Mis Sold Pension Claims Guide – How To Claim Compensation Calculate Amounts Payouts
By Mark Ainsdale. Last Updated 3rd August 2021. On this page, you will find a simple guide to making mis-sold pension claims.
Even though the Financial Conduct Authority (FCA) stipulates that all financial advisors must offer the most suitable products to their clients, regardless of profit, there are cases when financial products such as a pension are mis sold. This guide will act as a primer, explaining why you could be eligible to claim a mis sold pension and how to claim.
If you have questions about the contents of this guide or need some more information that isn’t covered in this guide, please speak to one of our claim advisors on 0800 073 8804. They will go over your mis-sold pension claims with you and answer any questions you have.
Select A Section:
- A Guide To Mis-Sold Pension Compensation Claims
- What Is A Mis-Sold Pension?
- How Do I Know If My Pension Was Mis-Sold Or Eligible For Compensation?
- What Are Mis-Sold Pension Annuities?
- The Uk’s Top 30 Largest Employers
- Checklist – Was My Pension Or Pension Annuity Mis-Sold To Me?
- Could I Claim For An Annuity Taken Out Before July 2008?
- Could I Claim For An Annuity Taken Out After July 2008?
- Could I Claim If The Pension Was Transferred To Me After The Owners Death?
- How To Start A Compensation Claim For A Mis-Sold Pension
- Mis-Sold Pension Compensation Claims Calculator
- No Win No Fee Mis-Sold Pension Compensation Claims
- Contact Legal Expert Today
- Helpful Links
A Guide To Mis-Sold Pension Compensation Claims
Welcome to our mis-sold pension claims guide.
This guide aims to answer questions such as can I claim for mis-sold pension? It is aimed at providing people with enough information to begin approaching their own claim from a position of understanding, allowing them to make educated decisions and choices on how best to proceed. The guide begins by giving a quick overview of what a missold pension is, as well as pensions and pension annuities in general. We then delve a little deeper, examining how a person can decide whether their pension was mis-sold and what mis-sold pension annuities are.
The middle part of this guide moves on to talk about aspects that are pertinent to the claim itself. We provide a simple checklist that will help you discern whether you were mis-sold a pension. We then move on to look at whether you can claim for a pension taken out both before and after 2008 (this is a significant cut off date, more on this below). We also cover pensions that were transferred on the death of the original pension holder and how these can be the basis of a claim in some cases.
The final part of this mis-sold pension claims guide covers aspects of the claims processes, including some advice on how to begin your claim. We have also provided a table that lists possible compensation amounts for these claims. Finally, we introduce our No Win No Fee claims service. This service is available to people all across the UK and is a simple yet effective way for you to have your claim processed in a financially risk-free manner.
What Is A Mis-Sold Pension?
Claims for the financial mis-selling of pensions have been on an upward trend since June 2008 (we will explain why further down the page). Whenever financial institutions such as banks or Independent Financial Advisors (IFA) are found to have misguided customers, selling them the wrong pension, they can face hefty fines. Despite this, customers can still be offered bad advice, resulting in them investing in the wrong pension scheme.
Whenever an IFA or a financial services firm sells a pension product to a customer, they must conform to very stringent rules and regulations. This includes making sure they collect the proper information from you and advise you of all of your options. For example:
- Your current and historic health and medical situation must be evaluated as part of the product selection process.
- From there, your advisor must make sure to give you all the information that you need to make a proper decision.
- You must be warned when you are offered a potentially risky investment proposition, such as transferring your pension into an SSAS or SIPP or investing in property syndication projects or carbon credits.
- The advisor must provide you with a full range of product options and not influence your decision by offering you only those which profit the IFA or financial firm.
These are just some of the aspects of the FCA code of contact for Financial Advisors. We recommend you speak to one of our claim experts, who will be able to help you work out if you were mis sold a pension. For more information about mis-sold pension claims, please read on.
Pensions In Brief
Your pension is intended to be your pot of funds to allow you to live a comfortable life without financial worry when you finally retire. Generally, a person will contribute towards their pension fund for much of their working life, transferring their pension between employers as they change jobs.
When a pension (or pension transfer) is mis-sold, this can have a very severe negative effect on a person’s financial health in their retirement. Potentially costing them hundreds of thousands of pounds or even more.
Regarding making mis-sold pension claims, please be aware that a pension annuity is not the same as a pension. A normal pension is a pot of funds you have accrued through making small regular payments for many years. Your pension then pays you a sum of money each year to live on when you start claiming it.
An annuity works differently. An annuity is purchased (for a lump sum usually) much later, usually when a person is ready to retire. The annuity they have purchased then provides them with an annual payment every year until death.
There is a UK Government website that explains this important difference between a pension and an annuity at this like:
How Do I Know If My Pension Was Mis-Sold Or Eligible For Compensation?
At this point in our mis-sold pension claims guide, let’s look at how to know whether you have grounds to claim compensation.
For you to make a claim, you must have been provided with the wrong pension or annuity. When we look at pension mis-selling examples, we find that there tend to be specific things that make a claim valid. For example:
- A pension was transferred into a Self-Invested Personal Penson Plan (SIPP).
- Or a pension or annuity involved in investing in certain risky areas such as property (in the UK or overseas), carbon credits, storage pods, car park schemes, etc.
- You were advised to transfer a company pensions scheme into a private pension scheme when the company scheme would have provided better financial performance?
- The advisor selling you the pension or annuity pressured you into choosing without providing you with a wide range of choices, with full disclosure of the benefits and pitfalls of each one.
These are just some of the ways that your financial advisor may have misinformed you and sold you a pension or annuity product that was not the most suitable. We recommend that you speak to one of our mis-sold pension claims advisors, explain your situation, and learn whether you may be eligible for compensation.
What Are Mis-Sold Pension Annuities?
When you are ready to buy an annuity, you have the right to evaluate as many financial products as you wish to so that you can track down the best deal for your own circumstances. You are not limited to the range of annuity products offered by the firm that runs your pension scheme.
By shopping around, you can potentially unlock a far greater financial return, meaning more income during your retirement. Your pension firm should (by law) inform you of this when you are shopping for an annuity. They must also tell you if you qualify for some form of an enhanced annuity. If they do not, then you could have a valid basis for making a claim.
The UK’s Top 30 Largest Employers
With regards to mis-sold pension claims, here are some of the UK’s top employers:
- Mis Sold NHS Pension
- Mis Sold British Army Military Pension
- Mis Sold Department of Work and Pensions Pension
- Mis Sold HM Revenue & Customs Pension
- Mis Sold Ministry of Justice Pension
- Mis Sold Ministry of Defence Pension
- Mis Sold Metropolitan Police Service Pension
- Mis Sold Royal Air Force Pension
- Mis Sold Royal Navy Pension
- Mis Sold Network Rail Pension
- Mis Sold BBC Pension
- Mis Sold Home Office Pension
- Mis Sold Scottish Government Pension
- Mis Sold Department for Transport Pension
- Mis Sold Welsh Government Pension
- Mis Sold Parliament of the United Kingdom Pension
- Mis Sold John Lewis Pension
- Mis Sold Arcadia Group Pension
- Mis Sold Dixons Carphone Warehouse Pension
- Mis Sold Specsavers Pension
- Mis Sold SSP Pension
- Mis Sold GSK Pension
- Mis Sold Swire Pension
- Mis Sold Specsavers Pension
- Mis Sold New Look Group Pension
- Mis Sold Shop Direct Group Pension
- Mis Sold Coral Pension
- Mis Sold TI Automotive Pension
- Mis Sold Ford Pension
- Mis Sold Jaguar Land Rover Pension
- Mis Sold Vauxhall Pension
Mis Sold Pension IFA’s
- Mis sold Consumer Wealth
- Mis sold Foreman Financial Services
- Mis sold Grainger & Co Financial Services
- Mis sold C3 Financial Services Limited, formerly Foyle & Lagan Limited
- Mis sold MY IFA Friend
- Mis sold Active Wealth (UK)
- Mis sold Blue Infinitas
- Mis sold Alderley Asset Management
- Mis sold Douglas Baillie Limited
- Mis sold 1 Stop Financial Services
- Mis sold Carter Henderson Associates Limited
- Mis sold Strand Capital
- Mis sold Beaufort Securities
- Mis sold Guinness Mahon
- Mis sold The Lifetime SIPP Company
- Mis sold Fast Pensions
- Mis sold GPC SIPP
- Mis sold Greyfriars Asset Management LLP
Checklist – Was My Pension Or Pension Annuity Mis-Sold To Me?
If you’re thinking about making mis-sold pension claims, this checklist could help.
We have produced this simple checklist below that will give you a rough idea of whether people have a valid reason to make financial mis selling claims. If one of these statements below was true in your case, you could be eligible to claim.
- The financial advisor failed to ask you about a medical condition you were suffering from when you purchased your pension or annuity.
- The financial advisor failed to ask you about how you live your life and your habits, such as whether you smoke or drink before you purchased your pension or annuity.
- The financial advisor did not tell you that there may be other pension or annuity products than those they are offering you that could be a better deal and perform better financially.
- You transferred your pension into a Self-Invested Personal Pension plan (SIPP).
- Your pension or annuity involves investing in risky prospects such as property syndicates, ethical forestry, green oil, carbon credits, etc.
- The financial advisor helped you to move your company pension to a private pension scheme, even though the company pension would have eventually performed better from a financial viewpoint.
- The financial advisors pressured you into making a quick decision without allowing you time to consider the offer fully or the time to evaluate other products from other financial firms so that you could find the best deal.
If any of these statements above is true about your own pension or annuity, we could help you make mis-sold pension claims. We recommend you have a conversation with a member of our claims team. They will go over your circumstances with you and be able to tell you whether you have a valid claim or not.
Could I Claim For An Annuity Taken Out Before July 2008?
If you’re wondering about making mis-sold pension claims for annuity taken out before July 2008, this section will tell you everything you need to know.
Unfortunately, when it comes to financial misselling cases before June 2008, the route to making a claim is far from clear. The Financial Conduct Authority first introduced pension/annuity sales guidelines on this date. These guidelines, in effect, regulate how a financial advisor must communicate with their clients and offer the best advice at all times, regardless of which products produce the most profit for the financial services provider.
The FCA is not actively reviewing cases of financial misselling before these rules came into effect. However, you may still be able to claim in some cases. We recommend you take to our claims team, who will be able to evaluate whether you have a valid claim or not if your pension or annuity was purchased before June 2008.
Could I Claim For An Annuity Taken Out After July 2008?
With regards to making mis-sold pension claims for annuity taken our after July 2008, this section will help.
When it comes to financial mis-selling, solicitors could be able to process a claim for pensions or annuities that were purchased after July 2008. As we went over in the section above, in June 2008, the FCA laid down very stringent rules on how financial advisors must approach selling these kinds of financial products. If they breach these rules, it could be possible for a legal team to process a claim for you.
Statistics For Mis Sold Pensions View Graph
Payouts to savers who had been wrongly advised to give up company pensions have more than doubled, and concerns grow that a mis-selling pensions scandal is unfolding in the pension transfer market.
New statistics from the (FSCS) Financial Services Compensation Scheme fund shows that payouts to clients who had been wrongly advised to transfer rose in 2018 to more than £40m.
Are you wondering if you could make mis-sold pension claims on behalf of a loved one? If your partner was mis-sold a pension or annuity for any of the reasons covered in the section titled Checklist – Was My Pension Or Pension Annuity Mis-Sold To Me? then you could have a valid reason to make a mis-sold pension transfer claim.
Just because the original pension or annuity holder dies, the financial services provider could still pay out damages. Your partner’s pension or annuity subsequently rolls into your own retirement finances. Any detrimental effect on the performance of your partner’s pension or annuity will be affecting you. Therefore, you have every right to pursue a claim to compensate you for this. If you talk to one of our claim advisors, they will explain the process of making a third-party claim.
How To Start A Compensation Claim For A Mis-Sold Pension
Are you wondering how to start making mis-sold pension claims for yourself? Even though you could potentially send a mis sold pension letter, based on one of the many public domain mis sold pension letter templates available, to try and make your own claim, there is no substitute for professional legal help.
Furthermore, we can offer you a way to get this legal help at no financial risk to yourself (more on this below). However, there are some things that you can do yourself to get ready for making a claim, and these include:
- Use the checklist we provided a little further up this guide to work out if you may have a valid claim.
- Gather all of the documentation you have, related to your annuity or pension so that a professional legal team can evaluate it.
- If you have any evidence of why or how your annuity or pension sells to you in a way that fails to meet FCA guidelines, prepare it for submission to your legal team.
- Now, if you previously had a company pension but transferred it to a private pension on the advice of your financial advisor, try to locate your owl pension information (this may mean creating a list of previous employers who held your pension for you).
- Use the number at the bottom of this page to speak to one of our claims team. They will build on the preparation you have done and help get your claim moving forward.
Don’t worry if you can’t carry out all of these steps. They’re not a prerequisite to making a claim, and we can still try to help you. However, these steps streamline the mis-sold pension claims process somewhat.
Mis-Sold Pension Compensation Claims Calculator
At this point in our mis-sold pension claims guide, let’s look at how It is difficult to develop a number for the average compensation for mis sold pension, as each claim is fairly unique.
Usually, the size of your payout will depend on the size of your pension pot. However, the table below should give you an idea of how much you could receive for any personal injury that the ordeal caused you, taken from the Judicial College Guidelines.
Updated August 2021.
|Psychiatric Damage Generally||Less Severe||£1,440 to £5,500|
|Psychiatric Damage Generally||Moderate||£5,500 to £17,900|
|Psychiatric Damage Generally||Moderately Severe||£17,900 to £51,460|
|Psychiatric Damage Generally||Severe||£51,460 to £108,620|
|Post-Traumatic Stress Disorder||Less Severe||£3,710 to £7,680|
|Post-Traumatic Stress Disorder||Moderate||£7,680 to £21,730|
|Post-Traumatic Stress Disorder||Moderately Severe||£21,730 to £56,180|
|Post-Traumatic Stress Disorder||Severe||£56,180 to £94,470|
The best advice is to contact us to see how much you could claim for a mis sold NHS pension.
No Win No Fee Mis-Sold Pension Compensation Claims
Do you want to make mis-sold pension claims, but you’re worried about the cost of legal help?
We provide a national No Win No Fee claims service to all people across the UK who have been the victims of pension or annuity misselling. You’re at no financial risk as you never pay anything unless you receive a settlement.
When we begin working on your claim for you, we won’t charge you a fee. While we are processing your claim, we still won’t charge a fee no matter how long this takes. If we’re unsuccessful and you don’t receive compensation, we zero our fee entirely, and you pay nothing. When we’re successful, we will take our fee from your compensation and then pass you the remainder.
Contact Legal Expert Today
Ready to make mis-sold pension claims for yourself?
We can help with many kinds of claims, including mis sold pensions SERPS related and mis sold pensions SIPP related. If you think you have been mis sold an annuity or pension product, you should reach out to our claims team on 0800 073 8804. One of our claim advisors will let you know how we can be of assistance.
Mis-sold pension claims FAQs
How do I know if I was mis-sold a pension?
For you to make a claim, you must have been provided with the wrong pension or annuity. When we look at pension mis-selling examples, there tend to be specific things that make a claim valid. For example:
- A pension transfers into a Self-Invested Personal Penson Plan (SIPP).
- A pension or annuity involves investing in certain risky areas such as property (in the UK or overseas), carbon credits, storage pods, car park schemes, etc.
- You receive advice to transfer out of a company pensions scheme into a private pension scheme when the company scheme could provide better financial performance?
- The advisor selling you the pension or annuity pressures you into choosing without providing you with a wide range of choices, with full disclosure of the benefits and pitfalls of each one.
How much compensation will I get for mis-sold pension?
Every case is different. So the more money you have in your pension pot, the more compensation you should claim.
How do we value personal injury claims?
The more damage you suffer due to the high-risk incident, the higher the payout should be.
What damages can I claim?
Personal injury claims award compensation for general damages, accounting for physical and psychological harm, and special damages, accounting for financial losses.
What is the personal injury claims time limit?
This is typically 3 years from the incident date or date of knowledge. Therefore, if you only realise the consequences after the 3-year limitation period, you could still make a claim.
Do I need a lawyer?
There isn’t a law necessitating that you have a lawyer handle your claim. But in securing one, you could boost your chances of getting the compensation and financial advice you deserve.
How can Legal Expert help?
We offer free consultations to provide impartial legal advice for your unique situation. What’s more, If you have a valid claim, they can connect you to a lawyer ASAP.
How can I contact Legal Expert?
Please see our contact section for options on how to contact our financial advisors today.
You may find these external links to be useful to you:
These additional guides on this site might also be useful:
Citizens Advice On Pension Information – General information about pensions from the Citizens Advice.
Ofcom Mis Sold How To Report Cold Call – If you believe you were mis–sold a service, complain to Ofcom.
FCA On pension providers – FCA information on pension reforms.
FCA On How to avoid pension scams? – For information on how to avoid pension scams and mis sold pensions, visit this link.
Financial Services Compensation Scheme – Information On Pensions.
Thanks for reading our mis-sold pension claims guide. But please contact us if you want more information about how to claim.