Don’t get walloped with exit fees

The threat of new regulation already has pensions providers changing their behaviour on exit fees, says Natalie Stanton.

As we reported last month, the Treasury has announced plans to cap "rip-off" pension exit fees in the next few years. However, as often happens, the mere act of threatening providers with new regulation is already driving them to change their behaviour. One problem following George Osborne's pensions freedom changes was that many savers (particularly in older-style pensions) were subject to hefty penalties for withdrawing their pension earlier than an agreed retirement date.

In some cases, these fees may have been pretty much "plucked out of thin air", according to The Daily Telegraph. Two weeks ago, the paper revealed that Aviva Britain's biggest pension provider had admitted to doing just that.

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Natalie joined MoneyWeek in March 2015. Prior to that she worked as a reporter for The Lawyer, and a researcher/writer for legal careers publication the Chambers Student Guide. 

She has an undergraduate degree in Politics with Media from the University of East Anglia, and a Master’s degree in International Conflict Studies from King’s College, London.