Here are some examples of a Mis-sold Pension: 

1. Self-Invested Personal Pension (SIPP) – this occurs when you give up your original pension scheme in return for a cash value and transferred or invested to a new pension scheme which is a self-invested personal pension which holds your pension until you retire, it may produce higher returns but with higher risks.
2. Small Self-Administered Scheme (SSAS) – is also known as Small Occupational Pension Scheme is a workplace pension set up by the company directors, leaders, senior staffs to provide retirements benefits for themselves and a small number of employees.
3. Defined Benefit Transfer – this occurs when your benefit pension scheme which is the percentage of your salary for the number of years you’ve been a member of the pension scheme is exchanged for a cash value and invested to a Define Contribution Scheme with the hope that it would grow in value which can only be accessed when in retirement age. There are risks, costs and loss of benefits from your original pension scheme which you must be aware of and if it wasn’t disclosed to you then you have been mis-sold a defined benefit transfer.

There are ways to know if you have been mis-sold a pension transfer. If your financial advisor did not provide any options to choose the right pension which is suitable for you or if your financial advisor persuaded you to transfer your original pension into a high-risk investment without disclosing the management costs, fees and charges or loss of benefits involved, then you may want to think it twice before committing into one.

If your financial advisor or pension provider contacted you through the phone with a handsome offer, you might want to ask them about their physical office and sit down to discuss the details in person. You need to read all the terms and agreement thoroughly and have them explained to you in details.

Mis-sold Annuity is where you have been sold unsuitable, and inappropriate financial product which is unbefitting for your circumstance and you were never given proper advice or range of options. According to the Financial Conduct Authority (FCA) data 600,000 people could be for compensation for mis-sold pension transfers and mis-sold annuity. There are 400,000 people in 2008 that bought annuities and since then many individuals have been sold annuities that were not appropriate to them but benefited the provider more than the pension holder.

Here are some examples of situations and signs to know for a mis-sold annuity:

1. If your annuity had a lack of health coverage – your annuity should take into account your health condition which impacts your life expectancy. This should be taken into consideration to make sure that you will receive your money within a certain period accordingly to your current health indicates.
2. If your financial advisor did not provide you with a range of options – your adviser should provide you with the best deal or outline all the choices for you to choose and appropriate options that are available.
3. If you feel you were forced or persuaded to commit or invest in a product – you must not feel pressured to invest in an annuity where you are unsure or did not fully understand the scheme
4. If charges were not explained properly – your financial advisor should inform you of all charges that are associated with the annuity before you sign up for it.

Choosing the best pension or annuity is like shopping for the best deal available. It also means that you will make the most out of your retirement with a higher income. The pension or annuity provider and financial advisor must provide you with the best pension or annuity rate not to coerce you into committing an inappropriate and unbefitting one of its own.

If you believed you have been mis-sold a pension transfer or mis-sold annuity our professional claims analysts can help you build a solid case for a successful compensation claim. We provide a 5-star professional service from start to finish and 100% online consultation. No win, No fee.