Choosing UK Annuities
When your pension plan "matures", your pension provider will contact you with an offer of an annuity. What they offer will depend on the size of your pension fund however:
Under no circumstances should you accept the first annuity you're offered.
Most people take their first offer and lose out badly by getting an annuity of UP TO 30% LESS than if they'd bothered choosing a better one by shopping around.
You can shop around yourself (see DIY annuities) though we'd suggest you're probably best off using an IFA to conduct a search for you. It should not cost you any more.
There are many different types of annuities to suit all needs eg you may want to provide for your partner if you die first.
For some examples of choosing different types see 1, 2 and 3 below.
Make sure you buy the right type. Consider what you need and then find an annuity that matches.
Annuities UK Guide
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