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Dalian57
July 29th 03, 08:50 AM
Having been dismissed by my employer and being a member of a non
contributory final salary pension scheme what happens to my pension
rights/contributions?

Thanks

Dalian57
July 29th 03, 12:06 PM
Gareth,

Thanks for info. I was in the scheme for 14 years. As for my departure, I
was dismissed, however my solicitor has negotiated a settlement based on
compensation, letter of reference and letter of apology from my former
employer. Any ideas how I stand re pension rights?

Thanks


"Gareth Kitchener" > wrote in message
...
> "Dalian57" <iwdSPAM _ME_ > said:
>
> >Having been dismissed by my employer and being a member of a non
> >contributory final salary pension scheme what happens to my pension
> >rights/contributions?
>
> How long were you in the scheme?
> If less than 2 years, you may find you have nothing.
> If more than 2 years, you will have a preserved pension that you can
> either leave in the scheme or transfer elsewhere.
>
> (I'm assuming that by "dismissed" you mean "made redundant" rather
> than being fired for misconduct.)
>
>
>
> --
> Gareth Kitchener
> Bedfordshire, England
> http://www.garethkitchener.org.uk

Gareth Kitchener
July 30th 03, 12:27 AM
"Dalian57" <iwdSPAM _ME_ > said:

>Thanks for info. I was in the scheme for 14 years. As for my departure, I
>was dismissed, however my solicitor has negotiated a settlement based on
>compensation, letter of reference and letter of apology from my former
>employer. Any ideas how I stand re pension rights?

OK... it doesn't sound like you've done anything to give your employer
cause to withhold your pension rights under any sort of "lien" so you
should have full preserved pension rights based on 14 years service.
You can leave it where it is or transfer it elsewhere (new employer's
scheme, personal pension or buyout policy.) I suggest you take advice
before deciding.


--
Gareth Kitchener
Bedfordshire, England
http://www.garethkitchener.org.uk

Gareth Kitchener
July 31st 03, 09:39 AM
No Flipping said:

>My understanding is that it is almost impossible to transfer from a final
>salary scheme to a insurance company personal pension because it poses a
>potentially massive mis-selling risk.
>
>If anyone else knows otherwise I would be very interested to hear about it.
>

Errr.. yes, I know otherwise. ;-)

You need to get a transfer analysis done, which will show the
"critical yield" needed to match the guaranteed benefits under the
final salary scheme. If the "critical yield" is sufficiently low then
it could be good advice to recommend a transfer. Certainly if the
process is gone through correctly, with the risks being fully
explained and documented there should be no risk of a subsequent
mis-selling claim.
It may be harder to find an insurer's direct sales force that will
give this type of advice, but there should be no problem doing it
through an IFA.



--
Gareth Kitchener
Bedfordshire, England
http://www.garethkitchener.org.uk

tim
July 31st 03, 06:35 PM
"Gareth Kitchener" > wrote in message
...
> No Flipping said:
>
> >My understanding is that it is almost impossible to transfer from a final
> >salary scheme to a insurance company personal pension because it poses a
> >potentially massive mis-selling risk.
> >
> >If anyone else knows otherwise I would be very interested to hear about it.
> >
>
> Errr.. yes, I know otherwise. ;-)
>
> You need to get a transfer analysis done, which will show the
> "critical yield" needed to match the guaranteed benefits under the
> final salary scheme. If the "critical yield" is sufficiently low then
> it could be good advice to recommend a transfer. Certainly if the
> process is gone through correctly, with the risks being fully
> explained and documented there should be no risk of a subsequent
> mis-selling claim.
> It may be harder to find an insurer's direct sales force that will
> give this type of advice, but there should be no problem doing it
> through an IFA.

And I would have though that if the reason for the transfer was
"Client has totally lost faith in his ex employer's ability to look
after his money" suitably confirmed, there would be no problems.

I am now of an age where it is supposedly beneficial for me to
contract back into SERPS. I am staying out, thank you very much,
as I don't trust a future government not to change the rules and
cheat me out of whatever it is I am supposed to get.

Tim




>
>
>
> --
> Gareth Kitchener
> Bedfordshire, England
> http://www.garethkitchener.org.uk

Tim
July 31st 03, 08:52 PM
"No Flipping" wrote
> My understanding is that it is almost impossible to transfer from a final
> salary scheme to a insurance company personal pension because it poses a
> potentially massive mis-selling risk.

Eh? Why would that necessarily be so?
Doesn't seem unreasonable to me that a particular personal pension could
possibly outperform a particular deferred pension in a company final salary
scheme...

Rhoy the Bhoy
August 3rd 03, 08:44 AM
Dalian57 wrote:
> Gareth,
>
> Thanks for info. I was in the scheme for 14 years. As for my
> departure, I was dismissed, however my solicitor has negotiated a
> settlement based on compensation, letter of reference and letter of
> apology from my former employer. Any ideas how I stand re pension
> rights?

Your solicitor should have covered that point as well. Ask him.