Fraudsters employ increasingly advanced psychological tactics to persuade victims to invest. An estimated £1.2bn is lost to investment scams each year, with share sales, wine investments, land banking and carbon credits commonly used by fraudsters to target potential investors. A recent study by Citizen’s Advice found nine out often people would fail to spot common warning signs of a pension scam, such as unusually high investment returns, cold calling and offers of free financial advice.
It’s very important to remain vigilant when you are looking to access the money you have invested. Last year, victims of investment fraud lost on average £32,000 as fraudsters employed increasingly advanced psychological tactics to persuade victims to invest.
Useful information to help protect you from scammers can be found on The Pensions Regulator website. You can report fraud and cyber crime via ActionFraud, the UK’s national fraud and cyber crime reporting centre. Keep up to date with the latest scams and fraud warnings with useful advice at Age UK. Remember to trust your instincts. If you think the offer sounds too good to be true, it probably is!