Tips for Avoiding Pension Scams

For many people, pension savings will be one of their largest financial assets.

Savings like that can be an attractive target for fraudsters, so it’s important to be aware of how to stay protected from scams.

Here are our 6 tips for preventing pension scams:

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Often scammers will call out of the blue offering a “free pension review”.

No reputable organisation, including Government services such as Pension Wise, would ever do such a thing – the chances are they are simply laying the ground work to steal your money.

If anyone contacts you out of the blue about your money, don’t talk to them, just hang up.If an offer promises ‘guaranteed’ returns or seems too good to be true, it probably is.

Be on your guard, do your homework and check all the details before signing anything. Check they are registered on the Financial Conduct Authority’s website.

Don’t be lured by smart brochures and snazzy websites. Scammers want to trick you and this is one way they do it.

Check everything and seek reputable guidance if you have any doubts.

Scammers will try to pressure you with time limited offers and create a sense of urgency.

Take your time to make all the checks you need, even if this means turning down an ‘amazing’ deal.

Don’t choose a scheme just because you know someone else that has it. People have fallen for scams because they’d been ‘recommended by a friend’.

As with any important decisions, investigate the details and make the right choice for you.

This will increase your risk, and scammers often ask for all of your money.

Be on your guard against unregulated investments, including those abroad.

If in doubt, call The Pensions Advisory Service. You can call them on 0300 123 1047 or visit their website at www.pensionsadvisoryservice.org.uk for free pensions guidance.

Is the ‘advisor’ FCA approved? Scammers can pose as pension advisers, so check to make sure yours is registered on the Financial Conduct Authority’s website: www.fca.org.uk/register.

Also check the FCA’s list of known scams. To find out more about the threats and risks, visit http://scamsmart.fca.org.uk/. For more tips to protect your retirement savings, visit www.pension-scams.com.

If you think you’ve been scammed, call Action Fraud. You can reach them on 0300 123 2040. Also contact your pension provider immediately as they may be able to stop a transfer that hasn’t yet taken place.