You’ve worked hard to save for your retirement, so protecting your money should be a top priority. One of the safest ways to avoid a final salary pension transfer scam is by working with an FCA-regulated Independent Financial Adviser (IFA). The Financial Conduct Authority (FCA) oversees the conduct of retail pensions. They oversee both personal pensions you set up yourself, and group personal pensions offered through your workplace.
Unfortunately, scams are becoming increasingly sophisticated. One growing tactic, known as “fake authority,” involves fraudsters pretending to represent the FCA or the now-defunct Financial Services Authority (FSA). They may contact you unexpectedly by phone, email, text, post, or even in person at events. Be cautious if you are pressured to act quickly, asked for personal details, or promised unusually high returns. Before making any investment decisions, always seek independent, professional advice to protect yourself from a final salary pension transfer scam.
CEO and Independent Financial Adviser, Dominic James Murray, shares his expert advice and important warnings to help you recognise and avoid the final salary pension transfer scam in this detailed video.
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Work with FCA-Regulated IFA
Make sure you work with an FCA-regulated firm that can provide advice on an FCA report for Defined Benefit transfers over £30,000. If you don’t begin here, you risk wasting time, as the advisory firm won’t be able to complete your transfer.
Many advisory firms will tell you that you can make an appointment to speak with them anyway. However, it's possible that they're trying to sell you something else, such as insurance or a lump sum. Whatever it is, always begin with a getting a qualified firm to handle the transfer for you. Following FCA scam rules for final salary pension transfers helps protect your retirement savings
Find Out if You Are an Insistent Client
Under FCA rules, it’s important to determine early whether you are an insistent client. An insistent client is someone who wishes to proceed with a final salary pension transfer despite the FCA report or financial advice recommending against it. This is often due to the risks associated if a client were to proceed with the transfer.
Usually, this information only becomes clear at the end of the FCA report, which typically costs around £3,000. Finding out you are an insistent client after paying this fee can be frustrating and unhelpful.
At Cameron James, we take a different approach. We aim to be upfront and tell you as early as possible if we believe you are an insistent client and therefore may not be suitable for a transfer. Please note this is not legal advice, but rather our clear, straightforward assessment before you decide to proceed and incur any fees.
Does the Firm You’re Working With Facilitate Your Transfer?
Can the company you’re working with help you complete the transfer if you decide to proceed as an insistent client?
This is extremely important. It’s no use having the free FCA report prepared, only to discover you’re an insistent client and the firm cannot assist you in moving forward with the transfer.
At Cameron James, we provide advice from the very beginning. Our general rule is that if you are based in the United Kingdom, we cannot proceed with your transfer as an insistent client. However, if you are outside the UK, we may still be able to assist.
If we determine that you fully understand the risks and are not being pressured by anyone else to complete the transfer, we can attempt to get compliance approval for you. This is considered on a case-by-case basis.
Limit the Number of Mistakes on Your Paperwork
When it comes to transfers, try to keep your paperwork as error-free as possible. If you make mistakes on your paperwork, it will raise amber or even red flags for your UK scheme.
Even if you've done 3-6 months of research to determine whether or not to transfer, you've gone through the advice process, trusted a financial adviser, signed a million docker signs, given your birth certificate, and done all these different things, but then you find out that your financial adviser's application form is full of mistakes, it will make the process more difficult.
So, how does Cameron James handle the UK scheme?
If your financial adviser or power planner makes a mistake on your paperwork, you may lose your transfer. As a result, you should always work with a company that is both qualified and experienced in dealing with UK pension schemes.
Every day, we deal with UK savings schemes. We have a department within the company who's job is to call the schemes 8am-5pm Monday-Friday. They are our go-to people in this situation.
The Money Advice Pension Service
Make sure that you are adhering to the guidelines. Over the next 12 months, the Money Advice Pension Service (MAPS) will grow in popularity.
You may need to be referred to MAPS for an independent phone call, which helps ensure that the advice you receive is accurate and not linked to any scam. This step is very important. If your UK pension scheme suspects a scam or doubts the trustworthiness of your financial adviser or SIPP provider, it could cancel your entire transfer.
Remember, it’s not your UK pension scheme’s responsibility whether you’ve paid the usual £3,000 advice fee. If they decide to decline the transfer, you must accept the risk involved.
For this reason, please do everything possible to avoid mistakes with your Final Salary pension transfer and all related paperwork
Trust Your Final Salary Pension Transfer to Cameron James
An experienced and FCA-regulated firm will ensure your final salary pension transfer and retirement savings are handled safely. At Cameron James, we help you follow FCA scam rules for final salary pension transfers, minimise paperwork errors, and protect your funds from potential fraud.
If you want expert, transparent guidance from advisers who deal with UK schemes every day, we are here to help. Book your free one-hour consultation today and take the first step toward a secure, compliant pension transfer.