Pension Scams
Keep Your Pension Safe
Pension scams are on the rise and fraudsters will do whatever it takes to get their hands on your savings.
What to Watch Out For
- Cold calls, text messages or contact out of the blue with promises of quick cash, legal loopholes and pension loans
- Claims of accessing your pension before age 55
- Promises of high or guaranteed returns
- Free pension reviews
- Transfers of your money overseas
Scammers can be knowledgeable with credible testimonials and professional materials that are hard to distinguish from the real things.
Consequences
If you transfer into a scam you run a real risk of losing a significant amount, if not all of your pension savings, as well as high commission or arrangement fees.
Accessing your pension early is only allowed under very special circumstances such as ill health. If you transfer and access your pension before age 55, you will face significant tax penalties of up to 55% of the value of your pension.
This means you may end up receiving very little or none of your original investment and you could end up owing HMRC money.
The average victim loses £91k.
Steps to Avoid Becoming a Victim
- Never give your financial or personal information to a cold caller.
- Find out about the company's background. Any Financial Advisers should be registered with the Financial Conduct Authority (FCA).
- Ask for a statement showing how your pension will be paid at retirement, and question who will look after your money until then.
- Speak to an advisor who is not associated with the proposal you have received, for unbiased advice.
- Never be rushed into a decision.
More Information
To find out more about pension fraud and what to do if you think you have been targeted visit the Pensions Regulator's website.
Latest Updates
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The North East Scotland Pension Fund is pleased to introduce its new website.
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The Fund’s unaudited annual accounts for 2019/20 are now available for public inspection until 22 July 2020.
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Information on the McCloud Judgement, which relates to two employment tribunal cases that were brought against the Government.
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