Crystallisation on ii

MoneyGeoff

I turn 55 a week before the pension age increase on 5th April 2028. I’m looking to move my DC pension of £600,000 to a provider with a slick, well defined process to claim the TFLS and crystallise the whole pot before the deadline.

Note that it doesnt matter if there are delays in receiving the TFLS as long as I can claim it and my request is in progress before the cut off date. The best one I can find is ii who have this step by step guide:

https://www.ii.co.uk/ii-accounts/sipp/tax-free-lump-sum/how-to

Does anyone know at what point the above process becomes available? If I log in at 00:01 on my birthday will I be able to follow this process and trigger crystallisation?

JGB1955

AIUI some pension providers allow the process to start a few weeks before the actual birthday. Why not ask your preferred provider?

MoneyGeoff

https://forums.moneysavingexpert.com/discussion/comment/82139379#Comment_82139379

My current provider doesn’t do drawdown so I have to switch. I don’t have a preferred provider but I’m open to suggestions. If there is a provider that allows me to complete all paperwork in advance and they execute on my birthday that would be fine too. Do you have a preferred provider?

retiringin26

I would ask ii explicitly, however I'd expect their systems to have the correct date-based logic to do what you wish to do.

MoneyGeoff

https://forums.moneysavingexpert.com/discussion/comment/82139384#Comment_82139384

Will do but I’m hoping for real world experiences too. If people say that the process isn’t as slick as claimed then I’ll continue to shop around. ii seem to have excellent reviews and ratings though so hopefully it’s as easy as they say.

gambleruk

I am not sure if it happens at 00:01 but it certainly let me complete the process early on my 55th birthday. Before that you could only go through a couple of pages before the boxes were greyed out and it would not let you go any further. I did contact II at the time and they confirmed I would not be able to do anything until my actual birthday near the end of March. Was very surprised how fast and efficient they were from there and had the money in my bank account a week later. Just remember to sell the funds you want to withdraw a few days before then the cash is available on the day you want to withdraw otherwise will take a few days longer.

MoneyGeoff

https://forums.moneysavingexpert.com/discussion/comment/82139398#Comment_82139398

Brilliant, thanks for letting me know.

MallyGirl

my memory of the process was that it was easy but I am pretty sure that I had to print out a form, sign it and put it in the post. I don't remember an option to scan and email it back. I got a secure message acknowledging receipt and saying that the process was in flight. Given that it will be at the busiest time of the year you may want to find a provider that is all online. This was last year so it may have changed since then

MoneyGeoff

https://forums.moneysavingexpert.com/discussion/comment/82139411#Comment_82139411

I don’t have a printer so that won’t work for me. I’ll ask ii if they changed the process recently. Thanks for the heads up.

retiringin26

https://forums.moneysavingexpert.com/discussion/comment/82139411#Comment_82139411

I crystallised a fund with ii earlier this year and it was all online, no paperwork. I am well over 55 so dates had no bearing.

To the OP:

Just take care to read the many screens of choices and declaration info at the time of crystallising, and the help pages that describe these a few days prior.

And as @gambleruk stated, sell enough units from your pot into cash to cover the TFLS/PCLS a few days prior to requesting it - a process that can take three working days to land. Hopefully those units will be in money market funds or equivalent, too, to avoid surprises.

Good luck

MoneyGeoff

https://forums.moneysavingexpert.com/discussion/comment/82139831#Comment_82139831

Thanks, I’ll certainly follow this advice. One issue is that I called ii and they weren’t able to confirm whether my plan will work or not. They would only commit to saying it will probably work. Not sure whether to transfer to ii or maybe investigate AJ Bell.