Pension fees and charges set to be made clearer
Published 01/06/2014 | 02:30
It could soon be easier to understand how much of your pension scheme is eaten up by fees and charges. The Central Bank wrote to life assurance companies last week asking them to be clearer about the fees charged on pension plans.
The letter was written on foot of a Central Bank review of annual pension statements.
"The firms reviewed provided an aggregate figure for charges in cash terms," said the Central Bank in its letter.
"However, some firms have highlighted that fund management charges are not explicitly included in the presentation of charges on their statements. The majority of firms have presented policy-related charges in cash terms and fund management charges in percentage terms."
Consumers would prefer to see all fees and charges provided in one location on the statement – and broken down in euro, according to the review. Consumers also said they would like to see a monetary total of all fees and charges.
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