Switching your pension means transferring your scheme – or schemes – to a different provider; just as you might with a bank account. It’s important to note that not all pensions can be switched.
So, is it worth doing? Assuming you stand to benefit from a different provider’s terms – no matter how small the difference may seem – the brief answer is ‘absolutely’.
As your pension is likely to have a big impact on your financial circumstances in later life, it’s vital that it is set to work as you want it to. If changes need to be made, the sooner the better.
Changes that seem small now could save you large sums in the future. The longer you put off making the change, the more you are likely to lose.
As pensions are rather complex products with various elements, you could make or lose money due to a few factors. Fees, and the way your pension is invested, are just a couple of these factors.
What’s important is that you are equipped to make the decisions that are right for you. It’s important to weigh up all elements of a pension and then compare that pension with others available to you, on the market, so you can make a balanced judgement.
It may be that your pension is performing healthily, and it would be better to leave things as they are.
Here at Moneytree Financial Solutions, we make it so that pensions are easier to understand. By breaking down the elements and working out how they fit in with your circumstances and plans, we can help guide you to make a measured choice.
We will only ever present you with pension plans offered by regulated companies and we will be clear about any related costs; as well as confirming the way your savings would be invested, the associated level of risk and naturally, all benefits.
