Posts tagged as:

fraud

New RRSP and pension scam in Atlantic Canada

by Natalie MacLellan on March 9, 2010

in Fraud Prevention, In the News

$ NEED MONEY $
Do you have a locked in pension plan
from an ex-employer (LIRA) or (LIF)?
3 easy ways to help.
Call 1-866-XXX-XXXX

A suspicious advertisement similar to the one above has been circulating Atlantic Canada regarding locked-in Registered Retirement Savings Plans (RRSP) such as Locked-In Retirement Accounts (LIRA) and Life Income Funds (LIF).

The ad offers to help persons in need of money to access funds from locked-in pension plans with ex-employers. To do so, investors must pay fees and qualify for loans. Unfortunately, rather than providing funds as promised, the persons behind the ad could be taking investors’ money and disappearing, leaving previously cash strapped persons in an even worse financial situation.

The unlocking of RRSP and pension funds is strictly regulated provincially under the Pension Benefits Act and federally by the Canada Revenue Agency. Before responding to advertisements offering to assist with obtaining funds from locked-in RRSPs, investors are cautioned to first seek professional advice, perhaps from a lawyer or accountant, or the Canada Revenue Agency in order to ensure the offer is legitimate.

Also, if you have questions about an investment that seems fishy, you can also contact the Nova Scotia Securities Commission.

March is Fraud Prevention Month – remember to always check before you invest.

Tagged as: Add new tag, fraud, retirement planning, RRSP fraud

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Not-so-fun fraud facts

by Natalie MacLellan on March 4, 2010

in Fraud Prevention

As noted elsewhere on this site, a recent survey* found that 41 per cent of Nova Scotians believe they have been approached with some form of investment fraud. What else do we know about investment fraud in Nova Scotia? You might be surprised.

  • Of those approached with investment fraud, 25% say they have been approached five or more times.
  • Only 29% believe investment fraud is common in their province.
  • Only half of Nova Scotians believe they are as likely to be a victim of fraud as anyone else.
  • 81% believe it is important to report even the suspicion that someone has approached them with an investment fraud.
  • Less than 1/3 of those approached actually reported the attempt.
  • 81% believe you should never make an investment without doing independent research. Yet almost half (48%) rely completely on the advice of an adviser, doing no research on their own.
  • You do not need to be rich to be a fraud victim - most Nova Scotians are defrauded for $5000 or less, often less than $1000.

*All stats taken from the CSA Investor Index 2009.

Want to learn more about Investment fraud - play our Go Fraud Free ~ Win a Wii contest. Enter by commenting on any of our blog posts, or answering our daily trivia questions on Twitter.

Tagged as: contest, fraud, Statistics, survey

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Go Fraud Free ~ Win a Wii

February 26, 2010

Welcome to the latest contest from Before You Invest and the Nova Scotia Securities Commission!
From March 1 to March 31 we’re giving away 4 copies of Quicken Cash Manager software, and one Grand Prize of a Nintendo Wii!
How do I enter?
1.    Of course, you’ll need a Twitter account. (*To answer triva. To enter without a [...]

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Online Scams - Kijiji, Craigslist and more

February 3, 2010

“Double your money.”
“Earn 500% annually, guaranteed.”
“Make money fast and easy.”
Whether it’s a Facebook ad, a comment on your favourite blog, or someone pushing an investment opportunity on Craigslist or Kijiji, investment scams are all over the internet.
Some are easier to spot than others. Most of us are no longer willing to send our hard earned [...]

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Commission issued $632,500 in administrative penalties in 2009

February 1, 2010

In its effort to protect Nova Scotian investors and capital markets, the Nova Scotia Securities Commission investigated 67 complaints and issued $632,500 in administrative penalties in 2009.
The commission concluded nine cases against 10 defendants that included one disclosure violation, six cases involving registrant misconduct, and two cases of conduct not in the public interest.
These figures [...]

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Splits & Scams: Divorce and your financial health

January 15, 2010

I try to follow themes in my blogging - this month was going to be all about new years resolutions and getting your finances in order. Budgeting. Saving. Financial planning. Then the Divorce Fair happened. Suddenly my writing and research made an unexpected turn. (For the record, I love when that happens.)

Tonight and tomorrow morning [...]

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