Transfer a Transfer Value of £20k from DB and GMP Scheme to DC Scheme

AlexBatbee

I'm currently facing a life-limiting illness and wanted to take advantage of my old DB pension by transferring its value into my current work scheme managed by Fidelity. 

Fidelity have asked me to get "approval" from an FCA Advisor, before they will proceed. 

In my circumstances the quoted minimum Pension of £301.81 (retiring at 65) or less (retiring earlier) from the DB scheme clearly seems less attractive than £20,000 "in the hand" (I realise in my pension pot, not cash money).  

So without questioning my decision please folks, what's the best/cheapest way for me to get that Independent Financial Advice?

dunstonh

So without questioning my decision please folks, what's the best/cheapest way for me to get that Independent Financial Advice?

About £5,000 is the sort of ballpark nowadays.

Alternatively, transfer it to a stakeholder pension as they cannot refuse it (unless the stakeholders is only retailed via an intermediary).

AlexBatbee

Thanks dunstonh.  That's upsetting but good to know.  Will explore the Stakeholder option

Marcon

Alex - it feels heartless asking this, but is there any prognosis on your illness - specifically 'less than 12 months to live'? 

There are two stakeholder providers open to new retail business (ie you can open one direct without involvement from an adviser): Aviva and Standard Life. Not sure why you are upset that you'd need to transfer to one of these because Fidelity apparently won't accept a transfer from a DB scheme without advice - you can access your cash just as easily from a stakeholder. But if that's not what you want, you can transfer your DB scheme to a stakeholder and then transfer on (without charge or advice) from the stakeholder to your Fidelity scheme. They'll accept it because it will by then be a transfer in from a DC scheme (ie the stakeholder).

sandsy

If the transfer value is £30k or less, you are not required to take advice (as you would if it was more than £30k). It might be worth seeing if another pension provider would accept it without advice then you could always merge it with your workplace pension at a later date.