Why am I being charged for draw down advice?

Ibrahim5

It is extortionate and it is common practice in the industry. They have had to ask a few questions and fill in a few forms. How are they going to retire if you won't fund their retirement?

cfw1994

artyboy said:

Ibrahim5 said:

It is extortionate and it is common practice in the industry. They have had to ask a few questions and fill in a few forms. How are they going to retire if you won't fund their retirement?

Isn't it past your bedtime?

🤣

@Ibrahim5 - you do realise the OP has failed to give enough detail here for anyone to really help?
Several people have made sensible suggestions & asked for clarity, but the OP has not yet replied.

Far too soon for you to make your usual anti-industry grumbles 🤦‍♂️

Secret2ndAccount

OP, a lot is going to hinge on one small detail here. When these pensions were created, decades ago, it was assumed thgat your pot of money would be used to buy an annuity - a guaranteed monthly income for life. If your pension scheme offered certain guarantees - typically a minimum rate of conversion from pot size to monthly income - then you are going to have trouble moving it. It might be a worthless guarantee - a rate that you could beat on the open market; an annuity you don't want anyway. Doesn't matter. If you have guarantees with your pension, you are legally required to get advice before transferring out. And for that, you will pay through the nose.
If your pension is just a pot of money with no special guarantees, you can open a SIPP for free, then ask them to go and extract your pension for you, for free.
Check your pension scheme booklet (might be available online) or talk to your scheme administrator. Do you have any guarantees?

Ibrahim5

Maybe the problem is one of intelligence. I am able to quickly assimilate the information and make a quick decision. Others may need more time and information.

Albermarle

OP
Are you sure that this is the service you spoke with?
Pension Wise: free pension guidance | MoneyHelper

£4500 is a lot of money. This is a MSE forum !

In the end you really have two options.
1) You open a new pension and organise the transfer yourself ( at zero cost) and decide how to invest the money in the new pension, organise withdrawals etc. You will probably have to spend some time learning some more about pensions and investments before doing this. There is plenty of info on the internet and this forum can be informative.


2) You pay for professional advice and someone does it all for you. Probably if you shop around and use a local IFA it will be cheaper than £4500, but there will still be a significant cost.