Should I switch ?

ohnonotagain_3

Hi,

Ive just typed a massive post and lost the lot because I was logged out.
So heres a shorter version:

I have an old personal pension from 1991 which I stopped paying into a very long time ago. It has a transfer value of £19000 and im wondering whether to start up the payments again or transfer it to something like an hsbc stakeholder ?

It was taken out with guardian royal exchange under the title 'choices personal pension'.

Any advice would be great as im not quite sure which route to take.

ohnonotagain_3

Oh and by the way, I was mis-sold this pension but the FSA threw out my claim attempt. And I was also advised to contract out of serps and have been contracted out ever since, I think ?

dunstonh

Oh and by the way, I was mis-sold this pension but the FSA threw out my claim attempt.

FSA do not handle complaints.

And I was also advised to contract out of serps and have been contracted out ever since, I think ?

So, you made a complaint about a pension without actually knowing things about the pension?

I have an old personal pension from 1991 which I stopped paying into a very long time ago. It has a transfer value of £19000 and im wondering whether to start up the payments again or transfer it to something like an hsbc stakeholder ?

Why would you want to do that? What is it about buying a tied agent stakeholder with limited investment options that appeals to you over your current pension? (which probably also has limited investment options).

Any advice would be great as im not quite sure which route to take.

Board is not authorised to give advice. Just comment and discussion. Hence my answers being mainly questions putting the ball back into your court.

ohnonotagain_3

Thanks for the reply.
Ok, I went to the FSA because I was sold a pension by someone who blatantly lied about being an independant financial advisor and also given a 'millionaire forecast' in writing. I was very young and gullible, yes my fault but the advisor took advantage.

Anyway, I have no idea how my funds are invested and the paper work reveals nothing but the number of units and value of funds.

Theres probably not a lot of point in me carrying on as you have said that no one can advise on this board. I suppose im off to an IFA then.

Thankyou for your time taken to reply.

dunstonh

Ok, I went to the FSA because I was sold a pension by someone who blatantly lied about being an independant financial advisor and also given a 'millionaire forecast' in writing. I was very young and gullible, yes my fault but the advisor took advantage.

Independent research has found that a half of consumers getting "advice" from a tied agent believe they are seeing an IFA and not an insurance agent. It is a common problem and one the FSA is addressing with proposals to come in 2009. The only advisers will be IFAs (who will also have to have higher qualifications than the current max) and the rest will be insurance agents or insurance salesmen. They will not be able to use "adviser" in their title. Some firms have already introduced that in advance.

That said, someone telling porkies about their status doesnt mean the product they sold was wrong and the complaints process may find errors in admin or process but still rule against you as it had no impact on the end result.

Anyway, I have no idea how my funds are invested and the paper work reveals nothing but the number of units and value of funds.

How it is invested is the most important thing. If you dont know what you have or understand it then you risk coming out of something that is good and going into something that has bad.

FYI, I have come across the HSBC stakeholder a few times and every time I have transferred it to a better pension. Its a bog standard stakeholder and offers nothing that can be got better elsewhere.

Theres probably not a lot of point in me carrying on as you have said that no one can advise on this board. I suppose im off to an IFA then.

We cant advise but we can comment. At least you can get some info and understanding which will help you when you do seek advice.

ohnonotagain_3

Thanks again,

Im surprised all of the paperwork supplied tells me absolutely nothing about where my money has been invested. How do I go about obtaining this information, is it a simple matter of calling the helpline and asking them to send the info in the post ?

If I speak to an IFA this would probably be the first thing they ask for.

jonathon_hart

Yes, phone the helpline and ask them for a detailed statement of you current holdings.

EdInvestor

In particular ask for the current value, the transfer value, what fund(s) the money is invested in and the total charges being levied.

The main point is to work out how you want the money invested. The type of pension is secondary.

ohnonotagain_3

Hi,

Ive finally got round to this and I have been told that my fund is a "with profits 100%" and also "voluntary and protected rights". I also have a full written valuation and transfer valuation.

Monthly service charge = £2.10
Yearly service charge = £6.00

Bear in mind that I havent paid a single penny in for over 10 years.

Is that everything I need ?

Also, is the above pension worth keeping or does it look like it should be moved elsewhere.

Many thanks

EdInvestor

ohnonotagain wrote: »

I also have a full written valuation and transfer valuation.

Are they the same?

Monthly service charge = £2.10
Yearly service charge = £6.00

These are old style high charges.

Is that everything I need ?

No, as it's a With profits pension you also need to ask if there are any guarantees attached, such as a Guranateed Annuity Rate of a Guaranteed Investment return and if so how much these are.

Then we can take a view about moving it or not.

ohnonotagain_3

Thanks for your reply.

The transfer value is 19000 and total value of funds is 10000

It doesnt mention gurantees anywhere and just give illustrations on higher returns and lower returns.

I cant grumble at the value because I really didnt pay much in.