Axa Sun Life Bonus Cash Builder

tanglewood01

I know this thread is a little old but it's helped me so I thought I'd pass on my experience so far.

I took my Bonus Cash Builder out at the time of the misleading advertising but only found out about it recently. I have been blindly paying into this for years! The only reason I looked it up was because I thought I might be missing some policy details and hoped to find them on the web. Happily my search bought me to this thread. I'm really annoyed that I was not notified of the ruling against them because I wouldn't have kept the policy on if I'd know back then.

I called and asked them for a surrender value. They offered me £1717. I asked them to send details in writing. The amount was a less than I have paid in so far and reading the surrender offer they sent out, the figure included only part of the bonuses I had been notified of so far and from what I could see did not include interest.

I wrote back to them explaining that I was disappointed that I was not made aware of the misleading advertising and therefore deprived of the opportunity to make an informed decision about the policy at that time. I also quoted the FSA ruling. I have asked them as a good will gesture to reimburse all payments plus interest and bonuses.

I received a response this morning,just three or four days after my letter to them. They are treating it as a complaint and in the letter provided details of the complaint process. The initial stage could take up to 4 weeks! The cynic in me wonders if they're hoping I might just take the money and run instead of waiting. However, they clearly don't know me :cool:

As soon as I hear anything else I'll update this thread.

:beer: Thank you to the OP and contributors to this thread, without you I might have continued to pay into this poor investment! :beer:

dunstonh

I received a response this morning,just three or four days after my letter to them. They are treating it as a complaint and in the letter provided details of the complaint process. The initial stage could take up to 4 weeks! The cynic in me wonders if they're hoping I might just take the money and run instead of waiting. However, they clearly don't know me

The FSA complaints process is mandated and they have to define the timescales. So, dont read anything into that.

tanglewood01

I've had a response to my complaint. Rather predictably they have said they sent me a letter informing me about the incorrect information advertised.

They have accepted however that my decision to take out the plan may have been influenced by the advertising.

They have offered to "cancel it form outset and refund all premiums paid....plus interest at BOE base rate plus 1%" (Which will be taxable at 20%). I may be being thick but this doesn't seem fair as the base rate when I took out the policy and up until late 2008 was between 4 and 5% but now it is 0.5%! I could do with some advice on this please?

If I'm looking at it right, BOE Base rate is 0.5% plus 1%= 1.5%
I've paid in roughly 1800 so this would work out at £27 for over 10 years! (£21.60 after 20% Tax)

They have enclosed a cancellation form but have not actually stated specifically what they would be paying me back.

tanglewood01

Selden wrote: »

What was the full wording of the letter relating to interest? Are you sure that AXA intends to apply the current base rate over the entire period for which interest is payable? Is it possible that its offer is rather intended to reflect any fluctuations in the base rate over that time?

The wording is as follows "In the circumstances, therefore, if you remain dissatisfied with your Bonus Cashbuilder Plan, we will cancel it from outset and refund all premiums paid. plus interest at the Bank of England base rate plus 1%. Please note that we are legally required to deduct tax at the rate of 20% from this interest"

The wording seems to suggest current base rate but I was wondering the same (base rate over the period or as of today) so I just called the Officer who the letter came from but had to leave a message on his voicemail.

tanglewood01

I've just spoken to the complaint handler and it is BoE base rate over the period of the investment and will be calculated on a monthly basis. He said it will take a day or two to be able to give me a figure and is going to call me when he has it.

The letter does call it compensation: "When you receive your compensation a statement of the exact amount will be issued". It then goes on to say: "A tax deduction certificate form R185 will also be forwarded to you shortly. This form shows the gross amount of interest due to you, the tax that has been paid and the net sum received by you".

I've looked at the technical note you linked to Selden but I'm not sure which category I'd come under or how to use it although I'm leaning towards point 4 - Compensation for Investment loss.

I'm currently off work due to illness and not receiving earnings so I think if I was taxed I might be able to claim it back?

angied81

Hi

Have been thinking about cashing in mine too, started it in 2000. From reading all the threads it doesn't look like I'll get a great return in 5 years, so think I would rather get what I can now and put the £20 a month somewhere else from now on.
Any advice?
Thanks

jonathanen

Hi Everybody,


I've decided to put up a copy of my letter template send to AXA Sun Life, photos of all the letters from AXA Sun Life send to me, showing the links that I've found out while I was researching on the Internet to make up my letter in Microsoft Word Format and my AXA Sun Life story all onto 1 link from my web site - http://www.jonathanen.com/pages/AXA/AXA.htm


Regards,
Jonathan.

anndramoireach

My wife took out an Axa Sunlife Cash Builder Plus Policy in September 1999 which she seen advertised in the newspaper.

Her premiums started at £20 per month and grew by £4 annually for the first 5 years until they reached £40 per month which they have remained at since.

The original 'Guaranteed' policy illustration projected the following projected Values after 15yrs Assuming Rates of growth :-

£6980 @ 4% £7830 @ 6% £8780 @ 8%


My wife just called and she was told that should she surrender the Policy NOW she would rcv £6502.61

HOWEVER, she was advised that (of course without ANY guarantee whatsoever) that if she left it to mature in 2 yrs (a further £1080 in premiums bringing a premium total of £6480 ) it's projected to be valued at:

£8280 @ 4% £8960 @8%


We don't know whether to trust the projections AT ALL. All I know is if we cash in just now we will come out £1100 ahead.

Does anyone have any experience of these Policy's?.. WHAT DO WE DO???

dunstonh

We don't know whether to trust the projections AT ALL.

The projections are examples only. Not predictions. If it gets 4% a year then that is what she will get.

ritthefeet

Hi I took out a axa cash bonus builder in feb 2000 starting £50 and increasing to £60 then £70 for first 5 years I have had a quotation for total WITH interim bonus of £15845.38 Do I keep paying until feb 2015 or cash in and pay £100 into another saving scheme if so any advice on which one Also this figure will be tax deductable 20% can I claim this if I am self employed making no profits or could I CLAIM IT BACK IF UNEMPLOYED I am trying to ensure I get my money back I do not want to loose anymore Its a struggle at moment. Thank you for any help I am real confused and worried and feel stupid