Pension savers lost more than £2m to scammers in the first five months of this year. The average amount lost per victim so far in 2021 is a staggering £50,949 – more than double the £23,689 lost on average in 2020.
This is according to worrying research from the Financial Conduct Authority (FCA), which found that pension holders are nine times more likely to trust pension ‘advice’ from an online acquaintance than from a stranger they met face to face. To avoid losing your life savings, the FCA suggests ‘flipping the context’, and imagining what you would do if a stranger in the pub told you to put your pension into something they were selling.
• Been offered a free pension review out of the blue?
• Been guaranteed high returns?
• Been offered the opportunity to release cash from your pension under 55 years of age?
• Felt pressured into a deal, for example with a ‘time-limited’ offer?
• Been offered an unusual investment opportunity (often unregulated and high risk)?
If so, or if you have doubts about any investment opportunities related to your pension, get in touch.
The value of investments and income from them may go down. You may not get back the original amount invested. A pension is a long-term investment. The fund value may fluctuate and can go down. Your eventual income may depend on the size of the fund at retirement, future interest rates and tax legislation.