Do you suspect that you have been mis-sold SIPP?
If yes, you are far from alone.
In fact, hundreds of thousands of people in the UK have transferred their hard-earned savings into unsuitable and high-risk investments, which has resulted in them losing either a substantial or even all of their pension funds.
If this is the case for you and your pension, you may be eligible to make a mis-sold SIPP claim.
Within the below blog, you will find out everything you need to know about mis-sold self-invested private pensions, including:
- What is a SIPP pension?
- How does a SIPP pension work?
- How do I know if I’ve been mis-sold SIPP?
- How can I claim mis-sold SIPP?
- How much compensation will I get?
- How we can help you to get the compensation you deserve
What is a SIPP pension?
A self-invested personal pension (SIPP) is a type of pension that holds investments until you retire and start to draw your pension income. It works in a similar way to a standard personal pension; however, it offers more flexibility in terms of investments and provides the opportunity to substantially increase the value of your funds.
Although this may sound like a good thing, SIPPs are designed for people who have experience in investing as they are much more complex than other personal pensions. Therefore, many people who wanted to take advantage of this solo investment opportunity turned to financial advisors for help, and this is where the problems started.
In many cases, people were given advice that may be viewed as negligent and deemed a mis-sold SIPP.
In light of the SIPPs mis-selling scandal, the Financial Services Compensation Scheme (FSCS) set aside £375 million to pay for compensation costs.
How does a SIPP work?
Some people do not like the idea of placing the security of their future in the hands of a pension company and instead prefer to have more control over how and where their pensions are saved. A SIPP enables the individual to manage their own pension funds and move about their investments freely.
Typically, SIPPs allow people to invest in a wide range of assets, including unit trust, investment trusts, insurance company funds, and commercial properties.
SIPPs usually come with higher charges than standard personal pensions, and the risks associated are much greater, which is why they are suited to people with larger funds and those who are experienced in investing.
How do I know if I’ve been mis-sold a SIPP?
Being mis-sold a SIPP is a lot more common than you might think, so if you suspect you have been mis-sold a self-invested private pension, you more than likely have.
That being said, there are certain signs to be aware of that strongly indicate you have been mis-sold a SIPP. These include:
You were advised to invest to avoid paying taxes
This a common trick used by unsavoury advisors to entice you into investing in an unsuitable or high-risk investment. They may have claimed that it would save thousands of pounds in tax, but unfortunately, this is highly likely to be a scam.
You did not understand what you were investing in
A reputable financial advisor will make sure that you are fully aware of what you are investing in and the associated risks. If your advisor used complicated jargon and deliberately kept you in the dark about your investment, this is a clear red flag that you were mis-sold a SIPP.
You were not informed about fees
If you were not properly informed about what fees were involved in the investment process, or perhaps they sprung last-minute fees on you that they had kept quiet throughout the process, this could be an indication that you have been mis-sold SIPP.
Other common signs of mis-sold SIPP include:
- High-pressure selling tactics
- You were not informed about the risks
- Your previous pension scheme met your needs
- You are financially worse off
- You were promised high returns that never materialised
Although there has been a huge range of mis-sold SIPP investments that have come to light in the UK in recent years, some of the most common ones include:
- Unlisted shares
- Property in the UK and overseas
- Car parking schemes
- Burial plots
- Holiday resorts abroad
- Renewable energy
How can I claim mis-sold SIPP?
If you think you have been mis-sold SIPP, you have to follow a clear process to claim compensation. This includes:
- Filling your SIPP compliant with your SIPP advisor or provider
- Ensuring you have all the relevant paperwork to support your claim
- Making sure that all details given are correct to avoid your claim from being rejected
If your financial advisor or SIPP provider is now insolvent, you will have to make your claim via the FSCS, which can be a complicated and drawn-out process.
How much compensation will I get?
The exact amount of compensation you receive will depend on a number of factors, so it is impossible to say exactly how much you will get.
That being said, it could amount to thousands of pounds, and it won’t cost you a single penny when you choose to claim us.
How we can help you get the compensation you deserve
Here at Maple Financial, we are committed to helping our customers get the compensation deserved from mis-sold SIPP. We have a long history of successfully pursuing these types of claims and provide each of our clients with their own independent advisor who will ensure you feel comfortable and fully informed every step of the way.
We work on a no-win, no-fee basis, which means that you can still make a claim even if you were unlucky enough to lose all your savings in SIPP.
Our experienced and friendly team is ready and waiting for your call and will discuss the details of your case on a completely free and no-obligation basis. Get in touch with us today for more information so you can get back what is rightfully yours.