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1986 endowment am I able to claim misseling

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I took out a endowment mortgage in 1986, am now living on a War Pension which is very low so needed to claim income support to survive, so can not remortgage to cover short fall

the endowment company told me I can not claim for mis selling as the policy was started 1986.

Anyone got any advice

many thanks

Comments

  • dunstonh
    dunstonh Posts: 119,614 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    29th April 1988 is when regulation came in. Only if the advising firm agreed voluntarily to accept liaiblity for pre 1988 complaints would you have any success. Most banks and insurance companies agreed to take on that liaiblity (bet they wish they hadnt now!) but solicitors, accountants and IFAs did not.

    So, it depends on the distribution channel you used.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • samgluck
    samgluck Posts: 10 Forumite
    my mortgage is with Nationwide and the policy company is MGM who told me over the phone there is no point in claiming as I would not get compensation
  • dunstonh
    dunstonh Posts: 119,614 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Building societies did one of two things. Either they were representatives of the insurance company. In which case you can complain or they got in a local accountant/solicitor/IFA to do it. In which case you cant. The latter was more common in the early 80s as many moved to tied rep status later. The branch manager would have an arrangement with the local IFA/Acc/Sol and a share of commission would take place.

    I dont know if MGM had a link with the Nationwide or not. Was it Nationwide you started with or was it one of the societies that they ate up over the years?

    You could phone MGM again and ask them if your endowment was sold by a tied representative or IFA (inc solicitor/accountant). If they say tied rep, then ask them the address to complain to. If they say IFA, Sol, Acc then give up. MGM telling you there was no point claiming without telling you why isnt good enough. If they had said it was sold by an IFA, then fair enough but you need to know.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • samgluck
    samgluck Posts: 10 Forumite
    Thank you very much for that advice dunstonh I will give them a call to ask them
  • I think it was a firm called scandia life who first gave the mortgage
  • dunstonh
    dunstonh Posts: 119,614 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Skandia Life is an insurance company (quite a good once as well). Their products can be a bit expensive but are usually higher quality.

    However, Skandia would be the endowment company if it was them and you say MGM are the endowment company so its probably not them.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Thanks dunstonh

    I phoned MGM and the nice lady told me that my policy was sold by an IFA so I guess thats that, thanks again for your very helpful advice.

    Kind regards
  • What was the name of the IFA? many building societies operated as IFAs and the call centre staff often just say IFA without qualification. I frequently get letters saying your IFA, Abbey national, that then go on to say 'I don't know if they are still operating'. It just demonstrates the lack of knowledge of some staff
  • Thanks for your advice
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