Report Endowment Misselling Compensation SUCCESSES

mayb_2

I have just looked in on this site and once again the old chestnuts of everyone knew what they were doing and nobody was missold an endowment because it just couldn't happen arguments are whizzing around again.

I am, obviously agreeing with much that has been said by 2sides2everystory. Having read some of your posts HH it is clear that you are speaking in the language of your role and that is why many innocent people were missold their endowment policies - hadn't got a clue what it was all about. Many took the word of those 'in the know' that this was the right course of action and only a fool wouldn't go for money in the bank at the end of their mortgage. As 2 sides began by saying if the risks and comparisons were truly shown and discussed with the customer - written clearly in the large print and a true assessment made of the customers financial accumen and position - most people wouldn't have touched them with a barge pole in the 1990's at least. He is also right that these were sold after there was clear knowledge within the industry that they could not possibly reach their target,s let alone produce the bonus many were promised - you can say that this was not written down - I can say that actual sums may not have been written down but promises were made at the point of sale, and backed up by the encouragement to believe in them often contained in the large print, and only the rosy view was pushed by the salesteam on a commission based drive to sell as many as possible.

This is not to say that those participating in the forum here were guilty of such missales, however HH it is important to remember that many on this forum will not have understood what you were writing and that is part of the problem.

I have had all of these arguments on this forum before now and I see that the same old same old is being wheeled out on a site which is supposed to be helping those who feel they should be able to claim. I think they deserve to be treated with respect and given any advice in a polite and simple way and that is not evident in some of these posts where delight appears to be taken in the ability to send them off with a flea in their ear!!

At the end of the day, if we were all as clever as we believed our financial advisors to be we wouldn't have needed them to advise us and we wouldn't believe them when they were pushing the wrong mortgage on us.

dunstonh

Luckily we moved to a repayment mortgage in 2000

That means if they uphold your complaint, they only need to calculate it to the position it was in 2000. Most endowments didnt go into shortfall positions until around 2001.

holly_hobby

Mayb - I won't bother replying to your comments, as they appear to have already been both aired and adequately addressed, in the other thread you voiced your thoughts on the v same subject ..

https://forums.moneysavingexpert.com/discussion/comment/48301657#Comment_48301657

Holly

mayb_2

This request appears alongside this forum.

Pls be nice to all MoneySavers. There's no such thing as a stupid question, and even if you disagree courtesy helps.

I think at least one of you needs to re-read some of your posts in the light of the request - particularly to a newbie who must wonder where he has landed.

magpiecottage

JJM1972 wrote: »

To be brief my wife was mis sold her endowment in 1995 with the usual promise of paying off the mortgage and a lump sum on top.

That would not have been a promise. By 1995 Legal & General, along with other providers, issued a "Key Features" document which included a prominent "Risk Factors" section on the first page (or second if the first was simply the cover). This contained an explicit warning that there might be a shortfall.

We moved house in 2000 and wrote to Legal and General advising of the change of address. We heard nothing until this month when we received a red warning saying the target would not be reached - it is nowhere near. So I complained and received a reply with copies of letters indicating deadlines to complain but these where sent to our old address. Anyway I wrote back advising them that we would have complained within the timescales if we had known and it is their fault as they didn't follow our instructions to change the address on their records. We received a letter advising that the complaint is now being dealt with by a complaints consultant.

That is reasonable.

Any thoughts on what the outcome will be ? Will let everyone know the result.

As DunstonH says, they will probably calculate it to the point when you converted to a repayment mortgage. However, if the documentation from 1995 survives you may find they choose to defend the sale.

JJM1972

We have no paperwork from the original sale of the endowment so I guess we'll wait and see what Legal and General come back with.

magpiecottage

I only have a 1996 version in my library but I think it will be almost exactly the same. There were big changes when the regulator changed in 1994/95 but other changes tend to be small between versions.

My one says, prominently on the first page:


RISK FACTORS

• The proceeds will depend on investment performance. The lump sum you receive at the end of the policy term is not guaranteed to repay your mortgage.

It is followed by three other risk factors but as you can see, it clearly states there is no guarantee.

Longtallted

Hi - I was sold an endowment (£70K) in 1991 when I was single, had no kids/dependents and no intention of buying a property (i.e. no mortgage at all being considered). Eventually got my first house in 1995. Sold my endowment in 2008 for circa £24k (having paid in almost £19k) but the poor performance isn't the main issue for me. Believe I was mis-sold the policy in the first instance... do I have grounds for a claim? Thanks for any advice.

dunstonh

Longtallted wrote: »

Hi - I was sold an endowment (£70K) in 1991 when I was single, had no kids/dependents and no intention of buying a property (i.e. no mortgage at all being considered). Eventually got my first house in 1995. Sold my endowment in 2008 for circa £24k (having paid in almost £19k) but the poor performance isn't the main issue for me. Believe I was mis-sold the policy in the first instance... do I have grounds for a claim? Thanks for any advice.

You have 3 years from the event of 6 years from the start to make a complaint. As you sold it in 2008, the three years were up in 2011.

What you describe is likely a mis-sale unless you are armed forces or living in employer provided accommodation (where you would have to buy a property sooner or later) or if it was a savings endowment rather than a mortgage endowment.

if you bought via a tied agent of the insurer, it is possible they would consider a complaint still.

nash01

I haven't being here for long time and I think I missed a lot.

Can i still put the claim thought? For misselling Endowment.