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What makes a pension mis-sold?  

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If you have been advised to transfer your pension into an inappropriate scheme or investment, we can help you claim back what you are due. Pension mis-selling is a serious and widespread problem, and victims have the right to claim compensation. But what makes a pension mis-sold in the first place?  

Crucially, it’s important to understand that a pension is not necessarily mis-sold if it does not perform as well as you hoped it would. Likewise, some investments are unpredictable by nature, and if you have a high-risk pension that doesn’t necessarily mean that you have been mis-sold. However, you should have been told about the level of risk involved and if you were given unsuitable or misleading advice about the potential returns, you could have a claim.  

Some of the most common examples of pension-mis-selling our expert lawyers have seen at KP Law include: 

  • Where people have been talked into transferring their safe and secure final salary/defined benefit pensions (workplace pensions) into less suitable Self-Invested Personal Pensions (SIPPs), Qualifying Recognised Overseas Pension Schemes (QROPS) or other personal pensions. Many types of employees have fallen victim to this type of pension mis-selling including civil servants, teachers and those working for the emergency services. 
  • Where veterans have been convinced to transfer out of the MoD pension scheme. 
  • Where people have lost money from their pension, or the benefits they thought they had have not materialised. 
  • Where people have paid excessive fees and/or commissions on the transfer of their pension (potentially on an ongoing basis). 
  • Where people were targeted by unregulated salespeople, often via cold calls using hard-sell, pushy techniques. Often victims of this type of mis-selling are passed to regulated financial advisers to facilitate the inappropriate transfer. The motivation behind this is usually the generation of fees or commission for the advisers.  
  • Where people were talked into transferring their pensions into unregulated and potentially fraudulent investments leaving them open to the wrath of HMRC. 
  • Where people have been advised to transfer perfectly good schemes into more expensive, complicated, unsuitable and non-mainstream products which they simply did not require.  
  • Where people have not been told about the risks, charges or fees, or the T&Cs of transferring a pension (or these were not fully explained). 
  • Where people have been advised to invest in pensions that are not suitable for them. For most people, a high-risk pension is not suitable. Professional advisors have a duty to match the product sold to the appetite for risk.  

What can you do if you have been mis-sold a pension?

Representing people in England and Wales, at KP Law, we help our clients claim back what they are due following pension mis-selling. We can even help you get your money back if you can no longer access your pension because the provider or adviser has since gone out of business.  

Making a claim with KP Law is straightforward. It is free to sign up, and we act on a strict no-win, no-fee basis, so, as our client, you will not pay us anything upfront. 

If you believe that you have been mis-sold a pension, contact us to find out more about what making a claim involves. If you are not sure if you have a claim, we can find this out for you. 

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