Residential and leisure park operators Harlland and Fellstead are warning Britain’s retirees not to put their pension pots at risk from liberation scammers.
As of April 6th, Government legislation relaxed rules on pensions, meaning that from the age of 55 individuals can gain access to their entire pension pot. Harlland and Fellstead are raising awareness of liberation scammers that are approaching retirees claiming to be able to unlock savings.
“These scams can end up costing individuals tens of thousands of pounds in unnecessary charges and taxes,” commented Malcolm Buckingham, chairman of Harlland and Fellstead.
“We are expecting to see a rise in purchasing of our park homes with people being able to free up capital from their pensions, we just want to make sure they are doing it in the correct way and not losing out on potentially huge amounts of money. Already we are seeing a large increase in enquiries from customers wishing to use the pension release, but some seem confused as to how they are able to do so.”
Harlland and Fellstead have compiled the following tips for people worried about liberation scammers:
- Cold calls – Beware of spam calls, texts and emails that offer a free pension review, these are most likely to be an introduction to the scam.
- Ignore companies that use terms such as a ‘loan’, ‘saving advance’ ‘legal loopholes’ or ‘cash back’ from your pension.
- Don’t panic – If you believe you have agreed a deal with a liberation scammer, you have 30 days to change your mind and reverse the transaction with the taxman.
- If you are unsure, check the official FCA Warning List for a list of known firms to avoid or call direct on 0300 500 0597.
“These types of scams have existed for a while, but with the high levels of media attention on the recent law changes, the cold calls have increased in number making people far more susceptible.
“The relaxing of pension laws is a great idea, as it allows people far more freedom with their money. There just needs to be great awareness of the correct way to carry out the process through the official channels.”
To find out more about releasing your pension early, visit the Money Advice Service at https://www.moneyadviceservice.org.uk/en/articles/options-for-using-your-pension-pot.