There have been countless stories about SIPP mis-selling on the news and all over the internet. If you come across such a story and you have already invested your pension into a SIPP at some point in your life, it becomes a matter of great worry and concern. Another case of concern rises when the value of your pension fund is wiped out as a result of SIPP that has not given out the expected or promised returns.
The first thing is to figure out if you have been mis-sold a SIPP. Let’s have a look.
What are SIPPs actually?
SIPP is short for a self-invested personal pension. SIPPs were introduced back in 1989 when the government decided to give more control over personal pensions to the respected pension holders. The idea was that you could invest your money in SIPP that could lead to you higher returns than the original and traditional pension product, but only if you were brave enough to risk it all. This gave you freedom of decision to make. Instead of your pension provider deciding where to invest your money, you are the one who decides.
For the past couple of years, there has been a surge in the introduction to brand new SIPP products which especially target the pension holders with normal budgets. Before this time, SIPPs were considered very expensive and were not a good investment option.
The issues with mis-selling begin when many unfortunate people started filing complaints to the Financial Conduct Authority (FCA) about the misrepresented funds that they had invested in.
The problem gradually comes to a halt to the type of investment product. Various SIPP products include investing money in unregulated investments.
The selling of investment products often comes along with promising the pension holders about huge money returns and pressurizing them with sale tactics. Several other problems are also accompanied along but the mainstream is that the pension holder’s money is at great risk. The poor innocent people are given misrepresentative and poor advice. High-risk SIPP investments are extremely unsuitable for the majority of people.
Have you been mis-sold a SIPP?
The nature of the investment product says it all. It is the best way to know whether you have fallen a victim to SIPP mis-selling or not. If it was a nonstandard and something less likely to be invested in, then my friend, you, unfortunately, have fallen prey to SIPP mis-selling.
The first and the foremost thing to do when you have discovered the unfortunate fact that you have been mis-sold a SIPP is to look for an expert who can make an instant and hassle-free claim for compensation. Finding someone who can make a self-invested personal pension claim ensures that you are not at a total loss. If you think your SIPP was mis-sold to you at any point, you may get compensation, provided you have assistance from experts.