Shocking Expat Financial Scams

Shocking Expat Financial Scams - Don't Become A Victim

Source: www.expatfocus.com

Sad state of affairs “There are fraudsters hard at work to relieve expats of their money, they are very vulnerable because they may trust someone they shouldn’t in their new country or because they have never come across a certain scam before.”2

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http://www.expatfocus.com/



Financial scams

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“Sadly, the prevalence of financial scams aimed at expats living in Spain – though these ‘qualified’ advisors work around the world - is still a concern, with fraudsters pretending they are regulated as financial advisors.”

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Financial advisor scam checklist for all expats

- Ask questions about the advisor’s qualifications and experience- Ignore testimonials since they are probably false- Ask to speak with a client who has enjoyed the advisor’s services- Clarify charges and fees from the very beginning- Do not spend money up front until you are aware of these fees and also of commissions- Do not spend money until the advisor's credentials have been checked- Do not be shy about asking for a second opinion on any financial advice

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Here’s a quick financial advisor scam checklist for all expats who are approached by a financial advisor and asked to make a

financial investment. Even if they have been recommended by a friend or a colleague, you should still:




No loopholes“Despite what the financial advisor may be claiming, there is no loophole for accessing a pension pot under the age of 55 without paying a tax penalty to HM Revenue and Customs.“

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Scamers

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“The findings come from Old Mutual Wealth, which found that scammers are increasingly posing as bogus independent financial advisors and the number of pensioners contacted has risen 56% on the previous year.”




Financial advisors may appear to be regulated“Pension Life says that financial advisors may appear to be regulated and qualified but their ethics are questionable and when recommending a pension liberation scheme, they're often not acting in the best interest of the client.“

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Taxpayers should be aware of fraudsters

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“The IRS says taxpayers should also be aware of fraudsters that masquerade as a charitable organisation so they can attract money from unsuspecting contributors.”




Female expats

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“Female expats are often targeted by a woman who claims her child is sick and in hospital but the hospital is in another city and she will ask for cash to travel there and will promise, sincerely, to repay money the following day. …but it's unlikely the expat will see their money again.”

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Unusual scam in the Middle East aimed at expats

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“It’s a telephone scam telling the 'lucky' recipient they have won a lot of money in a draw being held by a mobile phone network and to claim their prize they must buy prepaid phone cards from the company, call them back and give them the pin numbers. There is no money and the person calling will be stealing telephone credit.”




The simplest piece of advice

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“The simplest piece of advice for expats looking to avoid becoming the victim of a scam of any type is to err on the side of caution and walk away from someone asking for money or someone claiming to be a financial advisor with an incredible offer to make lots of money.”

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ThankYou

Economy & Finance

Shocking Expat Financial Scams