How to Protect Yourself from Investment Scams in the UK
Worried about investment scams? You’re not alone. With scam tactics becoming increasingly sophisticated, it’s more important than ever to understand how to spot the warning signs and protect your hard-earned money.
At Eastern Financial Consultants, we help our clients invest wisely and securely — and that includes avoiding fraud.
What is an Investment Scam?
An investment scam is when fraudsters offer you an opportunity to invest in something that isn’t real — or isn’t what it seems. These scams often promise high returns, limited-time offers, or exclusive tips.
They might involve:
- Fake bonds or shares
- Cryptocurrency schemes
- Overseas property or land deals
- Green energy or carbon credit investments
- Impersonation of well-known firms or even the FCA
According to the Financial Conduct Authority (FCA), scammers stole over £2.3 billion in 2023 from unsuspecting UK investors. And the true figure could be even higher.
How Can I Spot an Investment Scam?
Here are 7 common signs of an investment scam:
- Unsolicited contact – You receive a cold call, unexpected email, or social media message.
- Too good to be true – Promises of high, guaranteed returns with little or no risk.
- Pressure to act quickly – Limited-time deals or claims the offer is exclusive.
- Lack of FCA registration – The firm or individual is not authorised by the Financial Conduct Authority.
- Unusual contact methods – Asking for payments via crypto wallets, prepaid cards, or untraceable platforms.
- Complicated jargon – Confusing language meant to hide the real nature of the investment.
- Clone firms – Scammers impersonate real companies using stolen branding or fake FCA registration numbers.
How Do I Check if an Investment Is Genuine?
Before making any investment, always take these steps:
- Use the FCA Register
Search the company or adviser on the FCA Register to see if they are authorised to offer financial services in the UK. - Check the Warning List
Use the FCA ScamSmart tool to check if a firm is flagged as suspicious: www.fca.org.uk/scamsmart - Look Out for 'Clone' Firms
Some scammers copy real firm names or registration numbers. Call the official number listed on the FCA Register, not the one the caller gives you. - Get Independent Financial Advice
Speak to a trusted, regulated independent financial adviser (like Eastern Financial Consultants) before parting with any money.
Frequently Asked Questions
Is this investment a scam?
If it was unsolicited, promises high returns, or feels too good to be true — treat it with caution. Use the FCA Register and get professional advice.
How do I report an investment scam?
Report scams to:
• Action Fraud: www.actionfraud.police.uk
• FCA ScamSmart: www.fca.org.uk/scamsmart
What if I’ve already invested?
Stop sending money and contact your bank immediately. Then report the scam and speak to a financial adviser about next steps.
How Eastern Financial Consultants Can Help You Stay Safe
We are independent financial advisers based in the UK, authorised and regulated by the Financial Conduct Authority (FCA No. 952886). We help clients make smart, informed investment decisions — without falling for too-good-to-be-true promises.
When you work with us, you receive:
- Personalised investment advice tailored to your needs
- Clear explanations with no jargon
- Access to FCA-authorised products and platforms
- A long-term partner you can trust
Worried About an Investment? Talk to Us First
Before you commit to anything — especially if you’ve been contacted out of the blue — speak to us. We offer a free initial consultation to help you sense-check any investment opportunity.
Your financial security matters. Let’s make sure your money is working for you, not for scammers.
This article is not intended to be financial advice. Please remember the value of your investment will rise and fall and you may get back less than you originally invested
Eastern Financial Consultants Ltd
Independent Financial Advisers | Based in Norfolk
Authorised and regulated by the Financial Conduct Authority (FCA No. 952886)
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