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Lloyds TSB Endowment reinvestigated after 5 years and claim awarded!
m_c_s
Posts: 396 Forumite
I have a £39000 sum assured unit linked endowment with Lloyds TSB.
I submitted a mis-selling claim in 2001 but was refused. Lloyds wrote to me a month ago saying they were going to reopen my claim. Today I received a letter offering compensation - amazing!
25 yr Term started 1993 Monthly payment £54
Difference in balance of endowment against that of an equivalent repayment mortgage - £12042
Suurender value £8395
Compensation - £3647
Do these figures look ok?
Additionally what I wanted to know is its been five years since my original claim, do I have any case for further compensation - I suppose I could have switched to a repayment earlier or made alternative investments - would this have been advantageous to me?
Hope someone can provide some advice.
I submitted a mis-selling claim in 2001 but was refused. Lloyds wrote to me a month ago saying they were going to reopen my claim. Today I received a letter offering compensation - amazing!
25 yr Term started 1993 Monthly payment £54
Difference in balance of endowment against that of an equivalent repayment mortgage - £12042
Suurender value £8395
Compensation - £3647
Do these figures look ok?
Additionally what I wanted to know is its been five years since my original claim, do I have any case for further compensation - I suppose I could have switched to a repayment earlier or made alternative investments - would this have been advantageous to me?
Hope someone can provide some advice.
0
Comments
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Do these figures look ok?
Look very good for a unit linked endowment.Additionally what I wanted to know is its been five years since my original claim, do I have any case for further compensation
No.- I suppose I could have switched to a repayment earlier or made alternative investments - would this have been advantageous to me?
The redress would have been higher but the surrender value lower by the same amount so no difference.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
Thank you for replying.
Look very good for a unit linked endowment
Do you think the endowment is performing well?
The Lloyds series 2 managed unit link fund has performed well (20%) over last few years. I think I might continue with it and set up alternative savings to cover any shortfall.
Its just annoying that they took 5 years to realise I was mis-sold the policy.
regards
M0 -
Look very good for a unit linked endowment
Do you think the endowment is performing well?
No. The LTSB managed fund is quite poor and the size of the redress reflects that. However, LTSB do offer alternative funds which could be a lot better for you. That includes a property fund.
IIRC, LTSB have quite a high surrender penalty in the first 10 years and that could reflect the size of the redress and it could mask the real value of the plan which may not be as bad as that.
Whatever options you look at, if keeping it is a likely one for you, then switch out of the managed fund into a range of their alternatives.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0
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