News & Insights

Tops Tips to Avoid Pension Transfer Scamming

Be wary of free deals – There will be a fee or charge for regulated pension transfers and the associated expert advice, so any pension adviser who says a pension transfer will be “free” is likely to be offering a non-compliant service which could see your funds damaged over the long term and will leave you without any means of redress through the Financial Ombudsman Service.

Avoid cold callers – While a ban on cold calling could be in place very soon, any unsolicited contact from a so-called pension adviser is likely to be dubious. The best thing to do with cold callers offering pension advice is to hang up immediately!

Try to contact the firm – If you have been contacted by a pensions adviser and you are thinking of taking their advice, make sure you try to contact the firm independently. Many scammers have very convincing websites, but if there is no full postal address (not a PO Box), and no landline telephone number, you could be dealing with a fraudster.

Don’t be pressured – If you are told there is a time-limit to signing up for a pension transfer or the pension adviser is only in your area for a certain time, it could well be a scam. A regulated financial adviser will give you time to think about your options and, under the Financial Conduct Authority (FCA) conduct of business (COB) guidelines, you should have 30 days in which to cancel a pension transfer contract if you change your mind.

Be wary of “tax loopholes” – A firm that tells you about “extra” tax savings as part of their pension transfer scheme could be operating fraudulently. Ask for clarification and get any seemingly “too good to be true” tax claims checked out independently.

Understand the risks – If a pensions adviser promises high returns AND low risk, you should be wary. A regulated firm is obliged under the FCA COB guidelines to provide retirement risk warnings to the client in relation to their decision to access their pension savings and to identify whether there are any individual risk factors present for the client.

Don’t be fooled by the name – If a pension adviser contacts you and claims to be from a government-backed scheme such as Pension Wise or the Money Advice Service, you should put the phone down. Regulated and official organisations will never cold call or send unsolicited mail.

Choose an FCA regulated firm – You can check the FCA register to see if the company offering pensions advice is regulated, and there is an FCA warning list which provides details of unauthorised firms and individuals. If the firm or adviser you deal with is not authorised by the FCA you will not be covered by the Financial Ombudsman Service or Financial Services Compensation scheme should things go wrong.

Lastly, if you think you’ve been targeted or you have signed something and you are now concerned, you should contact your pension provider as soon as possible as they may be able to halt the transfer.

Blacktower Financial Management Ltd is regulated by the Financial Conduct Authority in the UK, Blacktower Financial Management (International) Ltd in the Grand Cayman is regulated by the Cayman Islands Monetary Authority and Blacktower Financial Management (International) Ltd is licensed in Gibraltar by the Financial Services Commission.

Other News

Expats deserve guarantees

Representatives of UK nationals who are uncertain as to what to do with their expat regular savings assets have called on MPs to take urgent action so that they do not have to go through a period of extended limbo while waiting for Brexit negotiations to be finalised.

The list of concerns is becoming increasingly longer, particularly now that Prime Minister Theresa May has indicated that she may pursue a hard Brexit, with pension uprating, healthcare and expat regular savings at the forefront of the issues currently challenging British expats living in the European Union.

Read More

Spotlight on … Luke Hunt – Associate Director

Luke HuntHow / why did you get into your line of work in the financial services sector?

Back in 2007, I was looking for a new challenge and saw an advertisement for a trainee financial advisor role in Kuala Lumpur, Malaysia. Without informing my family or even my girlfriend at the time, I applied and a couple of interviews later and I was offered the job. I flew out there with my girlfriend and ultimately it turned into a lifechanging 5 years. Here I am still doing the job I love 14 years later!

Read More

Select your country

Please select your country of residence so we can provide you with the most relevant information:

You are currently viewing the Blacktower Financial Management EU website.

You may be looking for the Blacktower United States website.

Blacktower United States > X Stay on this site

Or choose your country.