Fraudsters use persuasive, high pressure tactics to scam investors. They may offer to sell you shares that turn out to be fake of worthless, or to buy your shares at a high price if you pay an upfront fee. Either way, the promised profits won't materialise and you'll probably lose your money. Here's how to avoid investment scams.
Warning to shareholders
Remember: if it sounds too good to be true, it probably is.
Investment scams are designed to look like genuine investments
Spot the warning signs
Have you been
- contacted out of the blue
- promised tempting returns and told the investment is safe
- called repeatedly, or
- told the offer is only available for a limited time?
If so, you might have been contacted by fraudsters.
BT does not issue debt directly to retail investors, and none of BT’s debt is covered by the Financial Services Compensation Scheme. Further, the target market for BT’s debt under MiFID II is not retail investors, and any person subsequently offering, selling or recommending BT’s debt should therefore not offer, sell or otherwise make available BT’s debt to retail investors.
How to avoid share fraud
1. Reject unsolicited calls or correspondence
If you've received unsolicited calls or correspondence about an investment opportunity, chances are it's a high risk investment or a scam. You should treat the call with extreme caution. The safest thing to do is to hang up.
2. Check the FCA Warning List
The FCA Warning List is a list of forms and individuals we know are operating without our authorisation.
3. Get impartial advice
Think about getting impartial financial advice before you hand over any money. Seek advice from someone unconnected to the firm that has approached you.
Report a scam
Find out more at www.fca.org.uk/scamsmart
Take simple precautions to protect personal and financial information- for tips on how to protect yourself and find out the latest information go to bt.com/scams