If you have investments held with other providers, it may be possible to transfer them to the James Hay Modular iPlan.

Transferring pensions to us – We can accept transfers into the Modular iSIPP from other registered pension schemes, including Qualifying Recognised Overseas Pension Schemes (QROPS) and pensions you have already taken an income from. Transfers can be made as cash or as existing investments (an 'in-specie' transfer Where a pension or Individual Savings Account (ISA) is transferred to another scheme with the underlying investments intact. Whether or not an in-specie transfer can go ahead will depend on whether the receiving plan can support the same investments as the previous scheme. ), provided they can be supported by James Hay.

It is very important to ensure that a pension transfer is appropriate and that you won’t lose any guaranteed income or safeguarded benefits Pension benefits that are assured to a scheme member such as a pension income that guaranteed to be calculated as a proportion of salary (a defined benefit pension) or a guaranteed annuity rate. If an individual chooses to transfer their pension to another provider or plan, it is important to check if any safeguarded benefits will be lost. by transferring out. We strongly suggest that you seek financial advice in all instances, and there are certain types of pension transfer that we can only accept if recommended by a regulated adviser.

For more information about transferring a pension to James Hay, and for an overview of the types of transfers, please view the following guide:

literatureGuide to transferring in

Transferring ISAs to us Individual Savings Accounts A savings and investment scheme set up by the government that allows a certain amount to be invested each tax year, with proceeds free of income tax and capital gains tax. Depending on what they invest in, ISAs can be classified as cash ISAs (for savings and deposits) and stocks and shares ISAs (for stockmarket-linked investments). (ISAs) taken out with other providers can be moved into the Modular ISA without affecting your current year’s ISA allowance, providing you make a formal ISA transfer request to us.

Transferring other investments to us – Funds and other investments not held in an ISA or SIPP may also be transferred to us using the Modular General Investment Account, (GIA). You can transfer their cash value or re-register existing investments provided they can be supported by James Hay. See the Modular GIA Permitted Investments List for further details.

Please note: you must set up a Modular iSIPP before you can apply for a Modular ISA or Modular GIA.



How to transfer a pension to your James Hay SIPP 

There are two options for making a transfer in if your SIPP is already open:

1. Transfer online

With a James Hay Online account, you can make a cash transfer to your SIPP at any time. Simply log in to your account and follow the options to transfer in. The video below shows the steps involved and the information you will need.

 

 

2. Transfer by post

You can download and complete the relevant transfer form and send it to us by post. If your existing provider has provided you with any forms, please complete them and send them to us along with the transfer form.


 

Can I transfer a defined benefit scheme to my SIPP?

Yes - If you have a defined benefit (occupational final salary) pension or defined contribution pension which includes safeguarded benefits, you must have received advice from a regulated financial adviser, who is recommending that you proceed with the transfer. We do not accept transfers where you are deemed an ‘insistent client’, which under the Financial Conduct Authority’s (FCA) guidance is where an adviser will transact business for you against their advice, if you insist.

It is important to be aware that you are likely to be worse off when transferring from a defined benefit scheme to a defined contribution scheme, such as a SIPP, even if you are being offered an incentive to do so. You can read more about transferring a defined benefit scheme on the Money Advice Service website.

The FCA attaches significant importance to you understanding the impact of surrendering long term pension rights, and emphasises that the financial adviser must evidence that your financial position will be enhanced by transferring.

Your financial adviser will need to:

1. Be regulated by the FCA

2. Have the relevant FCA permission to advise on the transfer of a defined benefit scheme and be giving explicit advice recommending the transfer

3. Complete our Confirmation of Advice to Transfer Pension Fund form, which must be submitted to us on the adviser’s company letterhead. Alternatively, your adviser can complete and sign the relevant sections of our Transfer In Forms, which are available on our website.

How long does a transfer take?

It is difficult to give a definitive answer as it varies on a case-by-case basis, depending on the transferring scheme and the complexity of the assets held.

You can choose to transfer all or part of your pension scheme(s) in cash. Cash transfers tend to be completed quicker than in-specie cases.

What about Pension Scams?

You need to be aware of pension scams, as there are people who seek to profit financially from recommending that you transfer pensions. The greater flexibility introduced by the Government has provided an opportunity for criminals to take advantage of investors, and you should be particularly wary of anyone who is recommending or encouraging you to transfer if they are not your FCA regulated financial adviser.  You can read more about pension scams here.