superannuation thieves

J_Putz · 09-08-2011, 03:24 PM

I recently asked for an amount, which in my retirement I will certainly consider to be considerable, to be transferred from my old super account into my current one.
A bit more than a month later I get the paperwork which says the deed has been done only to find out that 50% of the figure has been stolen by the previous company on the spot in account keeping fees etc. Not over the course of my dealings with them but on the spot.
I guess this is their way of saying thanks for being a member and we hope you'll recommend us to your friends...
I would LOVE it if I were able to name these bastards on this forum.

Yellow_Festiva · 09-08-2011, 03:29 PM

Quote:

Originally Posted by J_Putz

I recently asked for an amount, which in my retirement I will certainly consider to be considerable, to be transferred from my old super account into my current one.
A bit more than a month later I get the paperwork which says the deed has been done only to find out that 50% of the figure has been stolen by the previous company on the spot in account keeping fees etc. Not over the course of my dealings with them but on the spot.
I guess this is their way of saying thanks for being a member and we hope you'll recommend us to your friends...
I would LOVE it if I were able to name these bastards on this forum.

Follow it up and seek good legal advice with a lawyer well versed in such areas.

z80 · 09-08-2011, 04:30 PM

See your accountant, pay about $1k to setup your own super fund.

You will never look back, your employer can put contributions in and you'll never lose the money through fees and commisions.

If you had invested in simple terms deposits in 1990 you would have far more money than the "managers" would have made for you.

They prey on people.

xtremerus · 09-08-2011, 06:46 PM

The figure you thought it should be, wasn't just the projected figure, and not the actual one, was it?

I thought that super was transferable nowdays, with no penalty.

Jim Goose · 09-08-2011, 07:03 PM

Quote:

Originally Posted by xtremerus

The figure you thought it should be, wasn't just the projected figure, and not the actual one, was it?

I thought that super was transferable nowdays, with no penalty.

Yes I thought there was new laws saying that you can transfer it at no loss/ penalty....

sgt_doofey · 10-08-2011, 01:35 PM

Quote:

Originally Posted by Jim Goose

Yes I thought there was new laws saying that you can transfer it at no loss/ penalty....

Don't know about that, but they probably do change an admin fee. It's called a rollover from one provider to another.
To the OP, how much are we talking about? Why can't you name and shame?
What type of super was the money in? Preserved, unrestricted or restricted non-preserved? Did they only roll over one part or all of it?

I work for a company that does super, but in IT, so I have a little knowledge, but don't know the ins and outs of the law.

Yellow_Festiva · 10-08-2011, 02:30 PM

Well. I have no less than 5 super accounts (I know... I know...) and they will all be rolled over into the one that has performed best thus far.

I know the extra question I will add to my usual list come time to do it.

Jim Goose · 10-08-2011, 05:46 PM

Old article from ASIC (2005) ...

http://www.asic.gov.au/asic/asic.nsf...u?openDocument

There is no way you can loose 50%...

http://www.smh.com.au/news/home/busi...656847002.html

Cant find any newer articles to help.. but I thought there was a review in 2009?

MITCHAY · 10-08-2011, 06:05 PM

Only way I could see it costing 50% is if the amount was so small that any applicable fee would literally amount to 50% of the amount you would be transferring in which case anyone would not do.

One would think that they declare the amounts in fees incurred before the transfer.

Could be a mistake for all you know, you haven't stated whether you already contacted both parties although logic would suggest you had.

If you get no where there I would seek professional advice on this one to make sure since you say it is a considerable amount and I would assume that to be in the thousands.

And we are talking what it is worth now not what it may be worth later too!

IDT · 11-08-2011, 12:31 AM

See a solicitor. I am no expert but I am sure they can't charge more than a reasonable rate. They must be able to justify the fees and from what I understand MUST DISCLOSE all fees, even if its as a percentage only, when you apply to transfer the funds in the first place. The big one is disclosure.

burnz · 11-08-2011, 01:45 AM

i wouldn't bother with the legal side of things.
tell the ATO and they will do the legal side of thing at no cost to you.

sgt_doofey · 11-08-2011, 08:01 AM

I would start with the ombudsman: http://www.sct.gov.au/