Amalgamating old pensions -help
Discussion
I've got a couple of pensions schemes I no longer pay into, one from my last job which I and my employer paid into, and another from a personal pension scheme from years before.
In recent months both have ended up under the same company as the previous companies they were taken out with initially got taken over by the company they are part of now. (If that makes sense)
Is it worth trying to amalgamate them into 1, or a am I likely to get fleeced with service charges?
Thanks
In recent months both have ended up under the same company as the previous companies they were taken out with initially got taken over by the company they are part of now. (If that makes sense)
Is it worth trying to amalgamate them into 1, or a am I likely to get fleeced with service charges?
Thanks
Hi Guy,
You won't find the answer here I'm afraid. Each policy would need to be looked at and its merits considered versus you current circumstances, objectives etc etc. Whilst the legislation may govern all pensions, individual contracts vary greatly in terms of charging structures, features and investment flexibility.
You are best off getting some professional advice, rather than trying to bodge it. Getting it wrong could cost you....big time.
Anyone taking a look at it for you should approach the situation on the basis that a transfer is not in your interests and then do the proper due diligence on your behalf.
Make sense?
You won't find the answer here I'm afraid. Each policy would need to be looked at and its merits considered versus you current circumstances, objectives etc etc. Whilst the legislation may govern all pensions, individual contracts vary greatly in terms of charging structures, features and investment flexibility.
You are best off getting some professional advice, rather than trying to bodge it. Getting it wrong could cost you....big time.
Anyone taking a look at it for you should approach the situation on the basis that a transfer is not in your interests and then do the proper due diligence on your behalf.
Make sense?
The FSA register might help you find someone local who is authorised to give specific pension advice www.fsa.gov.uk/fsaregister/search/individuals
jeff m2 said:
I agree with expert help.
What advantage do you envisage?
You don't need to answer that, just food for thought.
I guess the main advantage is not "losing touch" with the pension provider when you move house? I'm 35 and already have four occupational pensions from different companies I've worked for. God knows how many I'll end up with by the time I retire.What advantage do you envisage?
You don't need to answer that, just food for thought.
If any of them are defined benefit pensions (eg final salary) then they definately want leaving where they are. If they're defined contribution then it certainly is tidier to have them in one place and since the investment strategy is your choice anyway it won't affect performance. As others have said, you should find out about any transfer charges before deciding.
I'm in a similar situation - got 3 different small pensions from 2 companies that I'm not paying into. One company made us change pension providers as they presumably got a financial incentive to do so.
This time of year when the annual statements get sent - I have a few hundred less in the kitty each time. Their projections suggest a 7% annual increase when in reality it's more likely a 7% loss.
I can see that a lot of the money I had in my pension funds will just be used in charges and I'm losing money for as long as they're in there.
This time of year when the annual statements get sent - I have a few hundred less in the kitty each time. Their projections suggest a 7% annual increase when in reality it's more likely a 7% loss.
I can see that a lot of the money I had in my pension funds will just be used in charges and I'm losing money for as long as they're in there.
It's the individual's responsibility to keep the pension providers up to date with the individual's whereabouts, not the other way round, and vast numbers of people fail to tell the providers about their change of address etc. The State has the Pension Tracing Service (free) which, although not fully comprehensive, is the best place to start to find a "lost" pension. There are other routes too. You can also get The Pensions Advisory Service (also free) to assist you.
R.
R.
condor said:
I'm in a similar situation - got 3 different small pensions from 2 companies that I'm not paying into. One company made us change pension providers as they presumably got a financial incentive to do so.
This time of year when the annual statements get sent - I have a few hundred less in the kitty each time. Their projections suggest a 7% annual increase when in reality it's more likely a 7% loss.
I can see that a lot of the money I had in my pension funds will just be used in charges and I'm losing money for as long as they're in there.
whether you lose or make money is largely a result of your investment strategy. Most people sit in the default fund, maybe without even realising it, but all these schemes have a range of funds to choose from. Right now a lot of people are choosing to stay out of developed world stocks and using emerging market funds.This time of year when the annual statements get sent - I have a few hundred less in the kitty each time. Their projections suggest a 7% annual increase when in reality it's more likely a 7% loss.
I can see that a lot of the money I had in my pension funds will just be used in charges and I'm losing money for as long as they're in there.
otherman said:
Right now a lot of people are choosing to stay out of developed world stocks and using emerging market funds.
THis appears to be conjecture, rather than having any basis in fact...The OP should take the opportunity to consider his investment strategy, but usually best to use his attitude to risk as a starting point, as opposed to what to anyone else might be doing.
He needs advice, simples.
Not for 2011 they didn't, according to the IMA. They experienced one of the largest rates of outflows of all fund sectors.
As I understand it, the data for 2012 YTD isn't out yet. The platforms, which account for around 50% of funds sales have all reported falls in the sales volume of such funds, both nominally and in terms of their share.
The Global sector has actually been a beneficiary, as opposed to emerging markets.
You want to take the rate of inflows in to a sector as an indicator that its a good time buy it ?
I don't believe we know the OP's age, or attitude to risk, so making specific investment suggestions (or insinuations) is actually no help to him at all.
As I understand it, the data for 2012 YTD isn't out yet. The platforms, which account for around 50% of funds sales have all reported falls in the sales volume of such funds, both nominally and in terms of their share.
The Global sector has actually been a beneficiary, as opposed to emerging markets.
You want to take the rate of inflows in to a sector as an indicator that its a good time buy it ?
I don't believe we know the OP's age, or attitude to risk, so making specific investment suggestions (or insinuations) is actually no help to him at all.
Edited by TFP on Saturday 18th February 20:37
Thanks for the replies to my initial post. Not too worried about amalgamating them, just seemed a possibilty to simplify things where they were under the same pension company.
Like several of the other PH'ers on here I got enroled on to different pension scheme every time I changed jobs or the when company I work for decided to change pension provider, so now in my 40's seem to have 1 current and I think 4 or 5 schemes no longer being paid into.
Like several of the other PH'ers on here I got enroled on to different pension scheme every time I changed jobs or the when company I work for decided to change pension provider, so now in my 40's seem to have 1 current and I think 4 or 5 schemes no longer being paid into.
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