I faced a £4,367 es­cape penalty

Daily Mail - - Money Mail - Pic­ture: WAR­REN SMITH

KEN SLATER (pic­tured, left, with his wife Jane and grand­chil­dren Joseph, 11, Ben, six, and Ja­cob, one) took out a Friends Prov­i­dent pen­sion plan in 1990 soon af­ter he gave up his job in fur­ther ed­u­ca­tion to be­come a free­lance cam­era­man.

He started pay­ing in £50 a month, in­creas­ing it to £200 later on. Ken, 59, from New­castle­upon-Tyne, then wanted to stop pay­ing, but found out he would be hit with a £4,367 penalty on his £54,355 pen­sion pot.

He had lost con­tact with the fi­nan­cial ad­viser who orig­i­nally sold him the pol­icy.

On the ad­vice of in­de­pen­dent fi­nan­cial ad­viser AWD Chase de Vere, he got out of the fund in April last year with­out pay­ing a charge. Mr Slater says: ‘I am happy to be out of this. We were pay­ing in, think­ing we were do­ing the right thing, but it is very dif­fi­cult to an­a­lyse.’

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