According to The Pensions Regulator, thousands of people have lost their life savings after falling for a pension scam.
Here’s how to protect yourself in 5 steps:
Be wary of cold calls, unsolicited texts and emails. Scammers will often claim they’re from Pension Wise or other government-backed bodies. These organisations would never phone or text to offer a pension review.
Check the companies you are working with are on the Financial Conduct Authority register. You can search by name or registration number. For example, PensionBee’s registration number is 744931. You can also check the Financial Conduct Authority’s scam webpage. Do some Google research and read online reviews with “verified orders”.
Steer clear of overseas investment deals or “guaranteed” returns. Well-known scam types include unregulated investment in a hotel, vineyard or other overseas opportunities, and where your money is all in one place – and therefore more at risk. You can never guarantee returns on an investment.
Don’t be rushed into a decision. Scammers will try to pressure you with ‘time limited offers’ or send a courier to your door to wait while you sign documents. Take your time to make all the checks you need – even if this means turning down an ‘amazing’ deal.
If you’re aged 50 or over, talk to Pension Wise.