What should I consider before transferring other pension pots into a new pension plan?
Updated 15 August 2016
There are a number of things to consider before your transfer your pension pots.
You might lose valuable features and other benefits like:
- protected tax-free cash
- protected low pension age
- waiver of contribution
- life assurance benefits
- any self-investment option
- employer contributions can’t be made to a Retiready Pension but can continue to be made into an Aegon plan provided by your employer - find out more
You might incur higher charges so make sure that you’re satisfied any such charges are justified.
Any trusts or expression of wishes that you’ve already set up won’t transfer over to a new Retiready Pension.
There’s no guarantee that funds that you choose will perform better than investments under your current plan.
You should be comfortable with the investment choices that you make as you may lose features, protections, guarantees or other benefits when you transfer. If you’re unsure, you should seek financial advice - there may be a charge for this. Remember that what you get back depends on several things, for example how your investments perform and how they are taxed, and you may get back less than you invest.