Five financial firms lodge applications with Pensions Board for saving account products

AT least five financial institutions have lodged applications with the Pensions Board for PRSA products.

It is expected the first PRSA (Personal Retirement Savings Account) products will be approved by February of next year when they can be sold to the public.

A PRSA is a pension investment which can be used for long-term retirement provision by employees, self employed, homemakers, carers, unemployed and any other category of person and is mainly targeted at the 50% of workers who do not have pensions.

Each PRSA holders is the sole owner of the investment.

The head of the board’s PRSA department Phillip Dalton said last night that five companies have submitted applications documents with each company submitted more than one product for approval.

“The Board will be conducting a thorough approval process for PRSA providers to ensure all potential providers have expertise and business structures in place to meet their statutory requirements.

“All potential providers must be authorised or licensed entities and the Board will ensure the protection of PRSA contributors through the effective supervision of the production, marketing and selling of PRSA products,” said Mr Dalton.

Pensions Board chief executive Anne Maher added yesterday:

“Today is a significant milestone in relation to the implementation of the National Pensions Policy Initiative.