7 ways to avoid pension pot scammers

The rules have changed regarding pensions. If you're not sure what this means you could be susceptible to a scam. Here's how to avoid those nasty scammers.

2015 has been a big year for pensions so far, with rule changes opening up how you can access your retirement savings. However, these changes have also shined a light on people attempting to take that money away from you illegally. You can protect yourself and your pension pot by being vigilant and looking out for these warning signs.


1. You’re cold-called or contacted out of the blue about your pension.


2. The person contacting you will try to persuade you to take your entire pension as cash—or a large lump sum—and let them invest it
for you.



3. They promise extra tax savings and/or very high returns from overseas investments, or new or “creative” investments.


4. You’re told they can unlock your pension before you turn 55.


5. They claim to know of loopholes that will allow you to get more than the usual 25% of tax-free cash.


6. You’e pushed to act quickly and they encourage you to transfer your pension quickly, and even send documents to you by courier.


7. Their credentials don’t prove they are who they say they are.


You can click here to read more about pension scams. Remember, if an investment opportunity seems too good to be true, it probably is. If you think you’re being targeted by scammers or have made an investment you’re now worried about, you can raise the alarm by calling Action on Fraud on 0300 123 2040.