Company Pension and Bankruptcy

[sidkid]

Im told that the rules have changed recently - is it true that following a person being made bankrupt, creditors no longer have any claim on the bankrupts company pension?

[themas]

The rules on this changed some years ago. There are a few very rare cases where a claim can be made on a pension - mostly I think where excessively large payments have been made into the pension fund - but if you are a member of a company scheme making normal contributions then the pension is secure.

The above assumes that you are asking about your contributions to the fund, & that you have not yet retired and taken your pension. If you are receiving a pension then it is treated as income in the same way as earnings are.

If you retire while you are bankrupt and take a lump sum as well as a pension then it might be that the lump sum is at risk. Go to Insolvency Service website for more info. If necessary ring their advice line.