Pensions - Articles - Pension freedom scandal: Providers deny or charge for access

 Numerous pension providers are still failing to offer the complete pension freedom that George Osborne promised back in his Budget of March last year. Some are refusing to grant retirees the access to withdraw from their funds as and when they see fit, while some of those that are offering the freedoms are charging customers large fees to dip into their pots.

  

 This has led to millions of savers either denied the freedoms that they have been promised or having to pay rip-off charges in order to gain access to them. This is why seeking advice is more vital than ever, given the current retirement climate.

  

 An adviser is able to advise the client as to where they can move their fund so that they have full, unfettered access to their pension pot. That way they can make the absolute most of the pension freedoms while keeping costs to a minimum, safe in the knowledge that their adviser has helped them secure the best option for their particular fund.

  

 Scott Mullen director at My Pension Expert said;

 “Retirees shouldn’t have to put up with unhelpful and unwilling providers, that’s why I’d encourage them to seek advice at the earliest opportunity. That way an advisor can help them find a company that will allow them the granted freedoms in order for them to take their pension income in retirement in a way that meets their needs.

  

 “Additionally an advisor would also be able to individually tailor a retirement strategy to suit the needs of the individual based on their attitude to risk and unique requirements. They will consider lifestyle and health factors that could enable the retiree to qualify for an enhancement and can therefore guarantee that they receive the best rate available. They will also offer advice on the taxation of withdrawals, making sure that the retiree pays as little as possible and at the same time is fully aware of the longevity risks of depleting a pension fund.”