Regulation to help providers block scam pension transfers comes into effect

Under the new regulation outlined by the Department for Work and Pensions (DWP), providers are required to raise red or amber flags when a transfer attempt to a suspicious scheme is made. A red flag would allow trustees and scheme managers to completely block a transfer request where there are "tell-tale signs of fraud or methods frequently used by scammer," according to the DWP. The amber flag would allow a transfer to be paused until a member has proven that they have taken scam-specific guidance from the Money and Pensions Service (Maps). A green signal, which means the statutor...