Unable to claim for miss-sold mortgage

sidross

Hi there,
I got an endowment policy in Oct 1988 from an independent advisor (ltd) who as sold on the business. If has changed hands again , but the Ombudsman says that I cannot claim, the new owners say that the advice was not given by them Any Help?

dunstonh

You take the compliant to the financial services compensation scheme.

Many firms buy the clients and renewals but do not take on the liability. The liability remains with the original firm. If the original firm is not able to make good its liaiblities, then the FSCS will consider the case.

sidross

The FSCS say that it is unable to pursue with this case

dunstonh

Is that because you signed the application before 28 August 1988? Or that the firm still exists? They normally give a reason why.

sidross

I got the policy in Nov 1988 , but they say I cannot claim as it has changed hands and the new company are not responsible for any advice given out from the original company and the actual insurance company say since it was an independant advisor they are not responsible

dunstonh

None of those are reasons for refusal.

If the firm no longer exists or if it does and cannot meet its liabilities, then the FSCS will consider it providing the application was dated after to 28th August 1988.

The new firm are correct that they are not liable. The insurance company are not liable either.

So, it comes back to the point that the FSCS should be reviewing it. The reason they have given is not a valid one for rejection (unless it was a FIMBRA firm that ceased trading before 1994, in which case they cant review it).