Endowment Misselling - no help if policy sold before April '88

Buyer1

New user - so please be kind.

I was sold a mortgage-linked endowment policy in June 1987.

The mortgage advisor/company that sold the policy is no longer trading

Reading the Financial Services Compensation Scheme website it states that the rules don't allow investigation of any potential claims that relate to advice given before 28 August 1988, or before a firm was authorised.

I phoned the FSCS help line to double check the website info and was told the same thing.

As far as I can tell this means that I do not have any rights or comeback for my claim of misselling to be investiagted.

I cannot be the only person who is this situation.

There must be thousands of people who are missing out in having their cases looked at.

Is there anyone else in the same position as me and what if anything have they been able to do in trying to get their case looked at?

silvercar

If you were sold the policy by the provider, or one of their agents/ employees then you have a chance they will look at your case. I was sold a legal & General policy in 1986 they agreed to look at my case, accepted that misselling had occured but calculated that I was no worse off than if I had had a repayment mortgage so I got no compensation.

zzzLazyDaisy

Same thing here. I got my Endowment in 1986, the IFA (attached to an estate agent) has since ceased trading. It was definitely mis-sold - I was a single parent and would never have touched a mortgage arrangement that was linked to the stock market, if I'd been told, not in a million years.

I tried making a claim but got no-where. It seems that my policy is too early to be covered. Some insurers are including these policies voluntarily but my endowment was with Royal Life (now Sun Alliance / Phoenix) and they are refusing to budge.

If anyone has any positive suggestions I'd be glad to hear them, but I'm not holding my breath.

dbs

Prior to the Financial Services act 1986 coming into force on the 29th April 1988 neither lenders or policy providers were under a duty to provide advice.

This is why I suspect the financial compensation scheme will not consider potential claims before 24th August 1988(why the difference between April 1988 and August 1988 I dont know).

Basically this means anybody who took out a endowment policy before 29th April 1988
the lender or policy provider did not have guidelines that is covered by current legislation on how to sell the endowment.

After 29th April 1988 all lenders or policy providers had to follow the correct selling guidelines if they did not you are entitled to complain and if not happy with the decision then go to the Financial Ombudsman Service.

You cannot get compensation from poor policy performance.

I took out my policy before 29 April 1988 but won my complaint because I managed to prove the figures given to me at the point of sale was incorrect and my lender denied receiving commission for selling the policy which I also proved was incorrect this was done via the Financial Obudsman Service but my policy provider is still trading.

I am no expert hopefully other people on this website will be able to give more help or try https://www.financevictims.co.uk and click discussion forums on the lefthand side post your query good luck.