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My Policy matured but seems very poor
WarrenMcMahon
Posts: 1 Newbie
Can anyone offer some advice?
Back in 1983, I bought into a life assurance policy with Canterbury Life. This policy is linked to Lloyds Bank Worldwide Growth Unit Trust.
It was initially for £15.00 per month - at the time quite a lot of money for me - but over the years, payments increased by pennies. The last payment I made was £15.33.
Canterbury life were taken over numerous times and now are owned by Royal London.
My guaranteed minimum life assurance value was set at £5,292.
The estimated values I was given are mentioned below, after 25 yrs assuming net growth of:
7.5% was £11,134
10.00% was £15,726
This policy matured on 1st September.
I received a cheque today for £5842.15
I've worked this out to be less than 3% growth per annum, for every year for 25 yrs.
This seems a paltry amount is anyones book - a profit of just £1,243.15.
Can anyone offer any advice please?
Back in 1983, I bought into a life assurance policy with Canterbury Life. This policy is linked to Lloyds Bank Worldwide Growth Unit Trust.
It was initially for £15.00 per month - at the time quite a lot of money for me - but over the years, payments increased by pennies. The last payment I made was £15.33.
Canterbury life were taken over numerous times and now are owned by Royal London.
My guaranteed minimum life assurance value was set at £5,292.
The estimated values I was given are mentioned below, after 25 yrs assuming net growth of:
7.5% was £11,134
10.00% was £15,726
This policy matured on 1st September.
I received a cheque today for £5842.15
I've worked this out to be less than 3% growth per annum, for every year for 25 yrs.
This seems a paltry amount is anyones book - a profit of just £1,243.15.
Can anyone offer any advice please?
0
Comments
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Can anyone offer any advice please?
It was a mortgage endowment by the sounds of it and has hit target and paid a surplus. It also obtained LAPR tax relief as well (hence the premium changes). It would have been better for you not to have had a mortgage endowment if it wasnt linked to a mortgage. You were paying for life assurance and that has brought the return down. As has the recent 20% stockmarket crash.
The fact the fund isnt very good either and never really has been hasnt helped much either.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
I make it less than 2%.
Particularly poor but you can rest assured that the salesman made a nice profit for almost no work an dthe managers at Canterbury Life will have been eating steaks at your expense.
And you have had some every expensive life assurance to ease the pain.
It's pants, isn't it?
GGThere are 10 types of people in this world. Those who understand binary and those that don't.0
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