Question: I have found Income Drawdown funds and products from a variety of providers to be remarkably similar to a personal pension. What assurances can my clients receive that an Income Drawdown plan is a more viable option or separate alternative?
Answers: Fiona Tait - Scottish Life An income drawdown plan is in fact a personal pension! The only difference is that a drawdown plan has the additional facility to hold crystallised money (after PCLS is taken). This facility may come at an extra cost and so if your client is not intending to use drawdown in the short term it is essential to select a plan which doesn't implement the additional charges until drawdown is activated. Some companies offer separate personal pension and drawdown plans, with the latter usually being more expensive. Scottish Life feel strongly that t...
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