Do you ever wonder whether you’ve been mis-sold an investment? Do you ever feel like you’re being pitched for an investment that you didn’t ask for? Maybe you’ve been offered a high-risk, high-reward stock that you don’t understand. Or perhaps you’ve been caught out buying an investment without checking if it’s right for you.
In this article, we’ll take a look at why you might be mis-sold investments and how you can check if you’ve been mis-sold something. If you think you might have been mis-sold an investment, Keller Lenkner Investment Faud Mis-selling can help with your claim.
What is Mis-Selling?
The basic definition of mis-selling is when a person or organisation makes a misleading or dishonest statement to someone that causes them to buy something they wouldn’t have otherwise.
Why Can Investment Mis-Selling Happen?
There are many reasons why an investment might be mis-sold. One of the most common reasons is because there’s been a misunderstanding about what the investment offers. For example, you might have been sold an investment that was advertised as being safe, only to find out that it was high-risk.
You might also have been mis-sold an investment if you were encouraged to invest in something that doesn’t suit your needs or objectives.
If you found yourself with an investment that you don’t understand and you don’t know where to go from here, then the first step is finding out if the company or financial advisor has acted appropriately. Find out whether they acted within their legal obligations and whether they have any professional qualifications. You should also take time to read all of your documents so that you know what you agreed to invest in and how much risk it carries.
In this way, not only can you work out whether or not the investment has been mis-sold, but also if it’s right for you.
How to Check If You’ve Been Mis-Sold
There are a few ways to check if you’ve been mis-sold an investment. You can ask yourself these questions:
1) Have I been offered something that I don’t need at the moment, or am not sure about?
2) Do I fully understand what I’m buying?
3) Am I being pressured into buying this investment?
4) Is it too good to be true?
5) Is this investment relevant to my situation?
6) Is this investment appropriate for someone of my age or financial situation?
Signs You’ve Been Mis-Sold an investment
If you’re not sure whether you’ve been mis-sold an investment, there are some easy ways to check. If you’ve been offered an investment that isn’t right for your needs, or if you don’t understand the risks and rewards of what you’ve been offered, it could be a red flag that something isn’t right. Here are a few signs to look out for:
1) You haven’t been given all the information.
It can be hard to know what questions to ask when it comes to investments. But if someone doesn’t answer your questions fully or gives you answers that don’t seem right, it might be worth looking elsewhere.
2) You feel pressured into making a decision.
This one is pretty obvious; if someone is trying to push you into a decision without giving you time to think about the pros and cons, it could be a sign that they’re not acting in your best interests.
3) You’ve been given false information about the product.
If someone has given you false information about an investment product – for example, by telling you that a certain asset class will do well when others say otherwise – then this could be evidence of mis-selling on their part. It may have been that they have not properly informed you about commissions they are due to receive for selling you a particular product.