Everything You Need to Know About Mis Sold Pensions

The mis-sold pensions ordeal is one the biggest scandal to hit the UK since the PPI scandal. If you haven’t checked in on your retirement plan, now is the time. 

Pensions are the number one way people survive financially after they retire from their jobs.

A pension helps you maintain a middle-class way of living after leaving a steady paycheck. It’s guaranteed income security that doesn’t rely on the stock market. That security takes the stress out of worrying about your payout fluctuating every month. 

You get your pension for as long as you live after retirement. 

A mis-sold pension is financially damaging to retirees. Keep reading to find out everything you need to know about mis sold pensions. 

What Are Mis Sold Pensions?

A missold pension is the product of persuading a consumer to invest in a pension scheme. The consumer does so through misleading advice or without full disclosure.

The return on your investment would’ve been higher than expected. Unfortunately, the misleading scheme causes you to miss out on thousands of dollars in pension funds.

Mis sold pensions are responsible for millions in paid SIPP claims across the UK. 

How to Find Out if You’re a Victim of a Mis-Sold Pension

Most people who get mis-sold pensions don’t realize it until it’s too late. There are several ways to figure out if you’ve become a victim of a mis-sold pension. Here’s where to start:

1. You Can’t Remember Anything About the Terms and Conditions

All financial products have terms and conditions. Your financial advisor has an obligation to explain the terms of your pension before you sign it. If you can’t recall going over any documents like this, chances are you were mis-sold on your pension. 

2. Inexperienced Advisor

Unless you’re an expert on financial products, you need an advisor. Advisors go over in detail what products are beneficial to you. That advice should be expert advice. 

When you later discover the advisor lacked the experience they claimed, question your pension. There’s a possibility you were part of a scheme and may be eligible for compensation.

3. You Transferred Money From a Workplace Pension

If you already have a workplace pension, there’s no need to transfer money out of it. An advisor shouldn’t encourage you to make a decision like this either.

Transferring money from a workplace pension to one you’ve never heard of is a true sign of mis-sold pension. This type of activity is a money purchase scheme. It results in large financial losses for retirees.

If you did this, speak with a claims specialist at your workplace pension provider right away. 

Protect Your Pension

Get sound money advice when it comes to your pension. Consider this information. Make sure you’re not in the number of those who’ve been mis sold pensions. 

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