Time to cash in my Standard Life Endowment?

Beverley

EdInvestor wrote:

Hi Beverley




If you would like to ring up and get a surrender value we can take a look at whether or not it's worth keeping.

Post any maturity projections you have as well.

As of this morning, the surrender value is £13089.70

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In the yearly statement (as of 1st Feb 2006) they've given me 3 projected figures but stress that they are not guaranteed.
Target amount £30,000.00
at 3.75% a year £18,400.00
at 5.50% a year £20,400.00
at 7.25% a year £22,500.00

Current value £12,680.25
Final bonus £186.40
Total current value on 1 Feb 2006 £12,866.65

Bonuses added to your plan
this year £62.10
previous years £7,544.47
total £7,606.57

Sum assured £9,750.00
Minimum amount we'll pay at maturity £17,356.57

Bonus rates from 1/2/2005 to 31/1/2006
On bonuses already added 0.50% - On your sum assured 0.25%

Yearly interim bonus rates from 1/2/2006
On bonuses already added 0.50% - On your sum assured 0.25%

What do you think?

Millie_2

Beverley i was very interested to read your post as I too have a SL Endowment policy and have very recently switched to a repayment mortgage leaving me wondering whether to continue or to surrender my policy.

Furthermore i too originally had the policy in joint names with my ex husband and ive had his name removed as part of the settlement, he is the first name on the policy also, so i lose my right to vote BUT they have agreed to honour my shares and informed me of my allocation.

Now my paperwork was only completed within the deadline time which i think was last October, in fact dont quote me but i think i was days outside the deadline but they decided to still honour the shares, so i am very disturbed to think that you wont be getting yours.

What reasons have they given you for that?
Were you very much outside of the deadline?

I know it took forever to get my paperwork sorted, it was agreed in court in Oct 2002 and took exactly three years for the paperwork to be corrected, ridiculous isnt it?

Which brings me back to my problem of whether to sell the policy or not? Hmmm?

EdInvestor

Target amount £30,000.00
at 3.75% a year £18,400.00
at 5.50% a year £20,400.00
at 7.25% a year £22,500.00

If you surrendered the policy now, and put the proceeds on deposit @4% also paying in the premiums to maturity, you should end up with 19,733.THat's 2k more than the guaranteed value, and almost as much as their (unguaranteed) projected growth rate@5.5% (which they are highly unlikely to achieve.)

So given the situation with the ex,unless he's willing to do a deal on the shares and you trust him not to renege, then I would junk it.

Final bonus £186.40

This is such a pathetic little remnant it makes you want to cry, especially when you think how much it was probably worth about four years ago on a 19 year old policy.:(

You can expect it to disappear over the next few months as well, I imagine.
Really unfortunate that you won't get any shares.

EdInvestor

Which brings me back to my problem of whether to sell the policy or not?

Try a Google search for "TEP traders" and ring up a few to see if they will give you a quote (you'll need an updated surrender value).I assume you know not to surrender or sell until after you get the shares.

Millie_2

Thankd Ed, yes i know to wait but thanks all the same xx

Beverley

Millie wrote:

Beverley i was very interested to read your post as I too have a SL Endowment policy and have very recently switched to a repayment mortgage leaving me wondering whether to continue or to surrender my policy.

Furthermore i too originally had the policy in joint names with my ex husband and ive had his name removed as part of the settlement, he is the first name on the policy also, so i lose my right to vote BUT they have agreed to honour my shares and informed me of my allocation.

Now my paperwork was only completed within the deadline time which i think was last October, in fact dont quote me but i think i was days outside the deadline but they decided to still honour the shares, so i am very disturbed to think that you wont be getting yours.

What reasons have they given you for that?
Were you very much outside of the deadline?

I know it took forever to get my paperwork sorted, it was agreed in court in Oct 2002 and took exactly three years for the paperwork to be corrected, ridiculous isnt it?

Which brings me back to my problem of whether to sell the policy or not? Hmmm?

Yes we were well outside the deadline. Last month to be precise. I knew that I'd have to get a move on last year and kept asking her to get it sorted but my solicitor dragged her heels - eventually I found out she'd left the firm under a cloud. I pointed out I'd lost the shares as a result of her messing about but was told that the shares would be classed as a 'windfall' so I wasn't able to say that I'd definitely lost them as they were never a certainty in the first place. They reduced my bill by £250 as a gesture of goodwill for the messing about.

I asked them to get written agreement from my ex that he would transfer any shares to me but was told that he could renege on that even if it was a written agreement and again, because it's classed as a windfall, at best a judge would probably only award me half of the shares AND, I'd have to cover court costs so what would be the point. I'm so angry about it.

My ex laughs at me when I ask him to pay maintenance for the kids regularly - and has now moved his girlfriend's son into his house (he was living with his dad) so that the reassessment I've requested (the amount has not changed for over 5 years) will be reduced.

He said that he would sign over any shares to me but then told me that he's intending splashing it all on a boozy hol.

However, he won't be getting any shares as he hasn't been contacted by SL - mainly because they keep sending all correspondance to my address - and if he refuses to divulge his current address to me, how can I forward anything.

Poetic justice I reckon.

Millie_2

Oh how your case mirrors mine, we werent married to the same man by any chance were we? :eek: