WATCH OUT FOR PENSION SCAMS IF YOU ARE OVER 55
Since April 2015, if you are over 55 years of age, you can get your hands on your pension pot and use it in different ways. These are known as new Pension Freedoms. The issue is that fraudsters are finding lots of ways to scam you out of your pension savings. Here’s pension advice on how to spot and avoid pension scams…
HOW TO SPOT A SCAM
Any sort of unsolicited text message, website pop up message, cold call or marketing literature from someone offering you a pension review, one-off investment opportunity, legal loophole, overseas transfer of funds, proposals to put all your money in a single investment or returns of over 8%.
on’t ever succumb to pressure to make a decision or sign paperwork by a deadline or via a courier at your door. Don’t forget that you can’t access your pension pot until you are 55 - so don’t fall for any promised of cash back under that age.
WHAT CAN I DO WITH MY PENSION POT?
Under age 55
Age 55 or over*
|x You cannot release or ‘cash in’ your pension (unless you are too ill to work)||✓ You can use your pension to buy a regular income for the rest of your life (an ‘annuity)|
|✓ You can transfer your pension from one regulated scheme to another||✓ You can use your pension to provide a flexible retirement income (‘flexi-access drawdown’)|
|✓You can take your pension as cash in stages|
|✓ You can take the whole pot as cash in one go|
There may be tax implications for how you access your savings
* from April 2015
HOW TO AVOID PENSION SCAMS
- Ensure that you approach a genuine pension advisor. They will be registered by the Financial Conduct Authority. You can see a register on the FCA website
- Double check the FCA’s Scamsmart warning list that will tell you the names of scams that are known to be used by fraudsters
- Ask questions via the Pension Wise Scheme (www.pensionwise.gov.uk) or call the Pension Advisory Service on 0300 123 1047
We are FCA Registered (Reference Number 611536) and a Vouched For top rated advisor.
You can read more about Pension Freedoms and Pension Income Options and our Pension Fund and Performance Review service.
Clifford Osborne is an independent firm of financial advisors and pension specialists, based in Eastbourne, East Sussex. We help people like you with a wide range of pension questions and advice as part of your retirement pension planning process.
As well as Eastbourne, we meet clients across the Hastings, Uckfield, Seaford, Crowborough, Newhaven, Lewes and Bexhill areas. As a result of recommendations from current clients we are providing pension freedom advice well beyond the East Sussex borders too.
Please get in touch if you would like a no-obligation pension review.
Don’t risk losing a lifetime of savings…