Pension

[Beans on Toast]

Hi all, well seems you were right, we just can't keep away from the site[:)] I have a question about my works pension, because we have little equity in our property due to a secured loan, we have been told that the creditors may look to me to opt out of the scheme.
This would be devastating to us, I have only been in the scheme for 2 yrs and it is a final salary scheme, I have to contribute in for 20 yrs to reach full benefits and at 42 pushing 43 you can see my concern [:(] My wife is part time and her pension is miniscule, I pay £135 p.m into mine, which is the basic 5.5% of salary, this is to hopefully cover us both in retirement. I have already been told I can opt out at any time, but there is no guarantee of acceptance at a later date.
Is anyone else in this position, if so, advice please.

[MelanieGiles]

It would be unusual for creditors to ask you to opt out of a company pension scheme which is going to provide you with income into your retirement. I very rarely see these modifications in my own practice, and when we do we always argue them out for the benefit of our clients.

[Adam Davies]

Hi
Make sure that your IP excludes pensions from your proposal,and let your creditors put a modification in for you to opt out of your pension.If they do this then you can probably negotiate extending your IVA in lieu of this request.You do not want to lose this final salary scheme and I think that your creditors will understand this.
It will pay you to take a second opinion from another IP and I will be interested to hear how Melanie deals with pension provisions in her IVA proposals

[Adam Davies]

Hi
Sorry Mel,you posted as I was writing and have answered my question
Thanks

[Beans on Toast]

Thanks Melanie & Andy,I have sent my pension statement to my (hopefully)IP. The company I am using is Kingsgate, part of the Churchwood financial group. They seem pretty competent and helpful, I will be calling them next week and referencing your advice, I think they just want to make sure I am not paying in a ridiculous amount, thanks again for your swift replies, you are a great help.