Pension scams are becoming increasingly sophisticated, and fraudsters are constantly finding new ways to target individuals. Staying vigilant is key to protecting your savings.
A pension scam typically involves transferring your pension to a different arrangement with promises of cash up front, one-off investment deals, or early access to pension savings before age 55. These offers are almost always misleading, with victims unaware of the consequences, which can include:
- High charges for entering a new scheme
- Risky or fraudulent investments
- Significant tax charges for unauthorised benefits
- Permanent loss of pension savings
Scammers may contact you by phone, email, or even social media. It’s illegal to make cold calls about pensions, so any unexpected contact should raise a red flag. Never share personal or financial details unless you’re sure who you’re speaking to.
They may also create fake websites or email addresses that look legitimate, which is why it’s important to stick to trusted websites and be cautious of lookalike email domains. You should always double-check that companies are regulated on the Financial Conduct Authority website.
For more tips and support, please visit our dedicated Pension scams page or ScamSmart.