Planning for a comfortable retirement is important, and pensions remain one of the best ways to secure financial stability in later life. However, as pension access becomes more flexible, fraudsters have found new ways to exploit this.

Previously, scammers had to create fake pension schemes and convince individuals to transfer their savings. Now, with pension freedoms allowing easier access to funds, criminals have developed more sophisticated tactics to steal money directly from savers.

Fraudsters use various deceptive methods to target pension holders. Here are some of the most common scams:

This scam often appears harmless, as it presents itself as a free pension check-up. Fraudsters may contact individuals via phone calls, emails, text messages, or even doorstep visits, offering to review their pension for free. However, these so-called 'reviews' are simply a ploy to access personal information or convince victims to transfer their funds into fraudulent schemes.

With low interest rates in recent years, many people look for ways to grow their pension savings. Scammers exploit this by offering one-off, high-return investment deals that seem too good to pass up. These often involve overseas properties, luxury goods, or unusual assets that promise high rewards but result in financial loss.

Targeting individuals under 55, these scams promise early access to pension funds through what is sometimes called a pension loan, early release scheme, or cash-in offer. While some pension withdrawal options are legitimate, most schemes of this nature involve severe tax penalties and hidden fees, leaving victims significantly out of pocket.

To protect your pension, always be cautious of unsolicited offers and investment opportunities. Here are some key precautions:

By staying informed and vigilant, you can safeguard your retirement savings from fraudsters looking to take advantage of unsuspecting individuals.