Can I Cash In My Pension Early, Before Age 55?

“Can I cash in my pension early?” is a question we are often asked by people under the age of 55, or even under the age of 50. The simple answer is, “It depends”

Different options are available to get money from your pension before retirement. What is available will depend on the size of your pension, your age, and other circumstances. For example, it may be that a loan against your pension could help you to get the money you need. Also, some other schemes may offer a “cash back” bonus if you transfer your pension to a different company.

Different options become available quite often, so if you would like to find out what options are available to you the easiest way is to fill in the form on the right of this page, to book a chat with an expert. It’s free, there are no credit checks, and there is no obligation. Once you know more about all your options, you can get further advice, and make an informed decision.

Why Do People Access Their Pension Early?

There are many reasons why people want to raise money from their pension. Often it is a last resort, when no other options are available and money is needed urgently. But equally, some people feel that the likely return they will get from their retirement scheme is not as good as other opportunities. For example, some people think they can get a better return by investing in property, or by starting their own business. And nowadays it is more and more common that people want to give money to their children, to help them get started on the housing ladder – the “bank of mum and dad”, as it is often called.

Please remember that changing your pension, or accessing its funds early, may affect the benefits you get when you decide to retire. We would always recommend that, once you have the information about your options, you should consult a qualified IFA (Independent Financial Adviser) before making a decision. Next to your house, your pension is likely to be the largest investment you make during your lifetime. So make sure you have all the information available before taking such an important choice.