And do you know what charges are being deducted and whether the underlying investments are performing well?
Even more annoying is that the adviser who set up the plan many years ago could still be receiving commission which is being deducted from your plan.
But it is not all bad news. Since 2017 early exit fees for over 55s have been capped at 1% and many providers have removed exit fees entirely so transfers now make much more sense.
Pension plans are no different from many other products. Over recent years technology has reduced costs, increased functionality, and made products more user friendly.
A pension plan taken out 10 or 15 years ago is about as effective as a 10 or 15-year-old mobile phone.
In the vast majority of cases, with a modern plan, you will get better investment choices, more flexibility, lower costs and access to on-line valuations so that you can keep a close check on how things are going. Bringing all those old plans together means you will have just one account and only need to deal with one provider. How good is that?
You will however need to check whether you will lose any valuable guarantees or benefits by transferring. Some plans could provide you with an income of 2 or 3 times as much as you would get if you transferred so that is something which you may need my help to check.
This article is not personal advice but if you would like support and guidance from someone with more than 40 years pension experience why not book a free 30-minute Zoom chat to find out more. You could go to a regulated financial adviser but you will find transfer fees which could be as high as 3% of the funds transferred and many will want you to sign up for ongoing advice at a cost of around 1% per annum.
If you are prepared to pay just a little attention, are happy using on-line providers, and can make decisions, there is every chance you don’t need to pay a regulated adviser ever again. This is your money, you worked hard for it and it will work hard for you if you are prepared to give it a chance.
What do you have to lose? Book that FREE Zoom call and let’s see if we can get you to a place where you can look forward to your retirement with far more confidence.
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Retirement Risk Zone: If you are in what I call “The Retirement Risk Zone“ – the three years before retirement and the three years after – this is a particularly important time for you, so do please get in touch. Just use this link to book your Free Zoom chat. Make the wrong decision, or no decision, now and it could have a major impact on your lifestyle for the rest of your life.
How good will it feel to know that, at long last, you are on top of your retirement planning and can look forward to the future with confidence? Is it safe to do it alone or do you need someone with more than 40 years as a pension expert on your side?
This document and our on going services are not personal advice. We'll give you all the help and guidance you need to make your investment and retirement decisions, but we can't advise you. If you're not sure whether you need regulated financial advice we can put you in touch with a suitably qualified and experienced regulated adviser. Because we are not regulated by the Financial Conduct Authority you will not have access to the Financial Ombudsman Service in respect of any complaints. If you use one of the "no advice" on line services to handle investment transactions they will be Regulated and you will have access to the Ombudsman and The Financial Compensation Scheme in respect of their services. The value of investments/pension plans can fall or rise depending on market performance. The Retirement Team and The Investment and Retirement Coach are trading names of Capture Success Ltd Reg No 01825075 Tel 07770575122