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Protect your super from pushy sales

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High-pressure sales tactics are putting your super at risk. Learn what to watch out for, how to avoid pressure and how to protect your retirement savings. 

Watch out for unexpected super offers 

You might click on a social media ad, fill in an online form or quiz, attend a webinar, or get an unexpected email or phone call from a person/organisation you don’t know.  

These can be ways businesses collect your details and connect you with someone who wants to sell you a super or investment product. This is known as lead generation. What starts as a simple enquiry can lead to sales calls, advice appointments or pressure to switch your superannuation - even when your super fund is performing well. 

This page is about unexpected sales approaches from businesses you don’t know.

It is not about conversations you start with your super fund or a financial adviser you have chosen. 

Conversations with your super fund or a financial adviser you’ve chosen can be valuable, particularly if you have questions about your super or need help making a decision. 

Warning signs of unexpected offers 

A free super health check. You may be offered a free super health check, comparison or review. It may be designed to collect your details and refer you to a business that wants you to switch your super. 

They may offer to help you find your lost super – but you can do that yourself for free. 

Claims your fund is underperforming. Someone may tell you your super fund is underperforming. They may compare your fund with another option that has different fees, features or risks. This may not be a true comparison and can make the other option look better than it really is. 

Questions about your personal information. Be careful if someone you don’t know asks about your super balance, current super fund, investment choices, age, income, retirement plans, or any other personal information. They may not be qualified or authorised to give financial advice. 

Promises of better returns. Be wary if someone promises that another fund or investment will give you better returns. Higher possible returns usually come with higher risk. And past performance doesn't show how an investment will perform in the future. 

Limited contact with a financial adviser. A salesperson may act as the facilitator between you and a financial adviser. The financial adviser should speak with you directly. They need to understand your financial situation, goals and needs before giving you personal advice. If you’re not having direct, in-depth conversations with the financial adviser, they may not be acting in your best interests. 

Pressure to act quickly. If you’re being rushed to make quick decisions or sign documents, push back and take time to stop and think. Don’t let anyone rush you into switching your super, agreeing to financial advice, signing documents, or moving your money into a new investment.  

What can you do if you're contacted unexpectedly?  

If someone you don’t know contacts you about your super: 

If you do get information or advice from them:

You can also report misconduct to ASIC.  

Think about why they are contacting you 

Some businesses make money when people:

  • switch their super,
  • set up an SMSF, or
  • invest in financial products.

They can create pressure to move your money, even when it's not the right choice for you. Take your time, ask questions and don't feel pressured to decide straight away. Learn more about lead generation.

How pushy sales tactics can influence you 

Pushy sales tactics work by playing on common feelings and concerns. Knowing how they work can help you spot them. 

 Fear of missing out. We all want to make the most of our retirement savings. Salespeople may play to your fear that you’re missing out on better returns or falling behind. 

Fear of losing money. You may be told that your super is at risk or that you could lose money if you don’t switch. These claims may be exaggerated or leave out important information. 

Hope for more. Promises of higher returns can be tempting. But higher returns are not guaranteed, and investments with higher possible returns usually carry more risk. 

Guilt about saying no. You might feel rude for hanging up, pushing back or saying no. You have the right to say no; you can end the conversation and take time to think. 

Social pressure. It’s easy to feel like you should be capable of making quick decisions. But financial matters are complex and it’s best to take your time. 

Trust in confident sales practices. Salespeople may sound confident and well-informed to win your trust. This does not mean they are qualified to give financial advice or that the product is right for you.  

Learn more about how to avoid high-pressure sales tactics.  

Poor advice can put your retirement savings at risk 

ASIC’s review of lead generation advice models found examples of high-pressure sales tactics, misleading claims and advice processes that may put consumers at risk. 

Poor advice can lead to higher fees, unsuitable investments, loss of insurance cover or less money for retirement. 

Read ASIC's report on lead generation advice models. 

How to take charge of your super 

Talk to your current super fund 

Contact your super fund if you have questions about: 

Use the contact details on your fund’s official website.  Learn more about how to check your super and the types of investment options your fund might offer. 

Consider getting financial advice 

Financial advice can help you make informed decisions about your super and investments. Consider your options and choose a financial adviser you feel comfortable with. 

Many super funds offer financial advice about saving for retirement and your account as part of their service. 

Always compare the offer 

Most people can choose their super fund. Before you switch, compare: 

See choosing a super fund for more information on what to consider before you switch. 

Be wary of investment hype 

If it sounds too good to be true, it almost always is. Super is a lifetime investment and higher returns come with higher risk. See our investment warnings for more information. 

 

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