Hard-hit Bermudans allowed to withdraw more funds from pensions

HAMILTON, Bermuda, CMC — Finance Minister Curtis Dickinson has said that residents feeling the pinch from the coronavirus (COVID-19) pandemic can withdraw up to US$6,000 from their pensions.

Dickinson said that the decision to allow further withdrawals would take effect from July 1 and would last until June 30 next year.

Dickinson said the withdrawal would supplement existing regulations allowing limited pension drawdowns for people who could show they were facing financial difficulty.

Dickinson “strongly cautioned” that only people who had a critical need for emergency funding should apply,” saying it was very difficult for people to make up the withdrawals later.

Last year, thousands of residents dipped into their pension pots to help them through the economic downturn caused by the pandemic, which has so far killed 32 residents.

At that time, they were allowed to take out as much as US$12,000.

Insurance companies said the average withdrawal was between US$7,000 and US$9,000 per person.

Follow The Gleaner on Twitter and Instagram @JamaicaGleaner and on Facebook @GleanerJamaica. Send us a message on WhatsApp at 1-876-499-0169 or email us at onlinefeedback@gleanerjm.com or editors@gleanerjm.com.