Transferring a pension can feel like a big step. And when you’re moving savings you’ve built up over years, it’s understandable to wonder what’s happening if things don’t move straight away.
The good news is that a delay doesn’t necessarily mean anything has gone wrong. Pension transfers involve communication between your existing provider and your new one, and sometimes there are additional checks or paperwork along the way.
As a general guide, cash pension transfers usually take around 2–4 weeks, while in-specie transfers typically take around 4–6 weeks. Some providers can be much quicker, while older or more complex pensions can take longer.
Here are some of the most common reasons transfers get held up, and a few things you can do to help yours go as smoothly as possible.
1. Your personal details don’t match
This is one of the simplest causes of a delay, but also one of the easiest to avoid.
The details held by your existing pension provider need to match the information you provide when starting your transfer. Differences can include:
- A maiden or previous surname
- Using a shortened name or nickname
- Missing middle names
- An old home address
- Other personal information that hasn’t been updated for a while
Small differences can mean your provider needs to carry out additional checks before they can release your pension.
Before starting a transfer, it’s worth checking the details held by your existing provider and updating anything that’s out of date.
2. The wrong pension or policy details have been entered
Your pension policy or account number helps your existing provider identify exactly which pension you want to transfer.
A typo or incorrect reference can cause delays, but there’s another issue that’s easy to miss: choosing the wrong pension product.
Some pension providers operate several different plans, sometimes with very similar names. Older pensions may also have been renamed over the years.
If the wrong product is selected, the transfer request may go to the wrong part of the provider and could need to be cancelled and started again.
Before submitting your transfer, double-check both your policy number and the exact name or type of pension you hold.
3. Your existing provider needs something from you
Sometimes your old pension provider will need some additional information before it can release your money.
This might include:
- A discharge form
- A pension transfer questionnaire
- Additional due diligence checks
- Confirmation of your identity or transfer request
- Information designed to help protect customers from pension scams
These checks are a normal part of some pension transfers and can vary between providers.
It’s also worth remembering that not every pension company communicates in the same way. While InvestEngine will keep you updated by email and through your account, your existing provider may contact you separately.
And yes, sometimes that still means a letter through the post.
While your transfer is underway, keep an eye on your inbox, InvestEngine account and any messages or post from your existing pension provider.
4. You’re transferring an older workplace pension
Not all pensions are administered in the same way.
Some older workplace pension schemes still involve more manual processes, additional administrators or paperwork. This can mean they take longer to transfer than pensions managed through newer electronic systems.
Processing times can also vary significantly between pension providers.
So if your transfer is moving more slowly than expected, it doesn’t automatically mean there’s a problem. Sometimes it simply means your existing provider needs more time to process the request.
5. Your pension has special benefits or restrictions
Some pensions come with additional benefits, guarantees or restrictions that need to be checked before they can be transferred.
This can include things such as:
- Guaranteed benefits
- Protected pension ages
- Exit charges
- Restrictions attached to the pension scheme
Whether a pension can be transferred can depend on the individual scheme.
InvestEngine also cannot currently accept some types of pension, including defined benefit pensions and workplace pensions that are still receiving employer contributions.
If you’re unsure whether your pension is eligible, it’s worth checking before you begin the transfer.
And remember that transferring a pension can mean giving up valuable guarantees or benefits, so make sure you understand what you may be leaving behind before deciding to move it.
6. You’re transferring investments rather than cash
There are two main ways a pension can move between providers: as cash or in specie.
Cash transfers
With a cash transfer, your existing investments are sold and the proceeds are transferred as cash.
These transfers are generally quicker and typically take around 2–4 weeks.
However, because your investments have been sold, your money will be out of the market while the transfer takes place.
In-specie transfers
With an in-specie transfer, eligible investments are moved from one provider to another without being sold first.
These typically take longer, around 4–6 weeks, because there are more moving parts involved.
The advantage is that eligible investments remain invested while they move between providers.
InvestEngine can accept ETFs in specie where the ETF is available on our platform. We can’t accept individual stocks, mutual funds or other unsupported investments in specie, so these would need to be sold and transferred as cash instead.
Not every pension provider supports in-specie transfers either, so the options available will depend on where your pension is currently held.
7. Your holdings have changed during an in-specie transfer
This applies to in-specie transfers only.
With an in-specie transfer, your existing provider and InvestEngine need to agree which eligible investments are being re-registered, including the number of units being moved.
If investments are bought, sold or rebalanced after the transfer request has been submitted, the holdings may no longer match the transfer details already agreed with your provider. In some cases, this can mean the transfer needs to be restarted using the updated unit quantities.
Each provider handles this differently. Some may pause activity while an in-specie transfer is underway, while others may not.
To reduce the chance of this happening, it may help to:
- Avoid placing buy, sell or rebalance orders while the transfer is in progress
- Check whether any regular or one-off payments are due to be invested automatically
- Consider pausing regular top-ups or switching off automatic investment if your provider allows it
8. There’s something waiting for you
Sometimes a transfer simply reaches a point where either InvestEngine or your existing provider needs you to do something.
If that request is missed, the transfer can stop moving until you respond.
InvestEngine will provide updates by email and you can also follow your transfer through your account.
Your existing provider may contact you separately, so it’s worth checking their messages too.
A quick look through your recent emails, online pension account and even your post can sometimes reveal the reason a transfer hasn’t progressed.
Why might a pension transfer be cancelled?
Sometimes a transfer request can’t be completed as originally submitted.
Common reasons can include:
- Personal details not matching
- An incorrect pension or policy number
- Selecting the wrong pension product
- The pension not being eligible for transfer
- Required information not being provided
- The existing provider being unable to validate the request
A cancellation doesn’t necessarily mean you can’t transfer the pension. Depending on the reason, it may simply mean some details need to be corrected before a new request can be submitted.
My pension transfer is taking longer than expected. What should I do?
If your transfer seems to have gone quiet, the best place to start is your InvestEngine transfer status.
Check your account to see the latest update and whether anything is required from you.
It’s also worth:
- Checking your recent emails from InvestEngine
- Looking for messages or post from your existing provider
- Checking whether your existing provider has asked you to complete any forms or confirmations
If your InvestEngine status shows that we’ve already sent the transfer request to your existing provider, contacting them directly may be the quickest way to understand what they’re waiting for.
And if you’re unsure what your transfer status means, you can always get in touch with the InvestEngine team for help.
A few checks can make a big difference
Pension transfers involve a few moving parts, but many delays come down to relatively simple things: matching details, paperwork or waiting for one provider to respond to another.
Checking your information carefully before you start, choosing the correct pension product and keeping an eye out for messages while your transfer is underway can all help make the journey much smoother.
Capital at risk. The value of your investments can go down as well as up, and you may get back less than you invest. Pension and tax rules depend on your circumstances and may change in the future.