No Win No Fee Pension Claims

Employee pension outrage coupled with opportunistic scammers and financial advisers have led to tens of thousands of mis-sold pensions. However, employees are to blame partly for the growing fiasco concerning self-invested personal pensions (SIPPs). Without proper insight with financial adviser-presented funds, they will get sweet-talked into deals they do not fully understand.

In this light, knowledge is the key to avoid pensions mis-selling. Take note of these four effective methods to prevent buying into troublesome investments.

Research all Investment Vehicles

Defined benefit pensions disillusioned many employees with company pensions. In this light, most financial advisers shower them with huge returns from their endorsed SIPPs. Unfortunately, most will buy into these deals believing they will receive the promised high returns.

However, some deals are too good to be true. The best way to reveal this is through proper investment vehicle research.

For example, most funds promise speculatively high returns from holiday development investments and airport parking funds. While these see good activity, their long-term feasibility to deliver your returns is highly unlikely.

Pensions mis-selling claims
Only trust regulated collective investment schemes.

Fund Regulation

The Financial Conduct Authority (FCA) regulates all financial activities by banks and institutions. Therefore, an unregulated fund will never give you legal challenge rights if it fails to deliver its advertised results.

Many employees buy into unregulated collective investment schemes (UCIS) for many reasons. First, they do not need to qualify for anything. Second, they believe the fund will deliver despite the present red flags.

Regardless of the speculated returns’ tempting promises, a regulated collective scheme with City watchdog approval guarantees yields close to the advertised results.

Pension Fund Liabilities

Pensioners must read the terms even for regulated collective schemes. Most pension mis-selling claims blame the financial adviser for never disclosing the investment’s conditions.

Therefore, if you know your pension fund’s liabilities, you’ll know when to use legal challenges. In fact, only regulated pension funds provide fair and balanced liabilities between both parties.

Asses Your Financial Capability

Lastly, never put your investment fund in a single nest. While you cannot diversify your pension funds, you need to have enough to live on for years. Because it will take a while for you to reach fund maturity, putting everything out for bigger returns is impractical.

Your priority is to use your pensions to live on for years. Therefore, investing everything even into a regulated pension fund will leave you with fiscal problems in the future.

In case you were mis-sold pensions or you misread the funds terms, you can use the FOS to claim for your lost funds. However, if you lack the time and resources to do so, third-party help is available for your pensions mis-selling claim.