Protect yourself against pension scams

Pension scams are becoming more prevalent in the UK. It’s a sad but true fact. While you work hard to build your pension fund, scammers are equally determined to deceive you. So, it’s essential to safeguard your hard-earned pension fund from fraudsters.

At Scottish Friendly, we want you to stay vigilant and avoid falling victim to these scams. Here's some valuable information to help you recognise the warning signs, giving you the knowledge to spot and avoid these scams.

Scam tactics to watch out for

Contact out of the blue

If someone you don't know calls, texts, or emails you about your pension unexpectedly, beware. Cold calls about pensions are banned, so be cautious when strangers reach out. It could be the beginning of a scam. Stay alert.

The ‘free’ pension review

If someone offers you a ‘free’ pension review, think twice. Professional financial advice usually comes with a cost, and a free offer could be a scam. It's essential to consult a regulated financial adviser for a proper and trustworthy pension review.

The promise of high/guaranteed returns

To tempt you in, scammers often promise impressive or guaranteed returns. They may even downplay the risks. If it sounds too good to be true, it often is.

Early pension access

Be wary of anyone offering to help you access your pension before age 55. Accessing your pension early isn’t allowed, and HMRC may penalise you for doing so. If someone makes this offer, it's likely a pension scam that could lead to you losing money.

Pressure to act quickly

You may be told the offer is a one-time offer or must be acted on within a limited period. Decisions involving your finances should never be rushed, and you should always take time to consider your options.

Useful links

We care about your financial safety and well-being. Check out these helpful links to external organisations that provide valuable information on protecting you from scams and crypto asset investment scams:

• FCA Protect yourself from scams

 (https://www.fca.org.uk/consumers/protect-yourself-scams)

• FCA Cryptoasset investment scams

 (https://www.fca.org.uk/scamsmart/cryptoasset-investment-scams)

Remember, these links are provided for your benefit, but Scottish Friendly is not responsible for their content. Stay vigilant and safeguard your finances.