UNSOLICITED PENSION TRANSFER APPROACHES INCREASE IN Q2

helpandadvice.co.uk publishes latest analysis from its Pension Scam Assessment completed by over 1685 people

– See the full results and analysis from 2023 and 2022  https://helpandadvice.co.uk/pension-scam-assessments-results/

24 July 2023: The latest Pension Scam Assessment analysis from helpandadvice.co.uk, has revealed that the number of people being approached unsolicited about transferring their pension increased in the 2^nd quarter of the year to 5%.

The research, undertaken between April and June, saw 1685 – the highest ever number of Pension Scam Assessments (as recommended by Money Helper, provided by the government’s Money & Pensions Service ‘MaPS’) completed.

A quarter of those approached were asked to make a quick decision on whether to transfer, up significantly from 15% in the previous quarter. The average scam likelihood score was 23%, meaning that of the 1685 people that completed the assessment, almost a quarter of cases had associated red flags.  While a red flag does not guarantee a definite scam, it does mean further investigation is needed. Having tracked the data for over a year, helpandadvice.co.uk has found that the potential likelihood of a scam consistently remains at around 25%.

The Full Results

A full breakdown of the results for 2022 and Q2 2023 can be found here – https://helpandadvice.co.uk/pension-scam-assessment-results/

We would be very grateful if you could reference the full results page on our article that you write.

Saq Hussain of helpandadvice.co.uk said: “We’ve been in a cost-of-living crisis for some time now, with both inflation and mortgage rates rising.  Scammers will tap into the prevailing mood of concern about finances, and unfortunately, realising the assets within a pension may be the only option left for some people. Worryingly, 1 in 4 people are being urged to make a quick decision on transferring their pension and this does not sit comfortably given the current environment.

“This quarter saw the highest number (1685) of  helpandadvice.co.uk Pension Scam Assessments completed.  Hopefully this is a sign that people are becoming more scam aware and acknowledging they need help identifying red flags before they make a decision that could have disastrous consequences. A short-term fix to solve the current cost of living crisis could well have a lifelong impact.

“We urge everyone considering a pension transfer to head first to our Pension Scam Assessment – its free, simple and easy to use and provides a sense check, raising warning flags based on their answers to a range of questions, with clear signposts about what to do next.”

The Pension Scam Assessment Tool was developed to help anyone considering a pension transfer.  It asks 20 straight forward questions relating to the tactics that a pension scammer might use to coerce someone into transferring their pension. No personal details are needed. Once complete, the Pension Scam Predictor displays a likelihood of the pension transfer being a scam, listing the red flags and explanations.

If concerns are identified, it then instructs the individual to:

• Stop doing anything further with the transfer;
• Contact the adviser to get answers to the questions raised by the red flags identified by the tool;
• Contact their pension company, pension administrator, the employer or trustee to which the pension relates, ask to stop any transfer payment and to help determine whether the pension is being transferred to a legitimate pension scheme.
• Report to the Financial Conduct Authority (FCA) by contacting their Consumer Helpline on 0800 111 6768 or using the scam reporting form at www.fca.org.uk
• Report to Action Fraud on 0300 123 2040 or www.actionfraud.police.uk

Pension savers can find Help & Advice’s free Pension Scam Predictor here: Pension Scam Predictor Tool » Help & Advice (helpandadvice.co.uk)

For more information email: saq@people-tech.co.uk.