Standard life endowment - to sell or not to sell?

princessposh

Hi
I've officially surrendered Homeplan policy (3 on earlier posting) over the phone via SL. Money will be in my account within 5- 7working days.
My question is regarding the other two polices - Surrender link offered approx £400 extra for the 25yr policy but no one offered on the 22yr one. Should i try other companies or is this indicative of them all.
Lastly should i hold off surrendering until bonuses have been anounced or doesn't it make any real difference to the amount i receive?..if so when are they announced

Regards

EdInvestor

princessposh wrote: »

My question is regarding the other two polices - Surrender link offered approx £400 extra for the 25yr policy but no one offered on the 22yr one. Should i try other companies or is this indicative of them all./quote]

How many companies did you try?

Lastly should i hold off surrendering until bonuses have been anounced or doesn't it make any real difference to the amount i receive?

It could if TB rates fall.

Dick_here

EdInvestor wrote: »

It could if TB rates fall.

Or if they increase.

Gorgeous_George

My records show that since the flotation, my policy has done rather well. Looking back, it wasn't always so rosy.

From Jan 03 to surrender in Jul 08, the policy had an equivalent interest rate of -0.54% (yes, that is negative).

Since Feb 03, the rate is 1.99%.

Since Aug 03 and it is 2.16%

Since Jan 04, 3.54%

Jul 04, 3.76%

Mar 04, 5.14%

But, on the bright side, it is 8.95% since Sep 06.

Oh, and the free shares.



GG

Gorgeous_George

I decided to surrender my policy and the cash was in my bank a week later.

Selling may bring a few extra £££s but could take longer. When I finally decided to surrender, selling would have delayed the cash to, at best, August i.e., after the interim results which I feared might wipe out any premium from selling.

You pays your money and takes your choice.

GG

princessposh

Thanks Thnaks & Thanks again...your advice has been invaluable. Like you say its very much down to me. I've decided to cash in the 22yr policy and eep the 25yr one. The money from the first two will be used ti reduce my mortgage.
I've tried the following companies for surrendering ...AAP Surrendalink. Any others or are they much the same.

Regards

dunstonh

Just really a compliance warning (which isnt required for the board but no harm in saying it). None of us here know what is going to happen to bonus rates. For all we know they could still rise. In a falling market, the insurance companies have the benefit of being able to put money back into the fund that was earmarked for tax. They can also dispose of assets to take advantage of tax so the drops may not be extreme as direct investments. The insurance company may also take the view this is short term and the smoothing may already have factored in a lot of this.

A lot of this is guess work. Sometimes right, sometimes wrong.

Gorgeous_George

Absolutely right dunstonh.

I hope my words are not construed as advice. It is merely my opinion based on data that I have made freely available. If it wasn't for the credit crunch, I'd have kept my policy to maturity.

SL are major shareholders in B&B (building society, not the local guest house). They have a %age of funds in commercial property. Banks have lost big money. I lost failth in SL years ago and doubt that my profits would be paramount now that shareholders need their dividends.

GG