Pensions Transfer Process for doctors relocating from Scotland to India. Transfer of Pension Rights from Scotland Public Pension Agency (SPPA) to a QROPS in India.

What is QROPS?

A QROPS (Qualifying Recognised Overseas Pension Scheme) is a way of moving your Scotland Public Pension Agency(SPPA) pension arrangements to a scheme administered outside the Scotland, which is more flexible & easily accessible for people who have retired abroad or are planning to do so. 

What is Exide Life Golden Years Retirement Plan?(Formerly known as ING Golden Years Retirement Plan).

Exide Life Golden Years Retirement Plan (formerly known as ING Golden Years Retirement Plan) is a non-participating variable Insurance Pension plan allowing for accumulation of premiums until the vesting age. This Plan provides guaranteed benefits on vesting & death. The scheme is also recognized as ‘Qualifying Recognised Overseas Pension Scheme(QROPS) by HMRC. One can get their SPPA Pensions transferred into the scheme. The transferred Corpus will continue to grow till the vesting age of 55 years. The Existing Exide Life Pension Scheme has delivered Consistent returns by declaring an average compounding returns of 9.65% over last 8 years.

On attaining vesting age of 55 years, the Member can commute the policy & take 1/3^rd of the total grown Corpus as tax free Lumpsum& the remaining 2/3^rd amount can be used to purchase a life annuity from Exide Life Company till the Member’s lifetime. On demise of the Member (before or after vesting age), the Nominee can either choose take pensions or can take the Corpus back as tax free lumpsum.

  

What are the steps involved in the pension transfer?

Step1: Mandate to Scotland Public Pension Agency(SPPA) Scotland, requesting to dispatch CETV to QROPS Scheme Manager.

Step2 : On receipt of set of forms (CETV) from SPPA, the QROPS Scheme Manager will be returning them duly filled with the required details to SPPA authorities.

Step 3: Scotland Public Pension Agence (SPPA) will be transferring the Corpus directly to Exide Life Insurance bank Account through Wire Transfer, under intimation to the client.

Step 4: On receiving the Corpus to ING bank Collection A/c, the bank authorities ask the Scheme Manager  to submit the prescribed Disposal Form giving complete details of the transaction.

Step 5: On Submitting the prescribed Disposal form to the bank, the Forex Department of the bank will convert the Currency at the prevailing Exchange rate as on that day.

Step 6: The receipt for the transferred Corpus after conversion (premium) will be drawn in the Client name from the Accounts Department.

Step 7: Exide Life Golden Years Retirement Policy will be completed instantaneously, which gives the client unabated guaranteed as well as variable benefits as per the features of the policy.

Step 8: Finally the Client will receive a communication from SPPA-Scotland over post confirming the transfer of SPPA pensions to Exide Life Golden Years Retirement Plan.

Case illustration

Client 1: Dr A, 35 year old physician, worked in the Scotland for 7 years as a SHO and a year as a consultant and contributed into the Scotland Public Pension Agency (SPPA)  pensions. He left the Scotland & settled in India for good. Now he was in a quandary as to how to deal with his SPPA pension rights. With his authority, we obtained the relevant information from SPPA Pensions authority and the total amount accumulated was in excess of £80,000. It became apparent considering the impact of tax rules as well as few other important factors which increased the likelihood of a transfer to a QROPS in India being in his best interest. Now we have transferred his amount in INR Rs. 80.20 Lacs in Exide Life  Golden Years Retirement Plan in India, which he can expect to grow at about 7.5% to 8%. At 55 years his corpus is likely to grown to 3.1 Crores. He can take a lump sum of 33% of this amount (Rs.1.02 Crores) as 100% tax free commutation amount and take an approximate pension of Rs. 15 Lacs P/A guaranteed for life on the balance amount of Rs.2.07 Crores. In case of demise of the pension holder, Rs. 2.07 Crores in this case will be given to Nominee which would be 100% Tax free

Client 2: Dr B, 42 year old Pediatrician, worked in Scotland & England and contributed to both NHS pensions in England and in the Scotland Public Pension Agency (SPPA). After leaving the UK, she is working in Singapore and intends to settle down in India after retirement. Dr B wanted to transfer her both NHS & SPPA Pension rights to a QROPS in India. With her authority, we approached both NHS & SPPA & obtained the relevant information from both the agencies and the total amount accumulated was in excess of £1,50,000. On completion of the transfer, we were able to Consolidate Pension rights of both NHSPA & SPPA to one Exide Life Golden Years Retirement Plan.

Client 3: Dr C wants to relocate to India after 3 months, but wanted to take advantage of the ££ value(Current Exchange rate) and opted out of SPPA pension scheme while being in Scotland. With his authority, we initiated Transfer process & successful in transferring his SPPA pension rights to ‘Exide life Golden Years Retirement Plan’ whilst he is in UK and he is able to took advantage of the Current Exchange rate. In addition Dr C is enjoying all the benefits of the scheme that has been illustrated in the above two case studies.

The sequence in brief

1.      I explain the scheme, work out the benefit illustration and answer your queries

2.      Collecting documents, sending by DHL Courier to Scotland, tracking it.

3.      Receipt of forms from Scotland with calculation of corpus amount. I will process them and get them signed by client, send them back to SPPA

4.      Transfer of corpus amount from SPPA to Exide Life Golden Years Retirement plan.

Documents needed

1.      Exide Life application form

2.      Two Passport size colour photos

3.      OCI/PIO Photo copy if you are OCI/PIO Card Holder

4.      Address proof in India (Utility bills/ Bank Statement/ Ration card, Letter from bank etc. If address proof not available in your name, then address proof in the name of Spouse?parents)

5.      A Cheque of Rs 24,000 in favour of 'Exide Life Insurance'. This 24,000 premium can be paid online directly to Exide Life Insurance A/c.

6) Passport photo Copy

  Who am I? 

Let me introduce myself. I am Ravi kumar I have been working as a Financial Consultant for more than 5 years. I have been instrumental in transferring pension for relatively good number of doctors & other professionals who have relocated from Scotland to India & other jurisdictions overseas. I promise to offer quality service & my service covers existing Pensions review, Free QROPS Consultations & Guide, Transfer Recommendation Report and much more.

Please contact me for an informal chat about the transfer scheme with my following Contact details.

Mr Ravi Kumar. Financial Consultant (Code: 60272381), Exide  Life Insurance Co Ltd.

Branch- B 21, # 28, 6th floor, Centenary building, M.G Road, Bangalore-560 001.
Cell:     +91 9844519872, +91 9980927393
Email:  ravi.sampige@gmail.com