is that it has to be taken at a specific age.

There are some like that.  And the worst case scenarios may even have a limited window before the GAR is lost.    However, both the ex CIS pensions and ex Scottish Life pension, both now with RL, have GARs that improve with age.