5 Questions Every Veteran Should Ask Before Taking Financial Advice
Leaving the Armed Forces marks the beginning of a new chapter. For many, it comes with a payout, a pension, or a lump sum — assets that must be managed carefully in a civilian world full of unfamiliar financial products and persuasive salespeople.
Unfortunately, a significant number of veterans across the UK have been mis-sold unsuitable pensions, investments and insurance policies after leaving service. Many were offered “exclusive” deals, rushed into transferring their pensions, or promised unrealistic returns. The result? Lifelong financial setbacks, stress and a growing sense of injustice.
At Justice4Heroes, we believe prevention is just as important as compensation. If you’re currently receiving financial advice, considering a pension transfer, or being encouraged to invest your Armed Forces payout, this blog is for you.
These five essential questions could help protect your future, safeguard your savings and prevent the kind of financial harm that has already affected thousands of veterans.
1. Are You Regulated and Who Do You Work For?
This is the most important question you can ask — and it should be answered clearly and confidently.
Any financial adviser in the UK offering services like pension transfers, investment planning, or insurance advice must be regulated by the Financial Conduct Authority (FCA). You can check this using the FCA Register at register.fca.org.uk.
If they hesitate, say they’re “connected to” a regulated firm, or brush it off — that’s a red flag.
Also ask: Do you work independently, or are you tied to specific products or companies?
Some advisers only recommend products from a limited range of providers. Others are incentivised to promote certain schemes. While this is not always unethical, it can restrict your options and lead to biased advice.
Make sure you're speaking to someone who has your best interests in mind, not just their commission.
2. Do You Understand the Armed Forces Pension Scheme?
Military pensions are not like private sector pensions. They’re some of the most secure, inflation-linked schemes available, and come with unique benefits — including early access, indexation, and spousal support.
Many advisers do not fully understand the Armed Forces Pension Scheme (AFPS) or War Pension Scheme, and some have previously misled veterans into believing that transferring out of these schemes was a good idea.
You should always ask:
Have you advised ex-forces clients before?
Do you understand the long-term value of my military pension?
Can you provide a detailed, written comparison of the pros and cons?
If the adviser downplays the value of your military pension or encourages a transfer without careful explanation, be cautious. Transferring a Defined Benefit pension (like the AFPS) into a private scheme is rarely in your best interests unless you have very specific financial circumstances.
3. What Are the Risks Involved — and What Happens If It Fails?
Veterans have been misled by phrases like “low risk,” “tax-free,” “guaranteed income,” or “ethical investment.” But every financial product carries some degree of risk — and you deserve to understand it fully before signing anything.
Always ask:
What could go wrong?
What happens if the investment underperforms or collapses?
Is my money protected under the FSCS?
What fees or penalties are involved if I want to exit?
If an adviser avoids these questions or only focuses on the positives, that’s a red flag. Ethical advisers will always be transparent about the risks and the long-term implications of your decision.
And if the investment is based overseas or isn’t regulated by the FCA, it may be completely unprotected — meaning you could lose everything with no route to compensation.
4. Do I Have Time to Think It Over?
Pressure selling is still common in financial services, especially when it comes to pensions. Some veterans have been told that deals are “time sensitive” or that a product is only available for a limited period.
A professional adviser will never rush you.
You should be given time to:
Read documentation thoroughly
Speak with your family
Consider independent advice or a second opinion
Compare the offer to your current pension or investment strategy
If someone is pushing you to sign quickly, that’s a tactic — not a service. Your finances are too important to be decided under pressure.
5. What Will You Earn From This?
Money is always changing hands in the background of financial advice. Advisers may be paid in three main ways:
Fees paid by you directly
Commission from the product provider
Ongoing charges on your investments or assets
You have a right to know how they’re being compensated. Ask:
What is your fee structure?
Are you receiving commission for recommending this product?
Will I pay any ongoing charges or exit fees?
Clarity builds trust. If you feel they’re being vague or defensive about how they get paid, you may want to look elsewhere.
Bonus Tip: Put Everything in Writing
Don’t rely on phone calls or verbal promises. Ask for everything in writing — including:
The risk assessment
Suitability reports
Illustrations of expected returns
Terms and conditions
Fee breakdowns
If something goes wrong later, these documents will be essential for any complaint or compensation claim. And if the adviser refuses to provide them, that should tell you everything you need to know.
For Those Already Affected
If you’ve already taken advice that turned out to be damaging — for example, if you transferred your pension into a high-risk SIPP or lost money in an unregulated scheme — it’s not too late.
You may still be able to:
Make a claim through the Financial Ombudsman Service (if the adviser is still trading)
Seek compensation through the FSCS (if the adviser has gone out of business)
Explore a legal route via a solicitor specialising in financial mis-selling
Justice4Heroes can help you understand your options. We work with vetted legal partners who offer free initial assessments and only take on cases with a strong likelihood of success.
The Emotional Cost of Mis-Selling
Financial loss is not just about numbers. It affects your mental wellbeing, your confidence and your relationships. Many veterans say they feel ashamed or embarrassed that they were “taken in.” But the truth is, the systems designed to protect you did not always do their job.
You were trained to follow orders and trust authority. That’s not a weakness — it’s the mark of someone who served with loyalty and honour. If that trust was abused, you deserve justice.
What Justice4Heroes Is Doing
At Justice4Heroes, we’re campaigning for better protections, more education and broader access to compensation for all UK veterans — especially those affected by mis-sold financial products and pension transfers.
We provide:
Educational blogs like this one
Help understanding your financial rights
Referrals to trusted, regulated professionals
Support with FSCS or FOS claims
Updates on legal developments and group actions
We are also actively supporting a campaign to ensure veterans who served before 1987 — and who were excluded from schemes like the Armed Forces Compensation Scheme — are properly recognised and compensated, especially in relation to service-related hearing loss.
Final Thoughts
If you’re a veteran considering financial advice — or if you’ve already taken advice that left you worse off — we urge you to take these five questions seriously. Ask them. Write them down. Protect yourself.
And if you’re seeking justice for past financial harm:
Visit www.justice4heroes.org to explore your options or speak confidentially with someone who understands
Support our petition to secure proper compensation for veterans left behind at
https://petition.parliament.uk/petitions/715800
Your service was valuable. Your future should be protected.
