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  • FIRST POST
    • forzarobur
    • By forzarobur 10th Dec 17, 12:33 PM
    • 13Posts
    • 0Thanks
    forzarobur
    Prudential not telling me Pension Fund Value
    • #1
    • 10th Dec 17, 12:33 PM
    Prudential not telling me Pension Fund Value 10th Dec 17 at 12:33 PM
    Hi All,
    I have a very worrying problem about Prudential and the pension policy I have with them. It is a Personal Retirement Plan, they say it is a "deferred annuity contract". It guarantees an annual pension plus terminal bonus and final bonus at 65. I am 65 on 29/11/2017. (2 weeks ago)
    On July 26th 2017 I phoned Prudential to ask what amount the bonuses will be. They will not tell me, and as of today, I still don`t know. After constant calls to Prudential proved fruitless I referred the matter to the Financial Ombudsmen on 11/09/2017.
    They have not been able to find out either and the case is continuing.
    It has been nearly five months now, HELP, any advice will be greatly appreciated.
    Do I just sit tight and wait, and if so ,for how long.
Page 2
    • Linton
    • By Linton 18th Dec 17, 12:25 PM
    • 9,395 Posts
    • 9,529 Thanks
    Linton
    The Pru have basically said, although initial final bonuses alluded to an amount of 150% of final pension amount, the performance of my policy over the 32 years has resulted in a final bonus of 0.04%. On a 100,000 fund this equates to 40.
    And they wonder why I am complaining.
    Originally posted by forzarobur
    You had a pension that provided guaranteed benefits, possibly very generous benefits compared with what would be justified these days. You chose to remain in the pension. Pru is now, presumably, ready to provide those benefits it guaranteed.

    What is there to complain about?

    Perhaps if you told us the pot size, the guaranteed pension and, as Dunstonh suggested, the transfer value, people could give you an assessment. The pot size may be totally irrelevent.
    • eranou
    • By eranou 18th Dec 17, 12:27 PM
    • 365 Posts
    • 241 Thanks
    eranou
    So, this plan probably does have guarantees on it given the time period. What are they?
    Originally posted by dunstonh
    The Prudential plan OP is referring to is a Personal Retirement Policy, a Retirement Annuity Contract that pays a guaranteed basic annuity at the selected retirement date.

    This could easily be resolved by Pru providing:

    1) the current transfer value.
    2) the basic annuity amount at SRD.
    3) the total bonuses to date.

    Total annual annuity payable from SRD is the basic annuity + bonuses to date.
    They should have sent out a retirement pack ahead of the selected retirement date that would detail this.
    Last edited by eranou; 18-12-2017 at 12:37 PM.
    • forzarobur
    • By forzarobur 18th Dec 17, 12:40 PM
    • 13 Posts
    • 0 Thanks
    forzarobur
    guaranteed basic annuity 2855 plus annual bonuses (over 32 years) 2520.
    Resulting in annual pension 5375.
    Bonuses alluded to throughout 32 years of paying premiums are now non existent.
    • eranou
    • By eranou 18th Dec 17, 12:47 PM
    • 365 Posts
    • 241 Thanks
    eranou
    guaranteed basic annuity 2855 plus annual bonuses (over 32 years) 2520.
    Resulting in annual pension 5375.
    Bonuses alluded to throughout 32 years of paying premiums are now non existent.
    Originally posted by forzarobur
    Your bonuses are not non-existent, they are 2,520 payable each year until the day you die.

    If you live until age 85 that's a value of 50,400.
    • Linton
    • By Linton 18th Dec 17, 1:05 PM
    • 9,395 Posts
    • 9,529 Thanks
    Linton
    guaranteed basic annuity 2855 plus annual bonuses (over 32 years) 2520.
    Resulting in annual pension 5375.
    Bonuses alluded to throughout 32 years of paying premiums are now non existent.
    Originally posted by forzarobur
    Thank you...
    1) Is this inflation linked once in payment or not . I would guess not but could be wrong.
    2) How much money have you paid in? The same amount each year or month? Or if you cant give us that, what is the pot cash value?

    With this info one can judge whether you have been short-changed or not. If it's not inflation linked the annual pension would currently cost about 100K. If it is index linked perhaps over 150K.
    • eranou
    • By eranou 18th Dec 17, 1:10 PM
    • 365 Posts
    • 241 Thanks
    eranou
    Thank you...
    1) Is this inflation linked once in payment or not . I would guess not but could be wrong.
    2) How much money have you paid in? The same amount each year or month? Or if you cant give us that, what is the pot cash value?

    With this info one can judge whether you have been short-changed or not. If it's not inflation linked the annual pension would currently cost about 100K. If it is index linked perhaps over 150K.
    Originally posted by Linton
    The amounts quoted would be for a level annuity.

    If OP can say how much the premium was and the current transfer value that would help a lot.
    • 000145
    • By 000145 9th Mar 18, 9:44 AM
    • 8 Posts
    • 1 Thanks
    000145
    I am also having problems with the Prudential not giving me information at the very point I need it! I also have a deferred annuity pension. I am looking to take it 5 years early. I have received 3 guaranteed quotes in the last 18 months. The numbers in the first two were looking good and increased by 5% in less than a year. Then at the very point I want to take my pension the third quote is now down by 20%! I queried this and was told that they have revised the basis of the calculation and that the new numbers were correct. They will not provide any detail to back up this story saying that the numbers are commercially sensitive. I have now referred it to the FO who are investigating.
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