Help -with profits bond - halifax

Bob1000

Did anyone see watchdog in the last episode it talked about
with-profit bonds over 5 years.

I took one out and the rep told me my money would be safe and i would get back my initial investment even if markets fell on the 5th aniversary.

When i wrote to them they said they would charge a Market Value Reduction.

it means my investment will just about break even after 5 years.

i feel misled and they never mentioned anything about a MVR coming off. they said i would get my money back min

what can i do?

I feel they mis-informed him about the policy.

ReportInvestor

Is this with Clerical Medical?

See here about possible grounds for misselling of WP Bonds

Your main chance at the moment is if you were sold the bond when a MVR was already in place but were not told about it.

I note that Clerical Medical's With Profit Pension is one of the worst performers over five years . But poor performance is not grounds for misselling.

On the positive side, some CM WP Bonds have a five year MVR free date and Clerical Medical were one of the companies that promised to notify customers about future MVR free "windows of opportunity".

And Ned Cazalet, the LifeCo analyst, describes the financial strength of the CM WP fund as "middle of the road" rather than poor.

Bob1000

Hi
Thank you

No mine was with halifax, but i am not sure when they started mvr and cant seem to find out. do you know please?

thanks

ReportInvestor

AFAIK Halifax took over Clerical Medical around 1996 and sells CM with profits policies.

If your policy is a Clerical Medical policy (and you would get annual paperwork) then a MVR applied September 2001 until February 2002 and was re-introduced in July 2002.