PFS aims to stop Coronavirus scams

The leaflet, titled How to avoid investment scams (https://www.thepfs.org/media/10124149/coronavirus-scams-flyer.pdf), shares information about how to find out about potential coronavirus scams, how they could affect individuals and how to protect yourself from losing cash.

The leaflet flags that while traditionally scammers used to cold call, contact can now also come from online sources such as email or social media, post, word of mouth or even in person at a seminar or exhibition.

People are urged to consider whether they have been promised returns greater than are generally available or pressured to make a quick decision by being offered a bonus or discount if they invest before a set date.

The leaflet flags that scammers may share fake reviews and claim other clients have invested or want in on the deal in order to get savers to part with their cash and urges adviser clients to check out the Financial Conduct Authority’s ScamSmart website: www.fca.org.uk/scamsmart.

Keith Richards, chief executive of the Personal Finance Society, said: “The personal finance profession has a vital role to play in stopping scammers from getting their hands on their clients and the general public’s cash.

“As part of our ongoing campaign, we encourage all members to download and share the leaflet with clients and encourage them to share with family and friends.

“A major event like coronavirus can initiate new types of scam activity and our profession will be able to spot scams quicker than the unsuspecting public. Financial advisers can play a key role in fighting financial crime. Together with the Financial Conduct Authority and The Pensions Regulator, we are urging consumers to be vigilant for scams that could appear over the coming weeks and months.

“A key takeaway from this leaflet is if in doubt, always seek impartial advice from a regulated financial adviser or a trusted friend and if something sounds too good to be true, it probably is.”