To transfer pension, or not

Maddens217

I left my previous employment 3 years ago and stopped paying into a company pension scheme. I only paid into it for a short while and the transfer value stands at £1,580. My present company has started up a stakeholder scheme through HSBC for me and all I wanted to know was, would it be best for me to transfer the £1,580 into the new scheme instead of leaving it dormant with Norwich Union. Any suggestions would be welcome and I'll try to give you more information should you need it.

Thanks,
Simon

dunstonh

Which pension offers the best options, charges and features?

Maddens217

My employer wouldn't let me continue with the pension scheme I had with Norwich Union. That one is charging me 1.5% a year. The HSBC one, I think, is also charging me 1.5% a year. I can't really tell you much about the best options or features, it took me over 2 years to get my employer to organise a pension for me, so I welcomed anything they'd contribute into (2.5% of my salary). Shouldn't I just move the money over from Norwich Union and make it work for me in the new scheme?

EdInvestor

Goiven the charges are the same HSBC pensions tend to have poor investment options (eg trackers ) whereas NU pensions usually have a better selection of funds.

Your pension is not "dormant" at NU. Just because you are not presently contributing to it does not mean it is not doing anything.

It is invested in something. What? Might it grow faster if it invested in a selection of different funds? What other options are on offer, have you checked?

The investment of money in this kind of pension needs to be managed.It is not "buy and forget". Few people are told this however, so your ignorance is easy to understand.