Should I cash my Endowment?

wkgreatsix

Hello, I'm a newbe to all this, but I wonder if anyone can offer advice?
I have an endowment policy with Scottish Life. 'Profitbuilder House Purchase Plan' which is Not with profits. It is no longer going to be used to purchase a house but does have some value for life insurance, I suppose.
The monthly premium is £87.66
Surrender value: £12,800 (Today)
Maturity July 2016
Bonus 2% due 2010 & 2013
Maturity Bonus 25% (This cut from 34%, Jan this year!!)

My current mortgage deal is an offset tracker at 0.75% above base, which I can overpay without penalty.
Should I (a) Hold onto the Endowment till maturity?
(b) Surrender it and put the premiums into a savings account paying the surrender value into the mortgage? or
(c) As (b), But pay the premiums into the mortgage as well. (After all that was what it was meant to do all along!)?

Any help much appreciated

Mark

Rabiddog_2

If you dont need the money now, then I would keep the endowment. If however you need the money, then cash it in.
Also (b) rather than (C), as you can then decide what to do with the money, you might need it for some emergency, and it will be available immediately.