Act now on mis-sold endowments: new article

mystified_2

Can someone advise me on what is probably a lost cause?
In June 1987 I was sold an endowment mortgage (£24,500) by Bank A. The endowment policy (target £25,000) was with Clerical Medical. I understand that this is now time barred.
In 1992, I moved home, paid off the mortgage and applied to Bank B for a new £50,000 mortgage. The advice I was given was to take out a new £25,000 repayment mortgage, and a £30,000 endowment mortgage, utilising the existing Clerical Medical policy, because "it will be enough to cover it, with some spare!"
So, my question is, do I have grounds for complaint against Bank B?

Any help or pointers gratefully received!

dunstonh

So, my question is, do I have grounds for complaint against Bank B?

It depends on what else is documented with that. A risk warning statement with that on the reason why letter would cover them. No risk warning works in your favour.

Mike_J

After reading this site I recently put in a letter for my endowment applied for with Norwich Union through Halifax in March 1988. Initailly I didn't hold out much hope. People had told me that my job (accountant) meant I should have known but at the time I was 20, hadn't a clue and wife was getting more and more miffed as the letters came as she remembers the agenst comment at the time of (to paraphrase) "take out an endowment coz you'd be looking at paying off your mortgage and the same again". No explantion of risk, no alternatives etc.

Anyway I've had a letter from Halifax which didn't start to promising. Pre introduced of rules date (april88), no evidence of promises of payment....... but then they went on to say that it appeared we had not be properly informed of the alternatives or risks and as such OUR COMPLAINT IS UPHELD. Yippee!!!! the file has been passed on to the specialist department to calculate the compensation. Our mortgage is only £20k so not expecting hge payout but still better than what we would have got if we hadn't used this site.

BIG (No, HUGE) Thanx

mystified_2

dunstonh wrote:

It depends on what else is documented with that. A risk warning statement with that on the reason why letter would cover them. No risk warning works in your favour.

Good, so far - thanks for that. There was no documentation from Bank B other than a letter asking me to contact Bank A for the original policy document and send it on to them.
But.....
everything I read says I would have to claim from the agent who SOLD me the policy first time round. Bank A has had no interest in it since 1992. How would I formulate a claim against a bank which had nothing to do with it, other than transferring it with bad verbal advice?

sami_ANGELX

Hi
How do I know if I my parents have been mis-sold an endowment?? Has any1 had problems with MGM Assurance??
They have had this policy since 1993, if it has been mis-sold, can we still complain?

Thanx
Sami

dunstonh

How do I know if I my parents have been mis-sold an endowment??

Ask them

Has any1 had problems with MGM Assurance??

In what way?

They have had this policy since 1993, if it has been mis-sold, can we still complain?

If it was mis-sold they can complain to the advising company. As long as it hasnt been time barred, there is no issue. MGM sold products through a tied salesforce as well as through accountants, solicitors and IFAs (although mostly through the tied salesforce). So make sure the complaint goes to the right place. MGM themselves can help tell you where.

lagermad

i was wondering if anyone has had experience of dealing with abbey life endowments?i realise this is now time barred but i did not receive any "red letter" from them.
thank you.

handyspringy

Hi I am new to this and apologies if this is in the wrong place.
I am finally taking action to see if I can get compensation. I have two endowments one should pay off £17000 by 2014 and the other £28000 by 2015. I was in a relatuionship for the first one but i was single for the 2nd one. I have changed providers and circumstances over the years. I have the forms now to fill in. Do you think I stand much chance of compensation and what difference does it make if the mortgage i have now is a different provider?
Many Thanks

sarahe

Hello all
well I sent off a version of martin's letter to abbey - they forwarded it to friends and they have now sent me several a4 pieces of paper to complete - in 10 days.
I took out my endowment in 1993 for 25 years for £38,000 - if I carry on paying at the rate I am now I will be guaranteed £22,000 in 2018. 4% increase means I will get £23,400. So short by £16,000
In the last 6 years I have been busy having 3 children and have gone part time, we don't have much money. I was saving all their child benefit for their future in an ISA - that amounts to £8,000 now. So should I pay off some of the mortgage with this or carry on saving it for the future?
I watched the council tax programme and as we are in the cheapest bracket can't really complain - but I am wondering if we will qualify for a rebate. Yes I realise that we have too much in 'savings' , so should I pay off £8000 of the mortgage and try and get a rebate on the council tax?
Also even after having a parliamentary ombudsman sort out our child tax credits - they still got it wrong and overpaid us - so until 2010 we will be paying them back.
thanks

James_N

Can anyone advise if I can claim on a non-mortgage linked endowment policy.

I was advised to take this out by a broker, cancelling a whole of life policy. The point is: it was not linked to an mortgage, just as a better way to save.

It performed badly, and it matured a few months ago.

Definitely broker-led (I knew nothing, was financially illiterate and semi-broke at the time, with no job). The actual mortgage was in MIRAS.

Thanks