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Is it possibe to release some money from a private pension

(6 Posts)
lakia Mon 14-Oct-13 09:34:07


My dp and I are in serious financial difficulty and although we are now on a debt plan I would like to further ease the pressure and improve our lives by clearing a couple of debts.
I am 43 years of age and was wondering if it is possible at all to have a lump sum of money from my pension.
Has anyone ever done this before the official age, I have seen compnaies advertising to help you do this but I am wary of them has anybody ever done this that can recommend a reputable company that will do this safely.

Rockchick1984 Mon 14-Oct-13 10:37:23

Generally it's not possible, contact your pension provider to see if this is something they will allow you to do.

debtcamel Mon 14-Oct-13 10:59:48

No it is not possible under 55.

Companies offering to do this are scammers - see this article

Is your debt plan with a company that is charging you? If it is, you should switch to either StepChange or Payplan - not for profit organisations where ALL your monthly payments go to clear your debts, see

Otherwise you need to look at your whole situation. Could you earn more or spend less? How long is it going to take to clear your debts if all interest is frozen? If this is too long, then you need to consideryour alternative options. Work your way through the flow charts here to see which might work for you:

mrsmalcolmreynolds Tue 15-Oct-13 19:53:53

What debtcamel said. At best these companies are leaving you open to a 55% tax charge on the pension money. At worst they may just steal the lot...

ShouldHaveStayedHome Tue 15-Oct-13 20:48:19

I agree with the others. I work for a large private pension company and have personally dealt with requests from individuals to transfer their private pensions to these pension liberation schemes. We send warnings to them before we allow the cash to leave us, but often to no avail. It is such a shame that people are desperate for immediate money so they will go ahead with this risk.

Financeprincess Mon 21-Oct-13 00:11:01

What the others said. Even if it were possible, it would be a bad idea; you'd just be depriving your older self.

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