Don't Be Caught in a Pension Scam

23rd November 2018 By Alireza Nurbakhsh

Scams of all shapes and sizes are becoming depressingly frequent and the Financial Conduct Authority (FCA) has warned against the rising tide of pensions scams that leave people facing years of misery in retirement as a result of passing their pension funds across to scammers.

According to the FCA the average sum lost is more than £90,000 and its response has been a campaign to raise awareness.

The theft of a pension fund often starts with an offer to have a ‘free pension review’  by a pension adviser, which is followed by an offer to move the pension fund into a scheme offering a better rate of return than the present one. The presentations are often very plausible and accompanied by convincing documentation.

The scammers trawl for people of the right age and will usually make an unsolicited contact (a ‘cold call’). The proposals made offer better than average returns – often ostensibly in overseas markets or enterprises offering the promise of better profits than in regulated schemes in the UK. Offering to ‘unlock’ money from the pension fund, the approach often emphasises the need to act quickly before the opportunity is lost.

In many cases, considerable time and effort is spent building up trust between the victim and the scammer before the latter strikes.

Once the pension fund is handed over, the pension adviser and the money both disappear.

The FCA recommends only taking financial advice from an authorised person, who is on the FCA register. If you invest with any entity that is not authorised by the FCA and suffer a loss, you are very unlikely indeed to see any of your money returned.

Secondly, do not act on calls, emails or social media contact from firms or people you do not know offering financial advice.

Never allow yourself to be rushed or pressured into making a decision and, if you have any doubts at all, get a second opinion from a person you know to be authorised by the FCA.

Source: Concious

Latest News

Motor Insurers Not Liable for £2 Million Fire Damage

27th June, 2019 By Alireza Nurbakhsh

The law requires that the driver of any vehicle has a valid insurance policy that covers injury or damage to third parties caused by or arising out of the use of the vehicle on a road or in a public place. The Supreme Court has given authoritative guidance on the meaning of that phrase in a case of crucial importance to vehicle owners and the insurance industry. The case concerned an employee of an engineering firm, the owners of which allowed him to use the premises to do work on...

Ignore Court Orders At Your Peril

24th June, 2019 By Alireza Nurbakhsh

A wealthy Omani man who failed to pay to his ex-wife the financial settlement ordered by the court, or to cooperate with disclosure orders, faces arrest if he attempts to return to the UK. When the couple's marriage broke up, they were divorced under Omani law. However, the wife, a resident of the UK, sought and obtained orders in the UK court for financial relief (under Part III of the Matrimonial and Family Proceedings Act 1984) for herself and their children, who live with her. The divorce took place in 2017...

Failure to Challenge Repaving Results in Loss of Title

20th June, 2019 By Alireza Nurbakhsh

Failing to take active steps to protect your land from use by another can produce unfortunate effects, as a couple from York discovered recently. The couple own a bungalow which has a front driveway adjacent to that of the next-door bungalow – a common design. The two effectively blend into one before reaching the road. In 1986 their neighbour repaved her drive with new paving tiles and brick edging, and in so doing went across the boundary line between the two properties. She parked her car on the area and...

Just Because You Agree Doesn't Mean the Court Will

18th June, 2019 By Alireza Nurbakhsh

It is common in legal disputes for the two sides to agree to suspend the court proceedings for a period so that they can get as much agreed between them as possible, and gather their evidence and prepare their arguments over what remains in dispute without the pressure of an impending hearing date. Such an agreement is called a 'standstill agreement', and if proceedings are served in time it is usual for the court to agree to the requested hiatus. In a recent family law case, one of the UK's...