Britannia says my Aunt does not have an endowment

jmando

Britannia were made aware that MR had deceased and his death certificate was forwared to Britannia and at the same time my aunt sent a letter for the account to be changed to her name.

I agree there was a whole lot going in at that time and unfortunately I was a toddler at the time so I am piecing this together with the help of my father and aunt and what they know about the bankruptcy.

My aunt and father have a very good memory and what they are saying seperately correlates so I am still trying to see what happend with bankruptcy and what has paid as some papers are indeed missing imho as went through all she had last night.

Alsos he has a letter from the creditors sent some time in 1995 saying monies still owed £nil and that everything is now settled which.

You see I don't want to say to my aunt unfortunetly you do nto have endowment untill I have exhasuted all avenues however weak they may be. I know that it is likely at somepoint the payments had stopped during the late 80's but I am not 100% convinced yet.

Thank you guys and girls.

jamesd

jmando wrote: »

Where it gets a bit fuzzy is she doesn't have papers to show an endowment but a premium of approx 350-610 (changes) odd has been leaving her mortgage account for "premium debit" which also gets taxed seperately on the mortgage account statement.

Find out what this is. Britannia must know who they have been paying the money to, if not what it's for.

jmando wrote: »

She has shown me pay-in reciepts for paying the bulidings insurance taken from britannia directly to the insurer (BS ltd, in some cases) in monthly installments. She is not aware of having any other insurance, I also checked the mortgage statements and the monies she has been paying in on these cheques and receipets did not go into her account from what I can see.

OK, also get Britannia to explain what each of these amounts is for.

jmando wrote: »

I think I need to look at the court judgment to be honest as it was in 1991. Any where I can check? It is our local county court.

Try the court first.

jmando wrote: »

So there would be a mention on them?

Maybe, but more likely just the mortgage.

Good luck with the hunt!

jmando

Update.

I have traced the yearly installements and they are building insurance and because she was not paying into her subaccoutn 3 the money was being taken from her mortgage account so that clears it up.

That leaves me with with the question that was there ever an endowment payment...

So I looked in the first pay in book and my uncle never paid into the book most of 87 and only made the first 3-4 instalments in 86.

I found a summons for a repossion order made by Britannia but my aunt says she paid a lump sump of 4,xxx amount etc and nothing was ever made of it. Also in 88 large amounts in excess of £1600 a month were paid in, could this be why Britannia let them continue?

This then leads me to if he had not paid the mortgage in the second year of the term then did he even make the second instalment for the endowment? or for that matter the first....

The forecast looks very dim at the moment.

joeblack066

My parents were seperated at the time of my Father's death, and my mother became very distant from me - turned out she believed there to be a £100k insurance policy on my father - I tracked it down (without the internet in those days) to find he paid 3 premiums and then stopped, so very distressing for my Mum. I do hope that it's a better outcome for your Aunt, tho I would be prepared for the worst, and spend some time discussing what your Aunt's next steps should be with your Dad, so that you can give her an idea of what to do when you tell her. Good Luck, she is very lucky to have you helping her in this way.

silvercar

jmando wrote: »

Update.

I have traced the yearly installements and they are building insurance and because she was not paying into her subaccoutn 3 the money was being taken from her mortgage account so that clears it up.

That leaves me with with the question that was there ever an endowment payment...

So I looked in the first pay in book and my uncle never paid into the book most of 87 and only made the first 3-4 instalments in 86.

I found a summons for a repossion order made by Britannia but my aunt says she paid a lump sump of 4,xxx amount etc and nothing was ever made of it. Also in 88 large amounts in excess of £1600 a month were paid in, could this be why Britannia let them continue?

This then leads me to if he had not paid the mortgage in the second year of the term then did he even make the second instalment for the endowment? or for that matter the first....

The forecast looks very dim at the moment.

Sounds like the lump sum was to stop the repo. It certainly worked, so you can probably discount that from your enquiries. I'm curious about these large amounts of £1600 and wonder if they could be to make up the shortfall in endowment payments not being made.

I took my first mortgage in 1986 and the lenders then were so strict about having to have building insurance and their interest being represented on the policy. You only had to change insurer and letters would arrive demanding proof that their interest was registered with the new insurer. The same for endowment policies, so it could have been that the repossession order was called off with the lump sum and then additional payments to the endowment were agreed to make up for the lack of payments. Though £1600 sounds a very large amount for an endowment on a £50k policy - more likely a shortfall on the mortgage. Interest rates were high in 1986-88, I think they hit 13% at one point. That would give an endowment mortgage (IO) payment of around £500 on a 50k mortgage.

So I looked in the first pay in book and my uncle never paid into the book most of 87 and only made the first 3-4 instalments in 86.

1986 wasn't the dark ages; mortgages were normally paid by direct debit, so there would be no reason to have a paying in book. If there are entries on a paying in book there is no reason to assume that direct debit payments were not also being made.

jmando

The morttgage was paid by direct debit from her britannia account but they would pay into the account using the book i.e no money paid in meant no money for DD...


The other issue is the earliest statements i have of the mortgage accoun from 1993 and 1994 which show mortgage payments and a fire insurance premium taken every march and no sign of an endowment payment.

surely if it was being paid there would be some sort of record of it, I have not found one paper mention an actual endowment policy.

thanks guys.