In the 80’s you might have come across a lot of pension misselling cases but that’s a few decades behind us. The experience of the past still haunts most of them but today, misselling scams can be easily identified, controlled and the compensation can be easily claimed. If you are at the loss of pension cases, this article will help you to overcome it.
Misselling is illegal
You must understand that it’s illegal for someone to missell pension schemes. In the ’80s a lot of people were cornered due to the widespread private pension schemes and attractive marketing campaigns. Those who moved from their state plan to the private ones later realised that they would not get as much as benefits in the new scheme. And they started moving back to the original state policy that worked really well and had a lot of good benefits.
The main reason for this scam – People were not fully informed and they were not warned about the risks involved in making the transfer.
Misselling scams are often done to attract people and induce them with sweet-coated words. Overall, the pensions sold to them do not add any value to them and they are perfectly unfit for their situation.
Let’s assume a client with no dependant. Selling a life insurance plan to him will never have a benefit for him as there are no dependents who can claim it. This is an evident example of misselling. The intention of the company in this example is just to sell the insurance plans without considering the needs and requirements of the potential client.
You must know the two types of Pension misselling
Poor or improper Material representation
This is a perfect case of fraudulent activity related to financial misselling. When the pension advisor tries to explain a product incorrectly, it is considered as improper material representation. To make it clear, let us consider the previous example. The potential client/buyer would have invested in the insurance policy expecting a huge amount of profit after the policy maturity however, that’s not the case. Giving false information and false claims about a product is absolutely not acceptable.
Most common pension mis-selling case where people are giving products that are not useful to the client’s requirements. They are clearly given incorrect products that are not suitable for their needs. For example, selling a basic LED TV to someone who is looking for a SMART TV or OLED.
If you feel that your pension is mis-sold, you need to act immediately and talk to experts to solve the situation. Professionals can help you register a case and claim compensation with clear evidence.