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    • ldp
    • By ldp 9th May 18, 8:06 PM
    • 4Posts
    • 0Thanks
    ldp
    Pension transfer
    • #1
    • 9th May 18, 8:06 PM
    Pension transfer 9th May 18 at 8:06 PM
    Hi I'm really hoping someone can help me!

    I started up a private pension 6 years ago paying 100 per month with Royal London. At the time I was married & it was a top up to my husbands defined benifit scheme & was advised to us from an IFA.

    My situation has now changed & I'm divorced with only a small pension coming in from my job as a teaching assistant which is pretty non existent! I've been awarded a 50% pension share equalling 100k so as I'm 42 now I've at least 15 years until I can withdraw any.

    I've seen 2 financial advisors one being my original who wants to take 3% to put it all in Royal London, though I've made no money since I've started, and another working for True Potential who'll only take 1%. Ive looked them up on the internet & I'm really unsure if this company is as good as Royal London though I've been told I'll have better returns.

    I'm a single mum in financial difficulty & need to secure my future so that when I have to sell my house I can give my share to my children. Therefore it's imperative that I get this right for their future.

    Any helpful comments will be appreciated thanks.
Page 1
    • dunstonh
    • By dunstonh 9th May 18, 8:15 PM
    • 93,466 Posts
    • 61,005 Thanks
    dunstonh
    • #2
    • 9th May 18, 8:15 PM
    • #2
    • 9th May 18, 8:15 PM
    though I've made no money since I've started,
    At 100pm starting at a nil balance, the bulk of the money in that has only been in there a very short time and we have just come off a recent drop. You wouldnt expect much from that in the early years.

    I've seen 2 financial advisors one being my original who wants to take 3% to put it all in Royal London, though I've made no money since I've started, and another working for True Potential who'll only take 1%.
    That is only part of it though. True Potential ongoing costs are likely to significantly higher than RL.

    Ive looked them up on the internet & I'm really unsure if this company is as good as Royal London though I've been told I'll have better returns.
    Apples and oranges. Two totally different ways of doing things. One key thing is that True Potential offer their own product. If could be brilliant. it could be awful but that is all they offer. The general rule of thumb is not to buy products from the sales reps of the companies they represent. Stick to independent distribution.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • ldp
    • By ldp 9th May 18, 8:25 PM
    • 4 Posts
    • 0 Thanks
    ldp
    • #3
    • 9th May 18, 8:25 PM
    • #3
    • 9th May 18, 8:25 PM
    Thank you for your speedy response. Can I ask is 3% normal to pay to put your money in? I'm guessing it goes to my IFA though he's told me it's RL charge. Seems a lot to hand over your money for a long period of time. As my pensions already set up is this something I can do myself?
    • dunstonh
    • By dunstonh 9th May 18, 8:35 PM
    • 93,466 Posts
    • 61,005 Thanks
    dunstonh
    • #4
    • 9th May 18, 8:35 PM
    • #4
    • 9th May 18, 8:35 PM
    Can I ask is 3% normal to pay to put your money in?
    it's in the ballpark with your value. It's less than it was 6 years ago back in the commision days. Around 5% back then.

    I'm guessing it goes to my IFA though he's told me it's RL charge.
    Royal London makes no initial charges on any of their current range or their product from 6 years ago. Every penny of that upfront charge goes to the adviser.

    Seems a lot to hand over your money for a long period of time.
    its not really. The old products that factored in the commission were 2-3 times more expensive annually for the whole length you were invested. Its cheaper to get it out of they way in year 1. The breakeven point usually around year 3-4.

    As my pensions already set up is this something I can do myself?
    Royal London deal with intermediaries and they normally only accept new business via them or they move you into their in-house product which is more than twice the annual cost of the IFA product (with no initial charge but will cost you more).
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • xylophone
    • By xylophone 9th May 18, 8:56 PM
    • 25,797 Posts
    • 15,251 Thanks
    xylophone
    • #5
    • 9th May 18, 8:56 PM
    • #5
    • 9th May 18, 8:56 PM
    I'm guessing it goes to my IFA though he's told me it's RL charge.
    Given the misinformation, you might like to try another Independent Financial Adviser?

    https://adviserbook.co.uk/

    https://directory.moneyadviceservice.org.uk/en
    • Dox
    • By Dox 10th May 18, 12:39 AM
    • 749 Posts
    • 517 Thanks
    Dox
    • #6
    • 10th May 18, 12:39 AM
    • #6
    • 10th May 18, 12:39 AM
    Get an adviser who tells you the truth.
    • Tom99
    • By Tom99 10th May 18, 8:22 AM
    • 2,404 Posts
    • 1,621 Thanks
    Tom99
    • #7
    • 10th May 18, 8:22 AM
    • #7
    • 10th May 18, 8:22 AM
    Is there also an option to keep the pension with the existing provider?
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