Aegon Scottish Equitable -unable to get money out

dunstonh

To all young people who think about their financial future (as they should do): DO NOT USE PENSION PROVIDERS if you can avoid it. 

That is a silly statement to make.  Yes you had issues but most people do not.

They are expensive and non-flexible. Nowadays there are many ways to invest money via ETFs and access to financial information is very easy. People typically pay a 0.1% fee for a ETF with a brokerage firm versus 1% with companies like Aegon. 

No they are not expensive.  You are mistaken in your understanding of charges. Both with Aegon and others and with differences in tax wrappers.

With a brokerage firm, you have an enormous choice of ETFs whereas it is super limited with pension providers.

Again, that is incorrect.   Pensions can also have the same choice of ETFs and are not limited.  Aegon themselves operate two platforms.

Lives are no longer linear. Many people experience periods of hardship before regaining their footing, something that was almost unheard of before 2008. 

Not correct.  

Again, having money readily available makes a massive difference in a world where the Social Security safety net is disappearing.

Benefits have increased significantly over the decades (and generations).

The discourse of having a future financial plan is amalgamated with the concept of using a pension provider. However, it is misleading because many people can do without and actually be better off. The whole pension sector is just overblown. It's like the leasehold industry. 

A pension does exactly what it is meant to do.  i.e. build a fund for your retirement.    
It is not there to provide for a rainy day or short term spending needs or an emergency fund.   Your other savings and insurances are there for that.

You went through a difficult period, and that has jaded you somewhat, but your views are mostly misplaced or mistaken.

Marcon

AtABigLoss said:

To all young people who think about their financial future (as they should do): DO NOT USE PENSION PROVIDERS if you can avoid it. They are expensive and non-flexible. Nowadays there are many ways to invest money via ETFs and access to financial information is very easy. 

...and unfortunately a lot of it is misguided or just plain wrong, your post being a case in point, I'm afraid.

AtABigLoss said:

When your money is with a brokerage firm, you can have access to it at any time versus being stuck to age 55 with a pension provider. 

The discourse of having a future financial plan is amalgamated with the concept of using a pension provider. However, it is misleading because many people can do without and actually be better off. The whole pension sector is just overblown. It's like the leasehold industry. 

One of the main advantages of a pension scheme (which is, of course, designed to provide an income in later life) is the fact you can't just dip into it when the mood takes. 

Quite apart from the tax advantages of contributing to a pension, employees have the benefit of an employer contribution. 

I appreciate that for someone in chronic pain who was desperate to get their hands on the cash to seek treatment which might alleviate that pain, and was frustrated for a lengthy period, your views of the pensions industry aren't going to be the rosiest - but your experience was extreme, and far from typical. Many millions have perfectly satisfactory experiences with their providers. It's just deeply unfortunate, and very sad, you did not.

I very much hope that now you have your cash, you will be able to find some sort of help to make life more comfortable.