How quick are Prudential drawdown withdrawls

[Suemcgorrigan]

Has anyone made a one-off withdrawal from a Prudential flexi-access drawdown pension pot.  The withdrawal form which you have to send off to them is available online.  I wondered how long it takes for them to get the money to you.


Also, I've read that your withdrawal may be taxed at 40% because it's assumed this will be a tegular withdrawal even though it's in fact one-off.  Is there a way of avoiding this and being taxed at the correct rateof 20% as it will be inconvenient to have to wait until April to claim back a tax overpayment.

[minniemouse]

Welcome to the forum.  Maybe the best people to answer your question are Prudential though.
If anybody on the forum has experience of this I'm sure they would be willing to help, but I feel its probably doubtful.

[Phil]

Has anyone made a one-off withdrawal from a Prudential flexi-access drawdown pension pot.  The withdrawal form which you have to send off to them is available online.  I wondered how long it takes for them to get the money to you.

Also, I've read that your withdrawal may be taxed at 40% because it's assumed this will be a tegular withdrawal even though it's in fact one-off.  Is there a way of avoiding this and being taxed at the correct rateof 20% as it will be inconvenient to have to wait until April to claim back a tax overpayment.

I don't know how long the Prudential will take to make a payment but there have been numerous complaints about many providers dithering & stretching out the time it takes to make a payment.

Contact the Prudential & get a fixed timescale from them, assuming that no delays are caused by you in completing the form incompletely or incorrectly.

 https://www.pensionwise.gov.uk/en/pension-pot-options

[Suemcgorrigan]

I posted on the forum in order not to have to ring Prudential!

[Phil]

I posted on the forum in order not to have to ring Prudential!

I fail to see how any forum can give you a timescale.

Even if a member had used the Prudential & got a payout in whatever timescale, it doesn't mean that you would.

So the answer to your question is that your guess is as good as any of ours.

P.S. If my car sustains some damage today, how long will it take LV to authorise the repairs & make the payment?

[Suemcgorrigan]

Of course you would be able to give a reply based on your experience.  We all know that different companies vary in the time they take to perform similar functions.  Indeed different insurance companies do have reputations for being quick or slow to respond.


Drawdown is a relatively new option.  It would have been useful if someone who had already experienced making a withdrawal were able to comment on that process eg. Once they'd sent off the withdrawal application, it took around a week for the money to appear in their account.


It would seem that no-one reading my post has done this using Prudential.  No worries. But if you haven't, don't bother wasting your time writing an unhelpful reply, although on second thoughts, it's actually not wasting your time as the condescension you display probably gives you pleasure.

[Phil]

Of course you would be able to give a reply based on your experience.  We all know that different companies vary in the time they take to perform similar functions.  Indeed different insurance companies do have reputations for being quick or slow to respond.

Drawdown is a relatively new option.  It would have been useful if someone who had already experienced making a withdrawal were able to comment on that process eg. Once they'd sent off the withdrawal application, it took around a week for the money to appear in their account.

It would seem that no-one reading my post has done this using Prudential.  No worries. But if you haven't, don't bother wasting your time writing an unhelpful reply, although on second thoughts, it's actually not wasting your time as the condescension you display probably gives you pleasure.

Yes & one person would say a month, another 6 months, another 'they didn't pay me' etc so these replies would be of very little use to me.

If you pose a 'how long is a piece of string' question please don't take offence if the reply is 'any length you want it to be' or similar.

I posted on the forum in order not to have to ring Prudential!

I suggest this curt sarcastic reply from you to the advice from minniemouse & myself set the tone for the rest of my posts.

[GrannyMac]

Forum members try to help and advise wherever possible. Two members have replied to the OP, even though they couldn't provide the exact (impossible to predict) information expected.  I'm not impressed By her reply. Would it have been preferable if no one had answered at all?

[Suemcgorrigan]

Yes it would have been preferable. Why reply if you can't answer.

[minniemouse]

Am I being naive in assuming the best people to answer would be the Prudential themselves?.  I worked for a multi-national Insurance Company for a good part of my working life and if I had a pension query I would have automatically asked the Company and being as they were reputable, similar to the Prudential, would have trusted them to give me a truthful reply.

[StephenM123]

The speed and tax rate depend on a number of factors including your pension pot and the sum you are withdrawing, your age (are you over or under state pension age) and even communication between them and HMRC. So speak to the man from the Pru..   

[BazzerPontefract]

Has anyone made a one-off withdrawal from a Prudential flexi-access drawdown pension pot.  The withdrawal form which you have to send off to them is available online.  I wondered how long it takes for them to get the money to you.


Also, I've read that your withdrawal may be taxed at 40% because it's assumed this will be a tegular withdrawal even though it's in fact one-off.  Is there a way of avoiding this and being taxed at the correct rateof 20% as it will be inconvenient to have to wait until April to claim back a tax overpayment.

Sue,
Obviously your first drawdown...
Yes, they'll probably tax your first drawdown at 40% because they'll not yet have a tax coding for you.  As soon as you get your payment you can claim any over-payment of tax immediately from the inland revenue - assuming the entirety your drawdown doesn't qualify for 40% tax, if it does well lucky you. 
Make a tax return and the IR will send a tax coding to the Pru, so they'll know how to tax your drawdowns in the future.

[Phil]

Yes it would have been preferable. Why reply if you can't answer.

The first part of your question was how long it would take for a payment to be made & that cannot be answered by anyone other than the Prudential so why ask a question that can't be answered by anyone other than the Prudential?

Therefore the only possible answer was that there wasn't any answer other than contacting the Prudential & that was the answer you got.

I posted a link that explains the various draw down options & tax procedures.

P.S. Please read my signature at the bottom of my posts.

[StephenM123]

Is this in any way related to your AVC question of a year ago?

[Emmy]

I wondered that,too,Stephen.Surely there must be some financially-orientated forums which would be more suitable than PF.