Help needed to write to Ombudsman please,

jackie005

EdInvestor wrote: »

Hi Jackie

Could you post some figures for us to look at please? It does look as though the compo route may now be closed but there are other ways of sorting endowment problems which will have a bigger impact.We need to see the figs.

On the endowment first

Guaranteed sum assured
Declared bonuses
Surrender value
Maturity date
Maturity forecasts
Monthly premium

Total mortgage owed
Interest payable on mortgage

Investment bond:
Total value at present
Fund(s) invested in
Year taken out

It'll take a couple of days for me to get things together but will get back ASP. Kindest regards Jackie.

jackie005

Hi again, spent hours getting everything together.........whew what a task, I'm not very organised!
Think I now have it all up to date but it is rather complicated.
How do you want me to post details..on this site or to your personal e-mail address.
Your time and effort is so much appreciaed.
Kindest regards Jackie.

EdInvestor

Just post on the thread here.

jackie005

EdInvestor wrote: »

Just post on the thread here.

Ok, will try to find time later this evening......but please be prepared it does get somewhat complicated (well for my simple brain it does!)
Cheers for now. Jackie

jackie005

EdInvestor wrote: »

Just post on the thread here.

Hi again, hope I get this correct.
Have little paperwork prior to year 2000

1985 bought my first house, borrowed £5.500 on Endowment policy for repairs (Scottish Widows fund and life assurance).
Matured last year and lost just a few hundred, now using for repairs.

August 1987 Sold that house but kept the endowment policy going mainly for the life cover.

Sept 1987 bought tihs house, no morgage but had loan from bank for small business.

1990 sold shop lease but still had loan and overdraft, Bank Manager said best option was to covert it to morgage and include the above endowment.

Dec 1990 borrowed £15,001 (low cost morgage plan, Managed Investment, unit linked saving plan) made up of above policy of £5,500 and endowment of £9.500 (sum assurred £9,500.)

Sept 2008 Statement .
Monthly premium £18.20.
Target amount £9,500
Current value £4.188
Maturtiy date Dec 2013.
Projected Final Amount @ 4% £5,710 @6% £6,290 @ 8% £6,910
Projected Shortfall @ 4% £3,790 @ 6% £3,210 @ 7% £2,590 Target amount £9,500
Currently amount owed is £10,553.
Matures Dec 2013.

1990 Policy Schedule states premium then just £18.20 monthly but it looks as though I was originally paying £96.80 per month in total.
Payments have flatuated, now approx £68 per month but since 2001/2 I have been paying £120 per month.

Dec 2000 saw Bank Manager to dicuss shortfal, advised to take measure to cover by saving £50 per month in mini cash ISA, in UK Growth Fund Accumulation. Said to be suitable because I already had mini cash ISA savings.

March 2005 I put another £2,500 into a Lump sum OEIC Mini cash ISA Strategic Growth Portfollio (same account as the ISA arranged to cover shortfall)

July 2007 doing very well UK Growth Accumulation £5,649 and Strategic Growth £3,120 but Oct 2008 UK Growth now only £3651 and Strategic only £2,174

I do have a number of letters informing of the shortfall.
The bank say they first notified me 2003, they also sent me Red Letter 2005 advising me to act before April 2006 but as far as I was concerned, I had already covered the shortfall in 2000 and consequently I did not realise that I could have made a claim.

Hope tis is enough for you, if not please do get back to me.

Once again, many, many thanks for your time.

Kindest regards Jackie

dunstonh

I dont think you have grounds for complaint. You knew the shortfall potential years ago and took out further investments which you were happy with when they went up but not now they have gone done. That is not a valid complaint.

Not knowing investment risks is a valid complaint but knowing the risk and the risk not paying off is not.

jackie005

EdInvestor wrote: »

Just post on the thread here.

Hi,
Did you get my posting to you re details requested dated 17th Oct @ 1.19 pm?
Kindest regards Jackie.

EdInvestor

I agree on the complaint issue.

A couple of follow up questions:

1)How big is your mortgage loan?What interest rate are you paying on it?
2) What is the surrender value of the endowment?
3)How much are you paying per month into
a)the mortgage
b)the endowment
c)the ISA

jackie005

EdInvestor wrote: »

I agree on the complaint issue.

Hi again, I'm replyng with figures I've been given from the bank......but I don't fully understand so hopefully will get it right.

Dec 1990 took Low cost morgage endowment.
Morgage was £15,000 made up of an endowemnt of £9,500 and £5,500 on 3 yr old endowment I had kept going from 1987 making in total £15,000 borrowed.

I've no idea of the interest rate I'm paying.

The £5.500 matured last year and lost a few hundred pounds. I have not paid it off the morgage, using for repairs.

The value of the £9,500 morgage endowment July 08 was £4,202.
Balance owing Oct 08 £10,553. Matures 12/2013

My payments should now be just under £60 per month in total for the endowment (£9,500)................ The bank gave me a figure of £18.20 per month, presumably the rest of the £60 is life cover/charges.......... since 2001 have paid £120 per month instead of £60, consequently I owe £10.553.

I also pay £50 per month for the ISA covering the shortfall

The shortfall figures I gave in my last post to you are from the bank on the £9,500 low cost endowment.

I do appreciate that the morgage could basically be paid off using the maturity monies from the old £5,500 endowment.......but I was orginally led to believe that the £9,500 endowment was assured and that there would be bonus's at the end of the term.

Hope this explains but do get back if I've got it wrong.

Once again, many thanks for your help.
Kindest regards Jackie.

EdInvestor

jackie005 wrote: »

in total £15,000 borrowed. I've no idea of the interest rate I'm paying.

Could you please find out? The figure is needed to do the calculation.

The value of the £9,500 morgage endowment July 08 was £4,202.

What we need is the surrender value. You'll have to ring them up to find this out as it changes very regularly.

since 2001 have paid £120 per month (on the endowment) I also pay £50 per month for the ISA

So a total paid per month of 170 pounds, is that correct?