Should I Transfer My Old Company Pension Scheme?

That depends on what kind of pension scheme you have, and where you are planning on transferring it to.

If you have a final salary, or defined benefit pension scheme, then you risk giving up valuable guaranteed pension benefits if you’re planning on transferring it to a defined contribution scheme. It’s unlikely to be in your best interests to move from a defined benefit pension to a defined contribution one.

For Pension Funds over £30,000

If the value of your benefits is over £30,000, then you must seek advice from a financial adviser on whether transferring is in your best interests. An adviser will also be able to tell you if the transfer value you’ve been offered is fair.

If you’re planning on transferring from a defined contribution scheme to another defined contribution scheme, ask your scheme provider for a transfer value, and ask whether there will be any charges to switch. Remember that once you’ve moved your pension across, you will lose any rights you have under the old scheme.

Best to Speak to a Financial Advisor

If you’re considering whether transferring your old pension is right for you, please contact us to speak with a specialist pension advisor. Your adviser will be able to request details of your current scheme and discuss with you the advantages and disadvantage of transferring that particular scheme.