Oct 2017
18
5 simple scenarios to stop pension scams
A pension scam – when someone tries to con you out of your pension money – will often start by someone contacting you unexpectedly with one of many pension scenarios. If you find yourself in one of these scenarios make sure to act fast to prevent becoming a victim of a pension scam.
1. You have received a cold call offering a free pension review.
Hang up! Scammers will often impersonate government-backed organisations in order to swindle you out of your savings. These organisations will never offer you a free pension review.
2. You have been offered advice about your pension.
Pension scammers can act as Financial Advisors. Be sure to check the FCA list of approved advisors. If the advisor is not on that list then they are not regulated and you are not protected.
3. You have been told you need to act fast to secure a ‘limited time offer’.
Don’t be rushed into making a decision about your pension. Scammers will try to rush you, offering ‘discounts’ that are likely to be time sensitive. Take the time you need to ensure the legitimacy of the deal. This may mean ‘missing out’ but could be the difference between keeping your pension fund secure and losing all your savings.
4. Your friend has recommended an investment to you.
You might trust that your friend is financially wise but this confidence in your friend can translate to you being scammed. Always do your research on a company. Don’t take someone else's word!
5. You have been offered an unbelievable deal.
Be cautious of unregulated investments that offer exclusive or exotic sounding investments, often described as ‘overseas’. Many of these investments claim ‘guaranteed returns’. If you think something sounds too good to be true - it probably is.
