Prime Time on public service "Union appointed avc providers Vs Notional Service"

[mula]

The benefits come as a 25% lump sum with the other 75% as taxable income or ARF.

The tax treatment of an AVC at retirement depends on the persons superannuation benefits plus any other preserved benefits at retirement.

However, as the rep explained, the ARF can be "managed" to make the tax on the way out standard rate whilst you enjoyed higher rate relief on the way in.

This applies is most but not all cases

 

[extopia]

im nearly sure irish life only provide a prsa avc if you go through cornmarket.

Not at all. You can buy execution-only Irish Life AVC PRSAs from many brokers. Here's example.

btw Mula, you give your location as "cornmarket" - are you connected to them in any way?

 

[Dave Vanian]

I would prefer to stick with i.e. Irish Life as they have the backing of the Gov and I am familiar with them.

tmurr - Are you suggesting that Irish Life pensions have some form of government backing that other Irish pension companies do not have?

 

[tmurr]

PTSB and Irish life went on board the Gov's offer to back them. This I think is important cause at least the company has the backing of the gov.

 

[tmurr]

Did your friend provide any proof for those allegations? You could be jumping to conclusions and your friend could be plain wrong.

His name and company name is actually mentioned on the cornmarket website as being investigated by the regulator.

 

[Dave Vanian]

PTSB and Irish life went on board the Gov's offer to back them. This I think is important cause at least the company has the backing of the gov.

Irish Life pensions and Permanent TSB deposits are totally different things although the parent company of both is Irish Life & Permanent plc. Permanent TSB signed up to the Government's deposit guarantee scheme so their deposits are now backed by the Government.

Irish Life pensions are not backed by any Irish government guarantee scheme and to suggest that they are is grossly misleading. No Irish pension fund is backed by the Irish government. A small number of UK pension companies operating in Ireland (e.g. Standard Life, Royal Liver, Caledonian Life) are covered by the UK protection scheme in respect of their pension business but there is no equivalent scheme in Ireland.

 

[Tom123]

Character assassination is as old as the hills in these circumstances but has no bearing on the issues. Mr O'Sullivan has acted in good faith and has taken on very powerful forces. The advice to transfer an AVC fund for a guaranteed pension income may be great advice for most people faced with negative returns against inflation for ten years and a collapse on annuity rates. This issue follows the endowment mortgage story of 1993 uncannily.

There was an argument for some very limited numbers taking up endowment homelolans but the industry drove a coach and horses through it lead by Irish Life who once again appear here. There is a limited argument for AVCs if its a lump sum you're after at retirement and not long term security or if you simply can't afford the NSP. But even in the latter case you'd be more secure building up an AVC with the bit you can save then later buy the guarantee.

Few people are prepared to stand up and publicly take on the industry like Mr O'Sullivan. I've no doubt that Primetime were hard pressed to get professionals within the industry to rock the boat especially actuaries conflicted by earning their income from industry work. These type of people deserve better than character assassination on annonymous websites alive with industry proponents.

 

[Dave Vanian]

I agree with Tom123. It appears that Cormarket are attempting to discredit George O'Sullivan on the grounds that he's not regulated by the Financial Regulator. As he dispenses his pearls of wisdom on a voluntary basis through his free helpline, he simply falls outside the scope of the Financial Regulator. No "investigation" required there.

 

[extopia]

His name and company name is actually mentioned on the cornmarket website as being investigated by the regulator.

I believe this allegation is false. Can you point to any specific reference (on the cornmarket site) to the named individual being investigated?

There is possibly an implication there, but no specific allegation that I can find.

 

[Dreamerb]

I believe this allegation is false. Can you point to any specific reference (on the cornmarket site) to the named individual being investigated?

There is possibly an implication there, but no specific allegation that I can find.

I agree. There's a clear statement of concern from the Pensions Ombudsman that (sometimes) inappropriate advice is being offered in a non-professional capacity by a person or group which - because not operating as an authorised advisor - is not covered by professional indemnity insurance. However, while an inference can certainly be made from the presentation of the material, and while the Pensions Ombudsman said he had referred a matter to the regulator, he does not name any individual or organisation.

 

[ubiquitous]

I agree. There's a clear statement of concern from the Pensions Ombudsman that (sometimes) inappropriate advice is being offered in a non-professional capacity by a person or group which - because not operating as an authorised advisor - is not covered by professional indemnity insurance.

...a point that could just as easily be made about AAM and similar forums, btw.

 

[mjb]

Am a member of the TUI AVC scheme and am familiar with the efforts of George O Sullivan to highlight issues relating to AVCs and Notional Service. I believe he has been of great service to ordinary members and has shone a light into some dark corners. This may not be to the liking of Marsh or Cornmarket but it is to the benefit of ordinary teachers. I have an AVC and am purchasing notional service and am happy with my lot but I I am also grateful to George O Sullivan for his courageous efforts on behalf of Union members.

 

[Dreamerb]

...a point that could just as easily be made about AAM and similar forums, btw.

True, but at least on AAM you'll often get a variety of views and opinions, ranging from the amateur to expert.

And, to be clear, I wasn't having a go at anyone, whether large company or named individual. But several suggestions have been made that a named individual is under investigation and I think it behoves us to be cautious in making such assertions.

 

[WhistleBlowr]

PEPS RESPONSE TO TMURR

In the cold war era a Russian KGB Chief sought out their local secret agent, the respectable Micheal O’ Shaughnessy. He enquired discreetly of a turf cutter near Caherciveen ; the retort was “ Is it Mickeen the spy you are looking for”?

Well done, Mickeen, because you knew that Paul Kenny, the Pensions Ombudsman was reporting me to the Financial Regulator {Sunday Times-business section}and I had no idea.

But I had e-mailed the Regulator and Paul on the previous Tuesday pointing out that these teachers of the Marsh TUI AVC plan who moved the €500,000 across to NSP were well into their 50’s and big into AVC’s to retire at 60. They jumped at the chance to cross over when PEPS explained at the Pension Optimisation Talk plus Q&A, because they had been unaware .
They just got out in time before the recent stock market holacoust. It was my concerned letter to the TUI General Secretary about the thousands who did not escape, that prompted TUI AVC Trustees Ltd to threathen law and link with Paul.

And Mickeen ,don't you be worrying your head about about my qualifications because I've been decades at it ;I can shove actuarial data into my financial analyis machine for a pensions decision every bit as fast as I'd push nuts and bolts into a plant replacement decision .

I'm all for being investigated but how about a few more AVC players for company. Maybe Paul would oblige.

Sincerely,
Independent Pensions guy with glasses 'X' accountant who was on prime time.

 

[paul1964]

Gr8 stuff whistleblowr good to see you standing yp to them. Ihave just a few questions. I am a 42yr old teacher married i have being trying to get 'independant advice' for ages to try to make the most of my pension. I have met cornmarket on a couple of occasions but always thought they were not giving correct advice. But i have done a lot of research into this area and i want your opinion on a few issues.

1. I want to retire early at 55 hopefully what is the best option for me.

2. Is their anyway i can make my pension guranteed.

3. What if i die in service and in retirement with NSP. I couldnt make out the benefits based on Prime Time.

4. My wife is not earning substantially and is not provided with a pension what do ye think i should do.

5. Cornmarket told me if i die in retirement, my entire fund will be severly reduced and will not pass as a lumpsum to my wife. They also told me i and my wife die all the money is gone and does not pass to my children.

This is a big decision for me i do not want to go with cornamrket but LA Brokes provide no advice on my pension .

I also read the report in the Sunday Times on this gentleman yesterday and was concerned with the report from Niall Brady.

So if all of these people are suppose to have vested interests what the hell are we suppose to do.

One other quick question cornmarket told me that if i feel they give bad advice i can sue them for providing bad advice.

Can i take any legal actions against PEPS if their advice is wrong.
If so why not

Cheers Paul

 

[Coordinated]

Hi Paul, I assume you don't teach English! You sound like a cornmarket stooge.
Coordinated.

 

[extopia]

You beat me to it

 

[Kildare123]

Paul,

I think you can only do NSP's if you are going to retire at 60 or 65?? CAnt help on the rest.

 

[mula]

Paul,

I think you can only do NSP's if you are going to retire at 60 or 65?? CAnt help on the rest.

you can avail of nsps if you wont have your 40 yrs at your NRA which is either 60 or 65 and your NRA depends on when you were appointed.

 

[extopia]

Mula, you've changed your profile... your location is now "Ireland" instead of "Cornmarket". Any reason for this?