After working relentlessly all your life, retirement begins to seem like the vacation you very much longed for, leaving you hunting the market for the best suitable retirement plans to enjoy your retired life in the near future. A typical retirement plan allows you to invest a part of your savings with a hope to accumulate larger volumes of wealth years later. Doing so, your income during retired years is secured as once you retire there is no need for further laboring and earning.

Fraudsters very much understand and appreciate the ever rising statistics of employees investing in such retirement plans and that is when the scope for frauds in retirement plans increase. Fraudsters begin targeting these lucrative ponds of retirement savings by hoodwinking individuals into investing in all the wrong and insecure places, with the promise of uncommonly large returns or better interest rates which ultimately results in loss of all the savings of the investor and absolutely zero returns. Undoubtedly, it isn’t a pleasant place to be in for any retired individual who doesn’t see the fraud until it is too late and has costed him/her huge amounts of time and investments.

Each year, elderly alone lose investments billions in worth to fraudsters in retirement plan scams, all over the world. Educating yourself beforehand and proper planning could be of defense when it comes to these scams.

To Protect Your Retirement Plan From Fraud

  • Ensure to question the salesperson i.e. the promoter with every little concern you have. Understand the investment along with all the risks involved. Find out about the company in which you are investing, about their products, services etc. and run a background check whether or not the company has any notorious reviews regarding investments. For better relief, make it a point to research and validate if the company is established well or is floating in crisis. Consult your family members and trustworthy associates before making a decision to invest or opting for the demonstrated retirement plan. If the returns sound too golden to believe, it is best to not believe in entire plan at all.
  • Contact the respective company to make sure if the salesperson is licensed and registered by the company for selling plans in the first place.
  • Don’t get carried away and blindly trust if the person on the other end of the table sounds too professional or well learnt as con-artists are artists for the reason of deception and manipulation.
  • Don’t fall for the offer when the salesperson tries to magnify your fears of future uncertainties.
  • Do not rush into deciding a retirement plan. Give yourself enough time to think through the schemes and offers.
  • Do not immediately respond or contact on receiving e-mails or phone calls that explain an irresistible retirement plan with your savings. The same applies to billboards or pamphlets found on your porch. Always do your homework on the company and the scheme.
  • In case you have invested already, closely eye your account and request for statements regularly. Do not leave everything up to your broker. For the money being yours, decisions as well remain yours.
  • If you notice that your advisor or broker is insisting on not claiming your profits ‘just yet’ you must assume responsibility and get to understand what is happening in actuality with your investments.
  • Never hesitate to complaint on suspecting fraudulence or receiving unsatisfactory explanations to your queries. Any action taken to safeguard your money is always in your best interest.

Plan your retirement in the most secure of ways. Once a mistake is made, it’s consequences keep ripening years later.

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