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Pension Loans

Pension Loans

Get pension loans for your company of up to 50% of your pension pot

Pension Loans: Example facts and figures

  • Pension savings tranferred into new SSAS £25,000
  • Pension loan Annual interest rate 5.00%
  • Net pension loan to your company £11,500

Pension loans suitable for those who:

  • need pension loans for their business
  • need pension loans for their company
  • want safe investments pension loans being in their control
  • Can keep up with pension loan repayments

HMRC rules on pension loans:

  • Pension loans cannot be made to members or their families
  • Pension loans must be made to the company that sponsors the set up of your new SSAS
  • Pension loans cannot be made to another company controlled by the member/s that does not participate in the scheme
  • Pension loans cannot be made to partnerships in which the member or his/her relative is a partner.

Investing in Pension Loans

Pension Loans: Information Required

Borrower name

Your Company

Pension Loan Interest rate (5%)

Pension Loan Interest of 5% paid Annually

Click Above for other SSAS Investments for the remaining 50%

Corp Tax Reference

Pension Loan repayments of capital and interest are tax-free

Conditions for pension loans

Pension loans must be secured as a first charge against assets of at least equal value to the loan plus the loan interest

Pension loan drawdown arrangements

Bank telegraphic transfer to your company bank account

Redeem pension loans anytime

None

Pension Loans - Extension

Pension Loan Rollovers If pension loan cannot be repaid after 5 years it may be rolled over once for a further 5 year term

How a SSAS works

How a SSAS works

Small self-administered pension schemes (SSAS) are set up to provide retirement benefits for a small number of a company directors and/or key staff. They can be open to all employees and their family members even if they don't work for the employer. The number of members is generally limited to 11.

  • Who Decides Whether to Grant Pension Loans?

    A SSAS is run by it's Trustees, who must be the members of the scheme however the ultimate decision on pension loans will be the Practitioner of the scheme- Fenwick SSAS.

  • What is I cant find security for the Pension Loan?

    You should first speak to us as many members give up on pension laons due to their inability to find an asset to stand as security.

    However with our knowledge of pension rules and laws and experience in administering pension loans we often find that solutions are available to enable scheme members put up security for the loan.

  • Do you carry out credit checks?

    We do not always carry out credit checks as pension loans are not open to the public at large but are specific investments for a pension scheme. However, pension loans must be prudently made on a commercial basis to a company likely to repay the loan.

  • How pension loans are spent?

    Pension loans should be used for company administrative purposes such as:

    • Office equipment
    • purchasing or leasing office property
    • Company cars

    Entering into business contracts

    Find out more about pension loans.

Pension Release

Pension Fund Loans

Pension loans can be useful for companies requiring emergency finance.

For companies not in dire need of finance pension loans can increase a business' financial liquidity.

Whilst eligibility for a pension loan can be ascertained quickly any decision youas trustee/s make should always be on the basis that it remain in the best interests of your new (SSAS) pension scheme.

As administrators we guide you on compliance rules for pension loans.

However as you are the trustee/s you will make the ultimate decision on whether to grant the pension loan.

  • Where Pension Loans are Paid to

    1. Pension loans are paid directlyito the sponsoring company's bank account.

    Whilst HMRC rules give some flexibility on wherre the loan is paid we insist that it goes directly into the bank of the sponsoring employer which is always at least one member's company.

Modernise

Modernise

With our pension loans you can upgrade your company's systems making them competitive in the cut throat 21st Century marketplace.

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