Don’t be drawn in by a company promising to give you access to your pension before the age of 55. This is rarely possible unless you’re terminally ill/have a serious illness preventing you from continuing your normal occupation or you’re a member of a scheme with a protected retirement age from before the 2006 ‘A Day’ rule changes.
Only a pension recognised by HMRC will be eligible for tax relief; if you shift your money into an investment scheme not recognised as a pension plan, there could be tax charges.
If you try to liberate your pension before the age of 55 without having been diagnosed as seriously/terminally ill (or being a member of a scheme with a younger protected retirement age) you’ll incur a hefty 55% tax charge because HMRC will class it as an ‘unauthorised payment’
From wine and diamonds to holiday resorts, store pods and car parks, these products promise high returns, often “guaranteed” for the first years and a further “developer buyback option” effective after a certain period of time. However, the investments do not always work out. And the word “guarantee” is often used in the loosest sense, leaving the investors stranded with a low yielding product they can’t sell to get their money back. Stay away if you are not sure!