Older investors more at risk of scams and fraud warns watchdog
Investment scam fraudsters frequently target older people with savings. Here’s all you need to know to keep yourself safe from scammers.
The Financial Conduct Authority warns people aged over 55 are more at risk of investment fraud.
More investors are being led into investment schemes they may not completely understand, seeking higher returns through low savings rates.
Over 65s with more than £10,000 in savings are three and a half times more likely to fall victim to investment fraud than anyone else. Scammers are heavily targeting these people, with 40% reporting they were received far more unsolicited investment calls.
Phone calls are a common tactic used by investment fraudsters who promise people huge returns but then just disappear with your cash.
“You don’t need to be gullible to lose money to a scam or fraud,” said Mark Steward, director of enforcement at the FCA.
“Fraudsters target financially sophisticated people too, who often don’t like to ask what might sound like silly or basic questions. If you are contacted out of the blue about an investment opportunity that sounds too good to be true then it probably is. We would urge you to be skeptical.”
Scams, fraud and predatory sales tactics also abound across the pond in Europe. The concept of defrauding people out of their life savings is a universal global issue. Wherever, you are the risk exists.
While being a skeptic will get you so far it will not proactively protect you and it can actually cause you financial harm in the cloaking of opportunity cost. Not every financial opportunity is a scam, fraud or a manipulation, there are real deals with good outcomes. You need to understand the risks and be able ascertain the real deal from the phony deal. Being a member of the Advocacy Network provides you with the tools necessary to make this differentiation with consistent success.
Don’t allow yourself to stay exposed to the financial risk of financial victimization and certainly don’t close yourself off from the opportunities that could make huge financial gains for your future wealth, let us proactive protect you and help you with the financial tools that will allow you to make smart decisions about money.