I'm unhappy with my pension fund. Can I transfer it to a new plan?

admin
30 September 2014

Q

I have an Executive Pension Plan (EPP) with Skandia, which is worth around £20,000. However, I am no longer putting money into it because I am concerned that the various charges being incurred are on the high side and that I am paying for features I don't use. Can I convert the pension into a stakeholder plan that I believe has much lower charges?
From
SR/Herefordshire

A

Yes, you should be able to transfer from your Skandia EPP to another pension contract.

It's best to search around different types of pension contract (stakeholders and personal pensions) from various different providers until you find one offering the charges, options and service you want.

However, you should take care you are not giving up any valuable guarantees by transferring. Some older contracts have exit penalties, so you should check that before making any decision.

As always, taking professional financial advice is sensible.

Andrew Tully is pensions technical director at MGM Advantage

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