Endowment red letter

AGAR_2

Hello
got a red letter today from aviva on one of my endowments i have 2 this one has been running since august 1991 target amount is 30k current value including bonuses is £13.936.74 not surrender value,projected final amounts are 4% £16.200/5%£17.500/6%£18.300
have had a repayment mortgage for about 7 years now and this endowment has always been just a savings plan really it costs £37.20 a month to run, is it worth sticking with or sell and invest in a bond type savings plan.
will post the other endowment also with aviva that has been running since 1996 which was against the mortgage when i get the figures, of the top my head it costs £41.32 a month to cover £26k was worth about 4k in january when i last checked so not doing to good as we would expect in january had about 19k left to pay on mortgage.
paying these endowments is no problem just wonderd is it worth me keep paying into them or surrendering /selling them or keep going on
any advise welcome
thanx

Cannon_Fodder

Without being particularly scientific, my view is that if you had green or a low orange letters before the credit crunch damaged the stock markets, then your red will probably come good again.

And there's the hope that final bonuses will give your small monthly outlay a nice little bump upwards.

If you have always been getting red letters then hopefully some of the more expert posters can comment on Aviva in particular.

AGAR_2

thanks cannon fodder:beer:
just to recap they are just savings plans now not aginst the mortgage so
keep/sell/or surrender
if you think the sell or surrender i would like to keep paying in what i do now but were would you invest them say for 5 years
any advise again most welcome

EdInvestor

Post some more info

Guaranteed sum assured
Declared bonuses
Surrender value
Monthly premium
Maturity date
Maturity forecast
interest rate payable on mortgage (please provide even though now separated from endowment)

AGAR_2

Guaranteed sum assured =£10,320
Declared bonuses=£3,598.75
Surrender value9,724.37
Monthly premium=£37.20
Maturity date=august 2016
Maturity forecast !!! above
interest rate payable on mortgage (please provide even though now separated from endowment+1.99% halifax tracker £20452.79 outstanding

hope this helps
thankyou EDINVESTER

EdInvestor

I suggest you hold onto these policies for the moment.But when your mortgage rate starts to go up again, then check in again.

Once it gets to around 4-5%, you will probably do better to surrender the policies and use the lump sums to reduce the mortgage, while overpaying with the endowment premiums.

AGAR_2

THANKS EDINVESTOR
i also have another endowment which i will post some more info on soon but you think we will see intrest rates up soon i also have just over 50k in saving just moved to tsb insentive saver paying 3% a monthly intrest about 2.40 after tax, 39 in november house worth about 120k any other advise

the other endowment of top of head
start date november 1996 25 years
monthly premium 41.32
to cover a 26k mortgage
last surrender value i had was just over 4k

AGAR_2

Any more advise welcome please

AGAR_2

anymore advise please

AGAR_2

any last chance of advise please before i go :rotfl: