S.I. No. 187/2005 - Social Welfare and Pensions Act 2005 (Sections 38 & 39) (Commencement) Order, 2005

S.I. No. 187 of 2005

The Minister for Social and Family Affairs, in exercise of the powers conferred on him by section 1 (4) of the Social Welfare and Pensions Act 2005 (No. 4 of 2005) hereby orders as follows:

Citation.

1. This Order may be cited as the Social Welfare and Pensions Act 2005 (Sections 38 and 39) (Commencement Order, 2005.

Commencement.

2. The 11^th day of April 2005 is appointed as the day on which sections 38 and 39 of the Social Welfare and Pensions Act 2005 (No. 4 of 2005) come into operation.

EXPLANATORY NOTE

(This note is not part of the Instrument and does not purport to be a legal interpretation).

This Order provides for the commencement of sections 38 and 39 of the Social Welfare and Pensions Act 2005 with effect from 11^th April 2005.

Section 38 extends, from 15 to 30 days, the period from the initiation of a Personal Retirement Savings Account (PRSA) contract to the date on which it becomes enforceable. This is in line with the waiting period imposed on foot of Directive 2002/65/EC in relation to distance marketing of consumer financial services.

In cases of transfers from an Occupational Pension Scheme to a PRSA, members must be provided with a certificate comparing potential benefits from the occupational pension scheme to those from the PRSA, other than in cases where the transfer value is less than €4,000. Section 39 increases this limit from €4,000 to €10,000.