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  • FIRST POST
    • BirnamBear
    • By BirnamBear 5th Apr 12, 8:53 AM
    • 125Posts
    • 44Thanks
    BirnamBear
    Anyone with a 25 year endowment which matured recently ?
    • #1
    • 5th Apr 12, 8:53 AM
    Anyone with a 25 year endowment which matured recently ? 5th Apr 12 at 8:53 AM
    Just curious as I have one with Scottish Widows which matures a year from now which was for 40k.

    Remember 24 years ago the RBS telling me that I would double my money !! Oh to be so young and naive again

    Guessing I will get 25/26ish k back.
    12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.
Page 7
    • Bull1y
    • By Bull1y 12th Apr 16, 1:38 PM
    • 3 Posts
    • 0 Thanks
    Bull1y
    CIS (Now Royal London CIS) 25yr endowment matured
    CIS 25 year with-profits endowment
    Taken out : 1991 (when I was the 19)
    Sum assured : £13,728
    Life insurance : £32k
    Monthly premium : £50.88

    I have been receiving RED Alert letters for at least the last ten years but I changed to a repayment mortgage years ago, so just left it running as a savings vehicle.
    In early 2000's I was successful in a miss-selling claim & received £6k at the time.

    Therefore I was presently surprised when I received the settlement payment of £28,695.
    It was more than I was expecting & considering I have had the life cover (changed to joint life when I got married) & paid over the 25 years a total of £15,264, there isn't really anything to complain about. I do recall seeing illustrations of similar policies maturing when I took mine out with returns of over £60k but as others have stated on here, a lot has changed in those years in terms of interest rates and regulation, that has also seen the appetite for these types of policies diminish.

    I have a smaller policy due in September with Standard life that qualifies for their mortgage promise, so will post the results when that comes in.
    Last edited by Bull1y; 12-04-2016 at 1:43 PM. Reason: correction to state with profits policy
    • Crag30
    • By Crag30 12th Apr 16, 2:52 PM
    • 150 Posts
    • 97 Thanks
    Crag30
    I've one of these CIS Endowments to mature in a couple of years time, with similar premium, although sum assured was around £16,000, and I'd be happy with a similar payout.
    Forecasts for value at maturity, from years 3-5 were too good to be true
    • MallyGirl
    • By MallyGirl 12th Apr 16, 6:04 PM
    • 2,037 Posts
    • 5,868 Thanks
    MallyGirl
    Husband's Standard life has just paid out.
    Been warning red for years but we just made alternative plans and kept it running paying £65.80 pcm.

    Most recent projection, a year ago, had it paying out £32k at 1.5% but it actually paid out £40k which was better than expected. Still somewhat sort of the £54,000 it was supposed to be aiming for but hey ho!

    I have a Phoenix Life one maturing next month - today's estimate is 36k against a target of £41,800 so again it could have been a lot worse. It still has a month to run.

    Then just a joint Scottish Widows one next January and I never have to use the word endowment ever again!!!
    Last edited by MallyGirl; 14-04-2016 at 2:59 PM.
    • angela110660
    • By angela110660 3rd May 16, 8:18 AM
    • 736 Posts
    • 1,810 Thanks
    angela110660
    Husband's Standard life has just paid out.
    Been warning red for years but we just made alternative plans and kept it running paying £65.80 pcm.

    Most recent projection, a year ago, had it paying out £32k at 1.5% but it actually paid out £40k which was better than expected. Still somewhat sort of the £54,000 it was supposed to be aiming for but hey ho!

    I have a Phoenix Life one maturing next month - today's estimate is 36k against a target of £41,800 so again it could have been a lot worse. It still has a month to run.

    Then just a joint Scottish Widows one next January and I never have to use the word endowment ever again!!!
    Originally posted by MallyGirl
    Thanks for the info re Standard Life. Can you say if that final figure included the MEP - Mortgage Endowment Promise? Ours due out in just over a year but nowhere near what we originally signed for sadly but like you making alternative arrangements.
    Free films - 2009: saw 7 films. 2010 saw 7 films. 2011 saw 7 films. 2012 saw 5 films;2013:Lincoln; Les Miserables; Cloud Atlas; The Big Wedding; Summer in February;Philomena;Saving Mr Banks;2014:Jersey Boys;2015estament of Youth;
    • TescoMum
    • By TescoMum 23rd Jun 16, 1:14 PM
    • 26 Posts
    • 24 Thanks
    TescoMum
    When my endowment was looking like it would give me a big shortfall, I decided to remortgage to capital & interest repayment.

    I still carried on with the payments on the endowment though, it will help to knock a chunk off the mortgage at least!

    TescoMum :-)

    Always Ask Yourself...Do I Really Need It?

    If Not then Sell It!

    Even Better - Don't buy it in the First Place :-)
    • blibster
    • By blibster 6th Jul 16, 5:53 AM
    • 4 Posts
    • 1 Thanks
    blibster
    25 yr Std Life matured May 2016 (taken out in 1991)
    Monthly premium £71
    Original Home Loan £55,500
    Sum Assured £18,700
    Maturity value £34,200
    MEP £6,800
    Total payout £41,000

    Not too unhappy (thanks to the MEP), but still mightly pleased I paid off my home loan by other means.
    • istanbul20052016
    • By istanbul20052016 14th Jul 16, 10:16 PM
    • 5 Posts
    • 0 Thanks
    istanbul20052016
    Royal London ( Formerly Scottish Life ) Endowment
    I have a Royal London ( formerly Scottish Life ) endowment due to mature in October 2016
    My monthly premiums are £78.56 over 25 years, has anybody else had a similar policy mature recently so I have a rough idea as to what to expect ? (terminal bonus etc )
    Thank you, any advise would be greatly appreciated.
    • blibster
    • By blibster 17th Jul 16, 1:56 AM
    • 4 Posts
    • 1 Thanks
    blibster
    Best way to find out is to give them a call and ask for the current value
    • BirnamBear
    • By BirnamBear 6th Apr 17, 10:24 PM
    • 125 Posts
    • 44 Thanks
    BirnamBear
    25 year endowment taken out with Standard Life in March 1992 for £60,000.
    Have been paying £86.40 a month and in February this year got my annual statement 6 weeks before settlement saying it was worth £38,000.This did not include the MEP.
    Well it paid out on the 23rd of March and I got 51k ...not too shabby
    I was pleasantly surprised,I'm guessing there was a final bonus in there along with the MEP guarantee from Standard Life.
    12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.
    • missblogg
    • By missblogg 6th Apr 17, 11:57 PM
    • 23 Posts
    • 6 Thanks
    missblogg
    Not too shabby indeed...Cogratulations
    • angela110660
    • By angela110660 7th Apr 17, 7:31 AM
    • 736 Posts
    • 1,810 Thanks
    angela110660
    Oooh that is fab for you! Hope it bodes well for our similar policy due out next year
    Free films - 2009: saw 7 films. 2010 saw 7 films. 2011 saw 7 films. 2012 saw 5 films;2013:Lincoln; Les Miserables; Cloud Atlas; The Big Wedding; Summer in February;Philomena;Saving Mr Banks;2014:Jersey Boys;2015estament of Youth;
    • TheBlueVoice
    • By TheBlueVoice 7th Apr 17, 2:35 PM
    • 20 Posts
    • 2 Thanks
    TheBlueVoice
    25 year endowment taken out with Standard Life in March 1992 for £60,000.
    Have been paying £86.40 a month and in February this year got my annual statement 6 weeks before settlement saying it was worth £38,000.This did not include the MEP.
    Well it paid out on the 23rd of March and I got 51k ...not too shabby
    I was pleasantly surprised,I'm guessing there was a final bonus in there along with the MEP guarantee from Standard Life.
    Originally posted by BirnamBear
    Hi!

    Just wondering, was the £38k figure for the lower, middle or higher projection?

    Thanks!
    • BirnamBear
    • By BirnamBear 7th Apr 17, 11:19 PM
    • 125 Posts
    • 44 Thanks
    BirnamBear
    Was the middle figure.
    12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.
    • wastbarks
    • By wastbarks 10th Apr 17, 6:50 PM
    • 1 Posts
    • 0 Thanks
    wastbarks
    Clerical Medical - Scandalous
    Endowment matured in March 2017, £105/month over 25 years and supposed to cover £82,175. Value £51,651 so a £30,524 shortfall which I think is scandalous. I'm sure everyone on this thread had numerous communications over the years about a shortfall, we were lucky in being able to afford to convert to repayment mortgages, however, when you see it in black and white it makes you realise what a complete rip off was sold when we were all young and naive in our early 20's. We did get a small amount of compensation from the FSA as our financial adviser disappeared off the planet but it was small and doesn't make up for the shortfall. Makes me nervous about any investments moving forward other than bricks and mortar and that's being slowly picked at by our grasping goverment
    • TheBlueVoice
    • By TheBlueVoice 20th Apr 17, 4:56 PM
    • 20 Posts
    • 2 Thanks
    TheBlueVoice
    25 year endowment with Standard Life just matured with a figure of £30,180.49.

    Taken out in April 1992 with a premium of £49.84/month inc life cover.

    Target was £35628.

    Plan value 14/4/2016 was 23638.09

    Estimations as at 14/4/2016 were

    lower mid higher
    24500 25200 26000
    • istanbul20052016
    • By istanbul20052016 21st Apr 17, 11:21 AM
    • 5 Posts
    • 0 Thanks
    istanbul20052016
    Royal London Endowment
    My endowment policy matured last October (2016) after paying a monthly figure of £78.56 for the full 25 years which equates to £23568.00, I was advised that the maturity value was just £25535.22, with no terminal bonus, this is way below the target amount of £62400.
    Naturally I complained immediately to Royal London, I had to copy in Phil Loney Royal London's CEO in order to get a response as they were not replying to my emails.

    An investigation was carried by Sharon Bridgeman senior case consultant customer relations ( who reduced me to tears during one conversation) who confirmed that the maturity value was correct. They were happy with the investment returns and had followed the policy to the letter as per their own words.

    I could not work out how a policy that was worth £21473.04 in September 2012, could only gain another £4062.18 over the last 4 years of the policy, during a time when the stock market has been booming. Royal London advised that this was part of their Mortgage Investment Strategy, (MIS) this document was supplied to me upon the completion of their investigation as I was not aware of this document/strategy.

    I quote " On each of the last 5 plan anniversaries 20% of the amount of mortgage is switched into the SL deposit fund for safety". However on my policy Royal London switched 63.15% in October 2011, £12705.69, out of a total of £20119.86. The following year in October 2012, the rest of my funds had been transferred into the SL Deposit fund. By transferring all of the funds , this decimated any hope of future growth. The SL Deposit by Royal London's own figures gives a return of minus 0.3% per annum. Once again Royal London said that they were correct to transfer 20% of the mortgage value in the first year ( approximately £12705) , even though the policy had no chance in achieving the £62400 figure. Royal London did not respond to me when I asked why the whole amount of funds had been transferred over in 2 years instead of 5 years as per their MIS.

    I then complained to Financial Ombudsman Service, who contacted me on 23rd January 2017, whereby I had to explain several times the nature of my complaint with Royal London. Within a week FOS upheld Royal London's decision, which I am completely baffled by as to how quickly the investigation was apparently carried out. I feel that nobody wants to make a decision against a large powerful company to my detriment.

    I did make a claim for mis selling in 2004 for which I received approx £7800.

    I think that Royal London have been negligent, by transferring my whole fund into a deposit account within two years, instead of over the last five years, which has negated any chance of fund growth during the last 5 years of the policy or am I wrong??

    I feel that Royal London are getting away with it because they know I have nowhere else to turn to. The big companies always win at our expense. Please help.

    Any advice would be much appreciated.
    • Pincher
    • By Pincher 21st Apr 17, 11:43 AM
    • 6,516 Posts
    • 2,487 Thanks
    Pincher
    You were supposed to sell endowments, not be the mug who buys them. Common mistake.

    Would have got the commission double quick. No slippery Harry will wait 25 years for their fast cars and loose women.
    • TrickyDicky101
    • By TrickyDicky101 21st Apr 17, 11:47 AM
    • 2,595 Posts
    • 1,692 Thanks
    TrickyDicky101
    How much was your mortgage originally when you entered the endowment? I note the passage you quote says "20% of the amount of mortgage" and not "of the value at the time of the endowment" so maybe that accounts for the difference between what you think should have been transferred and what actually was?
    • dunstonh
    • By dunstonh 21st Apr 17, 12:51 PM
    • 88,200 Posts
    • 53,405 Thanks
    dunstonh
    I could not work out how a policy that was worth £21473.04 in September 2012, could only gain another £4062.18 over the last 4 years of the policy, during a time when the stock market has been booming.
    2016 was a good year but the period from 2012 to 2015 was less and included a nothing year and a negative year. However, to get returns related to the stockmarket, you have to be invested in the stockmarket and you were not fully invested that way.

    Royal London did not respond to me when I asked why the whole amount of funds had been transferred over in 2 years instead of 5 years as per their MIS.
    Probably as the error benefited you financially rather than cost you.

    I then complained to Financial Ombudsman Service, who contacted me on 23rd January 2017, whereby I had to explain several times the nature of my complaint with Royal London. Within a week FOS upheld Royal London's decision, which I am completely baffled by as to how quickly the investigation was apparently carried out. I feel that nobody wants to make a decision against a large powerful company to my detriment.
    This is a very easy decision for the FOS to make. Automatic risk reduction on investments is common place on fixed timescale investments. This would be in their published terms and it would only have taken the FOS 5 minutes to check with them.

    The FOS would have access to your complaint, their response and any supporting material. It shouldnt take them long with an easy complaint like yours.

    Also, The FCA do not allow complaints about investment returns. Any complaint on that basis would just result in a check that the right processes were carried out.

    I think that Royal London have been negligent, by transferring my whole fund into a deposit account within two years, instead of over the last five years, which has negated any chance of fund growth during the last 5 years of the policy or am I wrong??
    Doesnt matter. However, if you insist on it being correct, I am sure they will be prepared to accept the money you are willing to pay them back rather than keep the extra you have received.

    I feel that Royal London are getting away with it because they know I have nowhere else to turn to. The big companies always win at our expense. Please help.
    They are not getting away with it because you are better off because of their error. Yes, they made a mistake by shortening the risk reduction period but you are better off because of it.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
    • Arkers
    • By Arkers 21st Apr 17, 1:38 PM
    • 557 Posts
    • 4,485 Thanks
    Arkers
    Is it just Royal London that are relatively poor maturity values?(obviously I know all about the projected shortfall red letters etc). One or two of the other posters seem quite happy with the values, and they do seem reasonable with all things considered.

    I have an old GA/CGNU/ now Aviva policy due to mature next year, and although not cast in stone I have spoken to Aviva, and fingers crossed the final figure looks better then expected at the moment. This includes an MEP, does anyone have a recent experience of an old NU policy paying out and how it performed. DH has a Standard LIfe policy due in approx 18 months which doesn't appear to look as good. I would be interested in this too.

    Arkers x
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