You’ve worked hard and managed to build a comfortable nest egg. Unfortunately, that success can attract the wrong kind of attention: scammers and fraudsters. In the UK, fraudulent schemes have become increasingly sophisticated, and retirees or those with substantial assets are often prime targets. The good news is, by staying informed and vigilant, you can protect yourself and your wealth.
Let’s look at some of the most common scams and share practical tips to keep your money safe. Think of this as a friendly security briefing. This is not to scare you, but to empower you. A little knowledge and caution go a long way in making sure your hard-earned savings remain exactly where they belong: under your control.
Impersonation Scams; Don’t Trust the Caller ID
One of the most prevalent scams is when someone pretends to be from a trusted organisation to trick you into giving away information or money. You might get a call that appears to be from your bank, or a text that looks like it’s from HMRC or even the police. Scammers can spoof phone numbers, so your phone’s display might show the bank’s genuine helpline number, and they often know just enough personal details (gleaned from data breaches or social media) to sound convincing.
They’ll spin a tale: “This is Barclays security, we’ve noticed suspicious activity on your account. We need you to move your money to a ‘safe account’.” Or “This is HMRC, you have an overdue tax bill, and if you don’t pay immediately, you’ll be arrested.” These calls are designed to panic you and bypass your normal caution. Rule number one: real banks or HMRC will never call you out of the blue and demand you transfer money or ask for your full PIN/password or one-time passcodes. If you get such a call, the best action is to politely hang up. Take five minutes. Then independently find the official number of the bank or organisation (on your statement or their website)and call them back yourself to verify. In the UK, there’s a special service “just dial 159” which connects you to your bank’s fraud department for verification. And remember, even if the number looks right, it could be a trick, always verify via a separate channel.
Beware of Family Impersonation Scams Too
“Hi Mum, I’ve lost my phone”, A common one nowadays is the WhatsApp or text message from an unknown number claiming to be your son or daughter: “Hi Mum, this is my new number my phone was dropped in the loo. Can you do me a favour? I need to pay an urgent bill…” They’re banking on parental love and panic. The message often has just enough personal tone to seem plausible.
Before you transfer money to “your child”, call the old number you have for them first or arrange a simple verification question only they would know (e.g. “Which cousin did we visit together last summer?”).
?”). Some scammers have even started using AI to clone voices, so if you get a surprise phone call from a “relative” in distress asking for money, be cautious. One tip: have a family code word or phrase for emergencies. If someone truly is your family calling from an odd situation, they’ll know the code word (“Uncle Bob’s red car” or whatever you decide!). These preventative steps may feel a bit James Bond, but they can stop a cruel scam in its tracks.
Romance and Friendship Scams, when Emotions are the Hook
Many people find new companionship online these days, which can be lovely, but unfortunately scammers lurk on dating sites and social media, especially targeting widows, widowers, and those who may be feeling lonely. They’ll create a fake persona (often an attractive person in a profession that explains being far away, “I’m a marine engineer on an oil rig” or “I’m a doctor with an NGO overseas”).
They strike up an online relationship, sometimes over weeks or months, professing strong feelings. Then comes the sting: a sob story and a request for money. “My bank account got frozen here, can you lend me £2,000 so I can come visit you? I’ll pay you back.” Or “There’s been an emergency surgery for my mother, I need help.” It’s easy to see how someone’s heartstrings and hope can override caution in these scenarios. The rule here is never send money to someone you’ve never met in person, no matter how genuine they seem. And certainly, never give them access to your bank or cards.
If you’re forming an online connection, do a little detective work: try a reverse image search of their profile picture (scammers often steal photos, you might find that handsome “John from London” is actually a model from a catalogue, or appears under a different name on another site). Suggest a video call early on, if they always have excuses (“camera broken” or “too shy”), that’s a red flag. And confide in a trusted friend about this new acquaintance, often an outside perspective can spot red flags we miss. Genuine love and friendship never require secrecy or quick money transfers. Real relationships can wait until in-person meeting and will respect your boundaries if you say you’re uncomfortable sending money.
Investment Scams – if it Sounds Too Good to be True, it is
We all like the idea of a great return on our investments. Scammers know this and prey on it, often targeting well-off individuals with schemes that promise high, guaranteed returns. You might encounter these through an unsolicited phone call, an email, or even ads on social media featuring fake endorsements by celebrities or well-known financial gurus (Martin Lewis, the UK money saving expert, has repeatedly warned he’s been falsely portrayed in scam ads promoting “amazing investment opportunities” he’s NOT behind those!).
Common themes include: exclusive investment in overseas property or land, a “can’t-miss” stock tip, or the current favourite, cryptocurrency scams, where a polite “advisor” offers to help you invest in Bitcoin or some new coin, often showing you a slick website where your “investment” seems to grow rapidly. The reality is, they’re just taking your money. One tell-tale sign is pressure to act quickly (“this offer expires tomorrow, invest now or regret it”), or a guarantee of very high returns with no risk (“10% monthly, safe as houses!”).
Legitimate investments carry risk and no legitimate advisor will guarantee outrageous returns. Always do your due diligence: if someone offers an investment, look up the company or person. Are they registered with the Financial Conduct Authority (FCA)? The FCA’s website has a Warning List where you can search company names to see if others have reported scams. If an investment firm cold calls you, be sceptical, in the UK, unsolicited investment calls are often banned. And remember, never transfer your money to a personal account for an investment. It should always go to a properly named institutional account. If you’re intrigued by a potential investment but unsure, run it past us or another professional advisor. We can often sniff out if something is fishy, either because we’ve heard of similar scams or because we know what reasonable investment returns look like. It’s much better to miss a maybe-legit opportunity than fall for a sure-fake scam.
Practical Steps and Habits for Safety
Aside from recognising specific scam scenarios, adopt general safe habits. Keep your personal information secure, shred bank statements or documents with account numbers (or better, go paperless and use secure digital access). Be cautious of emails that ask you to click links, phishing emails can look incredibly real (like an email from “Microsoft” or “Apple” asking you to reset your password).
If you get an email from a company about your account, it’s safer not to click the email link; instead, go directly to their website via your browser or app. Use strong, unique passwords for important accounts and consider using a password manager or at least writing them in a secure way (not on a post-it note on your laptop!). You might also enable two-factor authentication (2FA) on email and banking; that’s when logging in requires a code texted to your phone, for instance. It adds an extra layer of defence even if someone somehow guesses your password.
Be Mindful On Social Media
It’s fun to share news and pictures, but oversharing details (like your birthday, your address, your pet’s name, which often is an answer to security questions!) can give scammers info to exploit. For example, don’t announce publicly “Off on holiday for two weeks, can’t wait!” that’s hinting your home is empty and perhaps an invitation for doorstep scammers to target an empty house. Consider tightening privacy settings so only friends can see your posts.
One More Thing: Talk About it!
Scammers rely on secrecy and embarrassment. If something happens, say you receive a suspicious call or even if you realise you might have blurted out some info you shouldn’t have, tell someone you trust. There’s absolutely no judgement, these tricksters are professionals at deception. What’s important is damage control. If you think your bank info was compromised, contact your bank immediately. If you were tricked into sending money, report it to your bank and Action Fraud (the UK’s fraud reporting centre) as soon as possible; sometimes, acting quickly can recover funds or help authorities catch the perpetrator. Also, by sharing your experience with friends or family, you might save them from falling for the same scam.
In a perfect world, we wouldn’t have to be on guard for fraud. But the reality is scams are out there, ever-evolving, and anyone can be targeted. The aim isn’t to live in fear, it’s to be confidently cautious. By staying informed about common scam tactics and following a few safe practices, you can enjoy your retirement and financial freedom with peace of mind. Think of these precautions as the security alarm system for your financial house: once it’s set, you can relax. We care deeply about your financial wellbeing, which includes shielding you from those who might try to take advantage. So, keep your sceptic’s hat on when something feels off, and never hesitate to reach out if you’re unsure about a financial request or offer. It’s far better to verify than to be sorry. With your wisdom, and maybe a dash of healthy cynicism, you can outsmart the scammers and keep your wealth secure for the things that truly matter, your enjoyment and your family’s future.
Disclaimer: This article contains information from sources believed to be reliable but no guarantee, warranty, or representation, express or implied, is given as to its accuracy or completeness. Howard Wright Ltd does not undertake any obligation to update or revise any future statements. Past performance is not a reliable indicator of future results. Investments can go down as well as up and actual results could differ materially from those anticipated. This article is for information purposes only and has no regard to the specific investment objectives, financial situation or particular needs of any person as such, the information contained in this article is not intended to constitute, and should not be construed as, investment or financial advice. Appropriate personalised advice should be taken before entering into any transactions. No responsibility can be accepted for any loss arising from action taken or refrained from based on this publication. Howard Wright Ltd is Authorised and regulated by the Financial Conduct Authority.