Axa Sunlife

BONJOEY

im still waiting for my money xx

Lovingitifitsabargain

Lovingitifitsabargain wrote:

My daughter is now going to write to them and say not only did they midlead her with the policy but also on what she was entitled back - so they have pulled the wool over her eyes twice - unfortunately she accepted her measley 300 quid a couple of weeks before I put in for my settlement it was only reading this forum that I decided to go for the whole lot - well it's her money so why shouldn't she have it all back - we come from the same household took our policies out the same time so whats different ! I'll keep you posted

Sent her letter a week ago to a Mr Tippet - not heard a word so rang him direct today - - he aplogised to her and said he had written yesterday explaining that she would be recieivng all her premiums back plus interest - just like I got - all she has to do is sign the letter then wait a week and the rest of her money will be in her bank - I would advise anyone waiting on Axa to call them as they seems to hang on for as long as possible - think if I hadn't rung I would still be waiting - good luck to you all
Gonna get OH policy out at the weekend think he started his 5 years ago hoping it was 4 so as we can get all his back too - he's paying the 100 a month at the moment :eek: theres gotta be something better out there with a better return if we save a 100 a month for the next 10 years surely:rolleyes:

BONJOEY

well done, wish id have took mune out 4 years ago and not 5 lol

ReportInvestor

cybershot wrote:

just had my surrender value letter in the post with a policy i started feb 2000 at £10 first year. the value on surrender now is £10,000.27 with interim bonus of £39.03 making the ammount payable to me £1,039.30.

What you reckon on that?

If I were you I'd take the surrender value without the bonus PDQ before Axa realises its mistake :rotfl:

More seriously, now I'm back in cyberspace, I'll do your sums later this morning. Thanks for the PM reminder.

BONJOEY

im STILL......... waiting for my money!!!!

ReportInvestor

OK, here are cybershot's figures.

I am assuming that the October 2006 monthly payment was already made & that future investments in alternatives start in November 2006.

£10 pm started in Feb 2000
Rising to £20 pm in Feb 2005
£60 cash taxable "bonus" paid out by Axa in Feb 2001

Surrender value in Oct 2006 = £1,039 compared to £1,200 invested with Axa (£1,260 minus the £60 bonus).

If the Axa fund grows @ 4% cybershot gets back £3,140 (compared to £3,180 paid in - Yes cs wouldn't even get his money back :eek: ).

If the Axa fund grows @ 8% (almost inconceivable) cs would get back £3,880.

BUT

If cybershot takes his £1,039 and invests it in a cash ISA AND also invests his future £20 monthly contributions in a cash ISA then he would see the following returns.

3% - £3,571
4% - £3,784
5% - £4,011

So it's a no-brainer to take the money and stick it in a cash-ISA (unless you think interest rates in the next ten years will go significantly lower - which might also boost the Axa fund returns).

What annoys me most about Axa is that most of cs's contributions were invested in a rising stock market AND rising bond prices - and yet Axa still manages to lose him money :eek: .

IIRC I - the reason the Axa fund won't grow at 8% is that it hasn't got enough invested in shares.

IIRC II - the reason cs can beat Axa with a lower rate of return (in spite of him taking a big hit for early surrender) is those wretched annual charges - probably 3.1% in cs's case. Why would you pay someone over 3% pa to invest in bonds that yield under 5% pa ?

cybershot_2

cheers my friend i shall be doing just that right away!

p.s, hope your break went well.

ReportInvestor wrote:

OK, here are cybershot's figures.

I am assuming that the October 2006 monthly payment was already made & that future investments in alternatives start in November 2006.

£10 pm started in Feb 2000
Rising to £20 pm in Feb 2005
£60 cash taxable "bonus" paid out by Axa in Feb 2001

Surrender value in Oct 2006 = £1,039 compared to £1,200 invested with Axa (£1,260 minus the £60 bonus).

If the Axa fund grows @ 4% cybershot gets back £3,140 (compared to £3,180 paid in - Yes cs wouldn't even get his money back :eek: ).

If the Axa fund grows @ 8% (almost inconceivable) cs would get back £3,880.

BUT

If cybershot takes his £1,039 and invests it in a cash ISA AND also invests his future £20 monthly contributions in a cash ISA then he would see the following returns.

3% - £3,571
4% - £3,784
5% - £4,011

So it's a no-brainer to take the money and stick it in a cash-ISA (unless you think interest rates in the next ten years will go significantly lower - which might also boost the Axa fund returns).

What annoys me most about Axa is that most of cs's contributions were invested in a rising stock market AND rising bond prices - and yet Axa still manages to lose him money :eek: .

IIRC I - the reason the Axa fund won't grow at 8% is that it hasn't got enough invested in shares.

IIRC II - the reason cs can beat Axa with a lower rate of return (in spite of him taking a big hit for early surrender) is those wretched annual charges - probably 3.1% in cs's case. Why would you pay someone over 3% pa to invest in bonds that yield under 5% pa ?

Ellieseleven

I too have a savings policy with Axa (the bonus cashbuilder) which I started in Feb 1998 saving £30 per month which has now risen to £60 pm.

I have paid in around £5280 and have accrued bonuses of £1345

My life cover was over 7k

I took the £180 cashback after 12 months

After seeing this thread I have telephoned Axa for a settlement figure and was quoted £5067 plus £255 bonus (I wrote the figures down but don't have them with me so these may be slightly different).

I have written to Axa for the projected figures but having now read through everyone else's experience I am very tempted to cash this policy in and re-invest. Is this the correct thing to do with this policy?

ReportInvestor

Hi Ellie,

You could wait for me to do your sums if you wanted to base your decision on the facts of your particular situation, but I doubt the likely outcome will be much different.

Since you began earlier than most examples, you might want to play safe and get the full facts - especially since you are talking about a significant sum of money.

On an unrelated matter, has anyone felt sick when that Axa advert comes on about saving for your child's PhD & university education ?

dunstonh

On an unrelated matter, has anyone felt sick when that Axa advert comes on about saving for your child's PhD & university education ?

I recall the Carol Smilie adverts that suggested some major purchases could be made at the end (i.e. sports car). Yet if you look at their average premium taken, then there was never any chance of the sums adding up to those major purchases.

I wonder how many people would have bought the AXA plan had Carol Smilie said in the advert that its an endowment policy [with higher charges than an ISA, less investment options than an ISA and more tax paid than an ISA].

You should never buy an investment plan from an advert in the paper. Many direct offers are for products that are either obsolete or very expensive that an adviser wouldnt go near. The fact that you choose to buy and not get advice is how they get away with it. You know the advert "no salesman will call". Well that SPIN on financial advice can also mean that no adviser will call as they wouldnt go near that product.... but don't worry, you can get your "Free" alarm clock.