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Should I accept endowment offer?
gra_3
Posts: 9 Forumite
I took out an endowment with CIS in 1991 "to pay off an approx £20k mortgage. Although I wasn't buying a house at the time the advisor recommended taking out the policy saying "it would be like paying off your mortgage early without paying the interest - until you buy the house"
When I eventually bought a house 2 years ago (don't ask why it took so long!), endowments where being given bad press and the endowment would have been a small percentage of the cost, so I kept the endowment as a savings scheme.
I recently complained to CIS about the shortfall. They have offered to repay the premiums to date plus 4% (less 20% tax).
I could use the money at the moment, is this a good/reasonable offer?
Is the interest on the tax earnings related i.e. 40% for higher rate earners?
Help will be much appreciated!
When I eventually bought a house 2 years ago (don't ask why it took so long!), endowments where being given bad press and the endowment would have been a small percentage of the cost, so I kept the endowment as a savings scheme.
I recently complained to CIS about the shortfall. They have offered to repay the premiums to date plus 4% (less 20% tax).
I could use the money at the moment, is this a good/reasonable offer?
Is the interest on the tax earnings related i.e. 40% for higher rate earners?
Help will be much appreciated!
Waddle you do eh?
0
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