A SIPP stands for Self-Invested Personal Pension and they were introduced in 1989 as a way for UK citizens to take greater control of their pension pot.
However, these types of pensions were specifically created to give seasoned investors the opportunity to take more risks, and so should not have been recommended to the general public. They are considered riskier than other types of savings as they rely on the success of where the money is invested.
Particularly risky investments included overseas investments, most environmental related investments and certain types of property. Sadly, SIPPs were widely mis-sold, and a great number of people have lost much of their hard-earned savings as a result.
In light of the SIPPs mis-selling scandal, the Financial Services Compensation Scheme (FSCS) have set aside £375 million to pay for compensation costs, where complaints are made about mis-selling.
Where does SIPP mis-selling come in?
SIPP transactions come with very high fees, which is one of the most common motivations for rogue advisors getting you to put money into a SIPP regardless of whether or not it’s the best decision for you. Most of the time it’s simply for the commission.
Savers can lose potentially massive amounts of money this way, which is why we help people across the country to recover their lost finances. It’s vital that you protect yourself against bad investment advice, but you first need to be able to spot this kind of advice.
Signs you have been mis-sold
To help you realise whether or not you’ve been made a victim of pension mis-selling, we have recently written a blog entitled ‘top signs you’ve been mis-sold a pension’. With this information you will be able to safeguard your financial future and then build on that in a safe, guaranteed way.
In the meantime, feel free to call us on 0161 968 0768. You can also fill in our quick 30-second form which you can find anywhere on our website.