How to recognise con artists targetting your pension cash

16th March 2015

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With the introduction of the new retirement freedoms just around the corner, the government backed Money Advice Service (MAS) is warning savers not to be duped by conmen and pension scams.

As part of the The Pensions Regulator’s Scamproof Your Savings campaign, MAS pension and retirement expert, Jackie Spencer has come up with some top tips and advice to help safeguard your pension…

Be aware of cold callers

Scammers will often cold call you or contact you out of the blue about your pension. They may also run advertisements claiming to offer ‘free pension reviews’. If they are pushy or claim that they can help you access your pension before 55 be wary. Their aim will be to persuade you to cash in your pension pot and hand over the money to them to invest.

Be aware of the warning signs

Other warning signs include companies offering a ‘loan’, ‘saving advance’ or ‘cashback from your pension or references to ‘loopholes, overseas investments, creative or new investment techniques. Here are some particular scams to watch out for:

Double check credentials

There are a number of places you can go to check whether an organisation is who they say they are. Always make sure the adviser is offering regulated advice. You can check this at the FCA website:fca.org.uk/register.

Don’t rush into making a decision 

It is important to take time to carefully consider opportunities before making a decision. Before you agree to anything or sign on the dotted line, call the Pensions Advisory Service on 0300 123 1047 for more information.

Alert Action on Fraud to potential scams

If you have made an investment and you are concerned that it may have been a scam, raise the alarm by calling Action on Fraud on 0300 123 2040 immediately.

Remember if an investment opportunity seems too good to be true, it probably is!

The Money Advice Service has plenty of information available to provide guidance about pensions and retirement. Visit www.moneyadviceservice.org.uk

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