The Chair and ranking member of the Senate’s HELP Committee has sent a letter to the National Association of Attorneys General (NAAG) requesting documentation to identify people being targeted in so-called pension sales or advances. The senators are concerned that the practice may be illegal due to high interest rates, and are looking to determine the scope of the practice as well as the companies involved.
The concern is that pensioners having economic difficulties may be tempted to take lump sums, even though that may be a bad financial decision. The letter cited military veterans as a potential group of victims. It follows an investor alert by the SEC and FINRA as well as subpoenas issued by the New York State’s Department of Financial Services.
