Endowment compensation offer

Anniek1969

I have just received a compensation offer on a mis-sold endowment and was just wondering if anyone could tell me if it's a fair offer. I think it is fair but just wanted to check before accepting it.

This is how they worked it out

Interest only mortgage
Capital amount owing to lender £20097.00
Less endowment surrender value £ 4885.29
Net capital amount owed £15211.71

Repayment Mortgage
Net capital amount owed £12540.78
Difference ('loss') £ 2670.93

They are offering me the difference of £2670.93. Any advice would be really appreciated.

dunstonh

If the difference is what they are offering you, then that is correct.

Anniek1969

Thanks, I thought it was right.

Will keep the endowment running though as it's with Standard Life and I remember you saying on an earlier post about them allowing you change the with profits endowments when they demutualise so will keep that running as an investment. The surrender value is only £4885.29 and over the years I've paid in nearly £4000 so no point in surrendering it.