Pension inheritance - paid monthly for 18mths?

[_Mja_]

Hi,

We got a letter through today from the solicitor dealing with an estate relating to my wifes uncle. It has gone on for 15 months, not much info shared and my wife doesn't want to ask the executor for fear of coming acorss as money grabbing.

Anyway got a letter today, hand written note from beneficiary asking to supply details - ID - for the pension provider to pay out the pension split between 3 of them until the end of 2023. No other details. Could be £3.50 per month who knows.

Just curious really, why would they do that - spread it over monthly payments, doesn't sound like something someone would put in a will? Just assumed they'd liquidate everything and distribute. I don't think my wife really cares (unless we should do and hence the curiosity). Only thing I can think off is perhaps it wasn't a good time to liquidate the pension so somebody decided this would be better or perhaps in 18mths time there would be nothing left in the pot so made sense to let it run, although that doesn't sound logical.

Letter said probate granted but we checked the probate hmrc site and it's not there. Assume if probate granted it goes on that site right?

• caveat neither of us have any experience of inheritating anyhting so no idea how it works. Didn't expect this scenraio.

[littleredrooster]

I can only guess that it's some kind of private 'drawdown' pension which survives the deceased. I have one which will expire next year and will be passed on to my next-of-kin if I pass first.

[martinbiz]

Probably better if the mods moved this to the finance thread. Lots of knowledge on there

[Losangeles]

Its possible an annuity was bought with all or part of the pension pot. In broad terms this pays out a regular sum of money for the lifetime of the recipient. All sorts of variations exist, eg index linked, fixed annual increases, paid for longer of the lives of both the policyholder and a spouse etc etc. One of the variations is a minimum period during which the payments will be made. This is to reduce the inherent 'unfairness' if you bought an annuity and died a few weeks later. If you are near the end of the minimum period this might be what is happening.

[Panamax]

_Mja_ said:

We got a letter through today from the solicitor dealing with an estate relating to my wifes uncle.

Anyway got a letter today, hand written note from beneficiary asking to supply details - ID - for the pension provider to pay out the pension split between 3 of them until the end of 2023. No other details.

OP hasn't given enough information to enable useful comment, and the two sentences extracted above don't seem to fit together. Who's writing to whom and about what?

[_Mja_]

Panamax said:

_Mja_ said:

We got a letter through today from the solicitor dealing with an estate relating to my wifes uncle.

Anyway got a letter today, hand written note from beneficiary asking to supply details - ID - for the pension provider to pay out the pension split between 3 of them until the end of 2023. No other details.

OP hasn't given enough information to enable useful comment, and the two sentences extracted above don't seem to fit together. Who's writing to whom and about what?

Hand written note from executor sorry to beneficiary (wife) saying complete these enclosed pension forms asking for ID. Hand written note said pension will payout monthly until Oct 2023.

[anonymous-user]

_Mja_ said:

Hand written note from executor sorry to beneficiary (wife) saying complete these enclosed pension forms asking for ID. Hand written note said pension will payout monthly until Oct 2023.

Sounds like the balance of a 5 or 10 year guaranty from an annuity or defined benefit scheme.