What are the risks in selling endowment

antdon

Hi all....

I am thinking of selling an endowment policy.
Its in year 20 of a 25 year endowment..

The policy was meant to make £34000

I have just checked. The current surrender value is £12500

Given that very few of the endowments are paying terminal bonuses, I am thinking of cutting my losses.....

I have just had £6000 mortgage PPI payout, so If I remove the endowment I will be left with £15000 to pay off on the mortgage (with 5 years remaining)

I have also just had the halifax agree to pay a second PPI on the same mortgage (very complicated....) (There is also the potential for a third payment (very very complicated)).....

So. My question is...
Has anyone sold a policy recently.....
What are the risks, if any....
What was your experience......

Any comments would be very gratefully recieved.

Meeper

You don't sell endowment policies any more, you simply surrender them. The TEP market has dried up completely.

You should be aware that your endowment policy has built in life cover, and you would lose that. Aside from that, you would only really lose out if your endowment policy has guaranteed growth rates or some other such enhancement which seems unlikely given the shortfall.

antdon

Many thanks for the reply.....

I did have a doubt over whether or not you could still sell them....

But there are still websites buying them....
Check google......

I think I will wait until I have some idea as to the amounts the PPis will pay out.....


Once again many thanks