Scammers are continuing to target pension pots of all sizes. The pandemic has impacted all kinds of companies, including those listed on the stock market. As a result, markets have been volatile and are likely to remain so for a while. This can have an impact on pensions, leading to an increase in scams.

If you’re facing financial difficulties because of the pandemic, you may be tempted to cash in some of your pension. Scammers design attractive offers to persuade you to transfer your pension pot to them, where it could be:

• invested in unusual and high-risk investments
• invested in more conventional products but within an overly complex structure that hides multiple fees and high charges
• stolen outright.

Common pension scams include early pension release or pension reviews. You should:

• reject any unsolicited contact about investments
• check the Financial Conduct Authority’s warning list
• get impartial advice.

If it sounds too good to be true, it probably is!

For more information about these and other pension scams as well as how to avoid them, visit the Financial Conduct Authority Website.