Please view the below short video for helpful information on scams or continue reading on to find out more!

Scammers are often unknown contacts who will attempt to gain your trust by making false claims. They will likely say they are authorised by the FCA and present unsolicited but attractive investment opportunities, in an attempt to gain control of your pension pot. In other circumstance the money may be stolen outright.

If an offer seems too good to be true, its likely its just that. Some warning signs to watch out for include low risk, high return investment opportunities, “free” pension reviews, aggressive sales tactics and complicated investment plans, where it's unclear where your money will end up. If you are called by an unknown number and presented any of these opportunities, its almost certainly a scam. You should be aware however, that following the cold call ban of 2019, many scammers focus on social media to reach people.

Another way scammers operate is to ask their victims to refer friends, family and colleagues to them. At this point the scammers have usually built a strong relationship with their original victim, who believes they have received a good service. It can be many years before it becomes apparent that someone has lost their pension. If you are referred to someone you are told can help you with your pension, please stay vigilant and check the advisor is who they say they are.

Common scams to be aware of are early pension release and pension review scams. Any scheme offering to help you release cash from your pension before you’re 55 is almost always a scam. Additionally, pension review scams contact people unexpectedly, offering a free pension review. This could be a phone call, an email, text message or an offer in an online advert. Most of the companies offering free pension reviews are not FCA authorised but may falsely claim they are.

Additional guidance and information about the types of fraudulent activity that can commonly be experienced by pension scheme members, savers and investors can be found in this Fraud Guidance document.  

For more information on these common scams, follow the links below:

Here are the FCA’s four key steps to protect yourself from pension scams:

Step 1 – Reject unexpected offers

Step 2 – Check who you're dealing with

Step 3 – Don't be rushed or pressured

Step 4 – Get impartial information or advice

For further details on each step visit the FCA scam prevention site.