London, 12 November 2020: PensionBee has joined the Pensions Regulator’s pledge to combat pension scams.
The initiative, launched by the pensions industry watchdog earlier this week, calls upon pension providers, advisers and pension scheme trustees to commit to a series of principles that will raise awareness of the risks and combat the proliferation of pension scams (1).
PensionBee is committed to protecting its customers from scams and has made a commitment to meet the following six pledge steps:
- regularly warn members of the risk of scams
- encourage those requesting cash drawdown to call The Pensions Advisory Service for free, impartial guidance
- learn the warning signs of a scam and best practice for transfers
- take appropriate due diligence measures and document transfer procedures
- clearly communicate concerns to members if high-risk transfers must be made
- report concerns about suspected scams to the member and authorities.
Following a spike in online fraud and coronavirus-related scams, earlier this year PensionBee launched ‘Scam Man & Robbin’, a five-minute online game that educates consumers about pension scams (2). Created in collaboration with AgeWage, Smart Pension, Nutmeg and technology partner JMAN Group, Scam Man & Robbin’ challenges some common misconceptions which may initially seem positive about a pension scheme, such as guaranteed high returns or an offer of free advice, but may in fact be the hallmarks of a scam.
PensionBee is also a supporter of the recently formed All Party Parliamentary Group (APPG) on Pension Scams, chaired by Bob Blackman MP. The group was set up to be a forum through which Parliamentarians, pensions industry professionals and pension scam victims can work together to better protect the public from the perils of pension scams; give scam victims a representative collective voice; signpost victims to support; and facilitate the development of preventative and supportive policy initiatives.
Romi Savova, Chief Executive of PensionBee, commented: “The complexity of the pensions landscape has created an ideal environment for sophisticated pension fraudsters to thrive. Online fraud continues to rise as scammers find new and ingenious ways of parting consumers from their hard-earned savings. More can be done to alert savers to deals that are “too good to be true” or “unnecessary to explain” - the hallmarks of pension scams. It’s essential that the pensions industry continues to coordinate its efforts to protect unsuspecting consumers from scams.”
