People wanting to cash in their entire pension pots without taking regulated advice should be subject to a mandatory 30-day cooling off period, advice firm LEBC has said.
The group has written an open letter to the Chancellor George Osborne and Financial Conduct Authority (FCA) chief Martin Wheatley. It said it is concerned many consumers "could take actions which will not prove to be in their long term interests", particularly in the early days following the introduction of the pension freedoms on 6 April. From that date, savers aged 55 or over will be able to withdraw all of their pension funds subject to tax at their marginal rate. Prior to 6 April, early access to pension savings comes with a minimum 55% tax charge. The change was one of several...
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