Aegon s.32 Buyout Plan

WitsEnd101

DRS1 said:

Presumably there is a reason you don't want the PTFC plus annuity option - didn't they say you would not need a financial adviser for that?

Thanks for replying. I have ruled out the annuity option as I have sufficient fixed income from DB schemes that will start paying out in a few months time. The annuity option appears to be available without an FA.

AlanP_2

I would ask them to clarifying writing that they cannot pay you the enhanced PTFC prior to transferring the crystallized pension without using an IFA.

Then, once that is received, appeal it which is likely to automatically put it on the desk of someone more experienced than the typical help desk operator 

WitsEnd101

AlanP_2 said:

I would ask them to clarifying writing that they cannot pay you the enhanced PTFC prior to transferring the crystallized pension without using an IFA.

Then, once that is received, appeal it which is likely to automatically put it on the desk of someone more experienced than the typical help desk operator 

Many thanks for the reply. That's a flipping good idea, especially as a few good folk on this forum think I should be entitled to my PTFC without incurring the added cost of a FA advice.

Aegon gave me an email address should I wish to write to complain about the position that was set out to me. Is there anything you recommend I should put in my email to Aegon requesting a written response as to why they will not pay my PTFC?

xylophone

Some S32 policies (notably those created from a transfer from a contracted out DB Pension Scheme) have safeguarded benefits.

This is explained in the link previously posted. See also https://www.financialadvice.net/s32_buy_out_plan/zone/1288

However, this does not appear to be the case with your policy - there is no mention at all of safeguarded benefits, not even a

GAR. 

However,  Aegon's stance on this is echoed here (does not mention name of provider).

https://forums.moneysavingexpert.com/discussion/6299464/protected-tax-free-sum


 Also, your post awakened a memory but I couldn't quite call to mind the name of the poster - just kept thinking Black...something!

However, I have now found the thread which may be of interest.

https://forums.moneysavingexpert.com/discussion/6026867/section-32-pension-about-to-close-what-to-do/p1

WitsEnd101

Thanks Xylophone. I read the last thread from Blackvar with interest as it looks very similar to my circumstances. Sadly it ended in 2021 without any update on whether they managed to get their PTFC out without the FA.

I have a call with a FA booked soon so will see what they advise.

WitsEnd101

Thanks again Xylophone. I have used the posts from Dunstonh above and the very helpful information contained in that old thread you shared earlier to help me draft an email of complaint to Aegon. My intention is to see how they respond and possibly refer the matter to the Ombudsman for consideration.

As for the call with the FA, it was only the PA I got to speak to. She has scheduled a call for next week to see if the IFA can help me as a one-off service. Will let you know the cost I am being quoted for this service.

AlanP_2

Is this a FA or an IFA as you seem to be using both acronyms but they are not the same thing?

WitsEnd101

AlanP_2 said:

Is this a FA or an IFA as you seem to be using both acronyms but they are not the same thing?

The terminology used by Aegon is FA. I am speaking to an IFA. As a long time lurker on this forum I have become well aware of the distinction. Thanks for pointing that out but interesting that Aegon only require an FA.

dunstonh

but interesting that Aegon only require an FA.

An IFA can do it but some FAs cannot.   Although some FAs can.     

An IFA is whole of market with no restrictions on the advice they can give.   If there are any restrictions, even if minimal, then they cannot be referred to as an IFA.  They have to call themselves an FA.       

An FA may only have the restriction that they do not provide advice on EIS or VCTs but are whole of market for everything else.    That makes the FA "independent" in 99% of areas and they could handle this advice.

However, an FA could be heavily restricted to only offering the products and services of their linked provider and not able to arrange with any other provider.   They wouldn't be able to help you in your scenario.

Aegon are not interested in the distinction.  Although most providers will refer to using an IFA rather than FA in their written documents.  Although ironically, they will then usually go on to recommend unbiased as the website to use despite unbiased no longer being an IFA directory and most IFAs have been priced off it.

xylophone

Sadly it ended in 2021 without any update on whether they managed to get their PTFC out without the FA.

Presumably  reference to post subsequent to this?

https://forums.moneysavingexpert.com/discussion/comment/77171920/#Comment_77171920

Try PM to Blackavar?