Buy Out Bonds

A Buy Out Bond is a pension bond into which you can transfer your fund if you leave your company pension sheme

When do I have to decide if I want a Buy Out Bond?

You have up to two years after you leave a company pension to transfer your fund to Buy Out Bond. Outside of the two year period you can still transfer to a Buy Out Bond if the trustees agree.

How is my Buy Out Bond set up ?

The bond is actually set up by the trustees of your company pension. They apply for the bond in your name but once it is set up it belongs to you and the trustees have no further involvement in it.

Who chooses the Buy Out Bond ?

You do. Even though the trustees have to sign the application form,you can generally choose any Buy Out Bond you like.
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Can the trustees transfer my fund to a Buy Out Bond without my consent ?

Yes, but only under certain circumstances:
  • If a company pension scheme is being wound up.
  • If the transfer value of your fund is less than an amount set by the pension act.
  • In any other cases where approval is given by the pensions board.

When you leave a company pension you have three choices as to how you use any pension fund to which you are entitled. You can:
  • Leave it invested in your company pension until you retire.
  • Transfer it to the company pension of your new employer.
  • Transfer it to a Buy Out Bond in your name.
Neiland Financial Services Ltd, Carrig House, Roche's Road, Wexford - T: 053 9146592 | F: 053 9152090 | W: www.nfs.ie

Neiland Financial Services Limited T/A Neiland Financial Services and Ace Mortgage Solutions is regulated by the Central Bank of Ireland. 
Directors: Kenneth Neiland & Margaret Neiland. 
Registered information:  Company No. 440364  Registered Office: Carrig House Roche’s Road Wexford.