Action Fraud is warning people to be vigilant against pension scams. Here's what you need to know:
- The Threat: Fraudsters stole a staggering £17.7 million from unsuspecting victims in 2023, with an average loss of £46,959 per person.
- Common Scams: Be wary of unsolicited offers like free pension reviews, "too good to be true" investment opportunities, pension transfers, or unlocking your pension before age 55.
- Warning Signs: Scammers often pressure you to make quick decisions, promise high returns, and avoid discussing risks. Cold calls about pensions are illegal and likely a scam.
How to Protect Yourself:
- Don't Rush: Never make decisions about your pension under pressure. Legitimate companies will give you time to consider your options.
- Seek Independent Advice: Talk to a financial advisor authorised by the Financial Conduct Authority (FCA) before making any changes to your pension.
- Verify Credentials: Always check the FCA register to confirm the advisor's legitimacy.
- Ignore Unsolicited Offers: Hang up on cold calls and delete emails or texts about pensions.
- Beware of Tax Implications: Unauthorised pension payments may incur high tax penalties.
What to Do if Scammed:
- Report It: If you suspect a scam, report it to Action Fraud online at https://www.actionfraud.police.uk/ or call 0300 123 2040.
- Contact Your Bank: If you've made a payment, inform your bank immediately to stop further losses.
- Monitor Statements: Regularly check your bank statements for suspicious activity.
Stay Informed:
- Learn more about pensions: https://www.moneyhelper.org.uk/en/pensions-and-retirement
By following these steps, you can protect your hard-earned retirement savings and avoid falling victim to pension scams.
Spread the word! Share this post and help others safeguard their financial future.
Source: Action Fraud (10-09-2024)
