Report finds a wave of mis-sold pensions in the UKNovember 1, 2018
Financial institutions have, in recent years, been obliged to pay compensation to customers for a range of products that were mis-sold. These products have included endowments, but the next big scandal is pensions, typically one of the largest financial commitments that individuals will take out in their lifetime. A report found a wave of mis-sold pensions in the UK, with plenty of claims of mis-selling a range of financial products, but just who is really to blame?
A good portion of the working population underwent the folly of mis-sold pension, a veritable scandal that rocked the nation back in the late ’80s. Unfortunately, the aftermath of the fiasco stemming from bad financial advice rumbles on as various cases still wait to be cleared up. While hundreds of thousands have already been given pension compensation, many are still waiting to claim what is rightfully theirs.
Those who followed the advice to transfer their final salary pension usually receive a more substantial amount considering the guarantees they lost when they made their foolish move. Compensation, in this case, has the person back in the position he or she would have been in had the transfer not been made. The amount can be as much as £167,000 and even higher. If you’d been in a similar predicament, it is definitely worth your trouble to get your pension arrangements audited by a reputable claims management firm.
What you need to know about these emerging pension complaints is they can still be filed no matter if the person affected is already in retirement. Regardless if you are already receiving an income from your pension, or if you are still eligible for a compensation once it is proven that you have been mis-sold with the wrong pension, any amount could create a huge difference in your lifestyle, especially when you have already retired.
You should also know that there are different ways in which your rightful pension can be given back to you. It can come in a form of a tax-free lump sum of money, through their pension fund which 25% will be tax-free for those who are still working. For people who are still employed within a final salary pension scheme were sold FSAVCs can have their pension refunded at their FSAVC pension or giving it in a lump sum.
Fortunately, there are now much stricter rules about pension selling and many have learned the painful lesson that this episode taught. At the same time, there are still many so-called financial experts out there involved in unconscionably dispensing bad money advice, so be properly wary.
If you believe that you personally have been wrongly advised about selling your pension or leaving a company pension scheme, find the right professionals to help you pursue mis sold pension compensation. Any possibility of a windfall is definitely exciting. Just consider the improvement it will bring to your standard of living. In any case, whatever amount you end up being compensated with is rightfully yours, so at the end of the day, it is merely justice served.