Scottish Widows Demutualisation Payouts: £70 million still unclaimed!

Former_MSE_Alana

[title=http://images2.moneysavingexpert.com/images/dp/wtd_underline.gif] What's it about?[/title]

Updated 19 January 2010:

Scottish Widows was demutualised in March 2000, when it was bought by Lloyds TSB, which meant qualifying policyholders were entitled to compensation in return for giving up their membership rights.

However, 24,000 (was 33,900 in Sept 2009) policyholders have yet to claim their money. Almost £50 million (was £70 million) hasn't been divvied out yet; an average of £2,081 per person, and the maximum unclaimed payout is a whopping £84,730.65 (the previous highest amount has been claimed, it was £102,645.58).

Policyholders who think they may be owed cash have until 3 March 2010 to claim; after this date the money will be added to the bank's With Profits Fund.

[title=http://images2.moneysavingexpert.com/images/dp/wtd_underline.gif] Did you have a Scottish Widows policy in 2000?[/title]
If so you could be entitled to some dosh.

It's possible you may have recieved a trace form (check anything you thought looked like a circular!). If so, simply fill it out and return it in the pre-paid envelope to Scottish Widows Bank (FAO – Demutualisation team).

If you haven't been sent a claim form, you can still get money if you are owed it; instead fill in the information form on the Scottish Widows website, or call them on 0845 845 0829 (press option 1).

Update 1 October 2009:

Scottish Widows have given us some more details on who is eligible for a payout:

"With Profits life and pension policies qualify for the Variable Compensation payment" (ie the big amounts)

"Non with profits andpension policies qualify for the Fixed Compensation payment of £500 (now plus interest)"

"PEPs, ISAs, unit trusts, bank accounts and credit cards do not confer membership rights, nor does the International Investment Bonds and Private Portfolio Bond products issued by Scottish Widows International Ltd." (ie you don't get anything.)

[title=http://images2.moneysavingexpert.com/images/dp/wtd_underline.gif] How long will it take?[/title]
Scottish Widows will continue to work through unprocessed claims received by 3 March 2010 and those that are eligible will be paid. This is likely to be completed by the end of June.


Update 11 February 2010:

A note from Scottish Widows:

"Please do not to contact us again if you have called or submitted a form within the last 12 weeks. We are dealing with these as quickly as possible, but any duplication will just create a backlog and make things longer to get a response to customers. While the deadline is around 3 March we will continue to be working through the applications we’ve received up to that point."

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Holistic_Health

I received last week the nice and unexpected sum of £1740.28, and couldn't have come at a better time.

HH

TheMiner

I've got an old pension with these which I stopped paying into in 98. Been trying to find if I would be eligible without much success. Anyone able to help?

karenann

Me & my husband both had endowments with Scottish Widows from 1999 - 2002. We cashed these in when we moved and went to a normal repayment mortgage.

Firstly does anybody know whether these would be eligible and if so I am not sure if we would have the policy details for these now so I need to know if there is any way I can find this number.

Thanks for any help

HeimRoller

Fingers crossed time for me, thank you for the note Martin and team.

Had an endowment back then, trying to find out if it is eligible, just need them to answer the phone (15 mins and counting) but I guess they are being inundated at the moment!

To Karenann - try calling the number, give them as many details as you can and they should be able to help.

Soil_Saver

Holistic_Health wrote: »

I received last week the nice and unexpected sum of £1740.28, and couldn't have come at a better time.

HH

Hi

Do you know if Isa's qualify for the money back?

agentsmith

likewise had a pension I moved into a company pension in 2004. I was a holder then, so I guess maybe im eligible. Form submitted

caroline64wine

I inherited my Mums scottish Widows savings will i be entitled to refund?

Digger47

Just looked through my Scottish Widows file.
You could be eligible for a payment if the pension policy was in force as at 22 June 1999 (the day before the transfer to Lloyds was announced).
I think this would be the case even if you were not paying into the pension, so long as it was still with Scottish Widows - not cashed out or transferred to another company.
Fill in the information form and they should be able to tell you if you are eligible or not. Good luck.

lisaann72red

I had a pension from mid 90's to this date but for the life of me I cant remember if I have already claimed! I have sent the form anyway and Im sure they will let me know.

180turbo

I have a With Profits saving plan with them and i think started it in either Feb 1999 or 2000.

I'm sure i had a letter from them saying i wasn't eligible for some reason but i'll check it out again i think.