There are many reasons why you may be considering pension loans, or other ways of getting cash from your pension, before the age of 55. These could include:-
- Setting up a new business
- Consolidating existing bills, to reduce high cost interest rates
- The need to pay off a debt quickly
- Have a large expense looming and no cash available to pay for it
- Want to help your son or daughter get on the property ladder by giving them the deposit for their new home?
- Need access to cash now and not wait until you reach retirement age
It doesn’t matter what the reason is and you won’t be judged! Pension Loans UK is here to help you maximise your options for accessing cash now, rather than later. Knowing that a pension is building up nicely and quietly in the background for you for later life is great – but sometimes it can also act as the security you need NOW to allow instant access to your money. This could be just what you need in these difficult times, as borrowing money isn’t easy in the current financial climate – so may be able to get the security of your pension to work for you right now!
What are pension loans?
Update: 2016 – it is quite rare these days for someone to offer an actual loan against your pension. It is more likely that you will be offered a cash incentive, if you transfer your pension to a different company.
A pension loan is basically a loan that allows you to borrow an amount of money against your pension fund – usually anything up to 50%. Unlike some other loan options, a pension loan does not attract a credit check and you do not have to give evidence of your current income. Even if you have had a poor credit rating in the past, this will not be judged against you, as your future pension fund will act as your guarantee. Any loan you chose to take will also not affect any future credit rating for you, as this loan against your pension is not registered with any credit reference agency.
Pension loans can offer you one of the lowest loan rates of interest in today’s market, so why not take a look and get a quote now!
How do you know if you qualify?
To be able to apply, you obviously need to have a UK private pension, or a number of small private pensions which amount to a minimum value of £16,000. It makes no difference whether or not the pension is currently frozen, or still being paid into. The larger your pension, the more you can borrow, but that doesn’t mean you can’t borrow a smaller amount.
How much will it cost you?
This is a difficult question to answer without knowing what pension you have or what it is that you want to do. Some pension providers have a charge if you’re looking to get cash out early, although most of them don’t. Some options mean you would only need to repay the loan when you either retire or draw your 25% tax free lump sum, whichever is first, with no payments before this. That option is not always available, so please get in touch to find out whether it could work for you.
We do not charge a fee so you will not have to pay us anything just to find out what your options are. With any option we offer, you will be told exactly what costs and charges there are before you decide what you’re going to do. If you don’t do anything then you don’t have to pay us anything
How do you apply?
Take the first step by simply completing the enquiry box to the right of this page. We will call you back at a convenient time to yourself. The process is very simple, confidential and hassle free! There is no obligation on your part and no cost to find out what your options are. There are also no credit check involved.
How long will it take?
Most organisations can provide you with approval within a day after applying for your pension loan. So if cash is required quickly, then this may be the answer for you as it is often one of the easiest loans to apply for – the collateral (your pension) is already there!