No Win No Fee Pension Claims

In the last few years, self-invested personal pensions (SIPP) received a total of 2,051 complaints in the Financial Ombudsman Service. From 2017-2018, the complaints have increased by 1,493 from the previous year.

Financial advisers are in the middle of the entire SIPP fiasco. With employee pensions disillusionment gripping the population, financial advisers and scammers have taken advantage of the situation. Soon-to-be retirees and retirees find themselves vulnerable with misinformation dominating each conversation.

If you were told your SIPP gives huge returns, you may have been mis-sold pensions. Read on to know the three signs. Further below, you’ll know the best way to make a mis-sold pension claim.

Customer and adviser shaking hands after a deal.
If your financial adviser leans too much on benefits, they might be desperately trying to make a sale.

Conversation Leans Too Much on Benefits

Just like network marketing scams, pension scams have conversations focused too much on huge returns.

Financial advisers may have shown you unbelievably huge returns for investing in commercial property developments. In some cases, they indicate unimaginable tax breaks beneficial only to SIPP.

Many cases of pensions mis-selling lead consumers to unregulated collective investment schemes. These allow fund managers to invest the money in select investment vehicles.

Unfortunately, these are not Financial Conduct Authority-regulated.  To clarify, if the investment doesn’t work out, the investor does not receive any legal support.

No Clear Outcome for Proposed Investment Vehicles

Legal support is not the only guarantee FCA provides with regulated collective investment schemes. The City watchdog has reviewed the fund’s long-term feasibility and risk attributes. Therefore, any FCA-licensed collective investment schemes will yield results close to their promises.

Unfortunately, unregulated counterparts will only show speculative values of returns in different tiers. There is no guarantee investors will receive their returns. In fact, some funds might not even provide any returns at all.

Financial advisers downplay the speculative nature of the investments. Instead, they highlight the estimated amount each investor receives for a short period of time.

Prioritizing Personal Pensions Over Employment Pensions

Indeed, you can say it’s the financial adviser’s job to determine the best financial course of action. However, commission-based ones will urge you to prioritize personal pensions rather than employment pensions.

As a rule, employment pensions will yield the most benefits for employees. Despite having less freedom and the issues enveloping them, employment pensions provide defined contribution. In addition, they provide certain bountiful employee benefits to an extent.

All employment pensions are FCA-regulated. This makes them the safest choice for employees. Financial advisers prioritizing personal pensions too much are likely trying to make a bad sale off of you.

How to Make Your Pension Mis-Selling Claims Easier

It is nasty enough financial advisers and scammers stoop so low to steal your hard-earned pensions. In addition, it is difficult to spend time to submit your claim to the Financial Ombudsman and take a day off your work.

To make your pension claim easier, third-party help is available. Most provide free consultation to help you see the amount you can receive for a successful claim.