As new pension freedoms arrive be ScamSmart

As the radical changes to the pension system that will allow people to access their pension pot come into force next month, the Financial Conduct Authority is urging people to be ScamSmart and on the look-out for dodgy investment scams.

The FCA is launching the next wave of their ScamSmart campaign that highlights the warning signs consumers need to be aware of from scammers who want to trick people into investing their hard earned cash.

The new pension flexibilities mean thousands of people will be making vital decisions about their retirement, and this can be the very moment that unscrupulous fraudsters will offer investments with high returns. The FCA wants would-be investors to:

  • Reject cold calls – investment scammers will often cold call
  • Check the FCA Warning List
  • Get impartial advice

Martin Wheatley, Chief Executive of the FCA said:

"The new pension flexibilities will offer people the freedom to make choices that suit their plans for retirement. But this is exactly the time when people need to alert to the dangers of scammers offering opportunities that are too good to be true.

"Our ScamSmart campaign sets out the straightforward steps people can take to protect themselves and number one is if you get cold called about an investment opportunity, hang up.

"Any decision about your retirement is important, start off on the strongest footing by being ScamSmart."

Notes to editors

  1. The FCA ScamSmart website sets out what people can do to spot investment fraud.
  2. The Government’s new pension flexibilities come into force from 6th April 2015, find out more information.
  3. On the 1 April 2013 the Financial Conduct Authority (FCA) became responsible for the conduct supervision of all regulated financial firms and the prudential supervision of those not supervised by the Prudential Regulation Authority (PRA).
  4. The FCA has an overarching strategic objective of ensuring the relevant markets function well. To support this it has three operational objectives: to secure an appropriate degree of protection for consumers; to protect and enhance the integrity of the UK financial system; and to promote effective competition in the interests of consumers.
  5. Find out more information about the FCA.

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