Many investors put money into a SIPP, only to find out later that the risks weren’t explained to them properly, or that there were hidden fees, or other costs they weren’t made aware of.
These days, there are many financial options for your retirement. It’s easy to swap your DB (defined benefit) pension for a SIPP or other pension product, but the key question is – is it the right thing to do?
Pension mis-selling is a growing issue, with increasing numbers of people making claims for their financial losses. There are many ways in which a pension can be mis-sold– with one of the most common being lack of risk assessment.
When transferring a pension, the financial risks should always be considered. It’s your financial advisor’s job to ensure that you understand the risks involved, and are happy to take them.
Previous research has shown that, when it comes to pension mis-selling (and seeking compensation), age and geographic location have considerable impact.
The mis-selling of investments is nothing new – and increasing numbers of companies are coming under fire for the way in which they sold their financial products to clients.
After sending a report to Santander, they agreed with our findings and awarded Mr Snowden an amount of £7,000 made up from a refund of the losses together with interest and compensation.