Endowment compensation cold call

plymouth12

Hi everyone, this week I had a cold call from £mcas asking questions reference my endowments I took out in 1988 and the shortfalls they would be amounting too.They inform me that I have a case for compensation and I have received paperwork through the post this morning . Just wondering if these type of claims are worth pursuing They are charging 42 percent of any compensation awarded which seem excessive. Does anybody have any experience of this type of claim and if it is at all worth continuing with ? My gut feeling is not to touch it with a barge pole ! but would be very grateful of additional information on this matter.
Thanks
Plymouth12

hcb42

i could be wrong but I thought claims for misselling were out of time now.

dunstonh

This company are about the only one still doing this. They have come up on the boards frequently. Often the things people have posted to say what they were told were complete BS.

They inform me that I have a case for compensation

How can they do that without even viewing the client file, research and report issued at the time?

My gut feeling is not to touch it with a barge pole !

Go with your gut. 42% PLUS vat would see over half of any redress go to this cold calling company.

As hcb42 says, you are statistically likely to be timebarred. Over 3/4 of endowments now are. Did this cold calling company check to see if you were timebarred first?

plymouth12

thankyou both for replying The 42% is with the VAT 35% even still I think I'll be giving this a wide berth . Both policys are with Aviva and mature next year and the shortfalls wo'nt be crippling my financial status If others on here are saying they bull then thats enough for me..... funny enough they have just phoned now to see if I've had the forms in the post today !! seems very pushy ...they did have policy numbers off me but not sure if they could check out whether they are viable for compensation within minutes over the phone ? they say its no win no fee , I'm sure I'd end up no better off and probably just end up making them money !
Big big thanks again
Plymouth12 x

dunstonh

Most Aviva plans are timebarred and have been since around 2008. Plus, most Aviva ones have a mortgage endowment promise (MEP) which adds on top of the maturity value. If you have an MEP then it may not be as bad as you thought. Plus, endowment mortgages were typically cheaper on a monthly basis than repayment (a common reason people took them out as they looked for the cheapest way to get on the ladder). If yours was say £20pm cheaper on average, then £20pm over 25 years is £6000. So, on that crude example, if the shortfall is less than £6000, then you end up better off financially than a repayment mortgage. For many people, finding £20pm in the late 80s (think that £10 filled an empty tank of petrol and houses cost £20,000 back then) is harder then finding say £3000 in 2012.

magpiecottage

It is a long time since I upheld a complaint from these people.

On the whole I simply timebar them. It is not particularly lucrative for me but it is easy and less lucrative for them!

plymouth12

My policies do have MEPS and your reasons hit the nail on the head ref myself taking out the endowment in the first place.Ok there was a indication I'd be getting a lump sum at the end of the term but que sera . Now I'm 100% certain I'll not be following this up . So pleased to have joined the forum and happy to know there are so many good people out there ready to give good background on these financial matters which I know little about.
thanks
Plymouth12